Converting a condo from personal to rental use

[Patrick J Leary]

Because of a need for more space I have moved from a one BR condo I have owned for the past 12 years.  I am seeking tips on the tax and administrative aspects as depreciation schedule of placing it for rent. 

[Chris R.]

Hey Patrick,

My wife and I did this 6 years ago as we had our second child and simply ran out of room. As far as the depreciation schedule, I have my CPA handle the nitty gritty of that transaction but I can tell you it effectively wipes out the taxes paid on half of the income we bring in each year so it's been well worth it. I see the HOA fee as built in property management and it's roughly what I'd pay for a SFH. I don't own the outside of the building so there's no maintenance to deal with there either. A lot of landlords look down on condos as rentals but I put good tenants in, set them up in Cozi to pay rent, and I forget it's there most of the time. It runs itself. Easiest propert I own hands down.