Thank you, and that's what they explained, but without knowing as much about taxes as they do, my first thought was "well can't I reduce the number in my "repairs" line to increase the deduction "number" in my depreciation line?   

The contractor is responsible for paying their subs so it would be a breach of contract between flipper and his GC if it was written well. 

It sounds like a single family house where you will be living in the house(personal use).Therefore, you may not be getting the tax benefits you think you are.Consult an accountant.I am not sure why your sister would agree to this as well, she is losing $170,000 in this transaction and she faces the possibility of you increasing her rent.You also have to charge market rent or close to market rent or it is all deemed personal use.

This could be happening to you as well. 

@Dawn MurrayI recommend you seek your own attorney in this as well - typically in these situations there is very little to go around but whoever gets the first lawsuit and judgment wins.

Well said Jennifer!

You've done well with your Class A rental, generating $500/mo in cash flow, this adds up over time.

Started working on the exercise above as well this morning.

I’d love to hear your thoughts, especially if you’ve worked with midterm rentals or know the Portsmouth market well.

I have a 2-person unit with a glass top dining table and it has worked well.