The first is that there's no consensus between tax professionals, and the second is that you will not like my personal interpretation.My interpretation is:Until the property is "placed in service" - everything goes into basis.Illustration.You buy a property July 1st.You finish rehab November 1st and put the property on the market.Your tenant moves in January 15th.The property was placed in service November 1st, and it does not matter that the tenant did not move in until the next year.Everything paid between July 1st and November 1st, including interest and utilities, goes into basis.

(G) Acceptable forms of payment of Rent (including Additional Rent) are ___ personal check, ___ cashier’s check, ___ bank check, ___ money order, and ___ the following online/ACH payment methods ____________________.

However I would say those lenders would be more willing than a bank to write the mortgage, and after completion you can refinance it.Overall, its probably easier and better use of your time to just find another house that doesn't require the construction and where the numbers make sense.

If you do decide to do mailer(s), then I would advise you to personalize the card and do a handwritten note. 

I haven't personally dealt with any crazy insurance premiums such as the ones people have been advertising in like Tampa, FL.

They do require that person to have no assets, so a house in her name could be problematic.

I found a bank who would work with me and the SBA and the deal happened; I got the loan. 

This is our boilerplate language:Insurance: Tenant should obtain a renters’ policy of insurance on their personal property.

I would personally put them in notice just because they never tried to communicate it on the back end of fixing it.

But I don't know your personal situation and all the financial details.