These expenditures are capitalized, meaning they are added to the property's basis and depreciated over time.Examples of Capital ExpendituresBuilding Additions: Adding a new room, deck, or other structural improvements.Major Renovations: Remodeling a kitchen or bathroom, replacing the roof, or significant electrical and plumbing upgrades.Appliance Replacement: Installing new HVAC systems, water heaters, or other major appliances.Structural Repairs: Replacing the foundation or significant repairs to the building’s structure.Labor CostsLabor Costs: The costs paid to contractors, electricians, plumbers, carpenters, and other professionals involved in the renovation are part of capital expenditures.Example of Capital Expenditures with LaborSuppose you renovate a rental property, including a new kitchen and bathroom.Materials: $15,000Labor Costs: $10,000Total Capital Expenditure: $25,000This $25,000 would be capitalized and added to the property's basis.

The apartment definitely needs work - mold/mildew smell in bathroom, old kitchen appliances, old water heater, zero closet space, minor flooding in the basement, etc.

Case in point, I recently had a water heater go out, one of these pricier tankless systems that was on its last leg after about 10 years.

Are you changing layout and have to move drain lines, gas lines, water lines to new locations?

We also had an iron tub in the front yard that my mom would fill with water and put black plastic over to help warm the water, then a little hot water from the wood stove, and we would take turns bathing in the great outdoors.Rough stuff, but I don't recall ever being unhappy at that time.

As you all know, getting a phone call in the middle of the night from a tenant with no heat or water leaking is a nightmare most do not want.  

I've only seen loss of rental income pay out after a covered cause of loss (fire, water damage, sewer backup, etc.) triggered a loss in rental income for the investor.  

DM me reason for cancellation ( is it just State Farm or Farmers with their wacky Moen water valve cancelling you because they can?)

A Comprehensive Guide to Homebuying, it's essential to be thorough and methodical to ensure you're making an informed decision but draw boundaries, it's okay to open built-in closets and kitchen cabinets to assess the property, However, respect the seller's privacy by not invading their personal space, such as medicine cabinets, storage boxes, or clothing drawers,Interior:Architectural style.Bedroom and bathroom count, size, and location.Closet and storage space.Number of floors.Sightlines and general floorplan.Appliance age and condition.Light switches and socket count.Plumbing and water pressure.Natural light and views.Noise levels.Stairway width and type.Porches and decks.Garage and parking capacity.Proximity to neighboring homes.Remodeling opportunities.Exterior:Roof and siding condition.Landscaping and outdoor maintenance needs.Additional Considerations:Take notes and photos during the tour.Use your five senses to assess the home's condition.Ask your real estate agent questions about the home's features, flaws, and market conditions.Red Flags:Overly scented rooms.Water stains and damage.Lack of maintenance.Foundation issues.Sagging ceiling.Fresh paint that may be covering up issues.Final Tips:Be prepared to make multiple offers before finding the right home at the right price.Stick to your budget when making an offer.Don't overlook potential red flags just because you love a home.

During the Great Recession I found my two-story house which I had purchased from HUD for 72K was suddenly under water.