You can claim depreciation on the owned property and this can offset the income from the property.

Today, that is still only Jefferson County, although Madison County is gaining on them.If you take the risk and take possession of the property, and hold possession for 3 years after the tax deed date (6 years after the auction in your case) then your "short statute" adverse possession of 3 years will defeat any heir's claims the tax sale was void.

There would be no way for you to prove that this claim WASN'T true, unless you followed a more rigid protocol and documented it. 

It can often take years to resolve and may require you to hire professional assistance (even if the cost segregation firm claims they offer audit assistance).Here are some qualifications that you should look for when hiring a firm:In-house engineers: The best firms have specialized engineers on staff, not just hired contractors.

If you would like to see the guidelines for IRS auditors regarding Cost Seg, you can find them starting on Page 24 of this document https://www.irs.gov/pub/irs-pdf/p5653.pdfI would be very surprised if you could claim unpaid labor in your Cost Seg. 

I see both sides of this debate have all had valid claims.

I intend to take pictures of every part of the house to thoroughly document the condition before we move out and send those pictures to the landlord as a proof so they cannot claim anything false after they move back in - is that a good idea?

@Austin Bright Texas is currently seeing very aggressive premium hikes due to several large insurance companies pulling out of markets and due to claims for numerous storms and natural disasters (hail, hurricanes, Houston floods, etc).

Not sure why they claim online only because these are available walk-in (for usually better prices):https://www.costco.com/purely-organic-towel-sets.product.100...https://www.costco.com/purely-indulgent-100%25-hygrocotton-t...

And you haven't rebutted anything I mentioned in the last few posts yet continue to claim this PE makes RE hands down the best.