I purchased a home about 5 years ago for $365,000 and today the home is worth $650,000. I'm buying another home and renting out this one. Will my depreciation be based on the purchase price or what it is worth now?

In addition, we hit Facebook heavily with marketplace and 8 or so rental specific groups in Denver.

The 30k custom granite backlit monument sign on etched italian marble announcing 'The [your name here] Group' is a great photo op for your Facebook page but it mostly it is just an irritant to your landscaping contractor.  

Budget 10% of annual rent for this but you get full service help and no late night calls about a pipe bursting. 3) List it yourself on places like Zillow, Facebook, and other real estate sites.

But would love any pointers if anyone has to find tenants other then Zillow/Facebook/Craigslist.Regards,Namal

@Darren Maloney If you are obtaining REP status, cost segregation and bonus depreciation could be a great tax savings benefit to you.

The amount you can write off phases out if your AGI is above $100K and goes to zero once you hit $150K.If you qualify as a Real Estate Professional Status (REPS) then any passive loss can offset any active income.  

Facebook is full of scammers and a waste of time.

I am going to accept my newbie status and ask a silly question.

Short-term rental loophole and REPS status are the main paths to follow!