If you plan to use the property for a month, you will likely not be able to utilize the losses since it will be deemed a personal use property.

If they didn’t have replacement cost, what should they do to capture value and get a loss writeoff?

If you have appreciation, you will create enough equity over 30 years to reset the clock on all your capex items.

Furnaces are one of the most expensive items to replace in a property.

Did you give her written permission to store personal items outside in a common area?

Additionally, they made the argument that, as a large company, if something went sideways with an investment, they would cover the losses.

LLC) will impact liability, tax deductions, and reporting requirements.Rental income is taxed as passive income, and losses—such as depreciation and property expenses—can offset rental income but may be limited if your income exceeds certain thresholds.

While losses help offset taxes, not being able to count that income towards the mortgage can hurt you when purchasing something new. 

You have $200k in equity but you’ll have a taxable LOSS after selling for $1M or even $1.05M. 

I am sure it will all work out for you in the long run.. we sold ours and made a tiny profit on each but its better than a loss right ?