I'm not confused, but after reading extensively on this topic, having previous discussions here on bigger pockets, and discussing it will two different accountants, I'm not 100% confident of the answer.I believe the answer is that you have to pay depreciation recapture tax, currently 25%, on the portion of the gain on a sale that is attributable to the depreciation allowed on the property.

Also, you can absolutely depreciate or deduct the $15,000 and it is all attributed to the rental since the flood happened after it became a rental.Bigger issue: Here is what I have investors read on how to determine the competence or incompetence of their CPA.http://www.biggerpockets.com/blogs/2024-wealth-building-cpa?

They also don't have 1000 students because there is NO WAY a good mentor has the time to teach that many people properly.If you do not have DIRECT ACCESS to your mentor but one of his/her helpers - you don't have a mentor... you have a guru.I personally have a mentor and I can attribute a big part of my success to their teachings and guidance.

I know one investor in Calvert Country who isn't doing so well (but I would attribute that to him not being a good landlord...most aren't!)

Once your rental business in a given geographical area is up and running, you may immediately deduct expenses that are "ordinary" and "necessary" (these are specifically-defined terms) to expanding your rental business, but any costs attributable to a particular property that are incurred before the property is placed in service must be added to the cost basis of the property."

The only difference is that, when using an IRA, both borrowing scenarios will indeed kick off UBIT for your IRA on any net profits generated by the property attributable to the financing.

Too costly to invest.The stock crash experienced last few days were attributed by having a free ride too long.

Here is an excerpt of the law: “Mortgage Forgiveness Debt Relief Act of 2007 - Amends the Internal Revenue Code to exclude from gross income amounts attributable to a discharge, prior to January 1, 2010, of indebtedness incurred to acquire a principal residence.

Michael, thanks for the introduction up top :)Aside from those attributes I am also an Active Duty sailor.

The floating floor is very durable and looks great, but quiet is not one of its attributes.