@Jordan Northrup, Sorry to say but securities are specifically exempted from 1031 treatment.  

Looking for different ideas for durable window treatments for privacy for rental properties?

If you are thinking rehab and resell, then documenting every step, showing you waited for all the framing to get dry enough to re-drywall and perhaps getting pro mold treatment with a warrenty would help mitigate flood value loss.

If your CPA or cost segregation firm are doing that for these interior rehab items, that is a poor tax treatment.  

@Toni Annis banker is partially correct regarding the 1031 portion of things.To qualify for 1031 treatment the tax payer for the old property needs to be the same tax payer for the new property.  

An LLC owned by husband-and-wife is given the same joint tax treatment as your joint return would.

This way the IRS can't challenge your valuation by asserting the other party has treated the transaction inconsistently with your treatment.

We have had FOUR pest control treatments and it appears we are near the end of the infestation and after a FIFTH treatment and inspection on November 3rd, we may be able to move into the dining room and kitchen like normal people. 

This section prescribes rules for tracing debt proceeds to specific expenditures.Treas Reg §1.163-8T(a)(4)Treatment of interest expense(i)General ruleExcept as otherwise provided in paragraph (m) of this section (relating to limitations on interest expense other than the passive loss and nonbusiness interest limitations), interest expense allocated under the rules of this section is treated in the following manner:(A) Interest expense allocated to a trade or business expenditure (as defined in paragraph (b)(7) of this section) is taken into account under section 163(h)(2)(A);(B) Interest expense allocated to a passive activity expenditure (as defined in paragraph (b)(4) of this section) or a former passive activity expenditure (as defined in paragraph (b)(2) of this section) is taken into account for purposes of section 469 in determining the income or loss from the activity to which such expenditure relates;(C) Interest expense allocated to an investment expenditure (as defined in paragraph (b)(3) of this section) is treated for purposes of section 163(d) as investment interest;(D) Interest expense allocated to a personal expenditure (as defined in paragraph (b)(5) of this section) is treated for purposes of section 163(h) as personal interest; and(E) Interest expense allocated to a portfolio expenditure (as defined in paragraph (b)(6) of this section) is treated for purposes of section 469(e)(2)(B)(ii) as interest expense described in section 469(e)(1)(A)(i)(III).Treas Reg §1.163-8T(c)(4)Allocation of debt; proceeds deposited in borrower's account(i)Treatment of depositFor purposes of this section, a deposit of debt proceeds in an account is treated as an investment expenditure, and amounts held in an account (whether or not interest bearing) are treated as property held for investment.

As a buyer, I'd almost always prefer the "touch up" or "just replace the plumbing with pex" treatment, especially if it's a pre-war home.My renters (single guys) care way more about things like the height of the shower head and how loud the ceiling fan is than what anything looks like.