cosmetic upgrades; new mechanicals What was the outcome?

The other issue to think about is mechanicals i.e. heating and cooling access and control, water heater access, and washer and dryer access. 

Emphasis in your original post, -No authority given.The other tax professionals who replied, offered varying rationales (some citing; the totality of the circumstances test, or constructive receipt, or economic performance test, transferee liability, economic benefit,etc.) and a few pros offered rationales similar to yours (“if you're renting property you're controlling that's your income to report”).

More energy efficient since the window is mainly closed, and quieter since the mechanicals are outside and separated.Hope this helps. 

I am not up on the laws in your state, but as far as I know renting out the rooms in your primary home (emphasis on primary) does not negate the Homestead Exemption.

The house was structurally sound, but the mechanicals were very dated and the property needed a minor facelift ($7K).

We drive old cars and I repair them myself (by choice) since I have been a motorcycle mechanic for over 20 years.

The house was structurally sound, but the mechanicals were very dated and the property needed a minor facelift ($7K).

All the emphasis and effort on renovations and inspections is ultimately an attempt to control the controllables enough to create a desirable home for a future resident.

If you have more available cash and other income, you might start with more emphasis on appreciation/capital preservation vs. the opposite.