My company loaned funds to a buyer and now the buyer would like to give back the property due to special circumstances.

Entirely different insurance coverage required.You also need to inform your bank if you have a mortgage, prepare to have utilities in tennats name etc..

My CPA has instructed me that the auto expenses (at least the proportion used for rental activities), overhead such as office supplies, software, tax preparation, and other items which occur to operate the rental properties (AS A WHOLE) are expensable on Schedule E relative to the activity (e.g. based on number of units per property) by "cost accounting or cost allocation".

Maybe the house is perfect but are you prepared to handle something major if needed?

After obtaining some experience the RE investor is better prepared to invest in non local RE.

I'm seeking tax tips for depreciation on an SFR that was purchased in 2014 as our private residence then converted to rental in 2016Details:Purchased in 2014loan was refinanced in 2015  We began depreciating in 2016 tax year, the year we began renting the home as landlordstax preparer for 2016 taxes entered basis amount based on 2015 assessment, not assessment from purchase year or for the 2016 assessmentunsure if bases was set correctly and whether to carry through that same basis or pull current year assessment for this and subsequent tax yearsTurbo Tax seems to be steering me towards using the purchase year assessment for the basis for depreciation.  

That seemed too confusing to me, specially when I read the reviews of the actual turnkey in the area I was looking into (ABC properties)@Tom Ott:I am actually looking into Smartland.

I am prepared for the work as I have started my own business I am very much aware that it does take energy and effort and it will not build itself.

It is your future self's money or piggy bank money - and comes with special tax-sheltered status as a result. 

I have been out fund raising and while I was prepared to handle a primary private lender.