Since rentals #1 and #2 are now "in service", repairs are fully deductible in tax year when paid.

An investor who had a fire at their property had full insurance coverage on the loss, the policy was in force, had about $90,000.00 in damage, had a limit of insurance of 1.5 million dollars, and was a clear cut case of a covered loss that should have had a full payout less the 5k deductible.

While government is inefficient, granted, when to hire another rank in file staff member and for what was an ongoing issue.I think that 4K a month might be looked at, especially when providing housing, you need to look at that at a market rate for your expense and deduct about half and consider that as income and all of the utilities if you have seperate meters, I know many here pay thier own utilities, but some are included and include cable.You need to cover off time, maybe after hours on certain days and other aspects to see when they are actually on the job and what that pay should be.

Many other things are also deductions against the income.

My wife and I make around $120,000 and have been getting killed on taxes the last few years with an empty nest and no deductions.

I ended up devising a method that was adopted by Prudential allowing cash values to accrue and future pay premiums with tax deductable dollars at that time, something that farmers and business owners really liked.

Even if you do basic maintenance so it doesn't fall down it will be "dated" and "needs updating", cutting into the value significantly if you sell.Of even greater significance, saying you get an interest deduction is true, but its a lot like saying "my hand feels so much better when I stop hitting it with a hammer."

@Jeffrey Levy no, I don't definitively know why there is this seasoning period. 

If you somehow were able to have a tenant occupy it while the fix is ongoing, then I believe that you would be allowed to take a depreciation deduction.

The bank can pay a deductable and the title company will be looking at the insurance company.