If the option is allowed to expire without exercise: Report the $10K as ordinary income in the year of expirationIF the option is exercised:If the option is exercised, the option price is treated as part of the sale or exchange of the real property.The HUD will reflect a sales price of $247K with a credit of $10K and a net of $237K (before closing costs).The depreciation must be recaptured.

With mold you need to eliminate the food source and then repair damage and treat properly.

In situations like this, I think the best way to account for occupying a unit is to treat it as a vacancy.

How's the Atlanta market treating you?

Attempting to deceive with technically true words isn't how I treat people.

I think I have built a niche out of a segment that many treat as a commodity and that has done me quite well.

The way he treats his own family (specially his wife and his older son) is very sad and offensive.

Nicholas Quinn,Yes, the rental loss payments are treated as rental income.Any other property damage: You must file Form 4684 in regards to any property damage. http://www.irs.gov/pub/irs-pdf/f4684.pdf-Steven

Do we treat these the same as landlords?

On the other hand, if you have developed business relationships with the attorneys, you are more likely to have a deal go more smoothly, perhaps even a deal brought to you, or treated as an insider.I like @Shawn Bowen's post because it reminds us that sometimes the easiest way to get rich is to offer to help the other person.