Flips, there is no forgiveness and you will need to realize a loss right away.

An S Corp's losses also are passed through to its owners, subject to the same three loss hurdles applicable to partnerships.

As a practical matter if you do make such a charge and the tenant moves out at the end of the lease or before you have to consider your potential rental losses if they go.

I think the type of policies they buy can be converted to cash after a few years, with some conversion losses.

Every deal that I have lost money on I have considered that an education expense and I have learned enough to make 10x the amount of the loss in my next investment.  

Loss of granules is a sign of roof aging.  

I agree that I'd rather leave it empty for 5 months and take the loss than risk someone coming in I wouldn't normally lease to.

In fact, the most risky endeavors are typically your first.When you eventually have a property that goes south, how do you intend to repay those losses?

Specifically how is the gain or loss on the ultimate sale calculated is it ( my purchase price plus rehab cost = basis) less whatever it sells for ?

Rental Property Cash Flow Analysis 2 br 1 bath Brick       Monthly Operating Income Scenario A Scenario B Number of Units 1 Average Monthly Rent per Unit 450.00 Total Rental Income 450.00 - % Vacancy and Credit Losses 5.00% Total Vacancy Loss 22.50 - Other Monthly Income (laundry, vending, parking, etc