If you took more depreciation than you should have, then the excess will be taxed as ordinary income at your marginal bracket rate.  

If you are one of few rentals on the street, assure them that you plan on making sure the house and neighborhood are going to be treated well and you will have strict policies on excessive noise and parking.Invite the neighbors over as you are working on setting up your new place so they can see what the inside looks like and get to know what the status quo of the property should be so they will know when something isn’t right!

Permits keep your city/county’s pockets fat, so that they can sit around a table and come up with more ways to swindle you out of your money.

The excess wood in the kitchen is probably try to remove or replace.

Then set up an umbrella policy aka "excess liability" above and beyond your primary coverage.Now if this makes it feel any better - you probably saved $200 a year with the set up you currently have so add that up times the number of years you have owned the property and  you may be break even after settling up with the neighbor.

Hello All, I have been doing some reading up on how to use 'excessive losses due to depreciation' and of course came across the Real Estate Professional Designation for tax purposes.

They are doing excessive amounts of construction to accommodate the increasing population. (2-3% per year) It is also 15 minutes from Fernandina Beach, which is a cleaner beach then the Jax and Atlantic Beaches.

Once you hit a certain number of properties that is probably excessive, but there is a nice security in always having a healthy buffer against potential problems.

@Ellis San Jose ,I agree, that is why those dividends that are in excess are used to offset the income.

Anyway, that sort of stuff aside, the details of my expenses are as follows:Repairs & Maintenance - $1787.27Tenant Sourcing Fee - $0 (however, there are $5085 worth of debits / credits in this group, as described above)Insurance - $1660Mortgage Payments - $14,456.70Landscaping Services - $1440Utilities - Electric - $928.04Utilities - Gas - $1133.64Property Management Fees - $2885.52Utilities - Water - 568.28Unless I fat fingered something, those should add up to the $24,859 expense total, resulting in $13,009.55 in net income.