Utility costs after flip placed on market

General Real Estate Investing
1

From what I understand, utility costs associated with a flip can be considered a general expense after the property is placed for sale (rehab complete). Does anyone know if this is accurate?

I have been capitalizing all costs to the property itself, but would like to create more deductions. If these utility costs can be expensed after rehab completion, does anyone know of any other post rehab costs that could be considered and expense and not capitalized to the prop???

Thanks

2

yes

however, I would not add it to the cost of the property at all. it never becomes a “component” of the property, and doing so means you can’t deduct it until the property sells. utilities are a holding cost deductible in the year paid.