I don’t really understand how the whole process works with write-off’s and depreciation?
Here is my question?
With and investment property, if I do a lot of fix-up on the property (say $10,000) and sell it will I be able to use the reciepts for some kind-of a write off when I sell it??
Yes.
Just about anything that you do to a property to get it ready to resell is either a repair or a capital improvememnt (same with your rental properties)…it all comes off of the cost basis for the house when you sell…
Depreciation is for income properties. You recapture when you sell…
Keith