Question

For "Tell Us About This Rental Asset" there is a "Cost" item and "Cost of Land". Should the "Cost" item be the total I paid minus the "Cost of Land" or the Cost w/ Land?

Forum|Forum|5 years ago
February 21, 2021
1 reply
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Example: The purchase price of the home was $287K, and the Land value is $56K. For "Cost:" do I put the $287K or $222K ($287K - $56K = $222K)?

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DMarkM1

When you originally enter the rental property the "Cost" is the total purchase price and includes the land. You will also have the opportunity to add expenses for the for purchase into your cost basis in the interview.

Later you will enter the value of land as an item and the value of the structures (improvements) on the property (the residence). This information is normally on an appraisal or the property tax assessment.

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