[jgc555]

I own a condo that I used to live in but I no longer work in that city. I have been trying to rent it for almost a year but have not found a renter yet. Can I consider the condo as rental property and claim the expenses of owning it on my taxes, even though I do not have any rental income yet? Also, I am going to list the property for sale or rent. If I sell it, would I be able to deduct the capital loss (most likely) against my regular income? I do not have any other passive income. Thank you very much.

[AtlantaTaxExpert]

Yes, you can claim those expenses if you have been making a good faith effort to rent the property.

Good faith effort includes actively advertising and showing the property, and being able to PRROF that activity.

If you sell the property for a loss, it is most likely NOT going to be deductible as a loss.

[slb123]

I would really think twice about doing this for what $ savings in tax $200 maybe. You will need to bring the personal condo into busiess property, start depreciation and become a landlord. Or sell it and if gain for the personal property condo profits under $250,000.00 per individual (x2 if married) keep it and pay no tax. Or again sell converted to business property condo and pay capital gains and sorry y ou missed the low low capital gains tax rates. Don't complicate your life for a few tax dollar savings that actually could cost more once the "i wanted be a landlord when i grow up" issue came to be. I think you have more precious things to do with your life then pushing yourself for tax savings. I prepare taxes and I believe simply for taxpayer, preparer and government would be so much easier and beneficial financially. Simplfy and enjoy!