Question

how do i depreciate a property that has both residential and commercial on it?

Forum|Forum|1 year ago
March 3, 2025
1 reply
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I do not see a way to split the depreciation schedules under the same property. Is it possible to do?

No, you cannot split the depreciation. It will either be residential or commercial. The determining factor is that if 80% of the total building rents are for Residential Dwelling Units, then the entire building and improvements are deprecated over 27.5 years. If it does not meet the 80% test, the entire building and improvements are depreciated over 39 years.

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