I would appreciate any clarifications.
I bought 2 homes in a different state, planning to rent for a profit, I also hired the agent to manage and put them out for rent for months but could not rent, so I sold them before the year end. My questions:
1) Should I treat them as vacation home or rental home ( even though I did not rent for a day )? The homes are empty all the time. 2) What are the major differences between vacation/rental homes in terms of tax deductions ? 3) Can I deduct property tax, mortage, purchasing/selling fees, insurance premium, fix-ups, utilities ? Is there a limit on the deductions ? 4) Which Schedule/Forms should I use ? 5) Do I claims each house separately or can combine the numbers together ? Thanks much!