Depreciation on Mobile Homes

[alexmorrow]

On a regular house, when you depreciate it...you'll have to pay that depreciation back when you sell the house. However, when you depreciate your car for business, you don't have to pay that back. So does that mean that you don't have to pay back the depreciation on mobile homes?

[Jim Johnson]

On a regular house, when you depreciate it...you'll have to pay that depreciation back when you sell the house. However, when you depreciate your car for business, you don't have to pay that back. So does that mean that you don't have to pay back the depreciation on mobile homes?
This question goes to how you own the home, rental or are you going to carry paper. It is complex and really something you should discuss with your accountant/CPA. Advise here is situational and we would devote 100s of posts to each the rental and lien models.
Just a whole bunch of -what ifs...

[Tim]

The short answer on personal property like automobiles and mobile homes is if you sell for more than the depreciated value, you have to recapture. It is to your advantage to recapture rather than have the profit calculated on the depreciated book value.

But, Jim is right, you need to talk to your tax preparer because each situation is fact dependent.