How to Compute 'Mid-month' Convention for Depreciation Allowance

One of the biggest tax deduction benefits associated with real estate investing is depreciation (also known as cost recovery). In the acquisition or sale year of the property, however, the IRS applies what is called the 'mid-month' convention which affects the amount of depreciation allowance investors can write off for that year.

In this short video (4:41 min) I attempt to explain it