Welcome to Just Answers, I will do my best to Answer your Question.
They can claim the loss every year on their schedule E... but here are some questions to answer
Was anyone living in them?
did they advertise them?
or were they rehabing the property
I really don't know why they continue to pay taxes mortgage etc without a tenant.
They don't advertise
No, not rehabing
Well, it is a loss with out income
It doesn't make sense but I have three years of back taxes with no rental income shown
but there's a warning that after 5 years of taking losses, IRS will look into it
I would expense them out for each year
and if they did maint on the prop, that too
vacancies in AZ are common so most likely no red flags there
Though when they sell the properties, the losses become gains
recapping the losses... but if they need the write off then it's best to write off
I hope I have been helpful :)
Are you amending the previous years...?
I hope the best for them... but they should get people in there... if they can.
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