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If you convert the condo to personal use it will reduce the amount of rental loss to be claimed since you will need to prorate the personal use time/rental time. Deductions such as mortgage interest and property taxes will still be able to be claimed on Schedule A of form 1040 but all other items, including depreciation, will only be deductible for the rental period. Additionally, if you use the property for a significant portion of the year (6 months or more) you will need to file CA as a resident rather than the WA resident/CA non resident treatment you now enjoy.If your income passes the passive activity limits (for deductibility of rental losses) any losses which are incurred will be recorded as suspended losses for use when there is either a rental profit or the property is sold. However, the depreciation for the personal use period will not be included in this.