For rental property owners, depreciation will last until the entire cost basis has been deducted. In cases where the property owner is using the straight-line depreciation method, and the property is continually occupied, this cost basis will be exhausted in 27.5 years.
However, there are some exceptions to this standard timeline. For example, if the property is idle and not in use, the property owner will not be able to claim the depreciation deduction. And if the property is “retired,” or never used again as a rental property, the owner will miss out on possible depreciation deductions. But once the property starts to be rented again, depreciation deductions can resume, though this will extend the total timeline.