<p>Just because you are using the fridge in a rental property doesn’t mean it is no longer personal property, it just means you can depreciate it. Well, maybe that depends on if you use an LLC or trust or whatever to hold the ownership. I don’t.</p>
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Replacing a fridge with a new one that costs $500 does not magically increase the value of the entire building by $500. It is not a zero-sum game. In fact, I don’t really think it changes the value at all, unless maybe there was no fridge there before.</p>
<p>I can’t even count how many mortgages and refi’s I’ve been through, each with their own appraisal, and never once has the condition of the appliances been a specifically-identified factor in adjusting the value. You are talking a fraction of one percent of the total value. It is not possible to be that accurate on an appraisal.</p>
<p>So, in my opinion, if you spend $500 in cash on a new fridge, it lowers your countable assets for FA purposes by $500. But if you want to add the $500 to the value of the rental, feel free. I wouldn’t.</p>