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Updated over 4 years ago on . Most recent reply

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John Blanton
  • Investor
  • Apex, NC
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Cost Segregation Worth It For Long Term Hold (Legacy Hold)?

John Blanton
  • Investor
  • Apex, NC
Posted

If you are planning on holding a property for a long time (multiple refi's, legacy hold, etc) 

Is it still worth it to get cost seg done on the property?

If the business plan is to hold the property over 10 years

Is it more of a personal decision around how quickly you would like to capture the depreciation to offset the income from cash flow?

Most Popular Reply

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Yonah Weiss
  • Cost Segregation Expert and Investor
  • Lakewood, NJ
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Yonah Weiss
  • Cost Segregation Expert and Investor
  • Lakewood, NJ
Replied

@John Blanton as the others said above, it depends on a lot of factors. I usually don't look at cost seg in a vacuum of each individual property, rather, as an overall business strategy. If you plan on buying just this one property and that's it for the next 10 years then, it probably doesn't make sense. But if your plan is to continue buying and scaling up from year to year, there is hardly a better way to do that, than a strategy that helps you pay little to no income tax during those years.  
But as @Greg Dickerson said, check with your accountant and cost seg expert to see if it makes sense.

  • Yonah Weiss
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