Allocating cost of land and building

[Mark Forest]

What method do you all use for depreciation purposes to separate the cost of your land and house for SFH?

[Bob Hines]

The tax assessments of my properties are broken into Land Value and Improvement value. I take the ratio of the Improvement Value to Purchase Price and use that. All rehab costs are added to this as the cost of the land was only in the original purchase.