Cost Segregation Sudy - Free Estimate

[Dan Ikon]

I have an investor who wants to go big on STR property acquisition to take advantage of STR loophole. Naturally he is up to a cost segregation study, but this thing is new to him. Before committing, he wants to have an estimate (free) on how much he can actually deduct with a bonus depreciation. Online search gives a lot companies that provide with such service, but can anyone who actually done it recommend some particulars? Preferably in Miami - Florida. TYIA

[Ashish Acharya]

Hey Dan, a good way to get a rough number of what taxable income you could potentially reduce is generally about 22% of the purchase price of your overall property assuming it is an STR (rented 7 days or less) and you materially participate.

The actual tax savings will depend on several factors like your total income, tax bracket, filing status (married filing jointly vs. single), etc. So the dollar impact varies a lot from person to person.

What you really want is a CPA who specializes in real estate, not just someone familiar with it, but someone who actively works with investors on STR strategy. There are a lot of good ones on here replying to threads like this one. The planning behind this and implementation here really matter, and a lot of these CPAs can actually help nationwide. I'd interview a few and see who you hit it off with.

Good luck and happy to connect!