That being said, the ability to use depreciation from a cost seg study to offset W-2 income hinges on either you or your spouse qualifying as a real estate professional (REPS), which you mentioned.

But the B class duplex properties in my area (Springfield MO) are priced so they don't cash flow before they're paid off. in other words I have to cover $300-600/month for about 5 years (on a $250K+ properties).The reason I can pay off in 5 years is I have ability to pay large amounts against principal every month (from my regular job income), but I only have 82K for a down payment.Once it's paid off, the property would produce almost 1000$ net cash flow.Are these good numbers or do I need to do things differently?

I graduated from Minnesota state Mankato with a bachelors degree in information technology.

That means more of your cash stays in your business, not the IRS’s pocket.For many buyers in this market the ability to offset income and reinvest tax savings is a major advantage — and it strengthens your underwriting.Since STRs have strong appeal (friends & family groups, weekend escapes, high-end amenities) the sooner you position it as a business, the better your financial outcome.Your Step-By-Step Playbook for Cost SegregationHere’s a practical checklist to make cost segregation work for you in an STR:Buy/underwrite with tax strategy in mind: When you evaluate a property, include cost segregation as part of your operating model (not just nightly rate and occupancy).Engage a cost segregation specialist: You’ll want a qualified provider who understands STRs (they’ll allocate assets into proper shorter lives, document everything).Structure operations for “business” treatment: Track participation (guest communication, property maintenance, marketing) to lean into non-passive income treatment.Conduct the study early: Ideally in the year you take service (purchase or major renovation) so you front‐load benefits.Keep detailed records: Invoices, improvement costs, design/furnishing upgrades, hours spent managing.

Considering student loan interest and lost potential income, investing in a bachelor’s degree can ultimately cost in excess of $500,000."

I’ve been digging into it lately as my Real Estate Team I am partnered with has multiple multifamily projects for MLI Select — the ability to access higher LTV ratios (up to 95%), amortizations up to 50 years, and better debt coverage flexibility sounds like a serious game-changer for investors focused on affordability, energy efficiency, or accessibility.Curious to hear —Have you or your clients gone through the MLI Select process?

But I can say 100% this attorney has sent me a bill and has refused to answer my question which was me asking if the process was completed.

If there are young men with the ability to drive around all day, find run down properties, speak with the home owner and negotiate a property getting it under contract and getting that contract to me - than I am more than happy to pay their commission so they can spend 8 hours a day building a portfolio for my and other investors review. 

Did you see a noticeable return through higher occupancy, better reviews, or the ability to charge a premium?

They just want to ensure you can make the payments.Your DCR should measure financial resilience — the property’s ability to pay everything and still leave you with a profit.Savvy investors underwrite for a minimum 1.25–1.30 real-world DCR after including all the expenses above.