Cost Segregation is Only for Large Commercial Properties

Cost segregation is simply an IRS-approved method to accelerate depreciation by identifying and reclassifying building components into shorter depreciation periods (e.g., 5, 7, or 15 years instead of the standard 27.5 or 39 years). While it’s often associated with large commercial buildings, smaller properties can also see significant tax savings.

Who Can Benefit?

• Small Business Owners: Own a retail space, office, or small warehouse? A Cost segregation study could unlock accelerated depreciation.
• Real Estate Investors: Own rental properties or apartment buildings? You could benefit from front-loaded tax deductions.
• Medical/Dental Practices: Own your clinic? Equipment, lighting, and interior finishes may qualify for shorter depreciation schedules.
• Self-Storage, Restaurants, Auto Shops, Hotels, and More: Almost any income-producing property can benefit.

The Bottom Line

Even if you own a property worth $500K to $1M (or less), a cost segregation study might still be worth it. The tax savings often far outweigh the cost of the study itself.

Would you like help determining if your property qualifies?