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§01For Property Investors

Pull decades of depreciation into year one.

Cost segregation reclassifies 20–30% of your property basis into 5, 7, and 15-year recovery classes.

Estimate my savingsSee case studies
Free feasibilityFlat feeAudit support
§02Why it matters

Same property. Same basis. Very different first year.

WITHOUT COST SEG
27.5-yr straight-line
Year 1 deduction
$667k
YR 1
WITH COST SEG
5 / 7 / 15 / 27.5-yr · accelerated
Year 1 deduction
$3.09M+364%
YR 1
THE TAKEAWAY
Same total deduction. Pulled forward. The time value of $2.4M of cash flow is yours to redeploy — into the next acquisition, capex, or debt paydown.
Run my numbers
Avg study turnaround21 days
Avg basis reclassified20–30%
Engagement modelFlat fee
Audit supportIncluded
On-staff experience70 yrs combined
Avg study turnaround21 days
Avg basis reclassified20–30%
Engagement modelFlat fee
Audit supportIncluded
On-staff experience70 yrs combined
Avg study turnaround21 days
Avg basis reclassified20–30%
Engagement modelFlat fee
Audit supportIncluded
On-staff experience70 yrs combined
§03Estimator

See your numbers
in 30 seconds.

A rough number, in seconds. Update the inputs to see the range adjust live.

Estimate your cost seg savings

A rough number, in seconds. Update inputs to see the range adjust live.

$
We'll estimate land at $100,000 (~20%)
Enter a purchase price and pick a property type to see your estimate.
What happens when you continue
  1. Submit your property details (~3 min)
  2. Our team reviews fit within 24 hours
  3. If we're a fit, you'll get a fixed-fee proposal

We'll only use your email to send your proposal. No spam.

§04Qualification

Does your property qualify?

Cost segregation works hardest on properties with significant depreciable components. If most of these match your situation, you’re a strong candidate.

YOU’RE A STRONG CANDIDATE IF
Acquired or constructed for $300K+
Placed in service in last 15 years
Held in a tax-paying entity
Commercial, multifamily, hotel, industrial, retail
Substantial renovation or capex in recent years
Short-term rentals (STRs)
ALREADY OWN IT FOR YEARS?
LOOKBACK STUDY
You can still catch up.
Already filed prior years? Lookback studies recover missed depreciation via Form 3115.
No amended return required.
One catch-up deduction in the current tax year.
§05Using the deduction

Can you actually use it?

Cost segregation generates a sizable non-cash deduction. Whether you can use it against your other income depends on how the IRS classifies your real estate activity. There are four main paths — most investors fit at least one.

PATH 01

Passive offsets passive.

The depreciation deduction automatically offsets income from your other rentals — and gains from property sales in the same tax year. Unused losses carry forward indefinitely and free up the year you sell.

Default treatment.
PATH 02

Real Estate Professional status.

If you (or your spouse) materially participate in real estate 750+ hours a year and more than in any other trade, your rental losses become active — offsetting W-2 wages, business income, and more.

Often the biggest unlock for full-time investors.
PATH 03

Short-term rental loophole.

Properties with an average stay under 7 days aren't rentals under §469 — they're trades. Material participation alone makes the loss active. No REP status required.

Works on a single STR alongside a W-2 job.
PATH 04

Owner-operator self-rental.

When you own the property your own business operates out of, a grouping election under Reg. 1.469-4 lets the rental loss offset the active business income from the same activity — common for medical, dental, and trade practices.

Built around your operating entity.
NOT SURE WHICH PATH YOU’RE ON?
Talk through your situation with a cost segregation specialist before you commit.
Speak with a specialist
§06Property types

Built for every asset class.

Reclassification rates vary by type. Here’s what we typically see across the portfolio — your property’s actual numbers come back in your free feasibility.

Multifamily

20–32%

Apartments, townhomes, condos. Strong reclassification on finishes, HVAC, and site improvements.

Hospitality & STR

20–40%

Hotels, short-term rentals, resorts. Highest reclassification rates in the portfolio.

Office & medical

22–28%

Office buildings, medical office, dental, surgical centers. Strong specialty electrical & finishes.

Industrial & logistics

15–22%

Warehouses, distribution, manufacturing. Site improvements and specialty equipment drive savings.

Retail

20–30%

Shopping centers, single-tenant retail, restaurants. Tenant build-outs reclassify well.

Healthcare

22–28%

Hospitals, ambulatory, senior living. Specialty equipment and medical gas systems.

§07Case study

$18.4M multifamily acquisition.
$1.14M tax saved in year one.

STUDY TYPE
Acquisition
PIS 03/14/2026
TURNAROUND
21 days
address → delivered
CLASSIFICATION BREAKDOWN
5-yr · personal property19% · $3.49M
7-yr · agricultural2% · $0.37M
15-yr · land improvements9% · $1.65M
27.5-yr · structural70% · $12.88M
OUTCOME
YR-1 DEDUCTION
$3,094,800
FED TAX SAVED
$1,145,076
STUDY FEE
$6,500
YR-1 ROI
175×

“We redeployed the year-one tax savings into the next acquisition. Segtax’s flat fee turned cost seg into a no-brainer line item.”

— D. BROMLEY · MANAGING PARTNER
MORE CASE STUDIES
See how cost seg performs across property types and deal sizes.
See all case studies →
§08FAQ

Questions investors ask first.

Cost segregation is an IRS-recognized methodology with decades of case law and an official audit guide. A properly executed engineering-based study isn't aggressive — it's the correct way to depreciate a property. We follow the IRS audit guide closely and stand behind every study.

Ready when you are

Send us an address.
We’ll send back a number.

Free feasibility within 24 hours. Three-week turnaround. Flat fee, no surprises.

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