RE Cost Seg
RE Cost Seg specializes in cost segregation studies that help investment property owners accelerate depreciation, reduce tax burdens, and improve cash flow.
Product Feature Introduction
RE Cost Seg
Specialized Cost Segregation Services
Assisting real estate owners in reducing taxes and significantly increasing cash flow through expert cost segregation.
Services and Benefits
Tax Savings & Cash Flow
By identifying faster-depreciating assets and reclassifying them into IRS-approved categories, we reduce taxable income. This results in lower tax payments, increasing your cash flow and allowing more money for future investments.
Increased Profitability
Our services help maximize the value of your real estate investments and enhance profitability through strategic tax planning and asset reclassification.
Quality Assurance
Studies are conducted by experienced engineering experts using the Replacement Cost New Less Depreciation methodology. We offer audit support at no extra charge, standing by the conclusions of our studies.
Accountant Collaboration
We work with your accountants to simplify the process. After the study, we provide an Excel copy of the fixed-asset schedule to ease your accountant's work and ensure smooth implementation.
Service Process
Request a Free Proposal
Provide basic property details, and we'll create a custom proposal with estimated tax savings. Additional information may be requested if needed.
Confirm Property Details
After you sign, we collect supporting documentation. If there is no appraisal, our team can still evaluate the property using available documents.
Schedule Virtual Site Visit
For the Fully Engineered service, we schedule a virtual site visit and provide preparation information. The Rapid Reports option does not require a site visit.
Unlock Tax Savings
Our expert engineers evaluate property details and create a custom report. A final PDF report and the fixed-asset schedule are provided to you and your accountant.
Property Types Serviced
Short-term Rentals
Warehouses
Self-Storage
Hotels
Apartment Complexes
Restaurants
Shopping Centers
Nursing Homes
Gas Stations
Ranch & Agricultural
Office Buildings
Industrial Manufacturing
Customer Testimonials
"The process was incredibly simple and fast. They handled everything professionally and we've seen significant tax savings as a result."
John D.
Property Investor
"The communication was great throughout the entire process. Their customer service was excellent, and the tax savings exceeded my expectations."
Sarah M.
Real Estate Developer
"RE Cost Seg's accuracy and attention to detail were impressive. My accountant was pleased with how easy it was to implement their recommendations."
Robert L.
Commercial Property Owner
Frequently Asked Questions
Timing of Cost Segregation
A cost segregation study can be done at any time, but it is most beneficial within the tax year of property purchase or construction completion. It can be done for a property placed in service in 2023 and studied in 2024 as long as the report is submitted before tax filing.
Offsetting W2 Taxes
Generally, unless a taxpayer is a real-estate professional, losses from cost segregation cannot offset W2 income. However, for short-term rentals with active management, there may be an opportunity, and it is advisable to consult a tax professional.
Selling Property
If selling a property in a taxable transaction, a cost segregation study may not be beneficial due to depreciation recapture. But in a like-kind exchange, there are no recapture issues until the replacement property is sold. It is generally recommended to hold a property for 3-5 years.
Look-back Studies
Look-back studies can be done on assets acquired since 1987, and write-offs can be claimed using the 3115 Automatic Change without amending prior-year tax returns, though there are diminishing returns over time.
Service Costs
The self-directed Rapid Report for smaller residential properties (up to 4 units) costs $950. Fees for the Fully Engineered Study vary based on square footage, property type, and complexity. A free proposal can be requested for specific pricing.
Eligible Properties
Any income-producing property placed into service after 1986 is eligible for cost segregation.
