#457: Demystifying Depreciation: How Cost Segregation Can Save You Money

When it comes to real estate investing, finding ways to save money so you have more to invest can be a game changer.  One advanced method is frontloading depreciation by conducting a cost segregation study.  Because properties automatically depreciate over 27.5 years for a residential property and 39 years for commercial, frontloading the depreciation leads to substantial tax savings in the first year.  We want to help you understand how real estate investors can harness the power of this concept and save a significant amount in taxes. So, we brought in Bonnie Griffin Kaake of Cost Segregation Services, Inc.  Bonnie is an expert in cost segregation and has been helping homeowners find creative ways to maximize these tax benefits for years. Because cost segregation is a complex topic with a lot of nuances, you don’t need to worry about understanding every detail.  The key is to recognize that this is a powerful method for getting leverage, which is crucial to building wealth through real estate.  Check out the podcast to learn more, and find out if a cost segregation study can benefit you. Watch the Podcast https://youtu.be/1P9L6lUlxWk In This Podcast We Covered What depreciation is, and how it’s calculated differently for commercial vs residential properties. Cost segregation studies have become significantly cheaper over the years. This allows smaller investors to take advantage of this tax-saving tool. How Bonnie helps both residential and commercial property owners take advantage of cost segregation. Why your tax bracket will affect how much you save through cost segregation. Why it’s important to use an engineer-based study if you ever get audited by the IRS. Surprising items that can be depreciated upfront! Property analyses that show how cost segregation benefits all types of property owners. Links from the Podcast How the Rich Minimize Taxes: Building Wealth with Cost Segregation Connect with Bonnie: Email: [email protected]    Cellphone: 303-475-4459 Office: 720-504-5776 Chris’s Instagram Chris’s BiggerPockets Profile Chris’s LinkedIn