In these tight economic times, everyone is looking to save money where they can.   If you own a commercial building with a value greater than $1,000,000 that was purchased since 1986, have you considered depreciating your asset using cost segregation?  It often leads to tax savings of over $100,000.

Cost Segregation allows you to deduct portions of your property on a 5, 7 or 15 year depreciation schedule, rather than traditional 27.5 years for apartments or 39 years for commercial buildings.  This faster schedule often leads to well over $100,000 in tax savings over the first five years of ownership, so you can receive deductions now and put your money to work for you.  Taking into account the time value of money, cost segregation can be yet another tool that helps you build your assets through real estate.

Filed under: Cash Flow, Cost Segregation, Depreciation, Save Tax