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Updated about 8 years ago,

User Stats

88
Posts
49
Votes
Jonathan McKay
  • Investor
  • Spokane WA
49
Votes |
88
Posts

Under Contract for a 12-plex, should I cost segregate?

Jonathan McKay
  • Investor
  • Spokane WA
Posted

I've just come under contract for a 12-unit apartment in Spokane, WA that was built in the 70's and remodeled in 2014. Purchase price was $720,000, and I intend to hold on to the property for >5 years. It is not part of a 1031 exchange. 

Since I am about to purchase the property, I am wondering: does it make sense to do an engineering study for cost segregation? 

The components of  this question then become: What sort of tax benefits would I expect to see from cost segregation? ($1000/yr? $10000/yr? more?) 

How much would I expect the cost segregation study to cost? 

Thank you in advance for the help!

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