& different parts of the asset can be depreciated on different schedules.To find out the useful lifespan of each component, you do a cost segregation study to analyze all of the parts.The raw land can't be depreciated so you start by giving that a value first.But other items can be depreciated on a quicker timeline.A roof, road, sidewalk, fencing, walls, gates, doors, latches, flooring, air conditioners, pavers, curbing, landscaping, etc.The IRS has a depreciation schedule for each type.Some parts are 5 yrs.

Quick overview of our firm is three components.

Do you have any links on how long water softeners are expected to increase the lifespan of various components?

Quote from @Chris Seveney: @James WiseI wonder if there is a statute of limitations component to this Dunno, but it looks like they are looking for 4-5 years in prison for Whalen.

I am sure most real estate investors are not even familiar with what I am talking about, but the economy is a global economy and Multifamily investing is a tiny component too things and how immigration, inflation and other factors are handled will also have significant impacts that we just have no idea. 

That's the key component that is usually missing when I hear other entrepreneurs/investors say they don't like QBO.Something else to keep in mind is your entity structure and how your entities file tax returns.

It’s guaranteed that you will need to replace roofs, HVACs, appliances and many other components.

And it includes - NOI, Appreciation, Amortization of the loan, and depreciation writeoff.The total of these will paint the picture of how your properties are actually performing.What is interesting is that each of these components will react differently depending on where and how you place your next investment. 

When you find out the present zoning of the property, the future land use and the local agencies comprehensive plan for how they see the area being developed (all can be done at the local planning office) you will have a much better idea of what you have just bought.If the land could in any way be developed into something more than single family residential lots, i.e. if there is any multi-family or commercial component than I would advise you to hire someone qualified to help you with the site planning of the development.

Of course capex does come into play, but I have a lot of factors on my side including most major components of the property have been replaced already, including roof replaced 2 years ago, water heater replaced 3 years ago, full house was just repiped, septic system is 5 years old, HVAC system replaced in last 7 years, i do not cover appliances with warranty in my rentals, and the tenant I placed in the property is a single dude who works 60 hours a week and just needs a place to sleep.