So, for foundation, electrical, plumbing etc I would assign very little additional value over the comparable remodeled properties.

If not, that's my recommendation.Some of your improvements may qualify for depreciation in addition to your building value depending on the scenario.

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We purchase it with seller financing and we built a caretaker’s house and popped the top adding an additional story to the house.

The report makes a big deal about the neighborhood and local economy in addition to the property itself.

I could have expanded my portfolio sooner if I had recognized the potential of using financing strategically.For example, after selling my HUD foreclosure condo in Northern Virginia for $440,000, I reinvested the profits into additional properties.

Or better, buy a property that is not subject to an HOA.Also, if you are leasing for 6 months or less, you will be subject to the 6% Florida short term rental tax.You may also have city and county additional taxes, business tax receipt, and mandatory inspections for short term rental depending on the jurisdiction where your property is located.

Here’s an example of bonus depreciation.Here are some of the current trends that are highlighting the importance of a cost segregation study.Contract Logistics Expansion: Experiencing growth in contract logistic divisions leading to outsourced warehousing and distribution activities.Warehouse Technology Advancements: Integration of AI, robotics and IoT allows for operational efficiencies including reduced labor costs and improved safety.Warehouse Automation Growth: Significant growth signals a need for efficiencies and the adoption of new technology.Warehouse Space Expansion: There are ongoing developments in the warehouse space to help support the growing demand for infrastructure and warehouse space.Robotics and AI investments: There is a demand for faster throughput and immediate fulfillment which is causing investors to invest more into AI and robotics.Cost segregation becomes an even more critical tax strategy as there is an increase in investments in automation and technology as it frees up cash by creating additional tax savings.Some of the financial benefits that a warehouse investor can expect from a cost segregation study include:An increase in cash flow for automationImmediate tax savingsEnhanced warehouse property valueImproved warehouse ROI by reducing tax liabilities and increasing cash flow.There are many items that can be reclassified for accelerated depreciation through the use of a cost segregation study.

My thinking is that I can’t sell it now for its full value, given that it’s going to be in the middle of a construction site for most of the next year.

This appreciation allows you to build equity, which you can later tap into by selling the property or refinancing to buy additional assets.Real estate also offers significant tax advantages.