However, if you plan to do cost segregation because of your REPS status, the deprecation recaptures from bonus dep cannot be deferred with 1031.

I usually receive a large bonus from work in late June so July 2025 is my target date to buy my first piece of property, although I realize opportunities may arise before then. 

If not, you can capitalize this and take a bonus or section 179 deductions.

In this case, the reclassification resulted in a significant first-year deduction under applicable bonus depreciation rates.

- should i use bonus depreciation every year?

@Alagi Faye Your STR property in West Africa can qualify for U.S. tax benefits, including depreciation (over 40 years- but not bonus depreciation that comes with cost seg) and expense deductions.

The study identifies with forensic engineering detail the immediate Bonus Depreciation 5, 7 and 15-year personal property class lives qualifying portions of a building that are normally buried in 27.5 year residential or 39 year commercial categories.

You can find great 2-4 unit buildings at reasonable prices (compared to New York City), and many of them need to be fixed up, which is an added bonus of equity if you are willing to tackle a renovation.I'd suggest somewhere along the blue line (train) in the northwest part of the city, where you can find some priceless neighborhood vibes.Plus, the real estate community is unmatchable...tons of people willing to give you a hand up.

Bonus Tip: take extra care to get 5 star reviews on your early stays.

K1's were distributed with the cost segregation and 100% bonus depreciation allowed in 2022 which helped offset other taxes, so that was nice.