We won't know until next January but it's interesting to watch and see if promises to reduce the government are kept.There is talk of rescinding 200,000 jobs that haven't met the requirement to become permanent.

Unless you find some more fees to reduce that to $370 you will be exposed to tax on the $10k difference so just a couple thousand there.The extra $30k of depreciation will get rationed out based on the purchase prices of your two properties.

However, some investors don't mind this strategy if they prefer not to put a lot of liquid in up front and plan to refi out within a few years of closing (which seems to be a great option with the talks of the FED reducing interest rates this year).It really comes down to investing in a growing market, in a good neighborhood & building a great team to support you.

@Thelma BalCost segregation can be a great way to accelerate depreciation and reduce taxable income, but it’s most beneficial for properties over $500K or for investors with significant income to offset.

This takes a little more work, but it's the fairest and reduces the likelihood of tenants that squander utilities.If you choose #2 or #3, there are considerations:Start with an average.

Offer a personal guarantee (reduces investor risk if you have the balance sheet for a PG to be worth anything).  

I also choose QBI safe harbor to reduce audit risk.

If you choose the right company it'll drastically reduce your risk of maintenace coming up in the first 5 years and also help your yield.

Not fully versed in every nuance of buyer/seller/agent negotiations, but as a future seller I hope to reduce my commission payouts.Cheers

Smaller or less diversified areas, on the other hand, could struggle with the double hit of reduced tax income and rising costs.