Quote from @Jorge Magana: Nathan good afternoon; I'm about to do my first cost seg study for a new construction project we recently finished; would you recommend REcostseg?

Consider the family who’ll eventually live there..maybe they’ll appreciate a second-floor deck accessible from a common hallway, where everyone can enjoy it, rather than limiting it to a single bedroom.

That’s the very simplified version but raising capital is always your biggest limiting factor so the more investors you can connect with the better. 

I was surprised to learn that even they, with all of their resources,  maintain a limited rolodex of GC's to whom they turn for repair work.

Generally, the properties that benefit the most from a cost segregation study are properties that are remodeled, expanded, purchased or constructed after 1987, the year in which the Investment Tax Credit was enacted.

If you don't want the headache of management that is fine but will limit your options. 

They are good for comparison of different assets and limited in telling you when, where, or how to invest.

Some investors like having each property in its own LLC to limit risk, like if something happens with one property, it doesn’t affect the others.That said, managing multiple LLCs can be a hassle and add costs, especially with only a few doors.

Personally I’d do a 1031 to save $40k, I’d skip the LLC, increase the limit on my umbrella, and call it a day.

Tough environment to focus on studies.