Daily Archives: July 13, 2022

AN OVERVIEW OF WHAT DEPRECIATION IS IN COMMERCIAL REAL ESTATE INVESTING

What is Commercial Real Estate Depreciation? The term “depreciation” is used to describe the decline of an asset’s value over time. For example, cars depreciate the minute you drive one off the lot, and manufacturing equipment and computers all eventually wear out or depreciate. According to the IRS Publication 527, commercial real estate depreciates over…

THE IMPORTANCE OF COST SEGREGATION IN INVESTMENT PROPERTY IN COMMERCIAL REAL ESTATE

Many owners of income-producing real estate are unaware that they can maximize the tax savings on their investments with an IRS-approved project called a cost segregation study.   What is Cost Segregation? Cost Segregation is a strategic tax-planning tool or a tax deferral strategy that allows an owner of a building to identify assets within…