Cost Segregation Company in Phoenix, Arizona

A cost segregation analysis is a strategic tax planning tool that enhances your immediate cash flow by postponing tax payments. By conducting a cost segregation study in Phoenix, you could potentially deduct up to 30-35% of your property's initial acquisition cost in the first year! 

This is possible because depreciation reflects the declining value of a building as it ages. In reality, your building consists of multiple individual elements (like lighting systems, HVAC units, etc.), each of which degrades over time. 

However, these elements are categorized differently from the entire building, which is typically depreciated over 27.5 or 39 years. Individual components are often allocated shorter depreciation periods of either five or 15 years. This accelerates the depreciation benefits, particularly in the early years. No matter if your real estate property in Phoenix is for residential or commercial use, you have the flexibility to spread out this expense over a period of 27.5 or 39 years.