07/20/2026
"Not Yet," May Be Strategy
Sometimes the smartest cost segregation decision is not “yes.”
Sometimes it is “not yet.”
And sometimes it is, “Only if the rest of the tax architecture is ready.”
Part 3 of our cost segregation series looks at a situation real estate investors do not hear enough about: when the study is not the problem, but the strategy around the study is missing.
A polished proposal can make accelerated depreciation look like an obvious win. But experienced investors know that numbers on a projection are not the same thing as usable benefit.
If the property has already been held for years, if passive activity loss limits apply, if the exit plan is near, or if the documentation support is thin, the study may create more noise than value.
Tax tools are abundant. Tax strategy is rarer.