In this episode of The Academy Presents: Real Estate Investing Rocks, Angel breaks down how real estate investors at every stage can level up by understanding cost segregation, especially within the short-term rental space. Joined by cost segregation expert Mark Gross of CSSI, the conversation dives deep into depreciation strategies, bonus depreciation timelines, STR classifications, CAPEX considerations, and why doing cost seg the right way can mean massive tax savings and peace of mind.

Topics Covered

• Why 90% of millionaires invest in real estate
• Who the Real Estate Investing Rocks podcast is for, from beginners to seasoned investors
• What cost segregation really is and who it benefits
• How short-term rentals are classified differently for depreciation
• The difference between 27.5-year and 39-year depreciation timelines
• Bonus depreciation and what happens as it phases out
• Why owning (not arbitraging) is required for cost segregation
• How land value impacts depreciation calculations
• Why turnkey STRs can unlock additional depreciation opportunities
• How furniture, fixtures, and furnishings factor into cost seg
• CAPEX expenditures and when additional studies make sense
• Holding period considerations and recapture risk
• Why site visits matter and the dangers of shortcut cost seg firms
• IRS audits, documentation, and defending a study
• How cost segregation fits into a long-term buy-and-hold STR strategy

Quotes

“Insurance follows the property, and depreciation follows the details.”

“Even when bonus depreciation goes away, cost segregation still creates real value.”

“Short-term rentals are treated like hotels, and that changes everything.”

“Don’t skip the site visit. That’s where the real depreciation is found.”

Connect with Angel: https://www.linkedin.com/in/angel-williams-re/

Connect with Mark: https://www.linkedin.com/in/jmarkgross/