Hey Squad! Cost segregation identifies property components that qualify for shorter depreciation periods, which can bring some deductions forward. Land itself is not depreciable. Before paying for a study, here are three questions to discuss with your CPA: 1. Which components qualify, and how will their costs and classifications be documented? 2. How much of any resulting loss could you actually use this year? For STRs, average guest stay and material participation can affect the passive-activity analysis. 3. Do the expected benefits justify the study cost, and how could a future sale and depreciation recapture affect the picture? A study does not automatically let every STR owner offset W-2 income. The property’s use and your individual tax situation matter. Have you had a cost segregation study done? What do you wish you had asked before getting started? General education only. Check your situation with a qualified tax professional. IRS reading: Depreciation: https://www.irs.gov/publications/p946 Passive-activity rules: https://www.irs.gov/publications/p925 Sale and recapture: https://www.irs.gov/publications/p544