Expert Real Estate Tax Planning and Accounting Services

Cost segregation is an IRS-approved engineering-based tax strategy that analyzes your property and reclassifies building components into shorter depreciation periods (5, 7, or 15 years) instead of the standard 27.5 or 39 years. This accelerated depreciation significantly increases your upfront tax deductions, reducing taxable income and boosting cash flow in the early years of ownership. Most clients achieve first-year savings averaging $171,243, with ROI ratios typically ranging from 10:1 to 25:1. The strategy is particularly effective for properties with a building basis of $300,000 or more, allowing you to reinvest tax savings into your next acquisition or property improvements while remaining fully IRS-compliant.

Absolutely. Lookback cost segregation studies allow you to claim missed depreciation on properties purchased, constructed, or renovated within the last 15 years—without amending prior tax returns. Using IRS Form 3115, we facilitate a change in your depreciation method, enabling you to capture all unclaimed deductions in a single year as a catch-up adjustment. The lookback study process, deliverables, and audit defense are identical to current-year studies, with pricing that's comparable or slightly higher depending on the historical analysis required. Even if you've lost original records, our team can reconstruct necessary information using industry databases and historical cost data.

Most Seneca Cost Segregation studies are completed within 2-4 weeks from the initial property inspection—significantly faster than the industry standard of 4-8 weeks. Virtual property tours, which take just 30-45 minutes via video call, can further accelerate delivery to 2-3 weeks by eliminating travel time and scheduling delays. For clients facing urgent tax deadlines or time-sensitive filing requirements, we offer expedited rush service that can deliver a complete engineered study in as little as one week, though rush premiums apply. Your dedicated account manager will provide a precise timeline based on your property's complexity and your specific needs.

Cost segregation applies to virtually all income-producing real estate with a depreciable basis of $300,000 or more (excluding land value). Qualifying property types include single-family rentals, condos, townhouses, multi-family buildings (2-4 units and 5+ units), apartment complexes, hotels and resorts, office buildings and medical offices, industrial facilities, self-storage warehouses, retail centers, restaurants, gas stations, auto dealerships, car washes, assisted living facilities, daycare centers, agricultural properties, recreation facilities, marinas, mobile home parks, and RV parks. Owner-occupied commercial properties where you conduct business also qualify. Properties under $300,000 require careful ROI analysis to ensure study fees justify the tax benefits.

Study costs vary based on property size, type, and complexity. Entry properties ($300K-$1M basis) typically cost $3,000-$12,000 with average first-year savings of $30,000-$75,000. Medium properties ($1M-$3M) cost $10,000-$20,000 with $75,000-$200,000 in savings. Large properties ($3M-$10M) cost $15,000-$30,000 with $200,000-$400,000 in savings. Very large properties ($10M+) cost $30,000-$60,000+ with savings ranging from $400,000 to several million. Multiple property discounts reduce per-property costs when bundling. We provide a free preliminary analysis and savings estimate before you commit, ensuring the ROI justifies the investment. Audit defense and CPA implementation support are included at no additional charge.

Every Seneca study includes lifetime IRS Audit Defense at no additional charge for as long as you own the property. If your cost segregation is questioned during an audit, our engineering team will defend the report, provide all supporting documentation, answer IRS field inquiries, and handle all communications on your behalf. Our studies follow strict IRS guidelines and engineering-based methodology, resulting in a very low audit risk profile. Additionally, our iron-clad AuditDefense guarantee means if an audit occurs and the study has a material issue, we may even refund the cost of your study—demonstrating our confidence in the quality and compliance of our work.

We offer both virtual and on-site property inspections based on your preference, property type, and timing needs. Virtual tours via video call are increasingly popular—they're convenient, cost-effective, and eliminate travel expenses that would otherwise increase study costs. During a 30-45 minute virtual session, you provide a guided tour while our engineers conduct real-time component identification, classification, and digital documentation. Virtual inspections typically result in faster turnaround (2-3 weeks vs. 4-6 weeks for on-site) and lower overall costs. For complex properties or client preference, our engineering teams are deployed across all 50 states and available for traditional on-site visits.

Implementation support is included with every study at no additional charge. Once your engineering report is complete, we coordinate directly with your CPA or tax professional during a 2-3 day review phase to explain the findings, answer questions, and provide formatted depreciation schedules ready for integration into your tax return. For current-year properties, we prepare the schedules for immediate use. For lookback studies, we prepare IRS Form 3115 to facilitate the depreciation method change. Our team remains available post-study to provide any additional support your tax preparer needs, ensuring seamless integration of your tax savings into federal and state filings.