Is there a first-year deduction sitting in your building? We find out.

Welcome to Basis Property Group. Commercial and short-term rental property depreciates over thirty-nine years by default. A study moves finishes, fixtures, and site work onto 5, 7, and 15-year lives. We map your building, estimate the depreciation that can be pulled into the current year, and our licensed engineering team delivers the study. You begin with a free, property-specific estimate, built from your building's own data.

Our Process

1. We analyze your property. We pull your building from county and engineering data and model the components inside your basis: the finishes, fixtures, site work, and equipment that should not be depreciating over thirty-nine years.
2. You review your free estimate. You receive a property-specific Preliminary Benefit Estimate with your number on it. If the benefit clears the bar, you approve. If it does not, we tell you plainly and you owe nothing.
3. Engineers deliver the study. Our licensed engineering team produces the IRS-aligned study. You and your accountant file it, and the first-year deduction is taken on that return.

Why Now IMPORTANT

The One Big Beautiful Bill Act, signed July 2025, permanently restored 100% bonus depreciation for qualifying property placed in service after January 19, 2025. The scheduled phase-down has been eliminated, and 100% bonus depreciation applies to the 5, 7, and 15-year components a study identifies.

Owners who purchased or built within the preceding several years may also claim previously unrecognized depreciation through a Form 3115 change in accounting method – without amending prior returns. Read the full breakdown »

Our Methodology

• Engineering-based component study. Building components are identified, quantified, and reclassified into their correct depreciation lives, as the IRS expects.
• Aligned to current IRS guidance. Prepared to the Audit Techniques Guide framework and current bonus-depreciation rules under Section 168(k).
• Form 3115 and 481(a) look-back. Property acquired in prior years is handled through a change in accounting method on Form 3115. The missed depreciation is taken as a 481(a) adjustment in the current year, with no amended returns.
• Audit support included. The engineering methodology and asset classifications are documented and defended should a question arise.

See our full methodology »

Sample Preliminary Benefit Estimate

Approximately 28% of building basis, removed from the 39-year schedule and deductible in the current year under 100% bonus depreciation.

Frequently Asked Questions

What is cost segregation?

It is an engineering-based study that separates a building into its components and assigns each its correct depreciation life. Rather than writing the entire building off over thirty-nine years, the parts that wear out sooner – finishes, fixtures, equipment, and site work – are depreciated over five, seven, or fifteen years, bringing deductions forward into the years you own the property.

Is this a loophole?

Component depreciation traces to the Service's loss in Hospital Corporation of America v. Commissioner in 1997, and the IRS publishes an Audit Techniques Guide describing precisely how it is performed. Every study we deliver carries our minimum ROI guarantee: your study identifies a large multiple of its fee in first-year accelerated deductions, or the study is free.

What about depreciation recapture?

A legitimate consideration. Accelerating depreciation can increase the amount recaptured upon sale. The trade is a larger deduction now against more recapture later, and a 1031 exchange can defer the recapture. Your accountant models your circumstances before you commit.

How long does it take, and what does it cost?

Your preliminary estimate is prepared first, and promptly. Once you approve, the engineered study is ordinarily delivered within days. The fee follows the published price list on the Why Basis page, and you see the first-year deduction a study would look for before you decide.

What does a study cost?

Prices are published on the Why Basis page by what was paid for the property, and studies start at $1,295 for residential rental property. You see your estimated benefit before you get a quote. The fee is fixed before any work starts, and every study carries the minimum ROI guarantee: your study identifies a large multiple of its fee in first-year accelerated deductions, or you do not pay.

Get Your Free Estimate

See your property's estimated first-year benefit in thirty seconds: the parcel, the building-vs-land basis split, and the projected deduction. No cost, no obligation.

Am I Qualified? »

Prefer to talk first? Book a free 15-minute call.

Estimates are preliminary and illustrative, not tax advice.

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Not ready to book? Send us your property and we will e-mail your Preliminary Benefit Estimate.

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