Achieve Wealth Through Value Add Real Estate Investing Podcast · James Kandasamy

Tax-Free Multifamily Millions With Cost Segregation Study Expert Yonah Weiss

·34 min·2 clips

A $1.75 million North Carolina deal generated $420,000 in bonus depreciation and wiped out a $300,000 gain.

1. Achieve Wealth Through Value Add Real Estate Investing Podcast focuses on tax-free multifamily millions through cost segregation with Yonah Weiss. 2. James Kandasamy hosts the webinar-style session, and Yonah Weiss is the expert guest explaining depreciation and cost segregation mechanics. 3. The episode asks how a property owner can front-load depreciation deductions to increase cash flow and reduce tax liability. 4. Weiss starts with a $1 million property example and subtracts 15% for land before applying 27.5-year or 39-year straight-line depreciation. 5. He says a typical $850,000 depreciable basis can produce about $21,000 a year for commercial property or about $30,000 a year for multifamily. 6. He explains that cost segregation uses an engineering study to identify components with shorter lives under MACRS. 7. Weiss lists five-year property such as carpeting, vinyl flooring, cabinets, countertops, appliances, and building-mounted signage. 8. He also names 15-year land improvements such as concrete, fencing, landscaping, parking lots, pools, and lounge chairs. 9. He says apartments average about 27% accelerated depreciation, short-term rentals about 30%, and mobile home parks about 50% to 80%. 10. He notes that personal residences do not qualify, but business real estate, single-family rentals, offices, warehouses, hotels, grocery stores, and Airbnb properties can qualify. 11. Weiss says the main benefit is reducing tax liability early, not getting a cash refund, which leaves more money to reinvest. 12. He says an ATM machine can be fully depreciated in the first year because it is equipment, not real estate. 13. He says a W-2 earner generally cannot be a real estate professional, but a spouse can qualify if the family structure supports it. 14. He explains that passive depreciation usually offsets passive rental income on Schedule E, not active income on Schedule C or W-2. 15. He gives two exceptions: under $100,000 of adjusted gross income can allow up to $25,000 of passive losses, and self-managed short-term rentals with average stays under seven days can change the rule. 16. He says passive investors can use excess losses to reduce future gains, including capital gains at sale. 17. The format is a live webinar recording with chat questions, interruptions, and step-by-step tax examples. 18. The tone is technical but conversational, with Weiss answering audience questions throughout the presentation. 19. Passive investors, syndication LPs, and W-2 earners exploring rental tax strategy. 20. People wanting a light overview without tax code details.

As heard by us

A practical walk-through of depreciation, IRS status, and why the tax treatment can change by property and participation.

The episode lays out how depreciation can be pushed into different buckets, beginning with a plain property example and the need to remove land value first.

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Why you'd press play

You want the depreciation mechanics and tax tradeoffs, not the guru hype.

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