Arizona's booming real estate market benefits from cost segregation by reclassifying assets into shorter recovery periods. This enables property owners to take advantage of early tax savings.
Arizona property investors can minimize taxes by applying cost segregation to reallocate assets into shorter depreciation classes. This strategy reduces taxable income and improves cash flow.
Arizona property owners increase profitability by leveraging cost segregation to maximize early-year tax deductions. This creates opportunities to reinvest in the state’s competitive real estate market.
Arizona’s real estate market offers prime opportunities for investors to benefit from cost segregation. The state conforms to federal bonus depreciation rules, allowing property owners to streamline filings and claim accelerated depreciation for both federal and state taxes. This alignment simplifies tax compliance and enhances savings.
With an impressive 11.88% population growth, Arizona’s housing and commercial markets are booming. Cost segregation helps property owners reclassify high-value components into shorter depreciation schedules, creating substantial early tax savings and freeing up cash flow for reinvestment in this competitive market.
Arizona’s property tax rate of 0.63% and median home value of $444,220 make it a key state for leveraging cost segregation. To learn more, visit Explore the best asset classes for cost segregation
No, Arizona does not conform to federal bonus depreciation rules. Property owners must follow the state's depreciation schedule for state tax purposes, requiring separate tracking for state and federal filings.
This state does not conform to federal bonus depreciation rules.
In Arizona, Engineered Modeling Studies often cost between $1,000-$1,500, while Detailed Engineering Studies can range from $3,400-$10,000.
Arizona’s property tax rate of 0.63% and median home value of $444,220 make cost segregation an impactful tool for lowering federal and state tax liabilities.
0.63%
11.88%
Rapid population growth in Arizona underscores the state’s booming housing and commercial real estate markets, making cost segregation crucial for maximizing tax savings in this high-growth environment.
See how property owners in Arizona unlocked substantial tax savings through engineering-based cost segregation studies.
Purchase Price
$1,932,456
Land Value
$410,812
21.3% of total
Year In Service
2022
Tax Savings
$228,074
11.8% of purchase
// founder
Sean specializes in cost segregation, tax depreciation, and real estate tax savings. As the CPA and founder of Maven Cost Segregation: Tax Advisors, he has overseen numerous cost segregation studies, helping investors maximize deductions.
Contact UsThrough a detailed engineering cost segregation study, this self storage facility owner in Arizona accelerated depreciation on qualifying components - turning $228,074 of locked-up basis into immediate tax deductions and improved cash flow.