Link: https://www.skool.com/taxes/classroom/ec6893ee?md=b6c258bc4cba4430ac3565d6170fcac0 Here's a summary of the key takeaways from this Friday Q&A session: LLC Transfers & Financing - DSCR/HELOC on properties in LLCs: You'll generally get better rates and more lender options doing a cash-out refi or HELOC in your personal name before transferring the property into an LLC, rather than after. - Quitclaiming into an LLC provides liability protection (limits exposure to the LLC's assets) but the transfer process (title work, possible refiling of permits/licenses, transfer taxes) varies significantly by state/county — worth a dedicated conversation with your attorney/structuring team. - Several attendees are using STR Law Guys for LLC/holding company structuring; process typically takes 6–8 weeks, so starting early (even if filing at year-start) is recommended, especially to avoid paying a full year's state franchise fee (e.g., CA's $800 minimum) for a partial year. Cost Segregation Studies - A cost seg study breaks a property's purchase price into individual components (flooring, cabinets, fixtures, etc.), each with different depreciation schedules (5, 7, 15 vs. 27.5/39 years), enabling bonus depreciation on shorter-life items. - Can be based on original purchase price and/or post-renovation costs — if renovations are substantial (structural work like flooring, cabinets, plumbing), include them; minor items (furniture, hot tubs) can often just be added as separate line items without a new study. - A second cost seg is only needed if new construction/major additions (e.g., an ADU) create new depreciable components — not for cosmetic updates. - Vet providers carefully: cheap "DIY" cost seg spreadsheets (~$450) are increasingly risky since the IRS issued an audit technique guide flagging this area; mid-range providers (~$950+) with real engineering reports were recommended instead. - Before paying for a study, do the math: estimate eligible bonus depreciation × your actual marginal tax rate (not the 37% providers often assume for marketing) to see if the tax savings justify the cost.

Hey Gang, we purchased our first STR in late 2024 in southwest Michigan. I knew nothing about bonus depreciation at the time, otherwise I probably would've tried to push the deal into 2025. 😅 We've been enjoying the process so far, and just recently made the move to our own direct listing site to help further optimize revenue. This site is new to us, so I'd appreciate any candid feedback. I'm also happy to share any tips for anyone else who's looking to build out their own direct booking site/platform. This one costs $10 per year to host and the time I've spent building it will count towards my material participation threshold, although the reality of self-managing is that 100 is not a high bar to hit. www.mishorething.com