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Real Estate Series Part 4: Purchase Price Allocation – The #1 Tax Hack for Real Estate Investors
Description
Real estate investors are missing one of the most powerful, and overlooked tax strategies: Purchase Price Allocation (PPA).
In this episode, Mike Pine & Kevin Schneider from Revo Tax reveal how to use PPA to front-load depreciation, offset W-2 or self-employed income, and dramatically lower your tax bill. Learn how PPA compares to cost segregation, when each is best, and why this move can supercharge your returns.
Episode highlights:
What PPA is and why the IRS requires it for trade or business purchases
Real-world examples: 25–35% depreciation with cost seg vs. 80%+ with PPA
Structuring offers with sellers and covering their tax to close the deal
How to mitigate recapture, bonus depreciation limits, and timing issues
Whether you’re buying your first short-term rental or scaling a multimillion-dollar portfolio, this episode will change how you think about depreciation.
Work with Mike & Kevin: revotaxpayer.com
Learn more: hiddenmoney.com
This is educational content, not tax, legal, or financial advice. Talk to your advisor about your portfolio.