Tommy Dobczyk and Andy explain how homeowners can unlock tax savings by inventorying short-life assets like kitchen cabinets and pools. Twenty to thirty percent of a home's value qualifies for immediate depreciation under the One Big Beautiful Build Act, letting owners claim the entire expense in one year instead of spreading it over decades.
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Looking at this, does this somewhat like— can you guys explain this to somebody like, like who's watching this for the first time and understand why would I, why would I inventory the kitchen cabinets and the light bulbs and, and all of that and the swimming pool? How does all that help me save money on my tax?
So this is a, you know, a home. So typically on these, we're going to find, you know, between, as you've shown there, 20 to 30% of the value of that home. is in these short-life assets, right? And so, what we do is we identify those, we inventory those, we look behind the walls at the electrical, the plumbing, all of it to try to find anything that we can take from a 39-year life down to these short-term, short lives. And then, what happened is, you know, President Trump gives us the One Big Beautiful Build Act, which says, Any asset with less than 20-year useful life, you can depreciate it in this year now, right? So it's like depreciation on steroids. And so again, we take that depreciation in the short lives, we basically take it all in the current year, and that then would offset the income generated by this property. And potentially other sources of income based on how much you're involved with this property. And I'll let Andy explain a little more on that.
