Most Firms Charge $5k–$60k+ for the Same Work We Deliver Starting at $499
That's not a typo.
Traditional cost segregation firms charge $5,000 to $60,000+ for engineering-based studies. We deliver the same IRS-compliant quality starting at $499—roughly 50% of what you'd pay elsewhere.
We're not cutting corners. We're cutting overhead. By leveraging AI trained on 1,000+ completed studies (representing over $1 billion in analyzed real estate) and automating the 80% of work that's pattern recognition, our engineering team focuses exclusively on the 20% that demands real judgment. The result: studies that cost dramatically less while maintaining the same audit-defensible quality standards.
Author's note (Sam Young, EA): We built Overline's cost segregation practice on a simple belief—tax strategies shouldn't be reserved for billion-dollar funds. After analyzing 1,000+ studies, we identified exactly where traditional firms waste money and where they add genuine value. This pricing model is the result.
What Traditional Firms Charge (Actual Market Rates)
These ranges reflect real market pricing based on our analysis of 1,000+ studies across $1 billion+ in real estate transactions:
| Study Level | Traditional Firm Cost | Property Examples |
|---|---|---|
| Residential / Small | $2,500 – $6,500 | Single-family rentals, duplexes, small retail |
| Mid-Size Commercial | $6,500 – $18,000 | Apartments (6–50 units), office, strip centers |
| Complex / Large-Scale | $18,000 – $60,000+ | Hotels, manufacturing, mixed-use, high-rise |
Why so expensive? It's not malicious—it's structural. Traditional firms have corner offices, administrative layers, partner profit expectations, and a billable-hour model that incentivizes maximizing time rather than efficiency.
Our Pricing: AI + Automation + Engineering Expertise
IRS-compliant studies starting at $499.
We deliver engineering-based cost segregation studies at approximately 50% of traditional market rates. Our pricing scales with property complexity, but our philosophy stays constant: democratize access to cost segregation by eliminating unnecessary overhead while maintaining full IRS compliance.
Traditional firms charge $2,500–$60,000+ for studies that take 2–6 weeks. We deliver the same IRS Audit Techniques Guide-compliant output in days, not weeks, at half the cost.
The only difference: we use AI for pattern recognition (80% of the work), while traditional firms bill $150–$250/hour for manual categorization.
How We Cut Costs Without Cutting Quality
After completing 1,000+ studies, we identified exactly where traditional firms waste money—and where they add genuine value.
1. AI for Pattern Recognition
80% of cost segregation is identifying standard components: carpet, cabinets, parking lots, specialty electrical. Our AI handles this instantly using data from our 1,000+ study database.
Traditional firms bill $150+/hour for junior engineers to do the same work manually. We eliminated that bottleneck entirely.
2. Every Number Gets Engineer Review
Automation handles the grunt work. Our engineering team reviews every asset classification, percentage allocation, and depreciation schedule. You get the speed of technology with the judgment of experienced engineers.
3. Focused Team, Zero Overhead
We're not a 200-person accounting firm with fancy offices and administrative layers. We're a focused team dedicated exclusively to cost segregation and real estate tax optimization. No CFO advisory, no audit services, no distractions. Just cost seg—done exceptionally well.
4. Full Transparency
We disclose everything: our methodology, our data sources, our assumptions. No black boxes. You see exactly how we arrived at every number in your study.
This is the opposite of how traditional firms operate.
What You Get (Same Quality as $15k Traditional Studies)
Our studies meet or exceed IRS Cost Segregation Audit Techniques Guide standards established in IRS Publication 551. Every study includes:
- Engineering-based component analysis: Licensed professional oversight with field experience across 1,000+ properties
- IRS-compliant documentation: Detailed asset-level depreciation schedules formatted for direct tax return attachment
- Photographic evidence: Digital documentation for properties requiring site visits
- Legally defensible classifications: Every asset allocation supported by specific IRS guidance, Treasury Regulations, and Tax Court precedent
- Transparent methodology: Full disclosure of estimation methods, data sources, and calculation logic
- Lifetime audit support: We stand behind our work if the IRS questions your return
The only difference between our $499+ studies and traditional $5k–$15k studies: we use AI for the 80% of work that's pattern-based, dramatically reducing billable hours while maintaining the same engineering rigor for complex classifications.
Side-by-Side: Traditional Firm vs. Overline
Traditional $12,000 Study
Junior engineer spends 40 hours manually categorizing components → Senior engineer reviews 8 hours → Report writing 6 hours → Total: 54 billable hours × $150–$250/hr = $8,100–$13,500, marked up to $12,000+ for overhead and profit.
Overline Approach
AI categorizes components in 10 minutes using historical data → Engineer reviews and adjusts 2 hours → Automated report generation 5 minutes → Total: 2 human hours for quality control, dramatically lower cost passed to you.
Same IRS-compliant output. 50% lower cost. That's the power of technology applied correctly.
Why Traditional Firms Charge So Much
Big accounting firms have structural cost problems they can't solve:
- High overhead: Corner offices, administrative staff, partner profit expectations
- Billable hour model: Incentivized to maximize hours, not efficiency
- Manual processes: Junior staff doing work that AI handles instantly
- Cross-selling pressure: Cost seg is often a loss leader to sell audit/tax services
We don't have any of that. We're builders and engineers who saw an opportunity to apply technology to an outdated industry. Our entire business model: deliver institutional-quality studies at prices accessible to individual property owners.
Real Case Study: Traditional vs. Overline Pricing
Actual Study: 16-Unit Multifamily Property, Phoenix, AZ (2024)
| Metric | Details |
|---|---|
| Purchase Price | $2,100,000 |
| Land Value | $420,000 (20%) |
| Depreciable Basis | $1,680,000 |
| Reclassified | 28% = $470,400 to accelerated depreciation |
| Traditional Firm Quote | $8,500 |
| Overline Pricing | ~$4,250 (50% less) |
| Study Fee Savings | $4,250 |
Tax Impact Without 100% Bonus Depreciation
- First-year extra depreciation: ~$68,000 (using MACRS accelerated methods)
- Tax savings at 37% bracket: ~$25,160
- ROI (traditional firm): 3.0x
- ROI (Overline): 5.9x
Tax Impact With 100% Bonus Depreciation (Reinstated July 2025)
With 100% bonus depreciation now permanent, the reclassified $470,400 is fully deductible in year one:
- First-year deduction: $470,400
- Tax savings at 37%: $174,048
- ROI (traditional firm): 20.5x
- ROI (Overline): 41x first year
The combination of 100% bonus depreciation reinstatement + Overline's 50% cost savings creates unprecedented ROI. Same IRS-compliant study, same audit defense—just dramatically better economics for property owners.
Red Flags When Evaluating Other Firms
Contingency Fees
Firms that charge based on savings have an incentive to be overly aggressive with classifications. We use fixed fees—our incentive is accurate, defensible work.
Hidden Deliverables
If the engagement letter doesn't specify exactly what you're getting, walk away. We disclose everything upfront—no surprises, no upsells.
No Engineer on Team
IRS guidance emphasizes "engineering-based analysis." CPAs alone can't deliver compliant studies. Our team includes licensed engineers with field experience.
Pressure to Buy Other Services
Big firms use cost seg as a loss leader to sell tax prep, CFO services, and more. We focus on cost segregation and real estate tax optimization—no cross-selling, no distractions.
Start with the Free Calculator
Before engaging us or any firm, run your property through our free cost segregation calculator. You'll see instant ROI estimates based on our 1,000+ study database.
If the numbers work, schedule a free consultation. If they don't, we'll tell you honestly—we're not here to sell you a study you don't need.
Frequently Asked Questions
Q: Are your studies actually IRS-compliant at this price point? A: Yes. Every study meets IRS Cost Segregation Audit Techniques Guide standards with engineering-based component analysis, detailed asset-level depreciation schedules, and full documentation. The lower price reflects our use of AI for pattern recognition—not lower quality. We include lifetime audit support with every study.
Q: How can you charge 50% less and still maintain quality? A: 80% of cost segregation work is pattern recognition—identifying standard components like carpet, cabinets, and parking lots. Our AI handles this instantly using data from 1,000+ completed studies. Our engineers focus on the 20% that requires real judgment. Traditional firms bill $150–$250/hour for junior staff to do the same pattern work manually.
Q: What's the turnaround time for an Overline study? A: Most studies are completed in days, not the 2–6 weeks typical of traditional firms. AI-assisted analysis dramatically compresses the timeline without sacrificing thoroughness.
Q: Do you handle look-back studies for properties I bought in prior years? A: Yes. You can claim catch-up depreciation using Form 3115 (change in accounting method) without amending prior returns. The IRS allows you to claim all "missed" depreciation in one year. Learn more in our guide on how much cost segregation saves.
Continue Reading
Explore more cost segregation guides from our library:
- Cost Segregation for W-2 Earners Making $250K+ — The highest-ROI use case for cost seg
- How Much Does Cost Segregation Save? — Actual savings ranges by property type from our $1B+ database
- Is Cost Segregation Worth It? — Decision framework based on 1,000+ studies
- Cost Segregation Audit Risk — What actually triggers IRS scrutiny
- Why Your CPA Didn't Tell You About Cost Segregation — The structural gap in CPA practices
Disclaimer: This content is for informational purposes only and does not constitute tax, legal, or financial advice. Cost segregation results vary based on specific property conditions, construction methods, and individual tax situations. Consult qualified tax professionals regarding your specific circumstances. Overline's studies comply with IRS Cost Segregation Audit Techniques Guide standards and Publication 551.