Welcome from the founder

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title: "Welcome from the founder" date: "2026-05-06" summary: "You're not here to learn what cost segregation is — you're here because you know you need one. A short note on why CostSegLogic exists, the methodology pedigree, and how the product is built." tag: "Founder" author: "Sumeet Joshi" draft: false

You’re not here to learn what cost segregation is — you’re here because you know you need one. We’re here to deliver the highest-quality study, automated, at a fraction of the price.

I’m Sumeet, and I built CostSegLogic because I needed it for my own short-term rental portfolio. I’m a venture investor by day, an STR owner by side hustle, and a few years ago I went looking for a cost-seg study on one of my own properties. What I found felt off — long timelines, expensive quotes, a lot of marketing wrapped around a piece of work that mostly comes down to asset classification and depreciation math. So I started reading.

The methodology has been settled for decades

Cost segregation has been recognized by the IRS since the 1997 Hospital Corporation of America ruling. Big 4 firms have been delivering these studies for two decades. REIT controllers and developers run them at scale. The asset-classification rule book, the §1245/§1250 distinction, the MACRS conventions, the Form 3115 mechanics — all of it has been the same for a very long time.

What’s changed is the labor. The asset-classification work that used to require an analyst typing line items into a spreadsheet for a week is mostly rule-based: each item maps to a 5-, 7-, 15-, 27.5-, or 39-year class based on what it is and where it sits. Software does it in seconds, with the same rule book a $5,000 firm uses. The defensibility lives in the methodology and the citations — not in the labor hours.

That left a gap. The work was settled, the methodology was sound, and the cost stack to deliver it could be a fraction of the going rate — if someone built the product carefully and was willing to give the savings back to the property owner.

How CostSegLogic is built

I started by writing the engine in pieces. An asset-classification rule book based on the IRS audit technique guide. A MACRS depreciation engine that handles half-year, mid-quarter, and mid-month conventions correctly. A bonus depreciation layer that knows the OBBBA transition rules and applies the right rate to your placed-in-service date. A 50-state conformity matrix for bonus addbacks and recapture. A §481(a) catch-up calculator for look-back studies, with a Form 3115 generator. A recapture schedule generator that splits §1245 from §1250 and tells you what you’ll owe back when you sell.

Then I wrapped the whole thing in an interview — structured questions that adapt to your property and your owner profile, with the estimate updating in real time as inputs land. The free snapshot at the end gives you a one-page first-year deduction estimate. The $495 Cost Segregation Report is the full engineer-grade study with year-by-year schedules, state-specific treatment, recapture, and Form 3115. The $1,199 CPA-Verified tier adds a licensed CPA review with an audit-defense letter.

Every line item in every study cites its IRS code section. Every classification logs the rule applied. Every assumption is shown. Put it in front of your CPA. They should give it the green light, because it’s the same study they’d have built in-house if they had the engine.

Why this matters

Cost segregation is one of the highest-leverage tax moves available to a rental property owner. Done right, it can free tens of thousands of dollars of cash flow in year one — cash that funds the next property, the next renovation, or just stays in your account instead of the IRS’s. The math has been there the whole time. What was missing was a way for owners to access the work at the price the work actually costs.

We’re not the firm making the case for cost segregation. If you’ve already done the math on a $5K firm and decided no, you’re our buyer. You’re here because you know what cost seg is and you know it’s worth running on your property — what you want now is the highest-quality version of the study, built by people who know the methodology cold, at a price that reflects what the work actually costs.

That’s the whole reason CostSegLogic exists.

What’s next

This founder letter is where I’ll write about the things property owners actually ask — how the OBBBA transition rules play out by placed-in-service date, what your state’s conformity actually looks like, when a look-back study is worth running, how recapture math interacts with a 1031 exchange. Practical, plain-English, manifesto-aligned.

If you’re ready to see what the snapshot says about your property, you can run it free. No card. The deduction estimate is yours to download the moment you finish.

Welcome.