REAL ESTATE
Real estate money moves differently than most businesses. Rent comes in every month, security deposits have to stay untouched until they’re returned, and one good year on a rental can turn into a capital gain the next time you sell. PFGTAX does bookkeeping built around how real estate actually works, whether you’re an agent tracking commissions, an investor with a handful of rentals, or someone managing property for other people. Call 888.879.0735 to talk with someone who understands real estate money.
Real estate is not one business, it’s several businesses wearing the same label. An agent’s income looks nothing like a landlord’s, and a landlord’s books look nothing like a property manager holding other people’s deposits. Treat them all the same way and something important gets missed, usually right around tax time or when a lender asks for your numbers.
Keeping each property’s numbers separate
If you own more than one rental, the biggest mistake we see is one big pile of numbers instead of a profit and loss statement for each property. You need to know which property is actually making money, which one is barely breaking even, and which one is quietly costing you before you decide to sell, refinance, or buy another. We track income and expenses by property from the start, so you can see exactly where you stand on each one, any time you want to look.
Trust accounts and security deposits, handled the right way
If you manage property for other people, security deposits and other client funds cannot sit mixed in with your operating cash. Most states have specific rules about how that money has to be held and tracked, and getting it wrong is not a small mistake, it’s a compliance problem. We set your books up so trust funds are separated and reconciled the way they’re supposed to be, so you’re covered if anyone ever asks to see the records.
1031 exchanges and capital gains, tracked before you need them
When you sell an investment property, what you owe depends heavily on your basis in that property and whether the sale qualifies for a 1031 exchange, which lets you defer tax by rolling the proceeds into another property. None of that works well if your cost basis, improvements, and depreciation were never tracked properly along the way. We keep that information current in your books, so when a sale happens, you and your tax preparer have real numbers instead of a scramble to reconstruct years of history.
What we handle for real estate businesses
- Per-property income and expense tracking, with P&Ls you can actually compare
- Trust account and security deposit bookkeeping, separated and reconciled
- Depreciation, cost basis, and improvement tracking for every property
- Capital gains recordkeeping and 1031 exchange support
- Commission tracking for agents and brokers
- Monthly bookkeeping, reconciliation, and financial statements
- Catch-up and cleanup bookkeeping to get current
- Books ready for tax prep, lenders, and refinancing
Built for how real estate people actually work
Whether you’re an agent, a landlord with a few doors, an investor scaling up, or a property manager holding funds for others, your books need to reflect the real structure of your business, not a generic template.
FAQ
Why do real estate bookkeeping needs differ by property?
Because you need to see profit and loss for each property on its own, not blended into one number. Separate tracking is what lets you make good decisions about holding, selling, or refinancing any one property.
How do you handle security deposits and trust accounts?
We keep client funds like security deposits fully separated from your operating accounts and reconciled the way most states require. That protects you if you’re ever asked to show where the money is.
Can you help me track my basis for a future 1031 exchange?
Yes. We track cost basis, improvements, and depreciation on each property as you go, so when you’re ready to sell or do a 1031 exchange, the numbers are already there instead of being rebuilt from scratch.
Do you work with agents as well as property owners?
Yes. We work with agents and brokers tracking commissions, individual investors, landlords with a handful of properties, and property managers handling funds for other owners.
Can you help if my rental books are behind or disorganized?
Yes. Catch-up and cleanup is common in this space, especially once someone reaches a few properties. We’ll get everything reconciled and organized, then keep it current going forward.
Stop guessing which properties are actually paying off. Call to set up a consultation.
OR email us info@pfgtax.com