How We Account For Rents and Expenditures For Our Management Clients

As rental managers it is our solemn charge to keep close track on every cent of income and each expense. All of us work hard to make sure that each rental investor has the opportunity to understand exactly where is money is going to and coming from. To accomplish this task we employ one of the most powerful software tools in our profession: Rent Manager.

We strive to process and deposit rents on the same day they are received. Funds are deposited into an escrow account (not into our operating account). We prepare a monthly statement that states the rent received as well as any expenses that we have paid on the rental property owner's behalf. The monthly statement is also available electronically. The statement will describe what funds we are holding on behalf of the landlord.

There is no additional charge for the reports or the accounting. And, Nesbitt Realty never marks up the repairs, nor do we charge a fee per repair. At the end of the year, we compile the monthly statements into a year-end report.  In January we mail the landlords, and to the IRS, a 1099 stating the income for the rental property. Use the 1099 to prepare your taxes or simply give the 1099 to your tax preparer.