Bank Account management

3 Replies

Good morning BP!!! So I'm about to close on my first duplex and I wanted to know how I should set up my bank accounts to avoid issues come tax season? Any advice will be greatly appreciated.  Thanks!!

If you own the rental personally, not via an LLC, just open up another personal checking account to park the rents and pay rental expenses. Just use the one checking account, and if you own multiple rentals, then use accounting software to segregate expenses. I did not use a separate credit card for my rental purchases, but if you do that, that would simplify things further.

Originally posted by @Jairo Rincon :

Thanks for the response. I didn't even consider a credit card. Good to know. Did you get the credit card as a business or personal?

 I did have an active business once, and I got the credit card in the name of the business. For real estate, you can use a separate personal credit card.