Book Keeping on multiple properties

[Alexander Knox]

Hello BP!

I wanted to see if anyone has some advice on how to maintain clean books/records. I am involved in multiple real estate investments, all of which have varying equity interests so it is difficult to keep all properties on one account. I am currently keeping record of transactions etc. and have a Stessa account for each property which links to that property's bank account and takes record of the cashflow for each property. I also have an amortization schedule for loans as well as a depreciation calculation for the assets themselves. As I continue to scale I want to make sure my records are accurate and are going to tie out at the end of each year. What advice would you give for making sure the bookkeeping is properly maintained?

Thanks all! 

[Lance Lvovsky]

Are the properties owned in entities such as LLC's or in your name? If in LLC's, each LLC should have separate bank accounts. Each LLC should have a separate balance sheet and income statement.

If in personal name, you should still treat yourself as an entity. I like to see balance sheets and income statements regardless. QuickBooks or a similar program can be useful.