How to Set up Finances - First Property House Hack w/ in Law Ste
Hello All,
Thank you in advance for the help. I'm reaching out as I'm getting ready to make my first purchase of a property. To give you the details on the property, it's a single family residence with two in law suites. I would be staying in one of the suites, and rent out the main living area and the other suite. Being that many of you have been around the block with this before, and I'm a rookie, I was hoping I could lean on you for some advice on best practices for setting up your finances for a rental property (or house hack with two tenant incomes). A few questions that I have for you all:
1. Looking for addvice on how to manage and track expenses and income on the property through excel. Both to keep my records straight so I can have a clear eye on things, and for tax purposes.
2. Where the income should physically deposited. In my current personal account or in a new account set up specifically for this property?
3. What I should be doing with my reserves set aside monthly for repairs, cap ex, vacancy, etc?
Thanks again for the help everyone. If you all of other tips or potential pitfalls that might be beneficial for me to consider up front, I'd be happy to take that advice as well. I appreciate you all! Hope everyone's having a great Friday!