As the owner of rental real estate, one of the biggest benefits is the long list of tax deductions that are available to you through your investments. Yet, just like many other areas of the U.S. tax code, knowing what is an isn’t allowed can be somewhat complicated. Because of that, it is always in your best interest to keep detailed records, and to put all of this information in one easily accessible place. So, what records should you be keeping track of? There are actually several, including:
- Legal documents
- Insurance coverage
- Loan documents (if you have a mortgage on your properties)
- Deed / title to your properties
- Repair and / or replacement information (such as receipts for new appliances, emergency repairs, etc.)
- Marketing / advertising costs
- Office expenses
- Rent received
- Utilities paid (if you pay for the water, sewer, trash, etc. costs)
- Wages paid to employees and / or contractors
Regardless of whether you keep these records in a physical or a digital file, it is important that you know where they are so that you can access them at any time.
Because there are so many items to keep track of as a landlord, it can be beneficial to work in conjunction with a property manager that is not only experienced in managing and maintaining your properties, but that is also adept in accounting and financials.
At Central Florida Property Management, we help rental real estate owners simplify their lives by taking on the tasks of collecting rent, coordinating repairs, and even tracking property-related income and outgo figures.
So, if you own rental real estate in Orlando, Florida, and / or the surrounding vicinity, give us a call to see how we can assist you.