Veteran Owned & Operated!
Charlotte, NC, is one of the best places to invest in rental properties. The area has a robust, growing economy and ample employment opportunities, making it attractive to potential renters.
Working with a property manager is the best way to make the most of these real estate opportunities. These professionals provide a host of services to alleviate stress and plan for success.
Owner statements and reporting are among the most important tools for strategizing. Read on to find out more about these important documents.
Different Types of Owner Statements and Reporting
Rental property management companies have diverse clients and tailor their monthly reports accordingly. Property managers have a set of reports for their use too, with different varieties for private landlords and community managers.
Each report contains different information that caters to specific needs based on their property portfolio. They may include information, like delinquent tenant reports and tenant screening reports.
Most private landlord reports don't include this information. Property managers use it to fine-tune their performance.
Private Landlord's Reports
In most cases, rental property owners will receive four main reports for their properties. These documents are important for completing your tax returns by helping you identify your income and deductible expenses.
These are the most common landlord reports:
Income and Expense Statement
The income and expense statement illustrates the flow of income for the property and any expenses paid from that income. It includes the following sections:
- Income by category, e.g., rent, parking fees
- Overall total income
- Expenses by category, e.g., property maintenance
- Overall total expenses
Total income minus expenses is listed as a line item.
Owner disbursements show as an expense on these reports as they decrease the available balance. If the costs exceed the income for the property, this statement will have a negative balance.
Owner Statements
The owner statement is similar to the income and expense statement. It includes the following:
- Opening balance
- Categorized income
- Categorized expenses
- Closing balance
- Reserve targets
A reserve target is money held to pay for unexpected real estate expenses. It does not form part of the property's available balance.
If you own more than one property, the owner statements will include a master page summarizing this information per property.
Operating Statement
The operating statement provides an overview of the landlord's property's performance over time. It itemizes each property per month, so you can easily compare each one's performance over time.
Account Ledger Report
These owner financial reports are like bank statements. They list every transaction associated with a landlord's properties.
The information on an account ledger report is customizable, so you can view reports by a specified time frame or per property if desired.
Make the Most of Property Owner Reports
Hiring a property manager is your first step toward rental income optimization, thanks to owner statements and reporting. These documents help you keep track of your income and expenses, so you can find areas for improvement.
PMI Charlotte Metro is your ultimate partner for maximizing your rental income. We offer a range of supportive management services and keep you informed with efficient rental reporting.
Let us help you make the best decisions for your properties based on their financial performance.
