When you first embarked on your San Ramon rental property ownership journey, you, of course, sought to achieve a return on your initial investment. And in an effort to streamline expenses in the beginning, you might have assumed that handling the financial side of the business yourself would be more cost-effective. However, if you’re still doing the books, handling the rent, paying the bills on your own, you could be losing money.
Consider taking a closer look at your San Ramon investment and finances. If the bottom line isn’t where you’d like it to be, it may be time to partner with a Certified Public Accountant. Partnering with a professional can help streamline your efforts to reduce expenses and increase potential revenue. Here are four financial improvements a CPA can make almost immediately to help you improve the return on your San Ramon rental property investment.
Finding & Tapping into Tax Benefits
You might be financially savvy and possess a general knowledge of handling your San Ramon rental property income and expenses. But there are some nuances that only Certified Public Accountants are trained to handle. Having a professional CPA partner can help you find and tap into potential tax benefits or deductions. Over the long term, having a real estate accounting partner can save you thousands of dollars in leveraging those available tax benefits.
Staying Current with Legal Guidelines & Mandates
With the many tasks you currently manage, staying up to date with regulations, San Ramon rental property laws, and legal mandates can be a challenge. Having a professional accountant on your bench can ensure your operations and best practices continue to fall in line with those legal standards. In the end, a CPA can offer cost savings by avoiding fees or penalties. A CPA can also provide some legal protections with precise knowledge of IRS rules to help you avoid costly filing mistakes.
Structuring a Financial System & Record Keeping
You might take pride in your current bookkeeping system. But it may be worth considering bringing in an expert CPA to streamline your efforts even more. As a business partner, a CPA will take a vested interest in your business objectives and can help you structure, track, and manage your spending to keep you focused on your San Ramon rental property goals. From financial reports that offer clarity on your investment strategy to rent payment records, a CPA can keep every aspect of your finances organized.
Essential for Identifying Financial Trends
When you’re managing your own finances, you might lose sight of trends or big picture opportunities. For example, you pay a maintenance contractor every year to perform a routine service. You’re strapped for time with countless tasks, and you quickly authorize payment, without realizing they’ve raised their rates on you for the third year in a row. Having a CPA dedicated to surveying and overseeing those expenses means having someone in your corner to raise awareness of such price hikes that might go otherwise unnoticed.
Consider re-evaluating your current finances and compare existing returns with your original goals and investment objectives. Adding a Certified Public Accountant to your roster of professional partners is a great way to minimize your San Ramon rental property expenses and increase your potential revenue. Not every accounting professional is going to be a good fit, and not just any accountant who is good with numbers will do. To help you navigate how to find the best CPA partnerships, and those with real estate experience, contact PMI CONTRA COSTA. Our rental property professionals can provide a monthly, comprehensive accounting report, to help your CPA recoup the most tax benefit on your behalf. Our reporting services are available to help you leverage every tool and partnership at your disposal to ensure you continue to see the return on your rental property investments each year.