Real Estate Investor Accounting & Tax Services
Real Estate & Rental Property ownership comes with more than collecting rent and paying the mortgage. Keeping each property’s finances organized makes it easier to understand what you’re actually earning, prepare accurate tax returns, plan for larger expenses and make decisions about buying, holding, refinancing, or selling. Mod Ledger provides bookkeeping and tax support for property owners who want their numbers organized, understandable and ready when they need them.
Are you an investor who started with 1 property, now own 5, 8 or 15, has 3 LLCs, 2 mortgages per property, a pile of closing statements, QuickBooks Online doesn’t match anything, and you have no idea which properties are actually making money?
If yes – you’re in the right place!
Bookkeeping
for Rental Properties
Tax Filing
for Rental Properties
Tax Planning
for Rental Properties
How It Works
- We learn about your properties, ownership structure and current accounting.
- We determine what needs to be organized or corrected.
- We establish a bookkeeping and tax structure appropriate for your portfolio.
- We maintain the accounting and help you understand the numbers.
- As you buy, sell or add properties, we adjust the accounting for you with the information you provide to us.
Service Types for Rental Properties
- Bookkeeping
- Tax Filing
- Tax Planning
Pricing
- Bookkeeping
starting at $400 per month - Tax Filing
(personal + one rental LLC)
starting at $1,055 - Tax Planning
starting at $5,255
Property acquisitions, sales, refinances, entity changes, historical corrections, and other non-routine transactions are priced separately.
Rental Properties
Residential Rental Properties
Commercial Rental Properties
Long Term Rental Properties
Short Term Rental Properties
Property Management
House Flippers
Family Real Estate
Single LLC
Multiple LLC
Holding Company
Rental Property Bookkeeping Pricing Details
| Bookkeeping Services* | Monthly Price |
| Base Rental Bookkeeping | $400 per Month |
| First Rental Property | Included |
| Each Additional Property in Same LLC/Entity | +$100 per Month |
| Each Additional LLC/Entity | +$200 per Month |
| Short-Term Rental | +$200 per Month per Property |
| High-Volume Property | Custom Pricing |
| *Rental Property Bookkeeping Rates are Separate from Standard Bookkeeping Packages | Non-Routine Transactions Starting at $250 |
Examples of Bookkeeping Pricing for Rental Properties
You have 2 properties under 1 LLC
$400 per Month Base Rental Bookkeeping
$100 per Month for Additional Property (under the same LLC)
$500 per Month Total
You have 3 properties under 2 LLCs
$400 per Month Base Rental Bookkeeping
$200 per Month for Additional LLC
$100 per Month for Additional Property
$700 per Month Total
Rental Property Bookkeeping Is Different
Owning a rental property can make the bookkeeping look deceptively simple: rent comes in, bills get paid, and everything gets categorized. Behind those transactions, though, are details that can affect your financial reports, tax return, property basis, depreciation, and eventually what happens when you sell. Mortgages, improvements, repairs, closing costs, refinances, multiple properties, and separate LLCs can all require different accounting treatment. Small decisions made in the books today can become much harder to untangle several years from now.
Professional rental property bookkeeping helps build a clean financial history for each property from the beginning. It also gives you more useful information about how your properties are performing and helps your tax professional work from records that were organized with the tax return in mind. You don’t have to become an expert in rental property accounting just because you own rental property. That’s our part. We keep the numbers organized and help you understand what matters, so you can focus on managing your properties and making informed decisions about what’s next.
Rental Property Accounting & Tax FAQs
Do I Need Bookkeeping for Each Rental Property?
Each property should have its income, expenses, assets, loans, and other activity tracked separately, but that does not necessarily mean you need a completely separate set of books for every property (and sometimes it does). The right setup depends on how your properties are owned and structured. We can help organize your bookkeeping so you can see how individual properties are performing while keeping the overall property portfolio manageable.
What if I Own Multiple Rental Properties Under One LLC?
We can track multiple properties within the same set of books while keeping the activity for each property identifiable. This allows you to see property-level results without maintaining completely separate bookkeeping files for every rental. Our bookkeeping pricing considers both the number of properties and the number of entities involved.
What if Each Rental Property Has Its Own LLC?
Separate entities generally require additional accounting and recordkeeping. If your properties are held across multiple LLCs, we can maintain the appropriate books for each entity while creating a consistent accounting structure across your portfolio. Each additional entity requires separate accounting work, our pricing considers both the number of properties and the number of entities. That’s not to say you should put all properties under one LLC to save in bookkeeping costs because the legal structure usually matters much more – so be sure to consult an attorney regarding your rental property business(es) setup.
Does Each Rental Property LLC Need Its Own Tax Return?
Sometimes, but not necessarily. The tax filing requirements depend on the ownership and tax classification of the LLC. We review how your properties are owned and help determine which tax filings are needed.
Do I Need a Separate Bank Account for Each Rental Property?
That depends on how your properties and entities are structured. Keeping business and personal activity separate, and maintaining clear records between separate entities, can make bookkeeping, tax preparation, and documentation much easier. We can help you determine an accounting structure that keeps your rental activity organized without making the system unnecessarily complicated.
Can You Handle Both My Rental Bookkeeping and Taxes?
Yes! Having bookkeeping and tax preparation coordinated can make the process much smoother because the information needed for the tax return is being organized throughout the year. We offer rental property bookkeeping, tax preparation, tax planning, and additional support for purchases, sales, refinances, and other changes within your portfolio.
Are Rental Property Mortgage Payments a Tax Deduction?
Your entire mortgage payment is not generally an expense. Payments can include principal, interest, escrow, property taxes, insurance, and other amounts that need to be accounted for differently. We reconcile and separate these amounts so your financial records more accurately reflect what is happening with the property.
Are Repairs and Improvements Treated the Same for Taxes?
Not always – some costs may be currently deductible, while others may need to be capitalized and depreciated over time. The correct treatment depends on the nature and circumstances of the work performed. Good recordkeeping is especially important when you’re renovating, repairing, or improving a property.
How Is Depreciation of Rental Properties Handled?
Rental buildings and certain improvements and assets may generally be depreciated over applicable tax recovery periods. Land itself is not depreciated. We maintain and review depreciation information as part of the tax process so property purchases, improvements, and dispositions are properly reflected.
What Should I Do When I Buy Another Rental Property?
Send us the purchase and closing documents as soon as possible. A new property may require establishing the property’s tax basis, identifying land and building amounts, recording financing, setting up fixed assets, and adding the property to your bookkeeping and tax records.
What Should I Do Before Selling a Rental Property?
Whenever possible, contact us before the sale is finalized. A rental property sale can involve adjusted basis, depreciation, depreciation recapture, capital gain or loss, suspended passive losses, selling costs, and estimated tax considerations. Reviewing the potential tax impact before closing gives you more information while there is still time to plan.
Can You Help if My Rental Bookkeeping Is Behind or Incorrect?
Yes! We offer catch-up and cleanup bookkeeping for rental property owners. Depending on the condition of the records, this may include reconciling accounts and loans, separating activity by property, correcting balances, reviewing fixed assets, organizing prior transactions, and preparing the books for ongoing bookkeeping or tax preparation. Please note that cleanup bookkeeping for rental properties is an additional 35% to the standard monthly rate.
Can You Work With My Property Manager?
Yes – if you use a property management company and authorize us to do so, we can incorporate the appropriate property management reports and financial activity into your accounting process. We may also request year-end statements, owner statements, transaction reports, or other documentation directly from you as needed.
Do You Work With Short-Term Rentals?
Yes! Short-term rentals can have different accounting and tax considerations than traditional long-term rentals, and they often have significantly more transaction activity. We consider the property’s activity, services provided, ownership structure, and other relevant factors when determining the appropriate bookkeeping and tax treatment – legally.
Please Note
We don’t work in the gray area of taxes. If the property doesn’t qualify as a short-term rental with appropriate documentation to support the claim and receive those tax benefits, we will not treat it as a short-term rental. We love our clients and we’re not willing to go to jail for them.
Do You Work With Rental Properties Outside Wisconsin?
Yes. Mod Ledger can provide bookkeeping services for rental property owners with properties in multiple states. Tax services depend on the specific filing requirements involved. Owning rental property outside your home state may create additional state tax filing requirements, which we review as part of the tax preparation process.
Can You Help Me Decide Whether to Pay Down a Mortgage or Save for Another Property?
Yes – through tax planning services! We can help you understand the financial and tax information involved in the decision, including cash flow, interest expense, available cash, projected tax impact, and the financial performance of your existing portfolio. We provide the numbers and analysis so you can make an informed decision based on your goals and circumstances.
Can You Help Me Understand Which Rental Properties Are Actually Making Money?
Yes! This is one of the biggest benefits of property-level bookkeeping. We can structure your accounting so you can better understand the income and expenses associated with individual properties rather than seeing your entire rental portfolio combined into one set of numbers.
Do You Provide Tax Planning for Rental Property Owners?
Yes! Tax planning is available separately from annual tax preparation. Depending on your situation, planning may include estimated taxes, projected rental income, upcoming purchases or sales, depreciation considerations, significant improvements, changes within your portfolio, and other events that could affect your overall tax situation.
Do You Help With 1031 Exchanges or Cost Segregation Studies?
We can account for and provide tax support related to these transactions when appropriate, but specialized services may require another qualified professional. When outside expertise is needed, we can coordinate the accounting and tax information involved rather than trying to provide a service outside our scope.
What Information Do You Need to Provide Pricing?
To determine the appropriate level of service, we’ll ask about the number of properties you own, how each property is titled or owned, the number of LLCs or other entities involved, the number of bank and credit accounts, whether your rentals are long-term or short-term, your current bookkeeping system, and whether you’ve recently purchased, sold, or refinanced any properties. This helps us provide pricing based on the actual accounting work involved rather than treating every rental portfolio the same.