Real estate accounting · Trust accounts · Rent rolls · CAM reconciliations · CPA firms

Real estate accounting where one error in a trust account has legal consequences. we know the difference.

Real estate and property management accounting is not general bookkeeping applied to a different industry. trust accounting, CAM reconciliations, rent rolls, and security deposit management each have specific compliance requirements. Pair our property expertise with bookkeeping, financial reporting, or a dedicated staff engagement for your property-focused client base.

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Why real estate accounting is different

The risks that make real estate accounting a poor fit for generalist offshore teams.

CPA firms that serve property managers, landlords, and real estate investors carry specific liability exposure their other clients don’t create. a generalist bookkeeper who doesn’t understand trust accounting can create legal problems — not just accounting errors.

Trust account commingling is a license-level violation

In most states, commingling tenant security deposits with operating funds is grounds for a property manager to lose their license. the accountant managing these funds must know the rules — not just how to process transactions.

CAM reconciliations require lease-by-lease precision

Common area maintenance reconciliations are calculated against individual lease terms, not just property-wide costs. an error in the CAM calc means either your client over-recovers from tenants — a legal issue — or under-recovers, losing money permanently.

Rent rolls are the primary financial document — not a report

Lenders, investors, and buyers use rent rolls to value properties. an inaccurate rent roll produced by your CPA firm creates liability that goes well beyond the bookkeeping error that caused it.

Security deposit accounting has state-specific rules

Security deposit holding requirements, interest calculations, and return timelines vary by state. an accountant who treats security deposits like regular liabilities will produce incorrect financial statements and potentially expose your clients to tenant claims.

What we handle

Every real estate accounting function your CPA firm’s property clients require.

Handled by accountants who know property management accounting specifically — not general bookkeepers working from a checklist.

Trust accounting

Segregated trust account management for property managers. security deposits, rental proceeds, and owner distributions maintained in strict compliance with state requirements.

Tenant security deposit ledgers

Trust account reconciliations

Owner distribution calculations

Interest accrual where required by state

Rent roll preparation & maintenance

Current, accurate rent rolls maintained monthly. lease term tracking, escalation calculations, vacancy tracking, and tenant ledger reconciliation. formatted for lender and investor review.

Monthly rent roll updates

Lease escalation tracking

Vacancy and occupancy reporting

Tenant ledger reconciliation

CAM reconciliations

Annual common area maintenance reconciliations calculated lease-by-lease against actual operating expenses. tenant billing preparation and reconciliation adjustments posted accurately.

Annual CAM reconciliation preparation

Lease-by-lease cost allocation

CAM estimate vs actual variance analysis

Tenant billing statement preparation

Property-level financial reporting

P&L by property, by portfolio, and by ownership entity. NOI calculations, operating expense ratios, and cash flow statements formatted for owner reporting and lender covenants.

Property-level P&L statements

Net operating income (NOI) reporting

Operating expense ratio analysis

Portfolio-level consolidated reporting

Mortgage & loan tracking

Amortisation schedules maintained and reconciled against lender statements. interest and principal splits posted correctly. escrow account reconciliations for tax and insurance payments.

Loan amortisation tracking

Interest/principal split posting

Escrow account reconciliations

1031 exchange & depreciation support

Cost basis tracking for 1031 exchange preparation. depreciation schedules maintained and reconciled. fixed asset additions and disposals recorded accurately for tax preparation support.

Asset cost basis maintenance

Depreciation schedule preparation

1031 exchange documentation support

Trust accounting specifics

Trust accounts are not regular bank accounts. we treat them accordingly.

In most US states, property managers are required to maintain tenant security deposits in a separate trust account. the rules around these accounts are specific, state-governed, and carry serious consequences for violations.

Segregation is mandatory. trust funds cannot be commingled with operating funds under any circumstances. we maintain separate ledgers and reconciliations for every trust account.

Every tenant has their own ledger.security deposit balances are tracked at the individual tenant level — not as a single pooled balance. this is how auditors and regulators examine the accounts.

Interest rules vary by state.some states require interest on security deposits to be paid to tenants. our accountants track the state-specific rules for every client’s property locations.

Monthly reconciliation is non-negotiable.every trust account is reconciled monthly — bank balance against individual tenant ledgers against the trust liability in the general ledger. three-way reconciliation every cycle.

Monthly trust account checklist

Bank statement reconciliation✓ Complete

Individual tenant ledger reconciliation✓ Complete

Three-way reconciliation sign-off✓ Complete

Security deposit register current✓ Complete

Interest accrual (where applicable)✓ Complete

Owner distribution reconciliation✓ Complete

Commingling check✓ Clear

What a missed item looks likeA three-way reconciliation discrepancy of $1 can indicate commingling — which in some states triggers mandatory reporting to the state real estate commission and potential license suspension for your client.

Client types we serve

Every type of real estate client your CPA firm works with.

Residential

Residential property managers

Single-family rentals, multi-family portfolios, HOA-managed properties. trust accounting, rent rolls, and owner reporting for residential property management companies.

Commercial

Commercial landlords & REITs

Office, retail, and industrial properties. CAM reconciliations, NNN lease management, tenant improvement amortisation, and lender-ready financial reporting.

Development

Real estate developers

Development project accounting, construction draws, cost-to-complete tracking, and post-completion transition to property-level accounting for the completed asset.

Investment

Real estate investors & syndicates

Investor reporting, capital account maintenance, waterfall distribution calculations, and K-1 preparation support for real estate syndicates and limited partnerships.

Services

QBO & Xero bookkeeping — certified, accurate, on time

For CPA Firms

How a CPA firm adds a certified offshore accountant in 2 weeks

Industries

Real estate accounting — trust accounts, rent rolls, CAM reconciliations

Resources

The true cost of a local bookkeeper vs a certified offshore accountant

Company

Build your accounting career with a structured path to EA and CMA

Real estate accounting where one error in a trust account has legal consequences. we know the difference.

The risks that make real estate accounting a poor fit for generalist offshore teams.

Every real estate accounting function your CPA firm’s property clients require.

Trust accounts are not regular bank accounts. we treat them accordingly.

Every type of real estate client your CPA firm works with.

Real estate clients deserve accountants who understand the rules — not just the software.