Rental Property Investor · Pasadena, CA · Member since 2016 · 164 posts · 149 votes
9y
How do your fees work and what are they, what is your experience in working with real estate investors, do you invest in real estate yourself, do you have an extensive network with other professionals in REI, such as attorneys, title co's, agents, etc.
You basically would like to find a CPA who specializes or knows a lot about real estate investing, so cater the questions around that.
Rental Property Investor · Pasadena, CA · Member since 2016 · 164 posts · 149 votes
9y
How do your fees work and what are they, what is your experience in working with real estate investors, do you invest in real estate yourself, do you have an extensive network with other professionals in REI, such as attorneys, title co's, agents, etc.
You basically would like to find a CPA who specializes or knows a lot about real estate investing, so cater the questions around that.
CPA · New York, NY · Member since 2016 · 203 posts · 132 votes
9y
Casey Faul
1) Do they invest in real estate? You'll find most CPAs will say they specialize in everything but this is a pretty good indicator if they know the industry well. A good CPA needs to understand what you are trying to accomplish, plain and simple.
2) Do they have other real estate investors as clients? This will tell you that they can apply the experience gained from other clients to your situation.
3) Another big thing that separates the good from the bad is communication. We get super busy certain times of the year but having somebody who is responsive is crucial. You don't want a CPA that takes a few days to answer email. I find clients really appreciate this, even if it's a "I'm swamped, let me get back to you later in the week."
Hope this helps!!
Investor · brentwood, CA · Member since 2016 · 1k+ posts · 730 votes
9y
1) Confirm that a CPA is needed, bookkeeping services might suffice (and might be dramatically less expensive), IF your accounting requirements are basic and you possess adequate tax knowledge (this is my situation).
If a CPA is required,
ensure the person is in fact currently licensed in your state and has no record of any disciplinary issues.
If so then
Years of experience and areas of specialization. There really isn't much substitute for actual hands on experience working in the area your activities will be focused. But remember the more experience likely the higher the billing rate will be so it will require some judgement to assess who meets your needs best.
On a related theme you might ask for a name of some of this person's clients that are also engaged in activities similar to yours, or at least some general background on these clients if names are not to be revealed.
You might ask your attorney or banker or insurance agent (if you have one or more) for a referral. These types typically network closely together and will generally turn you on to solid and reputable professionals based upon your specific needs.
Size of the CPA firm may be of interest. The ability to appropriately delegate to lower billing yet fully competent professional staff can help perform your work more quickly, efficiently and cost effectively.
Proximity can be a factor but less so in this day and age. The ability to drive to the CPAs office is a small plus, as opposed to a firm that may not have an office in your general locale.
Lafayette, LA · Member since 2017 · 27 posts · 11 votes
9y
@Taylor Brugna, Thank you for sharing those points especially about communication. I work full time in healthcare IT and I can relate to the value of communication. I have rubbed shoulders with some accountants to know that January through April is Christmas and to be patient with them. LOL!