Tax Strategy for newbie investors

[Jesus Sosa]

BP Community, as a newbie investor in Rental Single Family properties what is something I should be starting as a foundation to my future rentals. I hear that if you wait until after a few rentals to contact a CPA and start a system, it becomes much difficult and could even cost you money (not saving money!) When it comes to tax season.

Once I started to begin my RE journey. I began tracking all my mileage and expenses via Excel Spreadsheet. Currently closing on my first rental planning to BRRRR after seasoning period.

Thank you all.

[Dave Spooner]

@Jesus Sosa I would strongly recommend contacting a CPA that specializes in income and rentals as soon as you can. Consider them not just a vendor but an advisor. They'll give you tips and suggestions on how best to keep your data. They'll help with your management and acquisition strategy from a tax perspective. Their input is really invaluable and can save you thousands in the long run.

I would also agree with what others have said and look into software to help you manage the books. Rental management software can automate all the income for you and make the expenses easier. Quickbooks is also a solid tool for accounting but you will need to enter the data yourself. And of course you can rely on Excel, but you must be diligent with it.