All Forum Posts by: Dan V.

@Tracie Van The payment only goes to Undeposited Funds list if you choose Undeposited Funds account in the Deposited To field. And if that's how you process the payment, then yes, when you delete a deposit from the bank register, it should put the items back to Undeposited Items list. If not, I'm guessing, when you processed the receive payment, you may have selected the an account/category, other than the Undeposited Funds in the Deposited to field. I suggest going back to the payment that you think was an error and make sure the Deposit to account is correct. If that did not work, then yes, you have to work backward, delete the deposit, delete the payments and start over again. 

@Account Closed You can do either (make deposit or transfer) and use an equity category (Owner investment, owner contribution, etc.). The payment method is more important if you are processing payments from customers, for tracking purposes, but for this transaction, you can leave the payment method blank. 

@Dillan Ruthenberg Number 2 is preferable since you can track if anybody owes you anything if you run AR report. Not sure what you mean by last month's rent but if you mean a prepayment for last month's rent, then you can create an invoice for it using an item mapped to Prepaid Rent Liability account. And once it's time to recognize it, just create an invoice for the last month as you normally would and add a second line to the invoice using the same item for the prepaid rent but enter it as a negative amount, therefore making the invoice zero. Hope that make sense. 

@Ryan Runchey If you are planning to scale up in the future, then QBO is a good option and you can start with the lower tier subscription for a single property, you can upgrade later when you acquire more properties. You're also doing the right thing having a separate bank account for the rental. Make sure to run all business-related transactions to this account and avoid commingling. There's not a lot of online tutorial for setting up QBO in real estate industry so your best bet is to hire professional to set up the books and the process and teach you how to use it. You are on the right track though!

Thank you for the responses. 

@Catherine Emert I called both utility companies and they asked me to submit an application for the services for one-time $20-$30 fee and provide proof of purchase and at least 24-48 hours to do so. However, I found out the previous owner owes some money to the company so I'm guessing that's why he does not want it back on since he might be required to pay for it so I'm working with my agent to find out what's the best approach to resolve the issue. 

@Corby Goade So far I did not budget for the plumbing or any leak repair when I made the offer that's why I really wanted it inspected with all utilities on so I can modify my offer if any issues have been discovered. And yes, the plan is to have it under my name when inspected. 

@Mike McCarthy Now you're making me worried, but you have a good point, I am just hoping that's not the case. :) While researching, I came across that suggestion about pressure testing but the inspector I spoke to, did not suggest that as an alternative (probably he does not have the equipment). If reconnecting it gives me so much hassle, I may have to consider your suggestion. 

Sorry for the double post! I'm working on a deal in Norfolk and inspection is a contingency. The seller agreed to keep the electricity on but he won't turn back on gas & water. The house was built in 1950's and I just want to make sure the gas & water lines are free from any leaks. Rather than prolonging the negotiation with the utilities, I was thinking I will have the utility companies turn it back on under my name on the inspection date then turn it off after. How long does it take for the utility company to turn it on and for how much? Water company is HRUBS and gas is VA Natural Gas if that will help.

Anybody who has an experience like this? How did you deal with it?

@Debbie Tringale Not trying to be biased here, but I think getting help from an accountant might actually help you understand the actual situation of your businesses. What works for others may not work for you or vice versa and your business model may be different from others. You might be generating "good income" which I'm assuming is your "gross income" but that does not matter if your cost and overhead are also high, what matters most are your bottom line (net income) and net cash flow. 

$150-200 per door per month may not be a lot for single property, but if you have 20 or more of them, well, that's a different story. And yes you will put a lot of work in the beginning, but later, your properties will work for you. Don't give up, you'll figure it out!

I'm working on a deal in Norfolk and inspection is a contingency. The seller agreed to keep the electricity on but he won't turn back on gas & water. The house was built in 1950's and I just want to make sure the gas & water lines are free from any leaks. Rather than prolonging the negotiation with the utilities, I was thinking I will have the utility companies turn it back on under my name on the inspection date then turn it off after. How long does it take for the utility company to turn it on and for how much? Water company is HRUBS and gas is VA Natural Gas if that will help.

Anybody who has an experience like this? How did you deal with it?

@Jim Young Disregarding the opinion of the roofer on taxes, I would go back to him and ask what are the pros and cons (including the costs) of replacing half versus the entire roof, or better yet ask another roofer who's expert on the roof, not the taxes. As far as taxes, it's not as simple as 50% or 100% replacement, there are different factors to consider to determine if it's an opex or capex. And if you are concern about the timing of when will you expense the costs, as Natalie mentioned, expensing it outright may not benefit you at all, because that depends on your tax situation. Talk to the roofer about the roof and to your accountant about the tax. You asked the questions, so I'm pretty sure you will figure out the best answer to your situation. :)

@Ben Feder BP & meetup is where you will find networking events in your area. For BP, when you click the BiggerPockets logo in the upper left-hand corner of the screen it will take you to your homepage/dashboard then at the lower right-hand you will see a section for local events. Once you connected with one, don't hesitate to ask for recommendations for the other members of your team, until you grow your list, and pick which one fits your criteria. I'm also just starting out and slowly building up my amazing team. Good luck!