All Forum Posts by: Matthew Beans

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $149,000
Cash invested: $50,000
Sale price: $255,000

Bought this little 700 sqft house in central Phoenix on a small lot. It smelled terrible, and was infested with spiders and cockroaches. We blew out a few walls and did a full remodel. Looks beautiful now, and made a nice profit.

What made you interested in investing in this type of deal?

To build more capital

How did you find this deal and how did you negotiate it?

With a wholesaler.

How did you finance this deal?

Hard money loan

How did you add value to the deal?

Made it beautiful.

What was the outcome?

See the pics.

Lessons learned? Challenges?

Bookkeeping was a pain in the butt. So, I started a bookkeeping business specializing in Real Estate Investment bookkeeping. It's doing great!

@Christopher Parsons

Hope you've found a VA or bookkeeper to help you out with this.

All of our clients are on Quickbooks, so I can only speak to that.

If you've chosen to go the QBO route:

- be sure your chart of accounts is sufficient. (real estate specific)

- Each property is its own class

- Connect your bank accounts

This is pretty simple, but time consuming. If you need any further help, I'd be happy to connect with you.

I'm a little late to this thread, but @Karen Chenaille you make an excellent point! Bookkeeping is not a profit producing activity. There are higher and better uses of your time to grow the business and make more money. 

When I started investing in real estate I couldn't figure out a good way to get my books done without it taking up too much time. 

That's when I created The REI Bookkeepers. We do bookkeeping for real estate investors. We figured it out.

I can only speak from experience. All of our clients are on Quickbooks online. We categorize expenses very well for customized reports to see what is being spent on Maintenance, Utilities, Cleaning, etc. Each property is it's own class. 

For the reports - go to reports, and look and your P+L by class. Most likely, it'll be Accrual. Select your date range, and Boom, you've got every number you need to make decisions. 

These reports are helpful for us to guide our clients in making CFO type decisions. They should help you as well! 

The toughest part is not creating the reports... it'd doing the bookkeeping consistently and accurately. 

All of our clients are setup with Quickbooks online. They vary from fix and flip to rentals to creative deals. Quickbooks online works great!! They love that they have to do very little book keeping now because we do it for them, allowing them to do more deals and grow their business. 

We set up our clients with Quickbooks Online. While it's not "Real Estate" Specific, It is so customizable. We have a chart of accounts specific for real estate, once setup, they are ready to fly on their own. We do offer book keeping for clients on a monthly basis. Typically, for rentals, once you're setup... you got it! As a QB Pro-Advisor we are able to offer wholesale pricing on Quickbooks online to our clients. 

Quickbooks online is a great tool. It allows you to easily scale your business without having to switch bookkeeping/accounting softwares. I do bookkeeping for real estate investors, and we exclusively use Quickbooks Online for every Client. They love it.