Orlando has one of the most vibrant real estate markets in the country. That translates to significant opportunities for property owners and real estate investors. It also means increased competition.
For this reason, landlords have to be meticulous in their management of properties. Staying on top of owner statements, which provide a breakdown of all rental income and expenses during a particular period, is a good example.
Below are five must-know facts about owner statements. Keep reading to find out how they might apply to your Orlando real estate business.
1. They Provide Real-Time Information
Like with any business, having access to accurate, timely information is vital to real estate. Owner statements give you a glimpse into the financial health of your investment properties. This includes income, expenditures, and net income of any given asset.
Owner statements also let you drill down into the details, such as maintenance and repair costs for each property. You can look at general performance through occupancy rates. Owner statements also give you comprehensive glances at taxes and other expenditures.
2. They Are Useful for Record-Keeping
Owner statements can be valuable tools for financial reporting purposes, as they act as historical records. They allow you to look back at invoices, warranties, inspections, lease agreements, and other documents.
Owner reports can be invaluable during tax season. They are a summary of financial transactions, which makes them useful for calculating deductibles.
3. They Are a Helpful Management Tool
Owner statements are a valuable instrument for managing the daily operations of properties. They are an easy way to pull information about past maintenance, repairs, or improvement projects.
Owner statements can aid in lease management, providing records of rent or fee payments for specific units. They can point you to receipts and contact information for contractors you used in the past, including how much they charged for the work they performed.
4. They Are Vital to Financial Transparency
Accountability is extremely important to any business. That is especially true for ones like real estate where there are many transactions every day. With money coming in from rent and fees and going out for grounds maintenance, contractors, taxes, and other expenditures, owner reports are a good way to account for every penny.
They can be a way to verify that property managers or other staff are handling funds appropriately. In this way, owner statements can help build trust and confidence among all parties involved.
5. They Are Central to Decisionmaking
Owner statements act as a guide for future planning, including developing investment strategies. They provide data that helps you better assess the value and potential of any particular unit or property.
That also means that you can better plan for where to allocate resources. Owner statements give you an immediate glimpse into areas of deficit. They can help you determine what steps need to be taken to improve performance.
Learn More About Owner Statements and Other Real Estate Management Tools
Owner statements are an important part of any real estate business. An experienced property management company can further advise you on their many uses and functions.
PMI Property Solutions is a comprehensive management company serving Orlando and the surrounding areas. We offer a range of services, including accounting, financial management, and owner disbursements. Reach out to us today to learn more.
