Real Estate Accounting & Tax Services

Not every rental owner needs ongoing accounting support. It becomes useful when property activity, financing, personal use or multiple entities make the records difficult to manage. A rental property tax accountant can help connect income, expenses and asset records with the applicable filings. MFS starts by reviewing your records and the work you actually need.

Yes. Property-manager statements can be reviewed alongside bank activity, leases and supporting documents within the agreed accounting scope. A net payment from a manager may combine rents, fees, repairs and reserve movements; keeping those components identifiable supports clearer property reporting.

MFS provides historical accounting cleanup and catch-up bookkeeping. The periods and accounts covered depend on the available statements, prior returns, asset schedules and other records. Missing information is identified during review; the scope and deliverables are agreed before work begins, and some items may require additional documentation.

That depends on ownership, liability concerns, financing and tax treatment. An LLC does not automatically lower taxes, and its federal filing obligations depend on its owners and elections. MFS can review tax and accounting considerations. Legal counsel should advise on entity formation, title and liability protection; confirm any transfer restrictions with your lender.

Sometimes, but a loss on the books is not automatically deductible against wages or business income. Rental activity is generally passive. Exceptions, including a limited allowance for certain actively participating owners or real estate professional treatment with material participation, have specific requirements. Basis, at-risk, passive-activity and other applicable limits must be reviewed; suspended amounts may carry forward.

MFS can review the tax considerations, existing depreciation records and any available study findings as part of an agreed planning engagement. Consider study cost, asset eligibility, timing, usable losses and eventual sale consequences. A cost segregation engineering study is a separate specialist service. Accelerated depreciation does not guarantee an immediately usable deduction or overall tax savings.

Keep purchase and closing documents, prior depreciation schedules, invoices, contracts, payment evidence and the dates assets were ready and available for rental use. Document what work was performed and distinguish repairs from larger improvement projects. Track personal use and disposals as applicable. Retain basis records through ownership and the applicable retention period after disposition.

Contact MFS while the transaction is still being considered, ideally before signing binding agreements. A sale review needs purchase records, improvements, depreciation schedules and prior-year losses. A refinance review needs loan terms, closing costs and the intended use of proceeds. Early discussion allows time to identify tax questions and missing records; mortgage origination is handled separately through Loan Factory.