It’s hard to believe 2023 is nearing its end. We feel we’ve had a very successful year as a company. We’ve grown at a steady pace. We’ve narrowed in on some of our long-term goals. We’ve trained a new bookkeeper. We have added staff to our company, and are strategizing ways to improve our business. We do all of this with you, the owner of the properties we manage, in mind. Without you and your trust in our services, we wouldn’t be where we are today.
To recap the year, and provide a few reminds of important tax information, we will provide some information below:
1099 Season is upon us. Meaning we will be issuing you your 1099 by the end of January 2024. Your 1099 is used to show the income we’ve received on your behalf throughout the calendar year. Something to be aware of, that we come across each year, is receiving January of 2024’s rent in December of 2023 because a tenant pays early. Per IRS law, we are required to show the income when it’s received, not when it’s applied. So, if you happen to see two month’s worth of income in December, nothing is wrong. You have a tenant who pays early! Additionally, per IRS law, if an operator needs to provide 10 or more 1099’s in calendar year 2023, then the 1099 MUST be filed electronically. You can still request a personal paper copy for your records (which is also posted in your owner portal) by calling our office to request one.
We will also be providing you with a cash flow statement showing you the activity over the past 12 months in calendar year 2023 to be given to your tax preparer.
Why we use a lockbox to show property
Using a lockbox for property showings offers several benefits for property managers, especially when compared to traditional in-person showings:
- Time Efficiency: Lockboxes allow us to facilitate multiple showings without being physically present. This saves time, as they don’t need to travel to and from the property for each showing.
- Convenience for Potential Tenants: Potential tenants can view the property at their convenience, without the need to coordinate schedules with us. This can lead to a higher number of showings and potentially faster rental agreements.
- Reduced Scheduling Conflicts: Since we don’t need to be present, scheduling conflicts are significantly reduced. This is especially beneficial when managing multiple properties.
- Reduces Discrimination: In an age of Fair Housing guidelines, the best practice is to allow the prospective applicants to view the property themselves to discourage any forms of purposeful/accidental discrimination.
- Increased Security: Modern lockboxes often come with features such as one-time access codes, which enhance security by ensuring that only authorized individuals have access to the property. The Rently lockbox system we utilize also requires those that sign up to input their identification as well as their credit card information.
- Remote Management Capability: We manage properties in many different locations. Lockboxes allow us to handle showings remotely, eliminating the need for constant travel.
- Tracking and Monitoring: Some advanced lockbox systems can track who accessed the property and when, providing an audit trail that can be useful for security and management purposes.
- Cost-Effective: Over time, using a lockbox can be more cost-effective than the cumulative time and resources spent on in-person showings, especially for high-demand properties.
- COVID-19 Safety: In the context of health concerns like the COVID-19 pandemic, lockboxes reduce the need for direct human interaction, making property showings safer for those that might be uncomfortable or immune deficient.
- Flexibility for Emergencies and Last-Minute Showings: In case of last-minute or emergency showings, a lockbox provides immediate property access without the need for the property manager to be present.
That’s all for now!
We shall chat in 2024! Have a great and safe New Year!