Real estate bookkeeping for agents, brokers and rental investors
Commission checks arrive unevenly, splits and brokerage fees come out of each one, and every rental needs its own P&L. We keep your real estate books current inside your software so your CPA gets clean numbers at tax time.
- Lumpy commission income
- Closings pay in bursts, so without a set-aside tracked each month, estimated tax payments become a scramble your CPA sees too late.
- Rentals blended together
- When every property runs through one account, repairs, improvements and security deposits blur, and Schedule E support gets rebuilt by hand at year end.
The books
What makes real estate books different
Agents, brokerages and rental investors keep different books, so here is what each area involves and what we do with it.
| Area | What it involves | What the team does |
|---|---|---|
| Commission income and splits | Gross commission, the brokerage split, cap progress, transaction and franchise fees, and referral fees all land on one closing statement. | We record each closing from its commission or settlement statement and match the net deposit. |
| Agent operating expenses | Marketing, MLS and association dues, lockbox and signage, vehicle mileage and license renewals, kept apart from personal spending. | We categorize each transaction and ask you about anything missing a receipt or business purpose. |
| Estimated tax set-asides | The IRS treats licensed agents paid on sales under a written contract as self-employed, so no tax is withheld and estimated payments fall on you. | We track the set-aside you and your CPA agreed on and show it in each report. |
| Brokerage trust accounts | Many state commissions require brokers to reconcile trust accounts holding earnest money and client funds monthly, so bank, journal and client ledgers agree. | We prepare the monthly three-way reconciliation worksheet for the broker to review and approve. |
| Agent and team payouts | Brokerages and teams usually pay agents as contractors, so payouts must be tracked all year for the 1099-NEC forms due in January. | We keep payee records and W-9s current and prepare 1099 data for your CPA or filer. |
| Per-property rental books | Each rental needs its own books and each security deposit its own record, since the IRS counts a deposit you keep as income that year. | We tag every transaction to a property and keep a deposit ledger for each tenant. |
| Repairs versus improvements | The IRS treats repairs and improvements differently, and the split drives depreciation. Your CPA decides; the records have to show what the work was. | We attach invoices and flag larger jobs for your CPA to classify. |
What the Velorus team handles
- Recording closings from commission and settlement statements
- Bank and card reconciliations for operating and rental accounts
- Monthly three-way trust reconciliation worksheets for broker review
- Per-property income, expense and security deposit tracking
- Agent payout records, W-9 collection and 1099 data prep
- Bills, rent receivables and payroll journal entries
- Month-end close and management reports by property or agent
What stays with you and your CPA
- Tax returns, entity choices and depreciation decisions stay with your CPA
- The broker approves trust reconciliations and answers to the state commission
- Classifying repairs versus improvements is your CPA's call, made from our records
- You approve splits and payments; the broker approves every trust disbursement
- QuickBooks Online
- Xero
- Stessa
- Baselane
- Lone Wolf Back Office
- BoldTrail BackOffice
We work inside QuickBooks Online or Xero, your rental tools like Stessa or Baselane, and brokerage back offices like Lone Wolf Back Office or BoldTrail BackOffice (formerly Brokermint), with the logins you provide.
Want the books closed on schedule every month?
Tell us where your books stand and which software you use. We will come back with the team, the close calendar we would start from, and what the first month looks like.
The calendar
Your month, closed
- Weekly
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Closings and transactions recorded
We book each closing from its commission statement, categorize bank and card activity, and tag rental transactions to the right property.
- Month end
-
Reconciliations and the month-end close
We reconcile bank, card and trust accounts, prepare the three-way worksheet for the broker, and close the month with per-property P&Ls.
- Quarterly
-
Estimated tax picture for your CPA
Before each federal estimated tax due date, we send your CPA year-to-date commission income, expenses and the set-aside balance.
- Year end
-
Schedule E and 1099 support
Per-property totals, the flagged repair and improvement list, and contractor payout data go to your CPA, who prepares and files.
Every week
What your weekly report tracks.
A named Velorus manager reviews the work against the standard you signed off, and sends you one report.
-
Net commission by closing
What each deal actually paid after splits, fees and referrals, so you can see which business is worth chasing.
-
Tax set-aside versus target
Tells you whether the reserve for estimated payments is keeping pace with commissions received this year.
-
Trust reconciliation status
Whether bank, books and client ledgers agreed this month, with any variance listed for the broker to resolve.
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Net operating income by property
Which rentals carry their weight, listed with open repair items and the security deposits held.
Your options
A managed team, compared.
| Velorus managed team | In-house bookkeeper | Bookkeeping firm | |
|---|---|---|---|
| Trust and commission workload | Weekly bookkeeping plus a monthly trust worksheet, reviewed by a named manager | Knows your agents and deals well; coverage depends on one person's availability | Specialist firms often know state trust rules; scope and turnaround vary |
| Who does the work | Trained specialists under a named Velorus manager | One employee you hire and manage | Staff the firm assigns, which can change |
| When someone is out | The team covers and the close stays on schedule | The work waits, or you cover it | Depends on the firm |
| Reporting | A weekly report plus the monthly close package | Whatever you set up | Monthly statements, depending on the package |
Questions
What real estate agents and investors ask first.
What does real estate bookkeeping cover for a solo agent?
For a solo agent, real estate bookkeeping means recording each closing net of splits and fees, categorizing marketing, dues and vehicle costs, reconciling every account monthly, and tracking a tax set-aside. Your CPA uses those books for your return and quarterly estimates. We keep them current weekly inside your software and send you a weekly report.
Can you reconcile our brokerage trust account?
We can prepare the monthly reconciliation many state commissions require, comparing the bank statement, the trust journal and each client's ledger, and we flag any variance. The broker reviews and approves it and remains responsible under your state's rules. Disbursing trust funds and answering commission audits stay with the broker.
Where is the team based and what hours do they work?
Our specialists are based in the Philippines and work US hours, so they are online during your business day when a closing statement or a receipt question comes up. A named Velorus manager owns the output and reviews the work every week against the standard agreed at scoping.
Do you handle depreciation or decide what counts as an improvement?
No. Depreciation, entity structure and the repair versus improvement call belong to your CPA. We make that call easier: every larger repair job is recorded with its invoice, property and a description of the work, and flagged for your CPA before year end. We do not give tax advice or sign returns.
Get your real estate books current
Tell us whether you are an agent, a brokerage or a rental investor and which software you use, then book a call to scope the work.