Real Estate Accounting in Des Moines
Iowa has a deposit interest rule that runs the opposite way to most states, and it rewards exactly the long tenancies that Des Moines portfolios tend to produce.
Proud AppFolio Stack™ Partners, working directly inside your AppFolio instance.
Iowa rules that apply here
- Deposit return deadline
- 30 days from termination and the tenant's address
- Statute
- Iowa Code 562A.12
Why Iowa Real Estate Professionals Choose REA
AppFolio Expertise, Applied to Des Moines
Experts in AppFolio Bookkeeping
Under 562A.12 any interest earned on a rental deposit during the FIRST FIVE YEARS of a tenancy is the property of the landlord. After that it is not. Most states either require interest from the start or never, so a rule that switches ownership at a five-year boundary is genuinely unusual, and it means a long tenancy quietly changes the economics of the deposit it is secured by.
Assigned, Responsive Team
That makes tenancy start date an accounting input rather than a leasing detail. A portfolio with a meaningful share of tenants past five years has interest accruing to the tenant on those deposits while the rest accrues to the landlord, and a single blended treatment across the trust account is wrong for one group or the other. We track the boundary per tenancy.
Accurate Monthly Bookkeeping
The return clock has its own trigger. Iowa runs 30 days from termination AND receipt of the tenant's mailing address or delivery instructions, so like Indiana the tenant's act starts the period. Recording the date that address arrived is what evidences the deadline was met.
Deposit Compliance for Des Moines Portfolios
Iowa Code 562A.12
Iowa 562A.12 caps the deposit at two months' rent and requires return, or a written statement of deductions, within 30 days from termination AND receipt of the tenant's mailing address or delivery instructions, so the tenant's act starts the clock.
Iowa's interest rule runs opposite to most states: any interest earned during the FIRST FIVE YEARS of a tenancy is the property of the LANDLORD, and after that it is not. A five-year ownership boundary is genuinely unusual and it makes tenancy start date an accounting input, because a portfolio with tenants either side of it cannot use one blended treatment. Deposits must be held for the tenant at a federally insured institution and must NOT be commingled with the landlord's personal funds.
All Iowa requirementsHow we keep you inside it
- Deposit liabilities tracked per tenant in AppFolio, so a 30 days from termination and the tenant's address deadline is answerable from the ledger
- Trust accounts reconciled three ways every month
- Deduction documentation recorded against the correct ledger
- Aging deposits flagged before the statutory window closes
Appfolio Bookkeeping Services from REA
Available to Des Moines Operators
Trust Bookkeeping
Leverage Appfolio's powerful bookkeeping capabilities with REA's tailored service.
See how it worksCorporate Bookkeeping
REA's skilled team, in combination with Appfolio's comprehensive toolset, addresses the complexity of your corporate financial activities.
See how it worksBank Reconciliations
Employing Appfolio's state-of-the-art system, REA offers bank reconciliation services that brings meticulous accuracy to your finances.
See how it worksFinancial Diagnostic Cleanup
REA utilizes Appfolio's advanced diagnostic tools to swiftly and effectively troubleshoot financial anomalies.
See how it worksTrust Compliance
REA pairs its accounting prowess with Appfolio's detailed reporting to deliver comprehensive Trust Compliance Verification services.
See how it worksAppFolio Accounting & Bookkeeping Services
For Des Moines Portfolios
- Process Review & Set Up
- Bank Reconciliations
- AP / AR
- Accurate NOI, Balance Sheets
- Recording HUD's & Accruals
- Owner Distributions
- Monthly Statements & Reports
- Management Fees
- Corporate Bookkeeping
- Tenant Chargebacks
Take the Whole Close, or One Function
Des Moines operators use REA for the full monthly close or for the single function that has become a bottleneck. Each one is performed inside your AppFolio instance.
Trust Accounting
Compliant, audit-ready trust funds
Learn moreBank Reconciliation Services
Three-way reconciliation, every account
Learn moreAccounts Payable & Receivable
Bills paid, rent collected, owners paid
Learn moreBookkeeping Cleanup & Catch-Up
Back books fixed and current
Learn moreCAM Reconciliation
Annual commercial true-ups
Learn moreExperts In All Property Types
- Single-Family
- Multifamily
- Student Housing
- Affordable Housing
- Community Associations
- Commercial
Experts In All Property Types
Residential, commercial and everything in between. The asset class changes what the books have to prove, and our teams are staffed accordingly.
- Single-Family
- Multifamily
- Student Housing
- Affordable Housing
- Community AssociationsSee the page
- CommercialSee the page
Check Out What Our Clients Have To Say About Us
Property Managers, Investors & Owner Operators
Real Estate Accounting truly is a special company. They helped as if they were a part of our company, with the concern and caution as an employee would have, but even more. They quickly ascertained our needs and developed an effective team to help with our accounting needs. They were extremely responsive and always accurate. I would recommend their services to anyone who needs help with their property management accounting.
Adam the owner took a personal interest in my situation and was willing to work with me to see if his company was a good fit. I may be too small for them but I would highly recommend them to anyone considering a bookkeeper for their property management business.
Following a series of erroneous financials from my previous bookkeeper, who lacked expertise in real estate, it's been truly remarkable to receive not only accurate financials on a consistent basis but also proactive advice without prompting. The REA team is a game-changer in real estate accounting!
Frequently Asked Questions
Who owns the interest on an Iowa deposit?
The landlord, for the first five years of the tenancy. After five years that changes, which makes tenancy start date an accounting input rather than a leasing detail.
What if some tenants are past five years and others are not?
Then a single blended treatment across the trust account is wrong for one group. We track the five-year boundary per tenancy so the accrual follows the right party.
When does the 30-day clock start?
On termination and receipt of the tenant's mailing address or delivery instructions, so the tenant's act starts it. Record the date that address arrived, because it is what proves the deadline.
More in Iowa
Other Iowa markets, the platforms we work in, and the functions available on their own.
AppFolio Bookkeeping for Des Moines
Schedule a call and we will review your AppFolio setup, your Iowa deposit handling, and what it takes to close clean every month.