Real Estate Accounting in Grand Rapids
Grand Rapids has grown steadily rather than explosively, and its portfolios tend to be mid-sized and professionally managed. That makes the failure mode here procedural drift rather than inexperience.
Proud AppFolio Stack™ Partners, working directly inside your AppFolio instance.
Michigan rules that apply here
- Deposit return deadline
- 30 calendar days
- Statute
- MCL 554.609
Why Michigan Real Estate Professionals Choose REA
AppFolio Expertise, Applied to Grand Rapids
Experts in AppFolio Bookkeeping
Michigan caps the deposit at one and a half months' rent, and the cap is calculated against the rent actually charged. In a portfolio where rents have risen over several years while deposits were set at move-in and never revisited, the cap is rarely the binding constraint. The reverse case is the risk: a unit re-let at a lower rate with the previous deposit rolled forward can quietly exceed the permitted maximum against the new rent.
Assigned, Responsive Team
Rolling deposits forward between tenancies is common and rarely examined. When a tenant transfers between units in the same portfolio, the deposit often moves with them administratively without the underlying calculation being redone, and the new unit's rent is what governs. We recalculate on transfer rather than carrying the figure across.
Accurate Monthly Bookkeeping
Michigan's move-out consequences make that worth getting right. The itemised list under MCL 554.609 must be mailed within 30 days of termination of occupancy with the estimated cost of repair and the basis for each item, and failing it means the landlord is treated as agreeing no damages are due. An excessive deposit and a procedural failure compound into returning more than was ever properly held.
Deposit Compliance for Grand Rapids Portfolios
MCL 554.609
Michigan MCL 554.609 requires the itemised list of damages, including the estimated cost of repair for each item and the basis for the assessment, to be mailed within 30 days after termination of occupancy. Failure to comply constitutes AGREEMENT by the landlord that no damages are due and the full deposit must be returned, so the right to retain does not shrink, it disappears. A second clock follows: where damages are claimed and disputed, an action generally must be commenced within 45 days of the tenant vacating or the tenant may recover double.
Michigan caps the deposit at one and a half months' rent measured against the rent actually charged, and requires a move-in inventory checklist that functions as the baseline for every later deduction. Because the cap follows current rent, a deposit rolled forward when a tenant transfers units can quietly exceed the permitted maximum, so it has to be recalculated on transfer rather than carried across.
All Michigan requirementsHow we keep you inside it
- Deposit liabilities tracked per tenant in AppFolio, so a 30 calendar days 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 Grand Rapids 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 Grand Rapids 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
Grand Rapids 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
I highly recommend Real Estate Accounting (REA) services from this group. They truly are great and have helped us tremendously at a time we needed it the most. I felt very comfortable giving up all my accounting responsibilities to this team and I'm still glad I made the decision to work with this group. Nothing less than an amazing experience!
REA and team have been nothing but excellent helping our firm with its day to day financial needs. Their expertise, professionalism, and timeliness have made our lives so much easier. We foresee a long relationship with REA and team.
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.
Frequently Asked Questions
Can we move a tenant's deposit with them to a different unit?
Administratively yes, but the calculation has to be redone. Michigan's cap is one and a half months of the rent actually charged, and the new unit's rent governs, so a rolled-forward deposit can quietly exceed the maximum.
Does the deposit cap change if rent changes?
The permitted maximum is measured against the rent charged, so a unit re-let at a lower rate with the old deposit carried across is the case to watch.
What is the consequence of missing the itemisation?
Michigan treats it as agreement that no damages are due, so the full deposit goes back regardless of the actual condition of the unit.
More in Michigan
Other Michigan markets, the platforms we work in, and the functions available on their own.
AppFolio Bookkeeping for Grand Rapids
Schedule a call and we will review your AppFolio setup, your Michigan deposit handling, and what it takes to close clean every month.