Real Estate Accounting in Provo
Utah County is one of the fastest-growing markets in the country, and a large share of the doors here are new. That means a material part of the accounting is not steady-state property management at all, it is the handover from construction to operations.
Proud AppFolio Stack™ Partners, working directly inside your AppFolio instance.
Utah rules that apply here
- Deposit return deadline
- 30 calendar days
- Statute
- Utah Code 57-17-3
Why Utah Real Estate Professionals Choose REA
AppFolio Expertise, Applied to Provo
Experts in AppFolio Bookkeeping
New construction lease-up has its own accounting shape, and getting it wrong is expensive in both directions. Costs incurred before a property is placed in service are generally capitalised into basis rather than expensed, including much of the pre-opening spend that feels like operating cost at the time. Expense it and the owner overstates loss in year one and understates depreciable basis for every year after. We set the in-service date deliberately and split pre- and post-service costs against it rather than reconstructing the boundary at tax time.
Assigned, Responsive Team
Lease-up also distorts every operating metric while it is happening. A building at 40 percent occupancy climbing to 95 produces expense ratios that mean nothing compared against a stabilised asset, so reporting has to separate lease-up period performance from stabilised performance or the owner draws conclusions from a number that was never comparable.
Accurate Monthly Bookkeeping
Once the doors are occupied, Utah's 30-day deposit rule under 57-17-3 applies like anywhere else in the state, with deductions permitted for costs and fees provided for in the contract. New build-to-rent portfolios often lease under a single standard agreement across hundreds of units, which is an advantage: one lease reviewed properly makes the deduction test consistent across the whole portfolio.
Deposit Compliance for Provo Portfolios
Utah Code 57-17-3
Utah Code 57-17-3 requires the balance of the deposit, the balance of any prepaid rent, and an itemised written explanation of every deduction, within 30 days of the renter vacating and returning possession. If that is missed, the renter may serve notice of non-compliance, after which the owner must refund the entire deposit and all prepaid rent plus a $100 penalty.
Utah is unusually broad about what a deposit may be applied to: unpaid rent, damage beyond reasonable wear and tear, cleaning, and other costs and fees provided for in the contract. That last category makes the lease part of the deduction test, so the ledger has to tie each deduction to the provision authorising it rather than only to the cost.
All Utah 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 Provo 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 Provo 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
Provo 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
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!
As REA exclusively specializes in Real Estate, I rest easy knowing my financials are precise every month while saving money at the same time, an invaluable benefit.
Frequently Asked Questions
Can you handle accounting for a property still in lease-up?
Yes, and we separate it from stabilised reporting. Lease-up expense ratios are not comparable to a stabilised asset, so blending them produces owner reporting that leads to the wrong conclusion about how the property is performing.
How do you treat costs incurred before the building opens?
Most pre-service costs are capitalised into basis rather than expensed. We fix the in-service date and split costs against it as they are incurred, because reconstructing that boundary at tax time is where basis quietly gets understated.
We use one standard lease across the whole community. Does that help?
It does. Utah lets you deduct costs and fees provided for in the contract, so a single reviewed lease makes the deduction test consistent across every unit instead of varying door by door.
More in Utah
Other Utah markets, the platforms we work in, and the functions available on their own.
AppFolio Bookkeeping for Provo
Schedule a call and we will review your AppFolio setup, your Utah deposit handling, and what it takes to close clean every month.