How your distribution is determined
We review the month’s financial activity and the funds available after bills, reserves, and other property obligations. We then process your distribution according to the arrangements established for your account. Your reports and distribution are part of the same monthly accounting cycle.
Cash in the account and cash available to send
A cash balance can include security deposits, rent paid ahead, or money needed for bills and upcoming expenses. For example, rent received early for next month may already be in the account, but still needs to cover next month’s obligations.
Why the amount can change
Rent may arrive late, a unit may be vacant, or several bills may be paid in the same month. A repair can also reduce the payment. Net cash flow on a report and your distribution can differ because some funds need to remain with the property.
Reserves, fees, and additional funds
The property reserve helps cover expenses between rent receipts. Your agreement sets the reserve and management fees. When available funds won’t cover planned work or other obligations, we’ll explain the contribution needed and when it’s needed.
At year-end
Your financial reports and any tax forms we provide are part of your year-end records. Keep records of property expenses you pay directly as well, so your tax preparer has the full picture.