Sagareus Property Management's Accounting Team provides property owners with monthly financial reports that offer timely visibility into income, expenses, and overall performance. Monthly reporting allows for proactive decision-making, improved cost control, and faster identification of revenue opportunities.
Owner distributions are paid via EFT to the bank account selected during Owner Onboarding. Reports are delivered on the same day Sagareus issues payments. Funds typically become available in your account within 2–3 business days, depending on your financial institution.
1 to 4 Unit Properties: Owner reports and distributions are issued between the 15th and 20th.
The Rental Owner Statement is the most comprehensive monthly report, summarizing all financial activity for the property during the reporting period in one easy-to-read document.
This report includes:
All income and expenses
The property’s total cash balance (including security deposits, tenant prepayments, current income, and the property reserve)
The Available for Payment amount submitted for the owner draw
The Available for Payment amount represents the property’s cash balance minus security deposits, tenant prepayments, and the property reserve.
The Income Statement provides a year-to-date view of income and expenses by month and is the best tool for evaluating overall property performance.
Owners use this report to:
Compare monthly income and expenses
Identify trends in operating costs
Understand monthly profit and loss
The Rent Roll provides an overview of tenants and their individual ledgers.
Owners can review:
Current tenant balances (credits or amounts due)
Security deposits and prepayments
Recurring charges such as rent and utilities
This report offers a snapshot of tenant payment status and account activity.
The Bank Reconciliation allows owners to cross-reference financial reports with actual transactions in the owner operating account.
This report confirms how reported income and expenses align with bank activity during the reporting period, providing transparency and verification of account balances.
Sagareus offers utility pass-through billing, which allows utility charges to be billed directly to the tenant through their ledger rather than requiring utilities to be transferred into the tenant’s name.
Utility bills are initially paid from the owner’s operating account and then fully recovered from the tenant during the next rent cycle. As a result, owners will see the utility expense appear on the operating account before the corresponding reimbursement is collected.
Sagareus receives the utility bill
Sagareus pays the bill from the owner’s operating account
The exact utility amount is added to the tenant’s ledger for the upcoming rent cycle
The tenant pays the full ledger balance with rent
The recovered amount is recorded as Utility Recovery
This process is used for four key reasons:
Ensures 100% recovery of utility costs from the tenant(s)
Allows management to monitor for unusually high usage, which may indicate leaks or unauthorized occupants
Confirms utilities are paid on time and remain active, preventing service interruptions
Reduces administrative errors and delays caused by repeatedly transferring utility accounts between residents
Sagareus accounts on a cash basis, meaning income is recorded when it is received, not when it is earned or billed.
Because management fees are calculated as a percentage of gross income received, the timing of tenant payments can cause month-to-month fluctuations in the management fee.
For example:
If a tenant pays January rent on January 1 and February rent on January 30, both payments are recorded in January.
January income will be higher than usual, resulting in a higher management fee for that month.
If that same tenant makes no payments in February, February income will be lower, and the management fee will decrease accordingly.
Over time, these fluctuations balance out; Fees reflect when funds are received, not an increase or decrease in total fees charged.
The most reliable way to cross-reference your management fee is by reviewing your Income Statement.
All income received in one month will be reflected in the following month’s management fee calculation.
Occasionally, management collects administrative fees related to tenant payments. Most commonly, these are credit card processing or surcharge fees incurred when a tenant chooses to pay rent by credit card.
Because tenant payments are deposited directly into the owner’s operating account, these processing fees must be recorded as an expense on that account. As a result, they appear on the bank reconciliation.
These fees are management-related and do not impact the owner’s financial reports or statements, aside from their appearance on the bank reconciliation.
The Property Reserve is a set amount retained in the owner’s operating account and withheld from the monthly owner draw. It functions as the property’s minimum operating balance.
The reserve amount is typically equal to the Authorization Amount specified in your Property Management Agreement. Once the reserve is established during the initial owner draw, it does not reduce future income or monthly distributions, provided the balance remains intact.
The Property Reserve allows Sagareus to continue paying approved expenses—such as utilities, maintenance, and vendor invoices—after an owner draw is issued and before the next rent cycle begins.
The Property Reserve amount is set according to the Authorization Amount outlined in your Property Management Agreement.
The Authorization Amount is the dollar amount Sagareus is authorized to spend on your property without prior owner approval, as outlined in your Property Management Agreement.
This amount allows Sagareus to respond quickly to urgent maintenance issues that impact habitability, safety, or prevent further damage.
The recommended Authorization Amount is at least $2,000.
This level typically covers major emergency repairs—such as a water heater replacement—which would only be completed if absolutely necessary.
The Authorization Amount is intended for emergency or last-resort repairs only
Sagareus’ goal is always to control costs and avoid unnecessary expenses
This authorization ensures issues can be resolved promptly without delays that increase damage, cost, or resident disruption
The minimum allowable Authorization Amount is $1,000.
Amounts below this threshold significantly slow response times and prevent Sagareus from providing adequate resident relations and effective property management.
Effective Property Management stems from a commitment to continually improving systems and processes. As markets, regulations, and tenant expectations...
