» How to Create a Simple P&L
Commercial real estate lenders want to see P&Ls for income producing properties before deciding whether to fund a loan. Submit your loan request with a simple, clear P&L for your rental properties, including:
- Gross rents received
- Less Expenses
- Current mortgage payments
- Legal / secretarial / accounting / other services
- Net income
Keep the accounting simple and clear. Lenders like to know you have a handle on your money, but don't like to see that you making things so complex that there is an impression you are trying to snowball someone about where the money goes.