Set yourself up for success on Stessa with this 4-step process to refine your dashboard metrics and bring your transactions data current.
1. Confirm Acquisition Details
Your Property and Portfolio dashboards are only reliable when the underlying data is accurate and complete. The first step to dialing in your dashboards is to confirm the correct acquisition cost and date are entered for each Property.
Navigate to the Property Details page and then click on "+ Add Acquisition Details" to bring up the Financial Details editor. Confirm the Acquisition Date, Acquisition Price, Current Loan Balance, and Date Placed in Service. This original cost basis is used to calculate the Cash-on-Cash metrics on your dashboards.
Click the "Save" button.
2. Bring Your CapEx Schedule Current
Visit the Transactions page and enter all historical capital projects here, including renovations, major plumbing/electrical upgrades, new doors, windows, and flooring, and any other costs you'd like to capitalize and depreciate over the useful life of the project by clicking "+Add" and selecting the Capital Expesens category.
You can enter a single line item called "Closing Costs Added to Basis" dated the same as your original acquisition for certain closing costs that become part of your original basis. These typically include things like seller owed property taxes that you paid and were not reimbursed for, owner's title insurance costs (not lender's), legal fees, recording fees, and survey fees among others. Loan fees are not considered part of your cost basis as they are amortized separately for tax purposes.
3. Confirm Your Loan Details
Mortgage and other loan details are managed through the "Loan-to-Value" and "Mortgage" cards located just below the "Property Notes" card on your Property Details page. To add a new loan, click the small gear icon on the "Loan-to-Value" card and select "Enter Loan Details."
Enter in as much detail as you can so that Stessa can generate accurate metrics.
To edit the details of an existing mortgage or loan, click the small "pen and pad" icon on the "Mortgage" card.
4. Add or Import Cash Flow Data from Prior Periods
Now that we've entered acquisition, capital expenses, and loan details, you have a few different options for entering historical investment performance data. In prior years, it's likely that you either tracked cash flow in a spreadsheet or relied on your bookkeeper or CPA to tally everything up at the end of the year.
Depending on how much detail you want to track in Stessa for prior years, you can navigate to your Transactions page and bring your data current in one of the following ways:
Simply record a new manual "Income" transaction dated Dec 31 of each prior calendar year of ownership, in an amount equal to your total net cash flow (after debt but before taxes) for the year. Ignore operating expenses and debt expenses since you're recording a pure net cash flow number.
Manually record transactions dated Dec 31 of each prior calendar year of ownership, for "Income" equal to gross income and for each "Operating Expenses" category equal to the amount recorded for each on your Schedule E. Make sure the math ties out to your final net cash flow number for the year.
Use the CSV upload process detailed in How to Import Transactions Data (CSV) to populate your Transactions page with detailed income and expense line items from prior time periods.
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