spouse’s wages), to inheritance and gift monies, and even tax refunds or

loans. It could also be a reimbursement from a friend who owes you money
for something entirely unrelated to your real estate investment business
(like plane tickets to Mexico or his portion of a dinner out). If it is a loan
and that’s identified on your statement, it should at least jog your memory if
you need to find supporting documentation.

RED FLAG

Novice investors may not realize how easy it is to lose track of

deposits that are entirely unrelated to their investment
businesses. Do not let yourself get caught!

SOPHISTICATED INVESTOR TIP

Make a copy of every cheque that is not a routine transaction for

that bank account and keep all loan documents in your
permanent file. Transfer these to your current file only after they
are paid off.

SOPHISTICATED INVESTOR ACTION STEP

Put your bank statement to work

Your bank statements are a great place to start a good record-
keeping system. With separate accounts for personal and
investment purposes, you’ll have less trouble tracking money in
and out.