MRI Month End Close Checklist for Real Estate Teams

A reliable MRI month end close checklist helps real estate accounting teams confirm that transactions are complete, balances are accurate, and financial reports are ready for owners and stakeholders.

A strong close incorporates information from inside and outside MRI. Transactions must be recorded in the correct period, transferred to the General Ledger, reconciled against supporting records, and reviewed before each module is closed.

The sequence matters because transactions can flow between MRI modules. Closing modules in the wrong order may push activity into the next period or create avoidable discrepancies.

What Should Be Reviewed in Accounts Receivable?

Begin with Accounts Receivable because Commercial Management or Residential Management may create transactions that flow into Accounts Payable, including security deposit and rent refunds.

Before closing Accounts Receivable:

• Confirm that all current period receipts have been posted.
• Compare cash detail or batch reports with bank activity.
• Identify transactions entered with an incorrect date or period.
• Review aged delinquency for open charges, credits, and unapplied cash.
• Evaluate security deposits that should be applied, refunded, or forfeited.
• Validate tenant status, charges, vacancies, square footage, and occupancy data through a rent roll review.

Once the review is complete, calculate applicable management fees and transfer Accounts Receivable entries to the General Ledger.

What Should Be Completed in Accounts Payable?

Confirm that all current period invoices have been entered, including recurring expenses such as utilities and contracted services. Comparing actual activity with the property budget can help identify missing invoices.

Complete all required check runs, review expense classifications, and reclassify transactions posted to incorrect accounts. Once the information is complete and accurate, create the Accounts Payable journal entries for the General Ledger.

How Should the General Ledger Be Reconciled?

After completing the subledgers, confirm that the General Ledger and trial balance are in balance.

Review suspense and clearing accounts and investigate any remaining balances. Some balances may reflect valid timing differences, but each item should be explained and supported.

Compare General Ledger balances with the detailed income statement and balance sheet. Confirm that all accounts appear in the correct financial statement sections and that net income reconciles with current year retained earnings.

For accrual basis properties, reconcile the Accounts Payable control account with the open payables report. Reconcile the Accounts Receivable control account with aged delinquency and investigate differences involving prepayments, open credits, or timing.

Report names and fields can vary by MRI product, version, and configuration. Confirm the correct reports for your environment before formalizing the checklist.

What Final Checks Should Be Completed?

Before closing the period:

1. Compare actual results with budget for the month and year to date.
2. Investigate significant or unexpected variances.
3. Correct errors in the original source module.
4. Recreate journal entries when corrections affect the General Ledger.
5. Complete the bank reconciliation.
6. Research older checks, deposits, and uncleared transactions.
7. Document valid timing differences and unresolved exceptions.

Corrections should generally be made in the originating module rather than directly in the General Ledger. This keeps transaction detail, subledger balances, and financial reporting aligned.

What Is the Correct MRI Closing Sequence?

After completing all reconciliations and approvals:

1. Close Commercial Management or Residential Management.
2. If both are used, close both before Accounts Payable.
3. Close Accounts Payable.
4. Close the General Ledger.
5. Produce and retain the final financial reporting package.

In REdirect’s experience supporting real estate organizations, close delays often result from inconsistent procedures, missing source data, unclear ownership, or reconciliations performed too late. A standardized process helps accounting teams catch issues earlier and deliver more reliable reports.

Download the MRI End of Month Checklist or contact REdirect to review your MRI accounting and reporting processes.

Frequently Asked Questions

What should be closed first during the MRI month end process?

Accounts Receivable should generally be completed first because transactions created in Commercial Management or Residential Management may flow into Accounts Payable.

Which MRI modules should be closed at month end?

Organizations commonly close Commercial Management or Residential Management first, Accounts Payable second, and the General Ledger last. The exact process depends on the MRI modules and configurations in use.

How do you reconcile MRI Accounts Receivable to the General Ledger?

Compare the Accounts Receivable control account in the General Ledger with aged delinquency. Investigate differences involving prepaid balances, open credits, timing, or configuration.

How do you reconcile MRI Accounts Payable to the General Ledger?

For accrual basis properties, compare the Accounts Payable control account with the open payables report. Review invoice distributions, posting periods, and journal entry transfers when balances do not agree.

Which reports support an MRI month end close?

Useful reports may include the General Ledger, trial balance, aged delinquency, open payables, cash detail, check register, rent roll, income statement, balance sheet, and bank reconciliation reports.

Should corrections be made directly in the General Ledger?

Corrections should generally be entered in the source module. Recreate the related journal entries afterward so the subledger and General Ledger remain aligned.

How can a real estate company improve its MRI close process?

Standardize the closing sequence, assign owners and deadlines, reconcile high risk accounts early, document exceptions, and review recurring discrepancies.