Creating proration schedules manually requires tedious calculations across multiple line items—property taxes, HOA fees, utilities, and rent—each with different proration periods and formulas. Attorneys and paralegals spend hours cross-referencing documents, performing calculations, and formatting tables, with high risk of mathematical errors that can delay closings or create liability issues.
Preparing proration schedules manually is time-consuming and error-prone, requiring complex calculations across multiple expense categories while ensuring compliance with jurisdictional requirements. A single mathematical error can delay closings, damage client relationships, and create liability exposure for attorneys and title companies.
CaseMark automates the entire proration schedule creation process by extracting data from your transaction documents and generating mathematically precise, jurisdiction-compliant schedules. Our AI handles property taxes, HOA fees, rental income, utilities, and all other proration items with transparent calculations that integrate seamlessly with settlement statements.
This workflow is applicable across multiple practice areas and use cases
Residential real estate closings require detailed proration schedules for property taxes, HOA fees, utilities, and other closing costs between buyers and sellers.
The workflow explicitly targets residential closings and includes all standard residential proration items like property taxes, HOA fees, and utilities that are essential to every residential transaction.
Commercial real estate transactions require complex proration calculations for property taxes, CAM charges, lease revenues, and operating expenses at closing.
Commercial closings involve more complex prorations including tenant leases, operating expenses, and commercial-specific items that this workflow handles through its lease agreement and property tax integration.
M&A transactions involving real estate assets require proration schedules to allocate property-related expenses and revenues between buyer and seller at the closing date.
When M&A deals include real property or real estate portfolios, the same proration methodology applies to allocate taxes, rents, and operating costs, making this workflow directly applicable to the real estate components of corporate transactions.
Lease assignments and subleases require proration calculations for security deposits, prepaid rent, and operating expense reconciliations between outgoing and incoming tenants.
The workflow's ability to handle lease agreements and prorate financial obligations makes it useful for commercial leasing attorneys managing mid-lease transfers and tenant changes.
CaseMark adapts to your jurisdiction's specific requirements, including whether the closing date is charged to buyer or seller, whether to use 365-day or 360-day year calculations, and state-specific rules for tax and assessment prorations. You can configure these preferences or let our AI detect them from your transaction documents and local practice standards.
Yes, CaseMark can calculate prorations based on prior year tax amounts when current bills are unavailable, clearly marking them as estimates. The system automatically generates post-closing adjustment language specifying thresholds and procedures for reconciliation when actual bills are received, ensuring compliance with best practices for estimated prorations.
CaseMark analyzes uploaded lease agreements to identify prepaid rent, calculate daily rental rates, and prorate income based on the closing date. Security deposits are handled separately as transfers rather than prorations, with appropriate debits and credits on the settlement statement. The system ensures all tenant-related financial items are properly allocated between buyer and seller.
Absolutely. CaseMark generates proration schedules designed to serve as detailed exhibits to your settlement statement or TILA-RESPA Closing Disclosure. All line items and totals are formatted for easy cross-referencing, and the net proration adjustment matches exactly what appears on your closing documents, ensuring seamless reconciliation and compliance.
CaseMark allows you to easily update any input data or calculation parameters and instantly regenerate the entire proration schedule with revised figures. All calculations automatically update throughout the document, maintaining mathematical accuracy and internal consistency. You can compare versions to track changes and ensure all parties are working from the current schedule.