Real estate management accounting software provides property managers with an efficient solution to organize financial transactions, reduce errors and save time. Boasting features like online rent collection, expense tracking and tax-ready reports, real estate managers can streamline their financial processes for improved operational efficiency.
Finding the appropriate real estate accounting software depends on your specific needs and portfolio size. If you manage a small portfolio, look for easy-to-use automated bookkeeping tools like simple automated bookkeeping. However, larger portfolios require more robust solutions with advanced features and scalable reporting. Specifically look for solutions which support cash-basis accounting – recommended by the IRS – in order to keep track of income, expenses and tax deductions as well as being customizable enough to provide customized financial reports as well as accessing qualified tax professionals to assist in tax preparation.
Selecting the appropriate real estate accounting software can be an investment with lasting returns. As competition in the real estate industry becomes ever fiercer, streamlined financial processes are crucial to maintaining an edge and satisfying regulatory requirements. To get maximum value from your software investment, follow these best practices.
An integrated property management system with real estate accounting capabilities can serve as the central repository for your financial data, helping increase operational efficiency by eliminating manual data entry and connecting disparate systems that may otherwise remain disconnected.
Buildium offers comprehensive property management software tools that cover every aspect of their business, with resident applications and rent payments all completed online, service professionals tracking work orders with built-in communication to residents, as well as owner portals and detailed reports to keep owners informed about their portfolios.
As well as real estate accounting software, many platforms also provide comprehensive property management solutions, with tenant and maintenance management features. These platforms tend to be more cost-effective than general accounting solutions and can save time by integrating with other systems seamlessly. They may even help meet regulatory compliance by tracking expenses and revenues according to the tax-basis accounting method adopted by the IRS.
At less expense, there are real estate accounting software options that can still assist in automating accounting and billing processes, including QuickBooks or Quicken rental property management for landlords with multiple properties. Furthermore, more specialized solutions like STRATAFOLIO RentVine AppFolio may provide time saving streamlined processes and be an option suited to small to mid-sized landlords such as these solutions can also help.