Managing a property involves a lot of tasks, including accounting. This is where accounting software comes in handy. With the right software, you can easily manage your finances, track your expenses, and generate reports. But with so many options out there, how do you choose the best accounting software for property management? In this article, we will guide you through the key features to look for and provide you with some recommendations.
1. Automation
The best accounting software for property management should automate most of your accounting tasks, such as rent collection, bill payments, and bank reconciliations. This not only saves you time but also reduces the risk of errors.
2. Integration
It’s important to choose software that integrates with other tools you use, such as property management software, payment gateways, and tax software. This eliminates the need for manual data entry and ensures consistency across all platforms.
3. Customization
Every property is unique, so you need software that can be customized to your specific needs. Look for software that allows you to create custom invoices, chart of accounts, and reports.
4. Security
Since you will be dealing with sensitive financial data, it’s important to choose software that is secure. Look for software that offers data encryption, two-factor authentication, and regular backups.
5. Scalability
Your accounting needs will grow as your property portfolio expands. Choose software that can scale with your business, without compromising on performance.
6. Support
Make sure the software you choose offers good customer support, such as phone, email, or chat. This will come in handy when you run into issues or have questions about the software.
1. QuickBooks Online
QuickBooks Online is a cloud-based accounting software that offers a wide range of features for property management, such as rent tracking, automatic bank feeds, and custom invoices. It also integrates with other tools such as property management software, payment gateways, and tax software.
2. Xero
Xero is another cloud-based accounting software that offers features such as bank feeds, inventory tracking, and payroll. It also integrates with over 800 third-party apps, including property management software and payment gateways.
3. Buildium
Buildium is a property management software that includes accounting features such as rent collection, bill payments, and reporting. It also offers features such as maintenance requests, tenant screening, and lease tracking.
4. AppFolio
AppFolio is a cloud-based property management software that includes accounting features such as rent collection, bill payments, and reporting. It also offers features such as online leasing, maintenance requests, and tenant screening.
5. Rentec Direct
Rentec Direct is a property management software that includes accounting features such as rent collection, bill payments, and reporting. It also offers features such as tenant screening, online leasing, and maintenance requests.
1. What is accounting software for property management?
Accounting software for property management is a tool that helps property managers to manage their finances, track their expenses, and generate reports.
2. Is accounting software for property management expensive?
The cost of accounting software for property management varies depending on the features and the number of units you manage. Some software offers a free trial or a freemium version with limited features.
3. Can I use accounting software for property management without any accounting knowledge?
Yes, most accounting software for property management is designed to be user-friendly, even for those without any accounting knowledge. However, some basic accounting knowledge can be helpful.
4. Can accounting software for property management be accessed from anywhere?
Most accounting software for property management is cloud-based, which means you can access it from anywhere with an internet connection.
5. Can I customize my invoices with accounting software for property management?
Yes, most accounting software for property management allows you to customize your invoices with your logo, colors, and payment terms.
6. Can accounting software for property management help me with tax preparation?
Yes, most accounting software for property management offers tax preparation features such as tax reports and 1099-MISC forms.
7. How do I choose the best accounting software for property management?
You should look for software that offers automation, integration, customization, security, scalability, and support. You should also consider your specific needs and budget.
8. Can I try accounting software for property management before I buy it?
Yes, most accounting software for property management offers a free trial or a freemium version with limited features.
The main benefit of using accounting software for property management is that it saves time and reduces the risk of errors. It also helps you to keep track of your expenses, generate reports, and prepare for tax season. Additionally, it can help you to scale your business and improve your cash flow.
1. Choose software that integrates with other tools you use, such as property management software and payment gateways.
2. Look for software that offers automation, customization, and security.
3. Choose software that can scale with your business.
4. Take advantage of the customer support offered by the software.
5. Keep your financial data organized and up-to-date.
Choosing the best accounting software for property management can be overwhelming, but it’s essential for managing your finances effectively. Look for software that offers automation, integration, customization, security, scalability, and support. Consider your specific needs and budget. Our top recommendations are QuickBooks Online, Xero, Buildium, AppFolio, and Rentec Direct.