Record keeping for rentals

[mousebandit]

Do you use a particular software to keep rental records, or just create your own spreadsheets? 

MouseBandit

[Secretly Saving]

We just keep a spreadsheet currently.  We only have four rentals that we're dealing with.  Looking to add two more this year.  Then we might get software.

[Jim2001]

I keep a spreadsheet with entries based on the federal  tax form "schedule E" (Rents received, Royalties received, Advertising, Auto and travel, Cleaning and maintenance, Commissions, Insurance, Legal and other professional fees, Management fees, Mortgage interest paid to banks, etc., Other interest, Repairs, Supplies, Taxes, Utilities, Depreciation expense or depletion, Other) and other details such as original purchase price, cash in, cash out, estimated property value, original mortgage amount, outstanding mortgage and any historical mortgage details if refinanced.

[mousebandit]

Ty!

[salmp01]

I have 25 properties and still use spreadsheets.  I tried Quickbooks last year but found it a bit complicated and after spending a few hours on it I reverted back to my spreadsheets.  Also, a couple years ago I stopped keeping any paper and scanned everything.  Sure makes it much cleaner!

[Drifterrider]

I keep everything in a box: ala Oscar Madison.

[MakeSmarterDecisions]

I use Simplifyem.com  I have a "lifetime" membership and have been happy with the service.  For a few hundred dollars, it keeps track of everything and I print out tax reports, etc. too.  There is likely a better/cheaper option - but this worked for me when I needed it most starting out.  It has a tenant portal, etc. too.

[freya]

I had this same question for the group...

My mother manages a commercial rental property with 3 tenants.  It is an LLC with distributions to 3 partners using K-1 forms. Her accountant insists that she use Quickbooks, which she has done for years.  However, my mother just turned 80 and is increasingly having difficulty with record-keeping.  I just switched her to Quickbooks online, both to try and simplify the process and so that I can keep an eye on things remotely.  IMHO it is expensive, user-unfriendly, and total overkill.

 Has anyone tried the new subscription version of YNAB?  The auto import and better/simpler interface would be great, but I'm aware it was not designed for business.

[zephyr911]

Freya, why does she need an accountant for this? I am a member/manager of a 3-person LLC with more properties and more tenants than that, and I DIY everything with a simple Excel sheet. The tax forms really are not hard for such a company. I hope she's not paying much... I do it for free for my LLC, and this year only took a couple hours, tops, after all the data was consolidated.

[freya]

Thanks zephyr!  That's what I thought.

My mother is paying through the nose for that accountant, but at her age changing how she does things is not going to happen.  I've asked about spreadsheets but she refuses to consider it.  She would, however, consider something like YNAB 5 which is somewhat Quickbooks-like, just with a more intelligently designed and intuitive interface.

Eventually I'll be taking over the business management, and when that happens I'll definitely be bidding goodbye to that accountant and Quickbooks.

[clarkfan1979]

I have separate bank accounts, which makes it easy. I update my spreadsheet once every 2-3 months.