There has been a significant rise in the use of several web-based property management software customized to suit specific business needs of the industry. This allows business owners and employees a number of features that the more generic accounting systems do not. In addition to the standard financial reporting and payroll, these programs allow you to integrate industry-specific information which in the case of property management is vacancies, number of units, tenants, maintenance effectively turning it into a real estate management software.
Property management software comes with several benefits that enable you to run your business smoothly. You can track rent payments, categorize receipts into several headings such as rent, utilities, late fees, lease. You can also categorize costs into taxes, insurance, maintenance and payroll and directly link this to the main property record. This will directly contribute to business growth as companies begin to better manage their assets and use the software to calculate annual rent increases, property appreciation or depreciation. This will in turn allow for a better budgeting and forecasting and make for a streamlined finance and operations. MRI and Tops are excellent property management programs preferred by firms that have several hundred units to manage.
In addition to this, business managers and property accountants can now generate accounting reports to keep track of the cash flow and account for revenue and expenses. These accurate and intelligent reports offer great insight into the intricacies of the business.
Instead of spending hours every month doing bank reconciliations, you can use accounting software specifically built for property management to make this chore easy. The software can effortlessly sync bank accounts with your bank statements and reconcile in a jiffy. Not only that, it automatically downloads the bank statement and then performs a thorough check and flags any transaction that doesn’t match saving you all the hassle of manual review. Buildium is a good accounting software that has a comprehensive set of tools for exactly this sort of facility.
Software also makes billing extremely easy, quick and intuitive. Payments can be made and received electronically saving time and costs. Owners can receive their payments directly into their bank accounts which saves them a lot of headache. Even the transfer of funds in between properties becomes a clear and transparent process eliminating errors to the maximum extent. And with all the accounting data stored it becomes fairly simple to track the expenditure against the current budget ensuring consistency during the budgeting cycle.
Even the reporting can be customized depending on how you run your business. This flexible reporting style can include several additional reports on top of the standard ones and they can be sorted or grouped as required for analysis. You can even save it the format of your choice such as PDF, xls, csv and so on.
Choosing the best property management accounting software is dependent on a multitude of factors such as the types of properties in question (residential, commercial, rental) which modifies the purpose and the need the user has with the software. Programs like Appinfo for example come with other auxiliary tools such as marketing and other digital functions. Systems designed for real estate firms have far more functionality than generic ones and tend to me custom-made or demand-specific.