Owning rental properties requires careful attention to finances. From tracking income and expenses to generating tax reports, efficient financial management is crucial for any successful rental business. While many landlords rely on manual methods like spreadsheets to manage finances, this approach is time-consuming, prone to errors, and difficult to scale.
General accounting software like QuickBooks, while powerful for businesses, may not be the best fit for landlords. These tools often require a lot of work and accounting knowledge to set up and lack specific features most landlords need to manage rentals.
This is where specialized landlord accounting software comes in. These tools can automate tasks, improve accuracy, and provide valuable insights into your rental business. We’ve rounded up the 12 best accounting software for rental properties to consider below.
Key takeaways:
- Accounting software streamlines financial tasks, reduces errors, and saves time. By automating data entry, generating accurate reports, and providing real-time insights, you can focus on growing your portfolio and making informed investment decisions.
- Landlord bookkeeping software offers features tailored to rental property owners’ unique needs, such as expense reporting, tax preparation tools, and simplified ledgers.
- Baselane offers a comprehensive suite of tools designed specifically for real estate investors. With automated expense tracking, bank integrations, bookkeeping and accounting, rent collection, and customizable reports, Baselane simplifies financial management and provides valuable insights into property performance.
What is the best accounting software for landlords?
1. Baselane
Baselane is a comprehensive financial management platform specifically designed for landlords and real estate investors. It goes beyond traditional accounting software by automating bookkeeping and integrating banking, online rent collection, and tenant management features into one seamless solution. This all-in-one approach simplifies financial management for landlords, saving time and reducing the risk of errors.
Baselane’s landlord accounting software features include real-time cash flow tracking, auto-generated financial and tax reports, and one consolidated ledger for all your Baselane banking and external account transactions. Take it from this Baselane user:
“Baselane solves a major hurdle for most real estate investors in keeping finances separate for each property. I used to spend so much time individually creating Excel sheets for each of our properties. Now having them all organized within Baselane and the ability to click a button at the end of the year to get my Schedule E for each property is a GAMECHANGER. Baselane will eventually become the common practice among real estate investors.”
Key features:
- Automated accounting: One consolidated ledger for all your transactions, automatically categorized using 120+ real estate-specific categories based on Schedule E.
- Landlord banking: Open unlimited checking accounts for each property and entity, from LLCs to corporations, to keep your finances organized. Use separate accounts for security deposits and enjoy savings accounts with up to 3.56% annual percentage yield (APY). Use virtual cards with spending limits to manage expenses, create automated expense category tagging rules, and make any type of payment, including via ACH, wire, or check.
- Online rent collection: Easily collect rent online and set up automated payment reminders and late fees. Receive payments directly in your account within 2-5 business days and enjoy real-time payment tracking.
- Financial reporting: Generate customizable reports, including Income Statements and Net Cash Flow statements, to track your financial performance and make informed investment decisions. Instantly generate Schedule E reports and save time with a customizable and downloadable tax package.
- Tenant management: Find the right tenants and avoid fraud with the most comprehensive tenant screening available in the market. Set up and e-sign digital lease documents in minutes, and easily track maintenance requests after your tenants move in.
Cost: Baselane has no monthly fees for its powerful suite of tools that other platforms only offer with a paid subscription.
2. RentRedi
RentRedi is a cloud-based property management platform designed for landlords and property managers with 50+ properties. It offers accounting features that let you track income and expenses but doesn’t allow automated accounting or detailed financial reporting.
While you can use RentRedi’s simple accounting software for rental properties, its core focus lies in tenant communication and property management functionalities. The user interface isn’t intuitive and some people reported technical issues with the software.
Key features:
- Rules for expense tracking
- Online applications and lease signing
- Collect rent online with autopay capabilities
Cost: RentRedi offers a free plan with limited features for managing a single property. Paid plans start at $12.00 per month for an annual subscription, with prices increasing based on the number of units and features included.
3. Stessa
Stessa includes features for expense tracking, tax preparation, and single-entry bookkeeping. Landlords with a large portfolio or those requiring advanced property management features might find Stessa’s functionalities lacking.
The platform is missing customization options for reports compared to some competitors. You’ll have to pay for the Pro plan to get reports for budgeting and pro-froma analysis, expense tracking, and capital expenditure reports as well as the tax package.
Key features:
- Expense tracking
- Performance visualization
- Tax preparation tools
Cost: Stessa offers a free plan with limited features for tracking up to 10 properties. Paid plans with additional features start at $12 per month for their Manage plan, going up to $28 per month for their Pro plan.
4. Avail
Avail has some accounting features, including transaction categorization and automatic rent payment syncing. However, it’s not an accounting-first tool. Instead, it’s designed as a property management platform with capabilities like advertising vacancies, collecting rent, and handling maintenance requests.
While Avail offers simple accounting functionality, it falls short for those with complex accounting needs and a larger number of properties to manage. For in-depth financial analysis and reporting tools, you’ll need to integrate Avail with separate accounting software.
Key features:
- Income and expense tracking
- Online applications and leasing
- Rent collection and autopay
Cost: Avail offers a free Unlimited plan that includes features like online rent collection, basic property accounting, and basic vacancy advertising. For additional features like waived ACH fees, customizable applications and leases, and the ability to create property websites, you’ll need to upgrade to their paid plan, Unlimited Plus, which costs $9 per unit per month.
5. Buildium
Buildium offers property management, accounting, and tenant communication tools. Its rental property bookkeeping software includes bill payments, real estate balance sheets, and expense categorization.
Buildium is one of the more expensive options on this list, making it less suitable for smaller or budget-conscious landlords. Additionally, the interface has a steeper learning curve for those new to accounting software.
Key features:
- Recurring transactions
- Tax preparation and 1099 e-filing reports
- Tenant communication
Cost: Buildium doesn’t offer a free plan. It has a tiered pricing structure based on the number of features included. Their Essential plan starts at $58 per month and allows up to 150 units. The Growth plan starts at $183 per month, and their Premium plan starts at $375 per month.
6. Appfolio
Appfolio is a property management platform with features for accounting, tenant management, and data analysis.
Appfolio offers customizable financial reports, automated invoices, and escrow accounts to manage security deposits. Since its pricing structure caters to larger portfolios, the platform is significantly more expensive than other options. Plus, the software’s complexity can overwhelm smaller landlords who only manage a few properties.
Key features:
- AI-generated Smart Bill Entry for invoices
- Automated electronic payments
- Data and analytics
Cost: To find out about AppFolio’s pricing, you’ll need to request a quote for the plan you’re interested in. Their most basic plan, Core, requires a minimum of at least 50 units. Their other two plans are Plus and Max. All plans cater to various property types, including single-family, multifamily, and commercial. Their Core plan doesn’t include advanced budgeting or configurable accounting.
7. Rentec Direct
Rentec Direct is a property management platform that offers general bookkeeping software for rental property accounting. Those seeking more advanced features, like in-depth financial reporting or real-time data analysis, should use another tool.
If you need functionalities like online applications or marketing tools, you’ll also have to integrate this platform with third-party services, which can be costly.
Key features:
- 1099 e-filing support
- Customizable invoicing for recurring charges
- Financial reports
Cost: While Rentec Direct has a free trial, you’ll have to subscribe to a paid plan to use their features. They offer two paid plans targeting different users: Rentec Pro for landlords and investors and Rentec PM for property managers. Both start at $50 per month, with discounts for annual payments.
8. DoorLoop
DoorLoop’s real estate rental accounting software may do the trick for simple bookkeeping, but you won’t get any advanced features like automated tax packages and real-time financial insights.
While DoorLoop provides a user-friendly interface and some essential financial tools, it lacks the depth and integration of a comprehensive real estate accounting software and financial management platform like Baselane.
Key features:
- Expense categorization and tagging
- Custom portfolios for multi-property accounting
- Custom reports
Cost: You can schedule a free demo, but you’ll need to pay for a subscription to sign up and access accounting features. DoorLoop’s pricing starts at $59 per month for your first 20 units.
9. Hemlane
Hemlane’s rental property management platform includes accounting software features for bank account syncing, transaction tracking, and financial reporting — all currently in their beta stage.
Hemlane doesn’t have a full set of financial tools and reporting to help manage investments. Their free basic plan also doesn’t include essential accounting features like income and expense tracking — you need to pay more if you want those features.
Key features:
- Financial reporting
- Late fee automation
- Bank account syncing
Cost: Hemlane offers a free plan with accounting and tenant screening features. Their paid plans are based on the number of units you manage and a fee per unit managed. Their first paid plan, Basic, starts at $2 per unit plus the base fee. Their next plan, Essential, starts at $20 per unit plus a base fee. Their last plan, Complete, starts at $68 per unit plus a base fee.
10. TurboTenant
TurboTenant’s property management platform includes accounting features for financial report generation, bank account syncing, and automated rent payments.
You’ll have to integrate with REI Hub to get automated transaction syncing and expense tracking. And its missing advanced financial metrics, such as cash-on-cash return calculations and detailed investment performance analytics. Additional features require upgrading to a paid plan.
Key features:
- Synced rent payments, expenses, and bank accounts
- One-click tax packets
- Lease tracking
Cost: TurboTenant offers a free plan, but for features like unlimited lease agreements and e-signatures, custom tenant screening, and waived ACH fees, you’ll have to upgrade to a paid plan. Their Pro plan starts at $9.92 per month, and their Premium plan starts at $12.42 per month.
11. Azibo
Azibo is property management software with a few accounting functionalities, including automatic imports of bank and credit card transactions, transaction categorization, and financial reporting.
Keep an eye out for hidden fees. They advertise their accounting software for real estate rentals as free, but you’ll have to pay extra for sharing access with your accountant. Plus some additional fees if you want to use certain banking features.
Key features:
- Real estate-specific chart of accounts
- Transaction categorization
- Automated rent collection
Cost: There are no direct fees for Azibo accounting, but it costs $8.25 per month to give your accountant access. This is on top of the collaborator fee, which is $99 per seat, per year.
12. TenantCloud
TenantCloud is a cloud-based property management platform that offers accounting tools, including income and expense tracking and account reconciliation. You’ll need an upgraded plan if you want more than basic bookkeeping. Most plans limit the number of entities and bank accounts you can add.
Complex financial analysis or advanced reporting tools may require integrating TenantCloud with separate accounting software. The integration process can be tedious and requires manual work to set up.
Key features:
- Owner portal for financial performance tracking
- Accountant collaboration
- Tax prep tools
Cost: TenantCloud has a 14-day free trial. You’ll have to pay for a subscription to access its features. It offers four paid plans: Starter, Growth, Pro, and Business, ranging from $17 per month to $55+ per month. Starter is designed for DIY landlords and small portfolios, with each subsequent plan being tailored to larger portfolios.
Things to look for in accounting software for rental properties
Here are some features to consider when comparing accounting software for rental properties:
- Automated income and expense tracking: Automatic categorization of transactions to save time and reduce errors.
- Bank account integration: Connect your bank accounts to import transactions directly into the software. Also, check for the number of bank accounts you can connect.
- Customizable reports: Generate detailed reports, including profit and loss statements, cash flow statements, and tax reports.
- Tax preparation tools: Simplify tax preparation by automatically generating tax forms and schedules.
- User-friendly interface: A simple and intuitive interface that is easy to learn and use.
- Customer support: Reliable customer support to help with any questions or issues.
Automate your accounting and maximize returns with Baselane
With the right software, you can streamline your financial management, reduce errors, and make informed decisions about your rental properties. When choosing the best accounting software for landlords, consider your specific needs, budget, and the level of automation you want.
If you’re looking for the best accounting software for rental properties that integrates seamlessly with your property management needs, Baselane is an excellent choice. Baselane lets you swap manual spreadsheets and expensive software for automated accounting built for landlords. Use it to auto-generate financial and tax reports, categorize income and expenses, and consolidate all of your transactions into a single consolidated ledger for all your account activity.
Overall, Baselane is ideal for streamlining bookkeeping, analytics, reporting, and taxes in a single place, with no monthly fees.
FAQs
What is the best software to keep track of rental properties?
Baselane is a top choice for keeping track of rental properties. It offers a comprehensive suite of tools for accounting, banking, and rent collection, all in one place.
How do I keep track of my rental property expenses?
You can use accounting software designed for landlords, like Baselane, to easily track your rental property expenses. These tools automate many tasks, such as categorizing transactions and generating reports.
Is property management accounting hard?
Property management accounting can be complex, especially as your portfolio grows. However, the right accounting software can simplify the process and reduce the risk of errors.
Who should get accounting software?
Any landlord, regardless of the size of their portfolio, can benefit from accounting software. It can help you stay organized, save time, and make better financial decisions.
Can QuickBooks be used for landlords?
While QuickBooks can be used for accounting tasks, it’s a general accounting tool that’s not specifically designed for landlords. It doesn’t have landlord-specific features like Schedule E-based categorization or automated rent collection and it requires manual entry for multiple properties. Accounting software for rental businesses like Baselane is a better choice.
Is QuickBooks good for collecting rent?
QuickBooks is useful for tracking rent payments, but it’s not the most efficient way to collect rent. You’ll need to manually enter tenant information and track payments, which can be time-consuming.
What’s the difference between accounting software and bookkeeping?
Accounting software is a tool that helps you record, analyze, and report financial transactions. Bookkeeping is the process of recording financial transactions. Rental property accounting software for small landlords provides features uniquely tailored to property management tasks, including real estate tax-based transaction categorization, separate landlord tax deductions for multiple properties, and Schedule E reports.
What accounting software do other Airbnb hosts use?
Many Airbnb hosts use rental accounting software like Baselane to manage vacation rental properties. Baselane offers features specifically designed for short-term rentals, such as automated tax calculations, receipt capture, unit-level transaction tagging, and streamlined reporting, to help with Airbnb accounting.
What is the best accounting software for property management?
The best accounting software for property management depends on your specific needs and budget. However, Baselane is a popular choice for many landlords due to its comprehensive features and user-friendly interface.
What is the best accounting software for real estate investing?
Baselane is the best accounting software for real estate investing because it offers a wide range of features, including automated bookkeeping with integrated banking and rent collection (plus more), all in one platform.
