Are You Practicing One of These 5 Property Management Ineptitudes?

While the entry barrier for property management companies is low, it is hard to find success in the industry. Companies that have folded in barely a few years have typically made the following mistakes, that you must avoid: Failure to maintain books It is an imperative and fundamental rule that any company needs to keep their books properly to stay …

When a Virtual Firm Meets Face-to-Face

Many small to medium businesses are going the way of virtual firms. While this type of organization has several advantages, there are also a few pitfalls. Interestingly, periodic face-to-face meet-ups can address these issues and spur the organization to innovate achieving new milestones for further success. Advantages of a Virtual Firm Employee Flexibility At a virtual firm, the flexible work …

6 Tips to Reduce Late Rent Payments

Accounting for property management is complicated enough without further hassles thrown in. And that’s exactly what late rent payments are – a spanner in the works. They interfere with your cashflow and this can have other consequences. You might need to delay repairs or find alternatives to make vendor payments. You could even overdraft your bank account. Late rent can …

5 Property Management Accounting Practices the Industry Bigwigs Follow

With real estate, property management doesn’t end with finding new renters, changing fused bulbs and fixing leaks in the ceiling. Those are routine. The larger part of the task is managing your finances. This essentially boils down to accounting and accounting practices that bolster rather than blight the development of your business. What can you do to manage your accounting …

Form 1099-MISC What Property Managers Need to Know

Aside from the other tax forms that must be submitted by property managers, form 1099 is required for 1099-MISC reporting. Property managers must submit this form for any owner or service provider who is paid over $600 regarding the rental business. The penalties for failing to submit 1099s are steep so you should understand your obligations concerning 1099 requirements for …

Tips for Real Estate Accounting

Accounting for real estate involves a high volume of transactions and high costs. Given that handling marketing and customer relationship management are the primary functions for real estate management, outsourcing accounting may be the best option. Real estate management companies must focus on their core competencies to maximize profitability and improve the effectiveness of business operations. To be successful also …

5 Essentials for Property Management Accounting

Good property management accounting practices play an important role in the success of your business. Keeping tabs on the financial status of your business helps you make better business decisions and improves cash flow. Your business focuses on managing property rentals, but you also need to take care of the accounting and see that your tenants make payments on time. …

4 Tips to Make Accounting Less Stressful

Accounting for rental real estate is very different than accounting for other businesses. Accounting entries are more complex than simple revenue and expense entries. We’ll take a look at some tips to make real estate accounting less stressful so you don’t end up tearing your hair out in frustration. These tips can help you streamline accounting tasks to make the …

Top 3 Tips for CAM Reconciliations

The preparation of CAM (common area maintenance) reconciliation statements is a tedious task, whether it is for a multi-family property or a commercial property. Such statements detail the charges that can be recovered for maintenance costs under a lease.  CAM expenses usually include parking lot maintenance, landscaping, snow removal, janitorial costs and security. Often the task of preparing this statement …