Separate Bank Account for First Rental Activities

[Amit C.]

I have just selected first Renal property in Memphis and will be closing in 2-3 weeks. I will be opening new personal Saving account and will be adding initial money to that account from my personal checking account. After that i am planning to leave that account just for the Rental activities to not mingle with personal account. I may go for LLC later in future after 1-2 years.

Below are some of my questions:

• Should i put initial amount just to seed the account to new account from my personal account? or is it not advisable?
• Should i take home warranty for rental property?
• Who is better for property manager in Memphis: Crestcore Reality, Renshaw, Reedy and Company Realtors?

Really appreciate for insights. And looking forward to learn.

[Nathan Gesner]

I recommend a checking and savings account. 

Checking: rent goes in, bills go out. pay your mortgage, repairs, insurance, taxes, etc.

Savings: hold security deposits so you don't accidentally spend them. When your checking account gets a surplus, transfer those funds to savings so you can save up for your next purchase.

I don't have any personal experience with property managers in Memphis but CrestCore holds the highest qualification from National Association of Residential Property Managers. that's a good place to start.