Investor · Memphis, TN · Member since 2018 · 26 posts · 6 votes
My first rental property and lucky to inherit ok tenants. How should I collect and manage the rent received? Should I get a separate bank account, is there an application, pick the money up or have them deposit it to an account?? Need experienced advice
Rental Property Investor · Jersey City, NJ · Member since 2011 · 1k+ posts · 876 votes
8y
With one property I would not bother with a separate account, but keep good track of your expenses using software to categorize. If they're good tenants, they have a bank account, and would welcome the ease of paying online and automatically via Cozy, it's free.
Rental Property Investor · Jersey City, NJ · Member since 2011 · 1k+ posts · 876 votes
8y
With one property I would not bother with a separate account, but keep good track of your expenses using software to categorize. If they're good tenants, they have a bank account, and would welcome the ease of paying online and automatically via Cozy, it's free.
Investor · Pawleys Island, SC · Member since 2015 · 324 posts · 385 votes
8y
I would just use your personal account. I assume you are a sole proprietorship anyway. Keep good records via Excel or similar spreadsheet software.
You can use any of the free electronic payment options for payment other list. A lot of people will say electronic payment only, but I accept just about anything but an IOU. I will not pick up payment though unless I happen to be there and they give it to me. For this occasion, I keep a receipt book in my car. I have 2 older retired tenants who still pay old fashion check in the mail. I also had a young deeply religious family where the husband worked and the wife stayed home and home schooled the children in their faith. They did not have cable or internet except on 1 phone. They were great tenants and stayed for 3.5 years, mailing the check monthly. This gets harder if you have many units, but if you goal is to stay small or grow slowly, I don't think it matters how you accept payment as long as it is not time consuming for you, causes tenant payment issues, or causing problems with your bookkeeping.
I test drove Cozy for the bookkeeping side. It was ok, but I prefer Excel. I have 8 rentals.