Separate bank accounts for each property when you start out. Do not commingle funds with your personal money
Develop a Rental Application
Develop a lease that is compliant with your State or local laws. When I started I use the our local MLS local lease
Develop procedures how you will screen applicants. I use smartmove from TransUnion
How will you collect rent. I use an electronic format
How will you handle maintenance complaints
Will you self manage or hire a property manager
Read Brandon Turners book on Rental Property Investing and Managing Rental Properties
Listen to Podcast
Good Luck.
Ok. How many properties and units do you own and what type of real estate do you invest in? Commercial? Residential? Multi family? Office? Single Family Rentals?
Do you hold each property in its own Property LLC with its own bank account? What bank do you use for your real estate and what type of account is it? Do you use an umbrella/holding LLC structure where the Holding LLC is owned by you and the Holding LLC owns each property LLC which owns 1 property per LLC?
How do you do cash out refinances or 1031 exchanges with this structure?
You said you collect rent using an electronic format so I’m assuming software such as AppFolio or Buildium etc which can allow tenants to complete rental applications online and pay rent online.
In your lease do you specify that all tenants must pay in an electronic format whether it’s perhaps signing up to a service like AppFolio and using that. Is that allowed? Property software like AppFolio etc allows tenants to make maintenance requests online with their software on desktop or their mobile app.
Do you use a property management company? If so do they collect rent? If they collected rent using software such as AppFolio I believe you could delegate some controls and watch everything they do especially relating to finances to make sure they take their correct fee and pay you the right amount.
Investor · Florida Panhandle/Illinois · Member since 2016 · 4k+ posts · 3k+ votes
6y
@Account Closed
Let me see if I can answer your questions in order.
In invest in SFR, two units, 4 units and student housing. Approximately 15 buildings.
Own them in LLC's. Starting to look at buying in my name to take advantage of residential loans.
I have a property management LLC. The others are in LLC's and Series LLC's.
No umbrella policy at this time.
I use PNC to collect rent. It’s all automatic. They receive reminders with a link to pay rent. It works great.
I use private lenders to purchase and rehab. Use local small banks to refinance.
I self manage. Most tenants text me, call or email to contact me. To be honest I receive very few requests for maintenance. Properties were BRRRR projects so most items were rehabbed.
Let me see if I can answer your questions in order.
In invest in SFR, two units, 4 units and student housing. Approximately 15 buildings.
Own them in LLC's. Starting to look at buying in my name to take advantage of residential loans.
I have a property management LLC. The others are in LLC's and Series LLC's.
No umbrella policy at this time.
I use PNC to collect rent. It’s all automatic. They receive reminders with a link to pay rent. It works great.
I use private lenders to purchase and rehab. Use local small banks to refinance.
I self manage. Most tenants text me, call or email to contact me. To be honest I receive very few requests for maintenance. Properties were BRRRR projects so most items were rehabbed.
From a simple google search it seems like PNC is a bank. Don’t you use electronic software for tenants to pay rent and make maintenance requests?
Investor · Florida Panhandle/Illinois · Member since 2016 · 4k+ posts · 3k+ votes
6y
@Account Closed
Yes, I use PNC to collect rents. It’s conducted through my business account. The other services are to expensive for my budget and many you need to have enough rentals to make it worth while. Since I self manage, I don’t need many of the features. There are many ways to handle rental income. You should check out Cozy. Many free features.
Investor · Tampa, FL · Member since 2017 · 589 posts · 251 votes
6y
Lots of great advice here. Property management software is a must for property management. Keeps everything on one platform. Research ways to stream line your business and mold it.