As a property manager, you provide service to property owners and the tenants of those properties. In such a case, you need to create and manage two company files:
- Rental property company. You collect rent, pay bills, and manage the property for an owner.
- Property management company. This is your own company where you receive income for managing properties.
Using these two company files, you can keep the companies’ transactions separate from each other. We’ll show you how.
|Do you want to manage the two company files at the same time?|
If you use Pro or Premier, you can upgrade your QuickBooks Desktop once you’re ready to manage the rental property and property management files simultaneously.
Note: Not sure what accounts to use, or how to record the transactions? Consult your accountant. If you don’t have an accountant, we can help find one near you.
Create a company file for rental property company
In this company file, you keep track of the transactions for each property you manage. This is where you record the rent income and expenses.
How to Record transactions for a Property Management Company
Step 1: Set up tenants and vendors
Step 2: Set up accounts and items
Step 3: Record security deposits
Step 4: Track the rent income
Step 5: Record expenses for each property
Step 6: Pay the property owners
Create a company file for a property management company
In the property management company file, you track your own business’ transactions. This is where you record your income and expenses for managing properties.