The amount of time required for landlords to manage rent payments, maintain a property, and deal with tenants (especially during move-ins and move-outs) can be extensive. Automatic services like online rent collection and rent reporting can really be an asset to landlords who want to shave down a lot of their time spent on financial and bookkeeping tasks. Having automated rent collection, reports, and reminders sent out can free up several hours of your time each week.
The Benefits of Automated Rent Collection and Reporting
Using an online system to automatically collect rent and perform related tasks is beneficial to both tenants and landlords in many ways, including:
- More punctual payments
- Saved time, effort, and money
- Convenient flexibility of when tenants can pay rent
- Accurate, instant record-keeping
- Streamlined management operations
- Secure payments
- Immediate updating for rent payment status
- No need for person-to-person contact
- Option to make payments from any device from anywhere
- No exchange of personal information required
With the best online rent collection services, tenants can schedule their rent payment as one-time or recurring, late fees can be automatically assessed, bank balances and accounts are verified in real-time, and landlords can even block partial payments.
A summary dashboard that makes important details easy to find is also available from many top rental automation services. These online apps and software programs for automated rent collection offer numerous other advantages, as well.
Which Tasks Should Landlords Automate?
Automated rent collection encompasses a broad range of other related activities, all of which should be automated for optimal convenience and accuracy.
It’s difficult for many tenants (and some landlords) to track when rents are due. Automating rent reminders will diminish the chances of renters paying late simply because “they forgot.” Automated rent reminders ideally should be sent out three days in advance of the rent payment date.
No one likes to be “the bad guy,” so let automation do it for you. Set automatic late fees for tenants; you can set a grace period if you like, which helps maintain a respectful relationship between landlords and tenants. Fees will automatically apply once the grace period has passed.
Collecting rent is one of the most time-consuming tasks for landlords. Online rent collection will allow you to do away with traditional methods like counting cash, depositing checks, and writing receipts.
Tenants can schedule their payments, too. Automated rent collection and rent reporting will produce accurate records and receipts for both parties instantly.
When rent is not paid by the due date or grace period, automatic past-due notices can be sent electronically, saving a landlord a lot of time, especially those with many tenants.
You won’t have to look up due dates, write out individual letters for each late tenant, or send them out via mail or by walking around a property sticking the notices on doors.
It can and should all be done instantly online. No person-to-person contact is required. Past-due notices can be automatically sent to tenants electronically once rent reporting features are triggered when a due date or grace period has passed.
Bookkeeping, Accounting, and Balance Tracking
Automated record-keeping will make bank reconciliation easy and quick. Transaction records can be imported to programs like Quickbooks or downloaded, and payment histories are available at the touch of a finger.
By automating bookkeeping tasks, tax time will be significantly less stressful, and you’ll be fully prepared, too. In addition, you’ll be able to download a list of transactions with different filters applied to produce accurate custom billing statements.
Automated Landlord Tasks Save Time and Reduce Headaches
Automating the tasks that consume the most of your time and attention will free up countless hours, reduce your stress, improve relationships between landlords and tenants, and more.
Not all online software or apps offer all of the same features. The best ones provide automated services to protect tenants and landlords, making rental payments quick and convenient. Make sure you choose the service that solves your biggest issues with rent reporting and collecting.
The convenience, security, and accuracy of automating landlord tasks cannot be understated, and once you automate, you won’t go back to manual management ever again.