As a landlord or property manager, collecting rent from tenants can be a tedious and time-consuming task. It involves sending reminders, following up on late payments, and tracking income and expenses. But with the help of property management software, this process can be streamlined and made more efficient. In this article, we will discuss seven reasons why you should consider using property management software to collect the rent.
1. Saves Time and Effort
One of the most significant benefits of using property management software to collect the rent is that it eliminates much of the extra work. Rather than worrying about collecting payments and depositing them in the bank, the software takes care of the process for you.
2. Reduces Late Payments
With property management software, tenants can set up automatic monthly rent payments. This can be a convenient option for both landlords and tenants, as it eliminates the need for landlords to constantly follow up with tenants about late or missed payments. Automatic payments also increase the likelihood of landlords receiving their rent on time. This can save time and effort for both parties and help ensure that rental income is received consistently and reliably.
3. Enhances Security
Moreover, you can have peace of mind knowing that your bank information is kept completely private. Your tenants will not be able to see which account their payments are being deposited into, and your bank account information is securely stored within the platform. This ensures that your sensitive financial information is protected and kept safe from unauthorized access. Yet, it also means your office will not have to worry about security concerns relating to carrying or holding cash.
4. Improves Record Keeping
Perhaps the function that many landlords find useful is that property management software can automatically access late fees to the account. The software makes it easy for landlords and tenants to access rent payment history. This information can include any payments that have been made and any that were late. So, there’s never a need to worry about having the time or patience for such data entry.
Helps Tenants Build Good Credit
In the past, monthly rent payments did not directly impact a person’s credit score. However, with some rent collection apps, monthly payments are reported directly to various credit agencies. Not only does this encourage the tenants to pay on time, but it also helps them build credit that may help them buy their own homes one day.
Payments are Flexible and Secure
Some landlords accept payments through platforms such as PayPal or Venmo. However, these services have some downsides, such as the inability to reverse payments and transaction limits. When you choose the right property management software to collect rent, you rid yourself of these nuances.
Access to Additional Tools
In addition to helping landlords collect rent and tenants make their payment on time, property management software often includes access to a range of additional tools and features. For example, some property management software platforms include tools for communication, such as messaging and email. Others may include tools for tracking income and expenses, generating reports, and managing tenant applications and leases. Either way, property management software for rent collecting is designed to integrate with other systems, such as Quickbooks and your bank, making the process even easier.
Final Thoughts
At the end of the day, more than 70 percent of renters prefer to make payments online. So, take the stress out of managing your investment and choose the perfect property management software and professional property management services for your property. Trust us! You’ll rest easy knowing that within just a few short days, the money is directly deposited into your bank, saving you time and stress.
