As a landlord, keeping track of rental income, property expenses, and tax deductions can get overwhelming quickly—especially if you manage multiple properties. I’ve seen firsthand how good accounting software can simplify rent collection, track maintenance costs, and make tax prep a breeze. Whether you’re managing a couple of units or a large portfolio, choosing the right software can save you tons of time and hassle.
Here’s a list of the best accounting software for landlords, with FreshBooks taking the top spot for its user-friendly interface and solid accounting features tailored to landlords.
Top Accounting Software for Landlords
1. FreshBooks
FreshBooks is an excellent choice for landlords, especially those managing a smaller portfolio of properties. Its invoicing, expense tracking, and financial reporting features make it perfect for tracking rent payments, expenses, and even handling taxes.
Features:
- Easy tracking of rental income and property-related expenses
- Customizable invoicing for rent collection, including recurring payments
- Automatic expense categorization (repairs, maintenance, etc.)
- Profit and loss reporting for each property
- Receipt scanning and storage for expense tracking
Why it works: FreshBooks is ideal for landlords who want an intuitive, no-fuss system for managing their rental properties. Its recurring invoicing feature simplifies rent collection, and the expense tracking ensures that all property maintenance costs are captured and categorized for tax purposes. I particularly love how easy it is to generate financial reports, so you can quickly assess the profitability of each property. If you want a simple, mobile-friendly platform that helps keep your rental income organized, FreshBooks is a top pick.
2. Stessa
Stessa is built specifically for real estate investors and landlords, and best of all—it’s free. It automates income and expense tracking, which is great for landlords looking for a specialized tool that doesn’t cost anything.
Features:
- Automatic tracking of rental income and property expenses
- Dashboard with key metrics like cash flow, ROI, and net income
- Financial reports for tax prep and property performance analysis
- Document storage for receipts, leases, and other property-related files
- Integration with bank accounts and property management systems
Why it works: Stessa’s automation features save landlords a lot of time. I’ve seen how it helps track rent payments, categorize expenses, and even store documents like leases and tax records all in one place. The real-time dashboard gives landlords a clear snapshot of each property’s financial performance, making it easy to see which properties are performing well and which need improvement. For a free platform, Stessa offers a lot of value with specialized features tailored to landlords.
3. QuickBooks Online
For landlords with larger portfolios or those looking for more advanced accounting features, QuickBooks Online is a powerful option. It handles everything from income tracking to payroll (if you have staff), making it ideal for landlords with multiple properties.
Features:
- Automatic rent collection and expense tracking
- Advanced financial reports (cash flow, profit/loss, balance sheets)
- Payroll integration for staff or contractors
- Syncs with bank accounts for real-time tracking of rent payments and expenses
- Tax features like categorization of deductions for landlords
Why it works: QuickBooks Online is incredibly versatile, especially for landlords who manage multiple properties. Its ability to automate rent tracking, categorize expenses, and generate detailed financial reports is invaluable for anyone managing a larger portfolio. I particularly like how QuickBooks simplifies tax prep by tracking deductible expenses like repairs and maintenance. The integration with payroll is also helpful if you have employees or contractors working on your properties. While it’s more robust than FreshBooks, it’s perfect for landlords who need advanced features.
4. Buildium
If you’re both a landlord and a property manager, Buildium is an excellent all-in-one solution that combines tenant management and accounting. It’s designed for property managers but works well for landlords with larger portfolios who manage tenants themselves.
Features:
- Automated rent collection and late fee tracking
- Expense tracking and vendor management (maintenance, repairs, etc.)
- Tenant and lease management with online portals for tenants
- Financial reports tailored for property performance and tax preparation
- Integration with bank accounts for seamless reconciliation
Why it works: Buildium is a powerhouse for landlords who manage tenants themselves. Its online rent collection system automates payments and late fees, and it also lets tenants communicate and pay via an online portal. I found Buildium especially useful for tracking maintenance costs, handling vendors, and generating detailed reports that can be presented to investors or used for tax prep. If you’re a landlord with a larger portfolio who also manages your properties, Buildium is a fantastic tool to streamline both tenant management and finances.
5. Rentec Direct
Rentec Direct is another solid option for landlords, particularly those who manage a smaller to mid-sized portfolio. It offers a suite of accounting tools combined with tenant management features, making it a versatile option.
Features:
- Rent tracking and automated invoicing
- Expense tracking for property repairs and services
- Online tenant portals for rent payments and communication
- Financial reports for each property (cash flow, profit/loss)
- 1099 eFiling for tax preparation
Why it works: Rentec Direct offers excellent value for smaller landlords who need a combined property management and accounting tool. The system handles rent collection, maintenance tracking, and expense categorization—all in one platform. One feature I particularly like is the ability to eFile 1099s, which makes tax preparation much easier if you’re paying contractors for property repairs. Rentec Direct is simple but effective, providing landlords with everything they need to manage their rental income and expenses without the complexity of larger systems like Buildium.
Features to Look for in Accounting Software for Landlords
Before choosing the best accounting software for your rental business, focus on these key features:
- Automated Rent Collection: Your software should make rent collection easy, offering features like automatic invoicing, online payments, and late fee tracking.
- Expense Tracking: The software should allow you to track and categorize expenses for each property, including maintenance, repairs, utilities, and other property-related costs.
- Tax Prep Tools: Look for software that helps with tax preparation by organizing expenses and income by property, categorizing tax-deductible items, and offering 1099 eFiling if necessary.
- Financial Reporting: The ability to generate reports such as profit/loss statements, cash flow summaries, and balance sheets helps you evaluate each property’s performance.
- Property Management Features: If you’re managing tenants directly, tools like tenant portals, lease tracking, and online payment options are a huge plus.
- Scalability: Choose a system that can grow with you. If you’re planning to expand your portfolio, ensure your software can handle more units, expenses, and tenants down the line.
Avoiding Common Landlord Accounting Mistakes
I’ve seen landlords face a few common financial challenges. Here’s how to avoid them:
- Not Tracking All Expenses: Even small expenses like travel to properties, minor repairs, or insurance can add up. Make sure all costs are logged and categorized correctly.
- Missing Rent Payments: Manual rent collection can lead to missed payments or delays. Use software that automates rent collection and sends reminders to tenants.
- Mixing Personal and Business Finances: Always keep a separate bank account for your rental income and expenses to make bookkeeping easier and cleaner.
- Not Preparing for Taxes: Regularly review your expenses and income, and use software that helps organize your financials for tax time. Missing deductions like repairs or depreciation can cost you.
- Not Using Financial Reports: Regularly check reports to evaluate how each property is performing. This helps you spot issues early, like properties that aren’t generating enough profit.
Final Thoughts
Choosing the right accounting software for your landlord business depends on the size of your portfolio and how much automation you need. FreshBooks is my top recommendation for its ease of use and ability to handle small to mid-sized portfolios effectively. For landlords with more complex needs or larger portfolios, QuickBooks Online and Buildium offer more advanced features like payroll and tenant management.
Investing in the right accounting software will save you time, ensure rent is collected efficiently, and give you a clear picture of your rental properties’ financial health.