Rental Properties
Table of Contents
Background
There are a few steps involved with setting up your company file to track the Profits and Losses for each of your Rental Properties.
Let’s use the following example to set up a company file to track Rental Properties: A company owns 3 rental properties. One is a building with a Store-Front on the first floor and an apartment on the second floor. The second property is an apartment complex with 2 buildings with 4 units in each building. The third property is a mini mall with 3 small stores. The company would like to have AccountEdge track Profits and Losses for each of their Rental Properties.
Create a Jobs List for the Company
How to create a Jobs List
- Go to the Lists menu and select Jobs list
- A Jobs list window will appear, select New at the bottom of that window
- Enter the either Header Job or Detail Job (Header jobs are available in AccountEdge Pro, only)
- Enter the Item number, the Sub-Job, and the Item Name
- Enter in other necessary information
Note: A Header Job is non-postable and its only function is to calculate a total for all related detail jobs. A Sub-job can only be a Header Job. This feature is available in AccountEdge Pro only.
Below is what the Jobs list for our example should look like:
Job No. | Name | Type |
---|---|---|
2009 | Properties | Header |
01 | 235 Main Street (building) | Header |
02 | 1698 Roosevelt Avenue (Apt Complex) | Header |
02-A | Building A | Header |
02-B | Building B | Header |
03 | 27 Bridge Street (Mini Mall) | Header |
01-A | Store Front-First Floor | Detail |
01-B | Apartment | Detail |
02-A-100 | Apt #A100 | Detail |
02-A-101 | Apt #A101 | Detail |
02-A-102 | Apt #A102 | Detail |
02-A-103 | Apt #A103 | Detail |
02-B-105 | Apt #B105 | Detail |
02-B-106 | Apt #B106 | Detail |
02-B-107 | Apt #B107 | Detail |
02-B-108 | Apt #B108 | Detail |
03-1 | Store #1 | Detail |
03-2 | Store #2 | Detail |
03-3 | Store #3 | Detail |
Now, that you have created the jobs, another piece of information that we would like to capture or track is the rent or lease for each one of these properties.
Create an Item for each type of property rent
Create an item for each type of property and enter the selling price as the amount of the rent or lease. For Example: The Item number will be Studio Apartment Rent, 1 Bedroom Apartment Rent, 2 Bedroom Apartment Rent, Store Rent, etc.
How to create an Item:
- Go to the Inventory command center and select Items list
- Select the New button and the Item Information window will appear
- The Profile tab is already selected
- Enter the Item Number
- Enter the Item Name
- Select "I sell" (in AccountEdge Pro) and enter the income account for the rent or lease. Note: You do not need to have a separate income account for each type of property. You can link the same income account for each property and call it Rent/Lease Income as we are tracking the details of exactly how much through the jobs feature
- Select the Sales tab and enter the Selling price as the amount of the rent or lease
- Select the OK button to close the Item Information window
Create Customer Cards for each tenant
How to create a Customer Card:
- Go to the Card File command center
- Select Card List
- Select the Customer tab, then the New button located at the bottom of that window
- A Card Information window will appear displaying the Profile tab
- Enter the personal information for the tenant
- Select each tab and enter in the vital information for your tenant
- Select OK to close the Card Information window
Now, your file is set up to track the profit and loss of each rental property.
Important information: When recording any transaction that is associated with a Rental Property, be sure to assign each line item of each transaction to the job that represents that property. You can record an invoice for each property to charge the tenants rent. When you record an invoice for the rent for the first time, you can set up a recurring transaction for each Property. You can easily set up a schedule to automatically record the rent when the rent is due.
Create Recurring Transactions for the monthly rent
How to create a Recurring Transaction:
- Enter the transaction you require. Make sure that all of the information needed is entered.
- Assign each line to a job.
- Before you record the transaction, select the Save As Recurring button.
- Enter in the desired schedule.
- When finished, record the transaction.
- To access these recurring transactions, go to the List menu and select Recurring Transactions.
Get reports based on each Rental Property
How to get reports by Jobs:
- Go to the Reports menu and select Index to Reports.
- Select the Accounts Tab and then scroll down to the Jobs section.
- There you can choose from a variety of reports that will report based on the Jobs you have created and assigned the transactions to.
- Select the Profit and Loss report and select display.
- This will show you if you are making or loosing money on each Rental Property for a specific time period.