Are You Missing Out on Better Returns? Why Landlords Are Switching to Integrated Financial Tools.
Managing a rental property can feel like solving a puzzle with too many pieces. You have rent to collect, maintenance bills to pay, and bank accounts to check. For many property owners, keeping track of the money for each rental unit is a big job. This is especially true as you grow your portfolio. The old way of using spreadsheets and separate bank accounts can become messy fast. It takes time and can lead to mistakes. This is where new tools are making a difference for property managers.
Baselane is a financial software tool made for landlords and property managers. It brings together the most important parts of rental finances into one place. Think of it as a single dashboard for your property business. It includes special banking accounts for your properties, tools for accounting, options for insurance, and a system for collecting rent. By putting everything together, it helps landlords save time and see their financial picture more clearly. Currently, about 40,000 properties are managed using this platform, showing that many people find it helpful.
Simplifying Financial Tasks
One of the biggest challenges for landlords is keeping finances for different properties separate and organized. With a tool like Baselane, users can open individual bank accounts for each property or even each unit. This makes it easy to see which properties are making money and where expenses are going. This level of organization is very important, especially during tax season when you need accurate records. The accounts are designed for landlords and can help make bookkeeping much simpler than using a personal bank account.
Another key feature is the ability to earn interest on the money held in these accounts. Landlords can earn a high annual percentage yield (APY) on their deposits, with rates reaching up to 3.56%. This means the money you have for security deposits or operating expenses isn’t just sitting there; it’s growing. This is a direct financial benefit that traditional banking options for property management might not offer. It helps improve the overall return on your investment property without any extra work.
Streamlining Rent Collection
Getting rent paid on time is a top priority for every landlord. Late payments can disrupt cash flow and create extra administrative work. Modern rent collection tools help solve this problem by making the process automatic. Baselane, for example, sends tenants reminders when rent is due and allows them to set up recurring payments. This convenience for tenants often leads to more consistent, on-time payments for landlords.
The demand for these kinds of tools is growing quickly. In the last two years alone, the number of people searching for “rent payment app” has more than doubled. This shows a big change in how both tenants and landlords think about rent. Tenants want easy, digital ways to pay their bills, and landlords want a reliable system that reduces the need to chase down payments each month. Using a platform with built-in rent collection meets the needs of both sides.
The Growth of Property Technology
The tools helping landlords are part of a larger trend called Property Management Tech, or “proptech”. This industry is focused on creating technology to make buying, selling, and managing property easier and more efficient. With nearly 35% of all occupied homes in America being rentals, which adds up to more than 45 million units, the need for better management solutions is huge. There are over 296,000 property management businesses in the U.S., and many more independent landlords who can benefit from these advancements.
New proptech platforms help these professionals run their rental businesses with less cost and better results. They handle tasks that used to take hours of manual work, freeing up landlords to focus on providing good housing and finding new investment opportunities. The entire proptech industry is expected to be a massive market, with forecasts suggesting it could be worth $32 billion by the year 2030. This signals that technology will play an even bigger role in the real estate world in the years to come.
Other Platforms in the Market
Baselane is one of several companies offering solutions in this growing space. Other platforms like Innago, RentRedi, and Pandaloc are also gaining attention. Each of these tools offers a different set of features designed to help landlords and property managers. Some may focus more on tenant screening, while others might specialize in maintenance requests or communication.
When choosing a tool, it’s helpful for a landlord to think about their specific needs.
- Innago is known for being free for landlords and offers features like rent collection, tenant screening, and maintenance tracking.
- RentRedi is a mobile-first platform that helps landlords manage properties from their phones, with features for pre-qualifying tenants and listing vacancies.
- Pandaloc provides tools for creating listings, screening applicants, and signing leases online, making the entire rental cycle digital.
Understanding these different options helps a property manager find the right fit for their business model and portfolio size. The goal is always to find a platform that saves time, reduces stress, and improves financial outcomes.