By Teri Carter
Accounting Director, SG Management LLC
Tcarter@sherbertgroup.com
Property financial management isn’t just about tracking rent and paying vendors—it’s about keeping operations running smoothly, staying compliant, and helping properties perform at their best. If you’ve already mastered the basics, these advanced property management best practices can help you take your accounting game to the next level.
Automate Repetitive Tasks
Recurring entries, utility bills, and bank reconciliations can take up a lot of time. Most property management platforms (like AppFolio, Yardi, or Buildium) offer accounting automation tools—use them to streamline your workflow, increase property management efficiency, and reduce manual errors.
Know Where Your Team Stands—Every Step of the Way
One of the most overlooked but critical parts of property management accounting is staying in sync with your team, especially during high-pressure periods like month-end close. Without clear visibility into who’s doing what (and what’s still outstanding), deadlines get missed, errors slip through, and stress levels spike. Use a shared task management system—whether it’s built into your financial management platform or a separate tool like Asana, Trello, or Monday.com—to track:
- Month-end close checklists
- Reconciliations in progress
- Outstanding invoices or approvals
- CAM and lease audit timelines
- Sales and use tax filings
- Lease renewals and insurance expirations
- Those one-off projects that always pop up.
Hold short weekly or biweekly check-ins to review task status. During the month-end, consider a daily 10-minute check in to keep everyone aligned and accountable.
Use Dimensions and Tags for Smarter Reporting
If your financial management system supports dimensional tagging, take advantage of it. Tag transactions by property, unit, tenant, project, or more to make your reports more flexible and insightful. Here are some examples:
- Track income and expenses at the unit level to identify underperforming units, or buildings. Compare maintenance costs per unit across different buildings on the same property.
- Use an amenity type (parking, gym, pool) to allocate costs for shared amenities or services.
- Use marketing source, leasing agent, move-in date to analyze which marketing channels or agents bring in the most leases. Track cost per lease by marketing campaign.
Build Dashboards That Tell a Story
Static reports are fine, but dashboards bring your data to life. Use tools like Power BI, Tableau, or even Excel to create visuals that highlight key metrics—rent collection, vacancy rates, budget vs. actuals—and make them easy to understand at a glance. Most property management software packages have sophisticated dashboards with automation; take advantage of them and train staff how to use them. Define your key metrics (KPIs). Use dimensions to segment data (Property, Unit type, Portfolio, etc.) for drilling down into specific areas such as rent collection. Make the dashboard dynamic and user-friendly by adding filters for date range, unit type, vendor, etc.
Add Context to Variance Reports
Variance analysis is more useful when it includes explanations. Don’t just show the numbers – add notes about what caused the changes. This helps your team make better, faster decisions, improving property portfolio management.
Build Strong Vendor Relationships Through Financial Management
Vendors are essential partners in property management, handling everything from routine maintenance to major capital projects. Maintaining strong vendor relationships and vendor management through efficient and transparent accounting best practices can lead to better service, faster turnaround times, and more favorable terms. Ensure you are making timely and accurate payments, clearly documenting work orders and invoices, and consistently communicating about payment terms and expectations.
Track vendor performance over time—response times, cost trends, and quality of work—to help inform future decisions and negotiations.
Integrate Your Systems
Make sure your financial management software connects with your maintenance and leasing tools. This allows for:
– Real-time expense tracking
– Accurate capital planning
– Seamless move-in/move-out accounting
It also cuts down on data entry and reduces errors.
Use Accrual Accounting for a Clearer Picture
Accrual accounting gives you a more accurate view of your financials than cash accounting. Track prepaid rent, accrued expenses, and deferred revenue to reflect the true financial health of your properties.
Conduct Regular Internal Reviews
Don’t wait for the annual audit. Set up quarterly or monthly internal reviews to check:
– Lease compliance
– Vendor payments
– Security deposit handling
– Bank and Balance Sheet account reconciliations
Catching small issues early can prevent bigger problems later.
Keep Learning and Growing
Even experienced accountants benefit from ongoing education. Consider certifications like:
– CPM (Certified Property Manager)
– CPA (Certified Public Accountant)
– REFM (Real Estate Financial Modeling)
Or take a course in Excel, Power BI, or lease analysis—anything that sharpens your skills and keeps you current.
Final Thoughts
As an experienced property management accountant, you’re not just managing numbers, you’re helping properties run more efficiently and profitably. With the right tools, habits, and mindset, you can make a big impact on your team and your portfolio.