System to record properties

[Mary Ciccarelli]

I’m looking for a way to document all basic and financial details of each deal we purchase (downpayment, how we funded it, lenders used, mortgage, interest rate, rent, cash flow, when it was purchased, partners included, etc). I was going to create an Excel spreadsheet but now I’m wondering if there is a software system I can use, or is this something Quickbooks would be good for?

[KC Pake]

Quote from @Mary Ciccarelli:

I’m looking for a way to document all basic and financial details of each deal we purchase (downpayment, how we funded it, lenders used, mortgage, interest rate, rent, cash flow, when it was purchased, partners included, etc). I was going to create an Excel spreadsheet but now I’m wondering if there is a software system I can use, or is this something Quickbooks would be good for?

Hi Mary,

For documenting the detailed information of real estate deals, including both basic and financial details, you have several options ranging from custom spreadsheets to specialized real estate investment software. Each option has its pros and cons depending on the complexity of your needs, your budget, and the scalability you require.

1. Custom Excel or Google Sheets Spreadsheet

• Pros:
  • Highly customizable to fit exactly what data you want to track.
  • No extra cost if you already have access to Microsoft Office or Google Workspace.
  • Easy to share and collaborate with partners if you use Google Sheets.
• Cons:
  • Can become cumbersome to manage as your portfolio grows.
  • Lacks automated features like real-time updates or integration with banking systems.

2. QuickBooks

QuickBooks can be a good option for tracking the financial aspects of your deals, such as downpayment, funding sources, mortgage details, and cash flow.

• Pros:
  • Widely used, with robust reporting features.
  • Can track both income and expenses, making it easier to manage the financial health of your properties.
  • Offers integrations with banks and lending institutions for easier transaction tracking.
• Cons:
  • There might be a learning curve if you're not familiar with accounting software.
  • May require customization or additional apps to track all the specific real estate details you mentioned.

3. Specialized Real Estate Investment Software

There are several real estate-specific software solutions like Stessa, Realtyzam, or Propertyware that are designed for investors to track and manage their properties.

• Pros:
  • Tailored for real estate investments, offering features like tracking income and expenses, document storage, and reporting.
  • Some platforms offer automation and integration with real estate market data, enhancing decision-making.
• Cons:
  • Cost: Most platforms come with a subscription fee.
  • May offer more features than you actually need, depending on the size of your portfolio.

4. CRM Software with Customization Options

CRM (Customer Relationship Management) software like Salesforce or Zoho CRM can be customized to track deal details, including financials, though it's not their primary function.

• Pros:
  • Highly customizable and can be tailored to fit a wide range of data tracking needs.
  • Good for managing relationships with lenders, partners, and tenants.
• Cons:
  • Requires setup and possibly custom development, which can be costly.
  • May be more complex than necessary for straightforward property management.

Recommendation:

The best choice depends on your specific needs:

• If you're comfortable with spreadsheets and have a relatively small portfolio, starting with Excel or Google Sheets might be the most cost-effective and straightforward approach.
• 
  If financial management is your primary concern and you're willing to invest some time in setup, QuickBooks is a robust option.
• For a more comprehensive solution tailored to real estate investments, exploring specialized real estate investment software could provide the most benefits.
• 
  If your operations involve significant relationship management and you need a highly customizable system, a CRM with customization might be the way to go.

Before deciding, consider factors like cost, scalability, and the learning curve of new software. It might also be helpful to take advantage of free trials or demos offered by software providers to better understand what best fits your needs.

Good luck with your search,
KC