Closing on 2nd Duplex Should I set up another account?

[Michael Doherty]

Hi all,

I am closing on my 2nd duplex in December and want to stay organized. Curious to see how people stay organized from a financial standpoint with tenant security deposits and separate banking accounts. 

Right now I have 1 bank with a checking and 2 savings accounts set up. I have a checking/savings account for personal use which I deposit rent money in and a separate savings account for tenant security deposits only. 

Do people have separate savings accounts or banking accounts for each property they own? Or do you just keep all your tenants security deposits in one savings account? I am not sure if I should get a second bank for just a 'rental business' purpose or not (seems excessive for 2 properties). Appreciate any insights! 

[Nathan Gesner]

I use one checking account and one savings account for all rentals (I have five properties, 21 units). My software tracks the income/expenses for each property so I can see how they are performing. I can't think of any benefit to creating a separate account for each property and it's a lot of added complexity and potential problems.