We’re excited to announce major improvements to the owner draw process! You can now designate ownership percentages for properties with multiple rental owners, enabling you to become more efficient within the accounting cycle and saving you the headache when sending out 1099-MISC tax forms to rental owners.
Before you get started:
- Make sure that the contact information for all rental owners in the system is up to date
- Have the ownership breakdown for your rental properties at hand
- Identify any owners who are in the system for communication purposes only, and do not receive owner draws
Here’s what this feature allows you to do:
- Adjust ownership percentages on properties that need attention
- Add owner(s) to an existing property and adjust ownership percentages
- Add/edit ownership percentages on new properties
- Inactivate an owner and adjust ownership percentages
- Import and export rental owners with ownership percentages
- Pay owner draws based on ownership percentages
- Designate owners who do not receive owner draw by entering 0% ownership
- Exclude owners with 0% and reset the amount to pay
Adjust ownership percentages on properties that need attention
In the “Rentals” menu, you will see a banner message on the “Properties” page and on the “Summary” page for an individual property notifying you that some properties have ownership over or under 100% and may need to be adjusted.
Clicking “Adjust ownership percentages” will bring you to a modal where you can make adjustments to each property's ownership.
Add owner(s) to an existing property and adjust ownership percentages
From the “Rental Owners” page in the “Rentals” menu, when you add a rental owner and assign them to an existing property, you will see a modal with a prompt to adjust ownership percentages to ensure that they equal 100%.
Select “Yes, adjust percentages” to view the list of owners assigned to that property and their corresponding ownership percentages. You can make edits until those percentages equal 100%.
You can also click on individual properties in the “Property” tab for each rental owner to view and edit ownership percentages.
Add/edit ownership percentages on new properties
Ownership percentages can be entered while adding a new property from the “Properties” page in the “Rentals” menu. Once a rental owner is added, you can view and edit ownership percentages right from the “Who is the property owner?” section.
Inactivate an owner and adjust ownership percentages
Access individual owners from the “Rental Owners” page in the “Rentals” menu. If you choose to inactivate or reactivate an owner, you will see a modal with a notification to adjust ownership percentages for any properties to which the owner was assigned.
Import and export rental owners with ownership percentages
For new customers who have not yet imported data into Buildium, you will now be able to enter ownership percentages in the rental owner import file. Learn how to import data into Buildium.
If you need to download files from Buildium, the rental owner export file will now include existing ownership percentages. Learn how to export data from Buildium.
Pay owner draws based on ownership percentage
The “Owner draw” page will split the amount available for payment based on the ownership percentage. The split amounts will be visible under the “Amount to pay” column.
Ownership percentages can be hidden from this page by unchecking “Show ownership percentages”.
You can confirm the amount to pay by going to the “Financials” tab for each rental owner.
Designate owners who do not receive owner draw by entering 0% ownership
For rental property owners who do not receive owner draws, you can enter 0% ownership when adding or adjusting percentages. This will help you identify any owners who are in the system for communication purposes only.
Exclude owners with 0% ownership and reset the amount to pay
In the “Owner draw” page, you can uncheck the filter for “Owners with no ownership percentage” to exclude owners with 0% ownership.
To view only properties with available balances for payment by unchecking the filter for “Properties with no available cash balance”.