Has one of your owners recently ended their management agreement and now you need to send the security deposits to the new property management company? This article will walk you through this process using the move out flow.
This article will walk you through sending these funds to new management, but will not show the owner the flow of funds. If you would like the owner to see the flow of money in the process then please follow this article.
- To start you can go to the lease and click on the transactions tab. Here you can click the transactions tab. If there are any unpaid charges on the lease you can click on them, click the green actions button, and void them. This is only if you would not like the security deposit to pay for these charges. If you would like the security deposit to pay for these charges then you can ignore this step.
- Now you can click the green actions button and click move out. This will take you through the move-out flow to release the security deposit.
- You can follow the first step of the move out as normal by entering the move out details. This includes the notice date, expected move out date, move out reason, and unit availability date. Most of this information is not necessary as the lease is most likely still active.
- The second step of the move out is where you can enter in the forwarding information. Since this is not going to the tenant you can enter the information for the new property management company. This will be the address and name on the check that gets printed. Click the green next button to continue.
- You will then reach the accounting tab. Here you can enter any charges you would like to apply the security deposit to or credits to add to the security deposit. This will not be necessary if you are just sending the whole security deposit over to the new company.
- After this you can click next to reach the review and complete page. You can selected the date this is posted and you will change the status to a closed status. You can also enter in more information like the move out date, close date and close descriptions if you would like.
- The next important section are the refund details. Here you can enter in the payment type the name of the new property management company for the name on the check, and select the check address from the forwarding information entered earlier. You will then click submit and this will close the lease and generate a check that you will be able to print the check to send out.
- To view the check you can click on the accounting tab and click on money out. You can then click on the payment screen and you will see the check that was generated. You can click on this to view it.
- From this page you can click on the green actions button and click print check.
Below is an example of how this check will look with the new information for the new property management company.
