6 Best Free MTD Software For Landlords

With Making Tax Digital (MTD) for Income Tax live since April 2026, and further thresholds following in 2027 and 2028, landlords face the challenge of selecting the right software to stay compliant with the digital record-keeping requirements.

You're not alone in shopping around - 98.4% of landlords say they're likely to invest in digital tools over the next 12–24 months, with reducing admin time (46%) the top driver - see our 2026 landlord MTD research.

In this guide, we explore the paid and free MTD software options that are available for landlords, comparing their features, benefits, and drawbacks. We also discuss why investing in a  landlord-specific tool can provide significant advantages over general accounting software.

For more information on MTD for Income Tax, including timeline, requirements, and what landlords need to know read our Guide To MTD For Landlords here.

About Free MTD Software for Landlords

HMRC’s Stance on Free Software

While HMRC itself does not provide free MTD software, several third-party options are available. However, these free tools often come with limitations, such as restricted features and support, which may not fully meet the needs of landlords with more complex portfolios.

• Limitations of free MTD software: Free software might have limited features, support, or integration capabilities compared to paid options. They may not fully meet the needs of landlords with more complex portfolios or require additional manual processes.
• HMRC's guidance on MTD software: HMRC advises landlords to ensure that any software they use for MTD is compliant with their requirements. Even if opting for a free tool, it must be recognised by HMRC and capable of accurate digital record-keeping and reporting.

Related: The 5 Best Landlord Software for UK Property Investors

Cost as a Legitimate Expense

Landlords can claim the cost of MTD-compliant software as a business expense on their tax return. This reduces the overall financial burden by allowing you to deduct the cost from your taxable income.

And so, while free options are available as already mentioned, investing in a paid, feature-rich software may offer better long-term value. Paid software often provides more robust features, better customer support, and integration capabilities that can streamline your tax management processes.

Related: Tax Deductible Expenses for Landlords

6 Free & Paid MTD Software for Landlords

Below we take a closer look at six MTD software which can be used by landlords. We have broken the list into two halves, general accounting software and landlord-specific software. While general accounting software excels in broad financial management, it often requires extensive customisation to meet the unique needs of rental property accounting and management.

Whereas using software designed specifically for landlords, like Landlord Studio, offers tailored features that general accounting software like QuickBooks or Xero lacks and can help you dramatically simplify your accounting and financial reporting needs, saving you time and reducing accounting errors.

Landlord-specific software also provides specialised tools for rent tracking, tenant management, property-specific reporting, and streamlining property management tasks like property maintenance and ensuring compliance with various regulations such as EPC and gas safety certificate renewals. 

Related: Making Tax Digital (MTD) for Landlords: The Complete Guide

Best MTD Software Designed for Landlords

1. Landlord Studio

Landlord Studio is a cloud-based property management software designed specifically for landlords. It streamlines the financial management of rental properties, including bookkeeping, tax preparation, and digital record-keeping to comply with MTD regulations.

Landlord Studio is HMRC-recognised and MTD compliant, with direct HMRC integration.

Main Features

• Mobile app
• Bank feeds
• Receipt scanner and digital record storage
• Real-time financial reports
• MTD-compliant digital record
• Direct HMRC integration for MTD submissions, plus a Xero integration
• Tenant management, reminders, and lease tracking

Pros:

• Tailored specifically for landlords with essential property management features
• HMRC-recognised and MTD compliant
• Intuitive and user-friendly interface
• Excellent customer support and help resources
• Mobile app for on-the-go management

Cons:

• No tenant communications built in.

Pricing

Landlord Studio offers three plans. 

• GO is FREE and includes your first 3 units. 
• PRO starts at £12.00 per month. Additional units cost £1.00 per unit per month. 
• PRO Plus starts at £24.00 per month. Additional units cost £1.00 per unit per month.

Create your free account with Landlord Studio today. View pricing plans →

2. Hammock

Hammock is another property-specific software that helps landlords manage their finances by automating rent collection, expense tracking, and MTD compliance. It integrates seamlessly with bank accounts to track income and expenses in real-time.

Main Features:

• Bank account integration for automatic rent and expense tracking
• Instant notifications for rent payments
• Detailed cash flow insights and analytics
• MTD-compliant tax submissions

Pros:

• Real-time tracking of transactions via bank integration
• Property-specific reports and insights
• HMRC MTD compliant

Cons:

• Limited property management features.

Pricing:

Free trial with paid plans starting from £8/month.

3. Landlord Vision

Landlord Vision is a comprehensive property management software aimed at landlords and letting agents. It offers a variety of features from tenancy management to in-depth financial reporting and MTD compliance.

Main Features:

• Tenancy management and rent collection
• Expense tracking with automatic MTD submissions
• Customisable tax reports for individual properties
• Document storage and automated reminders for key deadlines

Pros:

• Complete property management solution
• HMRC MTD-compliant
• Detailed reports and real-time tracking

Cons:

• Not as user friendly as some of the other software on this list.
• High cost for larger portfolios.

Pricing

Free 2-week trial. Paid plans start at £19.97 per month.

Best MTD Software for General Accounting

4. FreeAgent

FreeAgent is a general accounting software designed for freelancers and small businesses. It’s also suitable for landlords with smaller portfolios, offering basic accounting, invoicing, and MTD compliance features.

Main Features:

• Invoicing and expense tracking
• MTD-compliant tax submissions
• Real-time cash flow insights
• Payroll and VAT management
• Bank reconciliation

Pros:

• Excellent for small-scale landlords or mixed-use property owners
• HMRC MTD-compliant
• Broad range of accounting features

Cons:

• Not tailored specifically to landlords, so lacks property management tools
• Higher cost for larger portfolios

Pricing:

• Free with some business bank accounts
• Paid plans for landlords start from £10 per month for the landlord plan and with optional receipt scanner bolt-on for an additional fee.

5. Coconut

Coconut is designed for sole traders and landlords who need basic financial management tools and MTD compliance. It simplifies the process of tracking expenses, invoicing, and tax submissions.

Main Features:

• Bank feed integration
• Real-time tax estimates
• VAT and income tax tracking
• Bank integration for automatic transaction imports

Pros:

• Simple and user-friendly,
• Comprehensive accounting suite
• HMRC MTD-compliant

Cons:

• Designed more for self-employed individuals than landlords which could make tracking larger, more complex portfolios more challenging.
• Does not offer property-specific management tools

Pricing:

Free 30 day trial. Paid plans start at £9.95/month.

6. Sage

Sage is a well-known accounting software that serves a wide range of industries, including landlords. It offers a comprehensive suite of financial management tools, including invoicing, expense tracking, and full MTD compliance.

Main Features:

• MTD-compliant digital record-keeping
• Invoicing, expense tracking, and bank reconciliation
• Financial reporting and cash flow insights
• Payroll and VAT management for landlords with employees

Pros:

• Comprehensive accounting suite
• Highly customisable and scalable
• Strong reputation and customer support
• HMRC MTD compliance

Cons:

• More expensive than other options
• Less user-friendly for smaller or less tech-savvy landlords
• Designed for self-employed and sole traders rather than landlords which could make tracking larger, more complex portfolios more challenging.

Pricing:

Get 90% off for 3 months, then pay either £18, £39, or £59 per month + VAT depending on your accounting needs.

Choosing the Right Software for MTD Compliance

To ensure compliance with MTD regulations, landlords must use software that is recognised by HMRC. This software should support digital record-keeping and enable the accurate submission of quarterly updates and annual declarations.

MTD-recognised software helps maintain accurate records, reduces the risk of errors, and simplifies the tax filing process and is essential for avoiding penalties and managing your tax obligations effectively.

Why Landlord Studio is the Ideal Choice

Landlord Studio offers a range of features tailored specifically for landlords, including rental accounting and digital record-keeping, and seamless tax reporting. This ensures that you can manage all aspects of your property finances in one place.

Landlord Studio is fully compliant with HMRC requirements for MTD, ensuring that all your digital records and submissions are handled correctly and on time.

The software is designed to be intuitive and easy to use, making it accessible even if you’re not tech-savvy. The user-friendly interface helps landlords quickly adapt to the MTD requirements without a steep learning curve.

Landlord Studio provides excellent customer support and integrates seamlessly with Xero, one of the most used accounting software in the UK making it easy for you to work with your accountant.

Simplify your rental property bookkeeping and tax management with tools designed for you.

Final Words: Using Landlord Studio for MTD Compliance

Landlord Studio provides accurate digital record-keeping tools that are easy to use and designed specifically for landlords. Our expense categories are in line with HMRC requirements. Connect your bank feeds for fast transaction reconciliation, digitise receipts at the point of sale using the app, and when it comes to filing your quarterly update, we've got you covered with a direct HMRC integration and streamlined submission workflow!

Plus, with Landlord Studio you can handle more than just taxes. Track rent, manage tenancies, and stay on top of maintenance jobs and your landlord compliance requirements.

Create your free Landlord Studio account today.

Related MTD Articles

• MTD For Landlords: FAQs
• How to prepare for MTD ITSA: The Checklist
• What Landlords Need To Know About MTD Quarterly Updates‍
• Free Making Tax Digital Resources for Landlords‍
• Making Tax Digital: How Landlord Studio Can Help You Stay Compliant‍
• Everything Landlords Need To Know About MTD for ITSA