Property management can be a very lucrative business if you stick to these management solutions. Whether this is your full-time job or you have a property or two on the side to make some extra money, it’s important that your tenants pay you when it’s time. Unfortunately, past due rent is a very common occurrence which can have a negative effect on your income.
Have a Plan
Of course, the best way to deal with rent is to get paid on time. Make sure that your expectations are clear to your tenant when you rent your property. You can also get in the habit of sending a reminder a few days before the rent is due.
Some property management companies charge a late fee for rent not paid on time. This needs to set beforehand in the rental agreement, though. You can’t spring a late fee on the tenant with no advance knowledge.
The Rocket Lawyer also recommends sending a late notice if the rent is late. This needs to be signed by you or a property representative. This may prompt the tenant to pay within the given time period and nothing else will need to be done.
However, often, rent just goes unpaid. So what do you do when you’ve made sure the agreements and contracts are clear and you’ve sent the late notices?
Contact a Rent Collection Agency
Due to different reasons, rent sometimes goes unpaid. The way the situation is handled may depend on the specific circumstances. For instance, if the tenant cannot pay because they don’t have the money at the time, perhaps payment plans can be agreed upon; however, these arrangements can sometimes lead to future problems related to collecting the partial payments.
If rent has not been paid because of a management dispute, such as the tenant is withholding rent because a repair to the property has not been completed, the resolution may be very different. In some cases, there may be an arrangement for the tenant to take care of the repair and deduct the related costs from the rent. The tenant is also obliged to observe property management tips for winter, winter property management tips.
However, there may be times when a tenant simply does not pay rent. When this happens you may want to contact an ‘unpaid rent’ collection agency. A collection agency can help get the rent paid and although you will have to pay the agency, you will at least have rental income from the property. Collecting unpaid rent can be a time consuming, frustrating matter, and sometimes it’s best left to the professional landlord debt collectors.
Rocket Receivables
Rocket Receivables can create a tailored approach to suit your needs and maximize your cash flow. Put their expertise and clear, structured property management collections solutions to work for your business.
Collecting late rent payments can be stressful and the related interactions can compromise your relationship with the tenants. With industry expertise, Rocket Receivables knows the right letters to send and phone calls to make for effective rent collection that follows legal protocols.
Contact Us
If you are struggling with getting your tenants to pay the rent, sign up now with Rocket Receivables. Let us utilize our property management collection expertise to get your tenants back on track.