Late rent payments are something no landlord wants to deal with. Late payments can mess with your operations, cost you money, lead to legal issues, and be a pain. However, it is a frequent issue that landlords frequently deal with. These crucial measures below should be followed if you’re trying to figure out how to handle a late rent payment.
Here are some helpful tips to deal with late payments.
Open Lines Of Communication Can Prevent Late Rent Payments
In all relationships, including the one between the property manager and renter, communication is essential. Tenants need to know what is expected of them so that you can let them know when and how much is due. Inform them of the repercussions of their tardiness, including any late payment fees and their amount. Find out why your tenant isn’t paying the rent on time if they don’t, especially if it’s an ongoing issue. The cause is frequent forgetfulness, but occasionally the tenant cannot pay the rent or has ulterior motives.
Make Sure You Screen Your Tenants
Tenant screening is one of the best ways to avoid this issue altogether. Check each applicant’s background; inquire about their past landlords’ payment histories to learn more about their level of responsibility. You can also be interested in their income level and perhaps set a minimum yearly income requirement for admission. A “cost-burdened” tenant pays more than 30% of their take-home pay in rent. In other words, they run the risk of being unable to pay their rent.
Enable Online Payments To Avoid Late Rent Payments
Making payments simple for you and your tenants is another approach to assist your tenants. Online fees to a secure server reduce the possibility of lost papers or a computer breakdown. Sending a reminder a few days before the payment is due may also be helpful to let them know. You can keep track of who paid what and when by paying online.
Provide The Appropriate Documents And Notices
Suppose you come across a tenant who hasn’t made a payment when due. Follow the steps outlined in your contract. You don’t want to step over the line and expose yourself to a harassment charge. Including a mechanism for notifying tenants of late rent payments can aid in resolving the situation as quickly as feasible. Keep thorough records of everything you and the tenant do in the case so that you can defend what transpired if it goes to court.
Trust the Professionals at Clagett Enterprises for Your Realty Needs
If you’re looking for an experienced property management company, the perfect realtor for your property, or a professional to assist you during purchasing any home, you can rely on Clagett Enterprises. Clagett Enterprises is a full-service real estate company with almost 30 years of experience in the Frederick and Western Maryland area. For assistance with commercial sales, leasing, management, and development and consulting, contact us online or give us a call at 301-665-6009. To meet our team and see some of our beautiful homes, follow us on Facebook and Linkedin.