Rent collection is arguably the most important aspect of being a landlord.
If you're not doing rent collection the right way, you're going to have trouble getting paid on time every month. With rent prices going up all over the place, you need to be diligent about who you're getting in your rentals and clear about how you're to be paid.
In this post, we're going to give all of you landlords a rent collection guide. A successful landlord is one that understands that things have to be done a certain way. Keep reading and you'll have the landlord tips you need to make collecting rent a breeze.
Vetting Tenants
The first step to making rent collection easy is getting the right kinds of tenants in your rentals. You want someone who's got a track record of paying rent on time, so you need to be thorough in the vetting process.
Always ask for landlord references from prospective tenants and perform credit checks. In certain cases, you can even ask for proof of employment and/or bank statements to make sure they aren't in over their head.
Writing a Clear Rental Agreement
Make your expectations very clear in your rental agreements. If your tenants know when and how to pay you every month right from the get-go, then you'll minimize your risk.
Set a reasonable rent price that is in line with your rental market. Clarify who will be paying utilities and when they'll be due. Consider whether or not you want pets in your rental and if you'll permit smoking of any kind.
Offering Flexibility
A good way to ingratiate yourself to your tenants is to give them a grace period of a few days for rental payments. Everyone has tough times financially, so by being understanding, you'll be able to keep good tenants in your rental for longer.
In your rental contract, make it clear how late payments are penalized and the circumstances under which you may evict a tenant.
Accepting Multiple Forms
The days of post-dated cheques and cash are over for most people. Accepting multiple forms of payment will ensure that you get your rent on time from all of your tenants.
Younger renters prefer to use various forms of electronic payments, while older ones may prefer traditional ones. Be flexible and treat each tenant as their own case.
Hire a Property Manager
Whether you're a busy property investor or you have a rental property to earn side income, hiring a property manager can be a huge help. Not only will they help you collect rent, but they can make sure you're getting qualified tenants in your units.
With our property management services, you'll also get rental marketing, property maintenance, financial reporting, and eviction protection. You can just sit back and receive your rental payments every month.
Rent Collection Doesn't Have to Be Hard
By hiring a property manager, you can minimize the risk involved with renting your property. Rent collection doesn't have to be difficult, but with Folsom Property Management, no aspect of being a landlord is hard.
Visit our site to learn more about what we do and when you're ready to discuss how we can help you maximize your rental, contact us.
