By Vestpro Residential Services
There’s no doubt that late payments will hurt any owner regardless if they’re just getting started with owning rentals, or they’ve owned them for years.
The truth is that most owners rely on the rent that they receive from their tenants to pay their mortgages so when a tenant is late paying their rent this means that the owner will have to pay their mortgage out of pocket.
What’s the solution to the problem?
Owners must reduce their late payments and getting started with this is easy especially when the steps listed in this article are followed.
How To Reduce Late Payments
Enable Electronic Payments
We’re a big fan of software that allows residents to make payments online, such as many property management software solutions. In this day and age, we’re all busy. Having to physically write a check, track down a stamp, and trek to the post office to mail a payment is a hassle. Some will certainly prefer to make payments that way; but if you want to collect payments on time, leveraging electronic payments will make it easier for you to do so.
Improve Your Resident Screening Process
There will always be one-off cases of residents paying late. However, if you find that multiple residents are making late payments more often than not, it could mean that your tenant screening process is in need of a few tweaks. Be sure that you’re calling landlord references, confirming proof of employment, setting guidelines for minimum income required to lease, etc. This should help to ensure that you’re choosing high-quality residents who can afford to make their payments each month.
Hire a Property Manager
If you’re struggling to collect rent payments and dues, or you simply don’t have the time or energy to track down late payments, consider hiring a property manager. Hiring an experienced property manager can help you to implement a stronger payment system to ensure consistent cash flow moving forward, and can provide valuable expertise on these kinds of situations in the future.
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For professional property management contact us today by calling 832-971-1841 or click here to connect with us online.