The Benefits of Online Rent Payments

The Internet changes every day and so do the uses we find for it. From transferring funds to purchasing goods online to keeping up with friends via the various social networks. Paying rent online is just one more convenience for both landlords and tenants that the Internet provides.

Collecting rent can often be difficult for landlords. Some tenants are late, some are forgetful, some just don’t have the necessary funds on rent day. One solution that can help eliminate some of these scenarios is to allow your tenants to pay rent online. Many are already paying such bills and utilities, cell phones, insurance premiums and many revolving credit accounts using the bill pay function provided by their banks. By allowing your tenants to add their rent payment to their regularly scheduled payments you have a better chance of receiving your rent on time.

In days gone by, the landlord was a dreaded site when he came to the door demanding his rent. Tenants were threatened with eviction the very next day and many counties considered this legal. Today we have much more sophisticated landlord/tenant laws allowing many chances for the tenant to bring his rent current without the fear of eviction. What’s more, it takes more than on day to evict a tenant; in some cases up to 30 days.

If you’re a tenant and you find yourself unable to pay your rent the first thing you should do is contact your landlord and explain your situation. You may be able to work out an arrangement such as paying the half the rent now and half later in the month. If you’re a landlord and you find your tenant is late or short you should get in touch with your tenant and find out what the problem is. Without knowing exactly what the difficulty is there is absolutely no chance of finding a solution.

The beauty of paying and receiving rent online is that those funds have already been accounted for having been deducted from your tenants budgets. The other benefit is that these funds are available in your account immediately. So while your tenants may have cash flow problems you never will. Your rent will be automatically transferred and instantly available.

Collecting rent has other benefits as well. Your bank serves as your bookkeeper letting you know exactly how much you have in your current account at any given time and by whom it was sent. What’s more, you can check your available balance and incoming payments 24/7; a great help when you have several properties keeping you busy during the day.

When all is said and done online banking isn’t going away. Why not jump on the bandwagon and be the first to offer your tenants online rent payments.

Establishing the Proper Rent Payment for Your Properties

With the housing marketing still in decline the rental market is booming. People who can’t otherwise afford to buy a home are renting homes, condos and apartments. But how do you establish a fair rent payment? One that will attract prospects but still give you a fair profit?

For many years renting has been looked down upon by most of the country. After all, home ownership is considered part of the American dream. But with the economy in its current state many people have to rent and many are choosing to rent while they wait for the housing market to rebound.

If you own a rental property–be it a home, condo or an apartment building–the burning question is how much do I charge in rent. The same way appraisers evaluate homes for sale can help you determine an appropriate rent for your dwelling. First, consider the neighborhood. Is it an upscale area with nearby shopping, recreation and top-flight schools? If you can, find out what other landlords in the neighborhood are charging. This many be requiring a little sleuthing on your part by pretending to be interested in the dwelling yourself but this effort–especially if you can visit several properties in the areas–will be invaluable in determining what the going rate is in the neighborhood.

This tactic will work just as well for condos and apartments. Of course, you need to consider the amenities your property offers that the competition doesn’t. If there a pool or pool access? A yard? Garage? A fireplace? Ample closet space? An Alarm system?All the desirable appliances? And finally, what condition is your property in. Has it recently been painted inside and out? What about flooring? High quality carpet or even wood or tile flooring can make a home very appealing to prospective renters and enable you to set a higher rent payment than the competition.

Remember to point out the benefits of renting. In most cases all repairs except minor ones are the responsibility of the landlord. This is a very appealing point to many people. What’s more, in the case of condos and apartments landscaping and gardening also fall under the duties of the owner.

All these facts can contribute to the rent payment you set. Clearly a view or some other extra special amenities can up your desired rent. But remember, every month you wait to get the rental amount you want is a month you have to carry the mortgage on your own. While you may not want to settle you many be able to arrange some creative payment options. For instance, a greater security deposit might give you the sense of security you need to feel comfortable with the arrangement.

Whatever mode you employ to establish a rent payment you can live with you also have to establish a rent your tenants can live with as well.

Landlord 101: How to Collect Unpaid Rent from Tenants

Learning how to collect unpaid rent from tenants is one of the key issues faced by landlords and property managers on a regular basis. Often tenants will pay a portion of their rent, or string landlords along with promises of imminent payment.  Understanding and clearly communicating a number of key policies to tenants is the best way to manage the process of how to collect unpaid rent from tenants.

Seasoned real estate investors will confirm that knowing how to collect unpaid rent from tenants is one of the key skills necessary for success as a landlord or property manager.  Failure to pay rent is a problem stretching back to the very first rental agreement, and it is unlikely to go away anytime soon. 

In addition, the image of the unscrupulous landlord exploiting the weak and helpless tenant is etched in our collective psyche, making it even more difficult for landlords to know how to collect unpaid rent from tenants, what their rights are, and how to create a system that works for everyone involved.

To be sure, some landlords take their knowledge of how to collect unpaid rent from tenants too far.  However, the vast majority of landlords simply wish to conduct a decent, profitable business that provides shelter, a much needed service by human beings everywhere around the world.  As such, landlords who know how to collect unpaid rent from tenants in an efficient manner stand a much greater chance of remaining in business for decades and even generations in the future.

The first step in gaining this knowledge is to recognize the need to follow a precise legal process.  If a tenant fails to pay rent, the landlord must move into “robot mode.”  Following a system helps ensure that rent will be collected before too much time elapses. Promises of impending windfalls are nice, but, as the saying goes, promises don’t pay the rent.  Money pays the rent.

Landlords who know how to collect unpaid rent from tenants usually start with a document known as an Urgent Late Notice.  This notice should be delivered at the end of whatever grace period has been determined.  Tenants should know which day of the month represents the end of the grace period before they sign the lease.  If that date passes, the landlord or property manager should ensure that the notice arrives in a prompt fashion.

The late notice starts the process of how to collect unpaid rent from tenants.  Once sent, it should prompt a response.  If that response fails to come within a reasonable period, perhaps three to five business days, the landlord should follow up with a phone call.  The call should be firm, friendly, and serious in tone. It should inform the tenant that failure to pay rent by a given date will result in the account automatically being handed to an attorney’s office.

Should the tenant still fail to respond or pay rent, the next step in knowing how to collect unpaid rent from tenants is to send an official eviction notice or attorney’s letter.  The letter should include instructions to pay rent of quit the premises.  It should also inform tenants that failure to pay in a timely fashion will be reported to appropriate credit-rating agencies.

If this step also fails to elicit payment, landlords or property management companies who know how to collect unpaid rent form tenants agree that the eviction process must move forward.  At this stage, landlords should employ the services of a competent lawyer who has experience in eviction cases. 

Going it alone, without the aid of an attorney, is a recipe for disaster.