Landlords who own just one to two units are estimated to make up two-thirds of all small rental properties. If tenants don't pay rent on time, it can cause a lot of strain for these "mom-and-pop" investors.
To ensure that your tenants pay you reliably, take steps to improve the rent collection process. Collecting rent efficiently can help minimize your stress as a landlord and keep your finances in order.
Here are the simplest ways to handle rent collection in Bethesda, MD.
Communicate Clearly
One of the top keys to improving the rent collection process is to foster clear communication with your tenants at all times. Set clear expectations when you first meet them and have them sign a rental policy agreement.
However, you should also remind them of your expectations as time goes on. Sending payment reminders can help ensure they pay on time.
If tenants have trouble paying, you should hold them to the consequences you set. However, in some cases, you may want to work with them and give them a grace period to keep a good relationship and make it more likely that they'll renew their lease.
Accept More Payment Types
Giving your tenants more ways to pay can be a great help in ensuring you can collect rent on time. Collecting rent in-person is one option, but it may be inconvenient for both you and your tenants. Consider offering online payment options to ensure that tenants can pay easily and conveniently.
Allow multiple payment options such as credit card, check, and using payment apps such as Venmo. The easier you can make it for a tenant to pay rent, the more likely it will be that they'll pay on time.
Allow Automated Payments
In addition to offering multiple payment options, consider implementing automated payments. Using an online rental portal, tenants can set up automatic payments so that the money is withdrawn from their accounts at the same time each month.
These set-it-and-forget-it payments can be useful and make it so that they won't forget to pay. As a result, you'll get paid on time every month, have minimal issues with your tenants, and prevent the need for an eviction.
Install a Dropbox
Aside from having tenants pay directly to you in person, you may also want to set up a dropbox. Installing a dropbox in your building can make it easy for a tenant to pay rent, even if they can't schedule a time to meet you directly.
As opposed to online payments, a dropbox can allow a tenant to pay with cash or check. It can be more convenient in many situations, so consider this option if you want tenants to pay on time.
Improving Rent Collection in Bethesda, MD
If you want to improve rent collection with your rental properties, consider using these tips. Improving communication, installing a dropbox, and accepting multiple payment methods can help you get paid on time.
Need help with rent collection in Bethesda, MD? Consider working with PMI Capital Region. As part of a larger property management services chain with 20 years of experience across the country, we're ready to meet your needs.
Ready to get started? Contact us today to learn more about how we can help.
