If there is one thing almost all landlords have in common, it’s that at one time or another, you may have had a tenant who wouldn’t pay their rent on time. (See “The Hassle” section in this blogpost.) But never fear; here are few tips for encouraging timely payment behavior from your tenants!
Up Charge Rent Each Day it is Late
You may feel mean when you strictly enforce this policy. But consistently enforced, your tenants will take more initiative to pay their rent on time.
Do Not Offer Incentives
Don’t offer incentives for things that your tenants have agreed to do. This makes paying rent on time seem optional: “Hmm, the only thing I’ll lose by not paying rent on time is the chocolate basket my landlord promises for timely payments” could become a mindset.
Instead, reserve incentives for things that are, indeed, optional, like renewing their lease.
Offer More Than One Form of Payment
The senior citizens you rent to may prefer to write you a check, while the youngsters would prefer an online payment method. Providing options encourages your tenant to pay easily.
Everyone gets busy. Your tenant may have simply forgotten to drop the check by the landlord office. Send them a quick text, or pick up the phone to remind them.
Include the rent payment deadline in the initial sign-on contract. This gives you legal leverage when dealing with eviction, and sets a firm tone on the policy from the very beginning.
Pro Tip: Use a landlord management app to easily take care of points 3-5. Allow your tenants to pay online via a management app (BaseRent’s will soon be available!), then send as many friendly reminders as you want through the same app! Reminders will include an easy-to-follow link for how to make a payment
Also published on Medium.