One of the most frustrating parts of holding the position of landlord is the mandatory task of collecting rent every month. The collection of rent is not only necessary in order for you to keep your job as a property owner one that provides a viable income, but it’s part of an understood (not to mention, written) agreement between a landlord and a tenant.
So why is it so hard to collect the rent on time? Many landlords complain of having to “run down” their tenants in order to make sure that their rent is collected in a timely manner. Is there any easier way to go through the process of getting paid each month? The following are some ideas that many landlords have tried.
Collect a year’s worth of post-dated cheques.
You just might be able to take the whole running-down-your-tenants thing out of the equation if you insist upon being paid in advance. Many landlords ask their tenants to provide them with post-dated cheques. A total of twelve to cover the forthcoming year is generally part of a standard request. Admittedly, this process doesn’t guarantee that enough money will be in the accounts of the tenants who provide the cheques. The last thing you want is for them to bounce.
On Landlordology.com, Sara Thompson also points out a couple of other issues that may arise with this method. “Most tenants I know are uneasy about writing 12 post-dated cheques especially to a landlord they just met,” she notes, “ Remember, it’s illegal to cash a cheque before the date mark.”
Have a heart to heart with your tenants.
Last month, we blogged about the importance of developing and growing the landlord/tenant relationship. Naturally, it makes life a lot easier when you can get along with the people who rent your property. One of the reasons is that it opens the doors for important conversations. Are your tenants going through rough financial patches? Perhaps, you can get to the bottom of why the rent is always late by simply talking it out with your tenants.
“Discuss whether changing the payment date or method would help,” suggests GoCardless.com, “For instance, some tenants may prefer to make smaller payments on a more frequent basis. Asking your tenants to set up a Direct Debit or standing order will reduce the chances of them forgetting to make a payment.”
Sign up with Single-Key!
We’ll be frank about it. We simply can’t come up with an easier and more effective way to ensure that you collect your rent on time than to enlist our expert services! For a monthly fee, we guarantee that you will receive your rental payments on time. While you are able to sit back, relax and avoid worrying about collecting your money yourself, we offer your tenants flexible payment options that help them find easier ways to get their rents paid every month.
And in your worst case scenario – one where your tenants are unable to pay at all – Single-Key will handle the eviction process as part of the service we provide to you. Enjoy the peace of mind in knowing you’ll never have to worry about running down your tenants for rent money again. Leave it up to us!
For more information, please don’t hesitate to give us a call at 416-518-3489 or email us at [email protected].
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