Rent. It’s the magical factor that motivates the average property manager to keep up the good work on a daily basis. It’s happy. It’s reward. It’s payday. It’s also the source of a lot stress for many. That’s because it can often be challenging to get all tenants to pay their rent on time, if they pay it at all.
Tired of feeling like the heavy-hand when it comes time to collect? How about putting any or all of the following tactics into play in order to help tenants remember and incent them to pay on time?
1. Friendly reminders. I talk a lot about how important it is to communicate with your tenants. So, my hope is that, by now, you already have a newsletter or regular email going out to your tenants. Use it to stick in a regular reminder about the coming-due payment. I have also seen properties that cleverly stick yard signs around the grounds starting 10 days before due-day that look something like this:
2. Make it Easy. These days, there is almost no excuse to miss out on timely payments simply because you don’t have an automated payment option. There are plenty of affordable services offering your tenants the flexibility they need to make online payments and/or arrange for regularly scheduled payments that will ensure dates are never missed. Just as it is with most things, the easiest path is the one preferred. Give your tenants a direct method of payment by allowing them to forgo check writing and delivery in exchange for electronic, and you may just notice an up-tick in on-time payments.
3. Give incentive. The smallest incentive may motivate tenants toward better payment behaviors. Even the smallest rent discount in exchange for on-time payments may be enough to make a difference. You can also get creative, however. Consider offering premium parking, membership exclusives, upgrades, or coupons or gift cards to local attractions and restaurants.
As owner or manager, the key is to remember that you (hopefully) do have a contract with your untimely tenants, so you have that on your side. However, many times it’s the friendly reminders or small efforts that go a long way to righting a wrong situation…and not always being the heavy hand. Simply consider what you appreciate about the working relationships you have with other companies and try to replicate some of the same conveniences you enjoy for your own tenants.
Would you like some help getting this accomplished? The professionals at Class A Management love this kind of thing Let us be your communication and payment guru. Call us today at 817-295-5959 or send us an email to info@classamanagement.com.