Renters make up around 36% of the households in this country, which means more than one in three families rent versus own. So, this is good news if you own rental properties.
As a landlord, you have several primary responsibilities. For one, you must find and maintain your tenants. Additionally, you must fix and maintain the properties, but you must also collect the rent.
Rent collection is one of the challenging parts of being a landlord, but it doesn't have to be. First, however, you need an effective rent collection system.
Are you interested in learning how to improve your rent collection efforts? If so, check out this guide as we explain the best rent collection methods to include in your plan.
Offer a Drop Box
One of the most common rent collection methods you can use is drop boxes. A drop box is a secure box you can place in areas for your tenants to use as tenant rent collection devices.
You can place them in:
- Your office
- Lobbies in multi-unit buildings
- Outside your office
After installing these, you can encourage your tenants to use them.
Create an Online Platform
Next, it might be helpful to create an online rent collection platform for your tenants to use. An online platform is a portal your tenants can log into to pay their rent.
Your tenants can use this to pay monthly, but they can also use it to set up automatic payments.
Allowing your tenants to pay from home or work is the simplest way for them to do it. After all, electronic payments don't require your tenants to leave their homes.
Provide Other Electronic Options
As you design your rent collection system, you might also want to offer other electronic options. You can choose from many systems that allow you to send and receive money, including the following:
- Venmo
- PayPal
- Cash App
You must let your tenants know if you decide to accept any of these methods for rent collection.
Be Clear and Follow Through
Finally, as you learn how to collect rent, you should learn several more things.
First, you might want to choose a property manager to handle the work for you. They'll take care of the work, and they might collect more money.
Secondly, it would help if you clarified your collection policies with your tenants. For example, it might be helpful to print your policies to offer a hard copy to your tenants.
It's also vital to create a late-fee policy and enforce it.
Improve Your Rent Collection With Assistance
You could try the options listed here if you have trouble with rent collection. However, you could also hire a property manager to handle it for you.
Property managers use effective rent collection systems and offer other services that could help you grow your business. Would you like more information about property management services?
We offer property management services in Englewood, CO. Visit our site or call us to learn more!
