As a landlord or investment property owner you know that collecting rent is a big part of the game. There are tenants who will pay on time, and will love doing so month in and month out; these are the types of people that you want to rent to. But on the other side there is sure to come a day when you have to deal with late paying tenants. More and more landlords are running into this because of the bad economy, and the financial strain that it is putting on many people.
Dealing with late paying tenants is not going to be fun. This is the case for you, as well as the person who did not pay. If you are in this position you need to take the proper steps. First off, send a late payment notice to your tenant. Maybe they simply forgot to pay the rent. This may not always be the case, but on a first offense you will want to give the tenant the benefit of the doubt.
If the problem persists, and your tenant is always paying late, you need to hit them with a fee in order to show that you are serious. As long as you have a late fee clause in your lease you can do this without any problems. It is never easy to act on this clause, but in some cases it is the only thing that will teach a late paying tenant a lesson.
Overall, dealing with late paying tenants can be a pain in the neck and is not the most exciting part of managing an investment property. Once you learn how to deal with problem tenants, especially those that pay late, future instances will be easier on you.
Category: Property Management