Education and news for smart DIY landlords!
Manual rent collection has presented a ton of problems to landlords who want to get paid on time. An informal survey was conducted on landlords and all would agree that collecting physical rent is always associated with issues such as bounced checks and delayed payments.
Oftentimes we ask ourselves, “Is there a better way to collect rent?” Yes, there is - thanks to technology. If you still haven’t heard of online rent collection, it allows you to receive rent in an automated way. You only need to choose a service that appeals to you. Popular options are Cozy, TurboTenant, and Rentalutions.
Paying by check is a huge hassle since tenants need to wait for it in the mail and go to the bank to make a deposit. Online rent payments are much convenient in that they enable recurring payments. You’ll be surprised to know that tenants nowadays are more than open to such payment method as well.
Cheques contain sensitive personal information. Because a tenant’s banking information is available for anyone to see (in case the cheque gets stolen), the tenant can be a potential target for fraud. With a rent collection software, important information is kept safe. There is better security, knowing that the payments are regulated and tracked.
Oftentimes a landlord wants to know whether his or her tenants have already planned to make their payment. Transparency keeps everyone properly informed. Not just you, but also your tenants, enjoy greater visibility. All payment information - security deposits, late fees, monthly rent - can be accessed in one place, in real-time.
Whether a tenant forgets to pay or that they paid you the wrong amount, such problems are frustrating. The fact that an online rent payment system reminds tenants to pay through notifications and records all pertinent information eliminates the chances for human error to occur. In case a tenant claims that he or she has already made the payment (but you are sure that it never happened), you can always go back to check the system and inform the tenant about it.
Today’s generation of renters is always looking for strategies to make their lives simpler. It’s not because millenials are lazy; they just want to free themselves of more time to do the things they enjoy. If you are in the process of bringing in more tenants, you’d be glad to know that adopting an online rent collection system makes you a potential landlord. Tenants can pay online using their mobile device no matter the time and place.
The problems that are eliminated with the adoption of online rent payment makes running a rental property business simpler. As a result, landlords can focus on improving their relationships with tenants and finding good ones.
Some landlords who aren’t collecting rent online wonder how they can convince renters of the idea. The most practical way is to mention it immediately. Incentivizing tenants who sign-up for online rent payments (by giving them a gift card) is also a smart technique. However, always make sure to mention the benefits of paying rent online.
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Finally, I offer you the opportunity to take a complete DIY landlording course: Landlord Prep: Video E-Course and How-To Tutorials. Everything you need to know to become not just a landlord, but a successful landlord, is here.