According to the United States Census, almost half of American renters spend over 30% of their income on housing costs. During certain times, it may become difficult to pay rent, and as a result, you suffer as a landlord.
You need to have a steady income too, but rent collection can be challenging to carry out each month. So what can you do to make your job easier and have less stress about steady money coming in?
If you need rent collection tips for Boston landlords, then you're in luck. Below, we'll share some prime landlord advice you should follow.
Set Clear Payment Policies
The first step toward optimal Boston rental management is to set clear payment policies. If these aren't easy to understand, then renters may be confused, and some may even take advantage of the vague language.
In your lease agreements, you should outline the following:
- Exact due dates (e.g. the first of every month)
- Late fees (e.g. $50 after five days)
- Acceptable payment methods (e.g. debit cards or ACH payments)
In addition, offer incentives for timely payments. For example, you can have a raffle or a small discount.
Leverage Online Payment Systems
Having an online portal can be a godsend, as it'll reduce the need for in-person meetings. Also, it allows both you and your tenants to take care of matters on your own time.
You can also make rent collection easier by leveraging online payment systems and linking them to your portal. If you offer multiple digital payment options, it'll be easier for your tenants to pay rent.
Familiarize Yourself With Massachusetts Law
Every state has its own landlord-tenant laws, so familiarize yourself with the ones for Massachusetts to ensure you're not doing anything illegal while carrying out tenant payment strategies.
Some key things you should take note of include:
- Maximum late fees you can charge
- Required grace periods (if applicable)
- Legal steps for eviction if needed
Hire a Property Management Company
The above sections contain great advice for getting your tenants to pay rent on time. However, it can still be challenging to juggle your personal and business life as a landlord.
In that case, you should hire a property management company. For instance, we have experts on our team who can handle rent collection, as well as late notices and legal actions, all while keeping you compliant. This can be especially helpful if you have more than one property.
Use These Rent Collection Tips for Boston Landlords
With these rent collection tips for Boston landlords, frustration will be a thing of the past. You'll have an especially easier time if you leverage technology and use a property management company, as your job will be more hands-off.
The best thing about using third-party services is that they're well-versed and experienced, which means they'll ensure you're compliant while keeping tenants happy.
Get in touch with us now if you'd like assistance with rent collection. PMI Bay State guarantees that you'll have payments in your account within 10 business days once tenants pay.
