Working with a tennant

[Jared Christensen]

I have a tennant who is always late paying their rent.  Every month I add a $50 late fee that was stated in the lease and I eventually get paid but us usually the last week of the month.  Is it worth working with them or do you take the risk of eviction and having lose a months rent to get a new tennant.  The marking is great and it wouldn't be open long but I would have a little remodeling to do in return I could also raise the rent from what it is now.  

[Dana Dunford]

@Jared Christensen - Late fees is always something that's difficult, but some follow up questions:

• Paying late fees: You mentioned that your tenant pays by the end of the month. Do they also pay the late fees by the end of the month?
• Daily late fees: The issue with a "one-time" late fee is that once they get the late fee ... they don't really have an incentive to pay until the end of the month (they already got the hit of the late fee). Where is your property located? Some States allow daily late fees ... which would encourage for them to pay earlier. (You would need a lease addendum upon renewal for this to take effect.)
• Letting them know that you mean business: Some tenants take advantage of the situation, because they don't think that you'll follow through with a "Notice to pay rent or quit." You may want to let them know that they have been in violation of the lease and you will be taking further action (and know how to) if they do not correct their actions.

Some things to keep in mind. Vacancy does risk a month or so of lost rent, but your current tenant seems to be a risky one.