What if rental stop paying???

Question

Deanna McCormick · Answer

this may sound harsh but if you don't know the answer you shouldn't have rented it out in the first place.

Know your state landlord tenant laws.

Rental business has highs and lows and income will vary if tenants don't pay rent and units are vacant due to evictions, or maintenance down time, or if unit is down between tenants.. if you can't afford at least a 5% loss in income on a property you shouldn't consider it as a business you can afford to be in.

Thomas S. · Answer

Learn your state specific landlord tenant laws. When a tenant has not paid their rent by mid night on the 1st of the month a landlord serves notice on the 2nd. Assuming of course you are operating your investment as a business.

Hobby landlords would probably wait a while then start begging for payment and eventually be forced to start the notification when they finally realise a tenant paying late is abusing their landlord tenant relationship.

Most hobby landlord lose a lot of money unnecessarily due to their own incompetence.

Account Closed · Answer

It is quick to evict in Texas. You need to find the LandLord Tenant laws for the county and for the city that the rental is in. I would also locate an eviction attorney in that city and have a half hour phone conversation.

Shal Patel · Answer

Thanks for giving me good advice. Strong lease agreement, and strict rules should make my life easier as Landlord.

Christopher Blanco · Answer

Need to have a policy, and a strong one. If rent is due on the first, and its not paid at 11:59pm on the 1st, then the 3 day notice is on the door with a late fee the next morning, the tenant cannot be allowed to make partial payment of rent.  Full rent with late fee or the eviction process starts.

At the end of 3 days, go to tenant and offer them cash for keys. After 3 days no longer accept rent, and start the eviction process.

Peter Mckernan · Answer

@Shal Patel Texas is a place that you want to be to get rid of your renters! That state is a lot smoother in regards to rentals and tenants than a lot of other states!

Gail K. · Answer

One of the biggest problems I've seen is that many landlords don't start the process (i.e., send the Pay or Quit notice) until many days, weeks or even months have gone by with the tenant not paying rent.

Perhaps they are fearful of drawing the tenants anger and worried the tenant will destroy the rental.  Perhaps they have bought the tenants sob story that the rent is "on the way".   Maybe they keep hoping that check will show up in the mailbox and instead only see cobwebs in there.

At any rate, when they finally have their belly full of their free loading tenant then they want to know how quickly they can get them out of there (and are sometimes upset to learn how long it might take to do this).

Your lease should specify when rent is due, when it is late (and the tenant incurs a late fee) and if not received by the due date, you begin the process of eviction with the Pay or Quit notice.

Gail

What if rental stop paying???

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