Consistently late rent

[Mitch Turgeon]

This is my first and only rental property, so I am learning as I am going here.  I have a family renting from me for the second year now. Rent is due on the first with a 5 day grace period.  Since we renewed their lease in September every month has been assessed a late fee, non of which have been paid.  Rent is paid at random times and one 4 weeks late.  My tenant is telling me that February rent, due on the first, will be sent on the 10th.  I will asses another $100 late fee for this month moving my running total of layers fees to $600.  Do I begin eviction or put up with the BS to collect the extra $100 every month. Side note....they take amazing care of the place and I am sure I will have to take the late fees out of their deposit.

[Kyle J.]

You’re doing this wrong. You shouldn’t be assessing a late fee and then not collecting it. You need to actually collect it.

Not only does it fail to incentivize them to pay on time if they never have to actually pay the late fee, but in some states (like mine) you actually could lose the ability to charge a late fee if you don’t enforce it because your failure to collect it could be seen as a waiver of that term of the lease.

On a side note, I personally wouldn’t have renewed their lease.  They don’t sound like stable tenants and they’re definitely not following the lease. At most, I would have continued renting to them month-to-month to see if they got their act together. However, since you already did renew their lease, it’s time you start enforcing it. Start charging/collecting the late fee and maybe they’ll start being motivated to pay on time.