Landlord collecting rent

4 Replies

Want to know what strategies, incentives, & ideas landlords are doing to get their tenants to pay rent during this no eviction time. I’m hearing things like a rent break of $25-$50 off during the first 5 days it’s due etc... Any feedback would be appreciated. Thanks

Gimmicks aren't going to be the ticket here, they either have the money to pay rent or they don't, it isn't going to be a matter of choice for most people and $25-$50 is not going to be a strong incentive anyway. Be understanding and helpful and you'll get farther. $25 discounts are worse than nothing at all because they incite ridicule and give the impression you are an out of touch landlord that doesn't need the money, instead of a mom and pop operation who needs the rent for their own bills.

There's a lot of good thought on this on other threads and I totally agree with @Aaron K. too. I've offered my tenants no breaks. I had one ask for a discount so I came down about 10%. In return he's staying another 3 months. Another tenant spent a weekend gardening and landscaping so I paid him $150 (off next month's rent). 

The ones who are hurting are those that aren't working and can't get unemployment. Then you'll have to get creative; attempting to work with them. Don't offer them an amount to pay, ask how much they can pay. Then play it by ear. Communication and compassion are your biggest allies in this mess, as I'm finding with my tenants.

@Brad Holtzman

Of the tenants that have been severely affected by the lockdown, I am working with them. Just as @Michael King I am giving a break between 10% to 20%, depending on their situation.

HOWEVER, that being said, they must pay the FULL rent on time before they get their break.

It's to your advantage to get the full rent in before giving some help. The advantage of this strategy is that if you have the chance to refi your property, the banks may want to see that you are still collecting your full amount of rent. If they suspect you are not getting all the rent, they may use it as an excuse to deny you the loan.

Smartest way is to collect ALL the rent so it's deposited in your account. Give back money after.