My tenant just emailed me the following,
"Hello Richard,Everything is going.....Not sure if we can make the rent this month due to my unemployment being halted this last pass weeks........shall be restarting here will soon. I know I had asked you a few months ago if you knew about any programs for rental assistance. Well I have found this site through MN housing that is helping renters and landlords. I sincerely apologize about not having the rent at this time and I am diligently working on getting it covered with some assistance from these programs. I have enclosed an Eviction Protection Declarations along in this email. When I get any updates on this program I'll keep you posted. Thank you in advance for understanding during these difficult times."
Does anyone have any advice? I self-manage. I am okay on reserves, but want to take the proper steps taking into consideration my tenant and business at the same time.
This is a Duplex and one side covers most off the expenses.
Work with them and see if you can get assistance. We have seen success with the assistance programs in other areas.
Of all the things important for a RE Investor to know, when to tap-out and call in Pro's is the #1.
This situation is the most technical, difficult that landlords have faced in generations, lawyers are tapping out.
You need not just a P.M. but a POWER house P. M. Working for you, it's really that simple.
Minnesota is "the" battle ground in all of this, and if your properties are in St Paul or Minneapolis, oh Daddy.
Look, not just pumping my brokerage but fact is were at 98% rents collected with more SFR than anyone in the U.S., we clearly got our sh#t together and are doing something many others are not. We have a massive staff leveraging every resource, tip, trick, connection and so on, no book, guide or what not can compare. You need that, plain n simple.
First off, are you aware moratorium does ZERO about financial responsibility? Are you aware you DO have legal recourse, SIGNIFICANT legal recourse? Of course not, because nobody is getting paid $ on YT to share this stuff.
In 14 days I will be able to proudly declare a perfect 1000 batting average on non-paying tenant mitigation DURING MN moratorium, solving almost 2 dozen cases just like yours.
There is options out there but on a scale of 1-10 on technical difficulty its a 47. I could share every step I do and there about a 5% chance you will have same results because of experience and execution.
Know when to tap-out and call in the "big dogs", that's the honest #1 best, most effective, smartest thing you can do. Be it my agency or anyone who can hold a candle to us (yes, theres a few really great ones out there, hundreds of horrible but a few great ones).
I would agree with @James Hamling that a professional would be beneficial (I'm managing 400 units and over 99% collected rent) but your post doesn't give me enough information to know if it's the right choice.
Your tenant is communicating and attempting to seek assistance. Work with them but don't give away the farm in the process. If they say they need two more weeks to come up with the rent, put it in writing. A simple memo in plain language and signed by both parties will suffice.
I think the tenant is genuine and they are taking the steps to try and pay rent to you so you should help them out as much as you can.
@Richard Ochoa don’t worry, we have a few tenants that we manage on some assistance, there is also some programs for owners to help out. The tough time will come when people need to start paying without assistance again.
I like James picture. I can't have a good night sleep having rental property in MN without a good PM.
@Richard Ochoa there are some rental assistance programs in MN right now, but funds go quickly. This may be the MN housing your renter was talking about but here is a link for that "rent help mn . org" Landlords can initiate applications but only renters can certify and complete application. Meaning you can start the process to get rental help but they will have to complete the application. Best of luck, please reach out and I can connect you with good quality contacts.