Rent Collection Amid COVID-19

Rent Collection Amid COVID-19

Rent Collection Amid COVID-19

As companies in San Diego experience layoffs due to COVID-19, more people face the prospect of no longer being able to pay rent. For this reason, knowing what to do as a result of missed rent payments is important. Although rent collection amid COVID-19 can seem overwhelming, there are several possibilities to consider. For one, offering online rent payments can help reduce missed rent payments. In fact, data from an industry report for July 2020 revealed that tenants with online rent payment options are more likely to pay rent.

But the reality is, more and more people may eventually stop paying rent. Especially with the Tenant Relief Act of 2020 in place. Although 25% of the rent should be guaranteed as a result of this act, dwindling rent payments month after month is not sustainable. With no foreseeable end to this crisis, having a rent collection strategy is a necessity. This article provides a simple guide for rent collection amid COVID-19

This information is not legal advice; instead, all information is for general informational purposes only.

Collecting The Rent During COVID-19

This is an unprecedented time. Tenants everywhere are struggling to make ends meet. And, landlords everywhere are wondering, how they’ll collect rent and continue to pay their mortgages. Now more than ever, it is crucial to reach out to tenants. By doing so, you can provide solutions that will ensure rent continues to come in.

Remember, tenants who are treated with respect have an emotional incentive to continue paying rent. So, what you don’t want to do is make a challenging situation worse by failing to empathize with your tenants. For this reason, speak to your tenants individually to understand their situation. This will give you enough insight to create a rent collection plan.

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Rent Collection Amid COVID-19: Things To Consider

With more tenants struggling to make full rent payments, having a rent collection plan in place is key. While rent collection should continue in accordance with your lease agreement, it’s important to realize that some tenants have been financially impacted by COVID-19. For this reason, try to work with them on alternate payment schedules and consider waiving late fees or other things like pet rent.

How To Deal Late or Partial Rent Payments:

  • Have A Plan 
  • Empathize
  • Give Them Options
  • Offer A Rent Deferral Plan

Rent Collection Help for Landlords

During times like these, your ability to be successful is highly dependent on how well you manage your properties and the tenants living in them (or finding a competent property manager to do it for you). If you are worried about collecting rent in these uncertain times, you may want to consider hiring a property management company to help you.

Whether you are interested in changing property managers, or simply looking to hire a property management company for the first time, we can help. We manage all types of residential rental properties throughout San Diego County including single-family homes, condos, and multifamily properties such as duplex and triplexes, and even small apartment buildings. Let us manage your rental properties, so you can enjoy life! Call us today at (858) 576-2176 to get started!