I SPEND HALF A MONTH COLLECTING RENT!

[Justin Escajeda]

Hello Community, Im looking for advice.  I currently am burning the candle at both ends, running around so much and in turn, loosing efficiency in my rental business.  I currently have 18 doors (rented), 30-35 storage unit doors (rented), and a masonry company.  I just picked up my most current tenant for a 3br yesterday.  It is the 13th and still have 4 tenants to collect from and idk how many storage tenants to collect (I think like 8 units). 

I am looking for advice, I know Im doing things I shouldn't be doing.  Im not staying on top of late tenants with notices and multiple phone calls, Im making deals with tenants about when they can pay, have become more friendly with a few, etc.  Bottom line is I am breaking my own rules due to having too many doors to self manage.  I know theyre taking advantage of me, but based on whats going on, I put things in order of importance, and the rentals fall by the wayside at times.

I took the next step in interviewing with a secretary/ accounts manager.  She has over 20yrs experience, and wants $13/hr.  I have 10 in a concentrated area, that I think I am going to turn over to her. 

Since Ive never hired someone like this before, what objectives should I strive to her?  What should I look out for, should I have her be constantly calling late tenants and not just letters?  Thanks, Im stressed..   

[Bobby Narinov]

I think you are looking to solve the wrong problem.

Actually, you are not even looking to solve the problem: you are looking to pass the problem to someone else and pay them for that.

Tenants are like kids, they quickly figure out your boundaries and then expand them. I bet you did not start with tenants paying in the middle of the month - they trained you to do that. My tenants tried to do it with me too.

After I served them twice with "3 day notice to pay or quit" on 6th day of the month, they started paying their rent on time. Actually not really on time (my rent is due on 1st and late on 6th) but by 5th I have the rent check in my hands.

The first time it happen the tenant told me they are going to be late with the rent by 2 day(technically late by 8 days but who is counting) I told them that as long as I get my check by 9th it should be fine. They were surprised by my "3day notice" served on 6th but I told them that this is to protect my interest and that I am not filing with the city until the 10th of the month. Surprisingly I got my rent the very next day.

I also give my renters "an early bird $50 off coupon" if I get their check 3-7 days before the 1st of the month and 80% of them always pay it early. $50 may look a lot to you but my doors are rented for $1,700 to $2,000/month. For me this is a small price to pay for the convenience to sleep well at night.

You have to train your renters instead of letting them train you.