How do you collects rent?

[Jason Chambers]

We recently bought a 5 unit property in an older historic area that is seeing some growth. We got a good deal and the rents have been kept artificially low which allows plenty room for more cash flow. Only problem is that the current tenants don't have bank accounts and generally pay by check or money order. That means we have to show up several times at the beginning of the month to collect.

What are you guys doing to avoid having to physically collect rent payments? A couple of the tenants in this particular building aren't very savvy with the internet either. 

Thanks!

Jason

[Account Closed]

There is something called the MAIL.  It amazes me how much we, as landlords, try to "cater" to our tenants.  

When I rent my homes out, I do a credit check and I screen the applicants inside and out.  And I chose people who are 'COLLECTIBLE', but also 'RESPONSIBLE ADULTS'.  Therefore, this entails, them being capable of stopping off at a post office or a mail box at their line of work, or somewhere, and mail their rent.

If a Tenant expects me to knock on the door and collect their rent, they aren't anyone I want as a tenant.  My time is too valuable, and I'm too busy, much busier then they are!  

If they don't have the rent in my office on or before the first of the month, their rent is late, and I send them that Notice To Quit on the very first day rent is late.

Am I too tough?  Nope, I just expect people to pay their bills on time, and since I chose applicants who paid their bills on time, I hold them to the same standards as anyone else.

Nancy Neville