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Home > Enterprise Rent-A-Car
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Tenant Pays Rent Late - What Do I Do?

by Eric Madrid

Late rent is probably one of the biggest problems landlords face. Our goal is to minimize it or eliminate it. Tenants need to be properly trained just like a new employee would. Many tenants bring bad habits from their past experiences with landlords that are too laxed or nice. You need to be very consistent with enforcing your late rent policy and it should be automatic.

Here are the steps...

Step 1: Your lease agreement or rental agreement must spell out in detail what the late rent fees are. Example: $50.00 late fee if rent is not received by the first of the month and an additional $5.00 per day starting on the second day of the month until rent is received. Late fees not to exceed $100.00 in a one month period.

Step 2: Call your tenant by the third day of the month. Let them know that you have not received the rent. And if you do not receive it by the fifth, you will be sending them a "pay or quit" notice. In my state it is a 10 day pay or vacate notice. It is very important to read up on your states landlord tenant laws. Especially when dealing with non payment of rent and eviction procedures.

Step 3: If you have not received the rent by the fifth of the month send a pay or quit notice by certified mail or by the procedures outlined in your states landlord tenant law. Also send a letter stating all of the negative effects an eviction will have on them and their future.

Step 4: If you still have not received the rent by the last day of the pay or quit notice than file for eviction immediately. I recommend hiring an experienced attorney for this. Especially if it is your first eviction.

Things you should not do:

Do not accept a partial rent payment because this can have a negative effect on an eviction.Do not try and get rid of your tenant by: intimidation, threats, changing locks, turning off utilities, or physical removal. This is illegal without a final eviction judgment. Things you should do:

Always follow through with your late rent fees. If you don't, the message you send a tenant: It's ok to be late with the rent.Send a separate bill to the tenant for the late rent fees and state the due date you expect them.Physically stay away from a tenant during the eviction process. Communicate only by phone or in writing.

Eric Madrid is the founder of working-landlord.com

Do You Have Landlord Questions, Problems, or Needs?

Don't stress, working-landlord.com is a place where it is easy to find exactly what you need.

Whether you're a new landlord or a small landlord with one to ten properties, I have the solutions that will meet your needs.

And don't worry. You will find a lot of free information and advice based on my experience as a working-landlord.

About the Author

working-landlord.com/landlordarticles.html

Enterprise rent a car - Beaten in landmark court case

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