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Property Management Blog


Process to Collect Past Due Rent

I have developed a list of practices I use to facilitate the collection process. 

I have set up strict procedures that are followed each month.  I am aware of the financial implications that can arise from the monthly rent not being paid or being paid on time to an Owner.  Del Val uses many tools to ensure that the rent is paid in a timely fashion. 

·        We use a software program called Buildium which is a cloud-based property management software package. This software helps property management companies keeps track on what tenants owe. It also has the capability to be an intermediary between the tenant and myself.

·        I create a firm and friendly relationship with tenants, which can make it easier for them to communicate any financial difficulties they might be experiencing.  A positive open dialogue usually motivates a tenant to pay on time. 

·        Using Buildium, Del Val Realty provides an online tenant portal, which gives the tenant the option of paying the rent online and enables a tenant to pay on time. 

·        Having the tenant portal also allows us to communicate with the tenants electronically, which can remove the confrontational part of collecting the rent.  It also communicates with the tenants, sending reminders of upcoming rent charges, any late charges or utility charges. 

·        There is no doubt that clear and open communication in any business is essential, especially in property management and the collection of rent.  Keeping strong and detailed records are key in collecting and managing rental payments.

We believe in being fair in our efforts to collect rent by not crossing the line in Fair Debt Collections.  An example of being too aggressive would be to “threaten” eviction without the proper communication.  With following our Rent Collection Procedures, we are certain to treat everyone the same.   

 

If you are a real estate investor or property owner and want to learn more about how we can help you buy investment properties and our property management program, please go to our website at http://www.delvalproperty.com/ .

Mary Ann Brennan is Manager of Delinquent Accounts at Del Val Realty & Property Management ("Del Val"). Del Val is a FULL SERVICE Residential Property Management company with over 15 years' experience and manage over 2,500 single family homes, HOA units and multifamily properties in and around Philadelphia, PA.   We advise property owners how to build wealth and financial security through hassle-free ownership of rental real estate with our NO "Hassle" FULL Service Management Program.   This proven management system allows owners to enjoy the financial benefits of cash flow, tax savings, and wealth creation.   All this while it GUARANTEES you will never have to deal with maintenance or tenant issues.

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