How Are Your Delinquencies in This Economy?
Rental Delinquencies should not exceed 2.5%. How are your delinquencies compared to this number? We have run across many community owners who are experiencing very high delinquencies, some as high as 15%. You can get your delinquencies where they should be…just by being CONSISTENT. All that's required to reach this goal is detailed and consistent policies when it comes to collecting rents. I've outlined a summary of how we handle our rental collections, and this approach can and will work for you, if you use it. A lot of owners have hired A. Hunter because they are not able to consistently attack the problem each and every month in the same way.
If a resident contacts us and says they are going to be late, we ask them "why," and we tell them they will still be responsible for late charges. We follow through with late letters, which will be needed if you go to court. It's important that the resident know, IT IS NOT OKAY TO VIOLATE THEIR LEASE AGREEMENT.
If we do not have a rent payment in our office by the 8th, we send a Friendly Reminder.
If the payment is not in the office by the 20th, we send a certified Notice To Quit,remember, you need your certified letters to prove your case, if you go to court.
By the 25th, we are filing a Landlord/Tenant Complaint for anyone who has not paid.
If you are consistent with your late charges,letters and following through with court action, your residents will begin to make their rent payment their first priority. You are not doing them any favors by allowing them to get so far behind, they can't get caught up. If you are "easy," you won't get rent payments on time, just excuses, which you have probably experienced first hand.
There are times we work out a payment plan with a resident, but only after we have received Judgment. That way, if the resident does not live up to the payment plan-we can take the next step of filing for Eviction. We only work with a resident once with a payment plan.
You have to know your residents-but, you also, legally, have to treat everyone equally.So whatever policy you use for one resident, remember you have to use it for all residents.
Our delinquencies are less than 2.5% and yours can be too. If you are unable to be consistent, remember, A. Hunter offers this service to owners of manufactured firstname.lastname@example.org communities.