One of the main benefits of purchasing a rental property is the recurring rental income. While most landlords are able to successfully collect the rent from their tenants on time and without issue, a smaller percentage of landlords sometimes have to deal with bad tenants who won't pay. When this occurs, a landlord's cash flow is stopped.
if you are a landlord and are having trouble with rent collection from your tenants, there are a number of steps you can take. In this blog post, we will look at some of these and highlight how landlords can begin the eviction process for tenants who refuse to pay rent. Let's get started.
Make a Phone Call
It's recommended that you reach out to your tenants once their rent is past due to see what the issue is. In some cases, it may be possible to remedy the situation very quickly.
However, it may also become clear that the tenant is not willing or planning to pay the rent as agreed. Note that you should refrain from making this particular phone call more than once to avoid any accusations of harassment.
Send a Late Rent Notice
Serving the tenant with a late rent notice is the next step. This is a document that indicates the amount of rent that is owed as well as any other fees outstanding, such as late rent fees.
When you proceed to court action, this notice helps to prove that there was a pattern of delinquent payments.
Issue a Pay or Quit Notice
The first official step in the eviction process is to send a pay or quit notice to the tenant. As soon as rent is overdue, this step can be taken.
It should indicate your intent to evict as well as the amount of money owed and the deadline to pay in full. After this step, a landlord can then file eviction papers.
Take Legal Action
When the pay or quit waiting period ends, you should proceed to file a tenant-landlord complaint in court. A hearing date will then be set where you can present all of your evidence.
Note that you should not accept any partial payments from the tenant if you plan to evict. This is because accepting any partial payment in lieu of full payment may result in complications and delays in the eviction process. This may result in the need to begin the eviction process all over again.
Tips for Evicting Tenants Who Refuse to Pay Rent
The above information highlights the steps that a landlord can take when dealing with tenants who do not rent their pay on time or at all. Given the importance of rent collection, we recommend that you partner with a professional property management company to ensure that your business is not affected by unruly tenants.
In the San Francisco Bay area, your premier choice is Kenny Realty. Contact us today to learn more about our landlord services such as collecting rent.
Evan has been in the real estate and property management field for 6+ years. He is experienced in working with first time home buyers, is an Accredited Buyer’s Representative (ABR®), Seller Representative Specialist® (SRS) and Seniors Real Estate Specialist®(SRES®). He also works closely with Kenny Realty owners, getting their rental properties rented as quickly as possible. Evan is responsible for monitoring rental market conditions and advising our owners on market rates. He has outstanding communication with all clients he works with, keeping everyone in the loop at all times. He is the third generation of the Kenny family to practice property management on the peninsula.