Property Manager Tip for Landlords
You Can Change the Rent Due Date. As a property manager, we often accommodate our property owners in case of a late rent payment to make sure they receive their rent checks on time. And we view late rent payments as free money – a ten percent return (the maximum a Philadelphia landlord can charge as a late fee charge) is a pretty good return for a few days wait.
But maybe that’s not your situation. If not here’s a tip.
Remember a landlord can adjust the tenant’s rent due date to accommodate the possibility of a possible late rent payment. Rents from your rental property might be due on the 1st of every month; but in Philadelphia your tenants still legally have a grace period. And they will surely use it.
And some of your rental property tenants will pay late – meaning, past their rent due date, past the Philadelphia mandatory rent grace period. See an Aricle on How to stage your Philadelphia Rental
If that happens will that strain your own finances?
If so adjust the rental payment due date. Move it back days to accommodate your own bill paying schedule to accommodate an eventual late payment.
This can be done when initiating the tenant’s lease or renewing it. Or you can simply ask the tenant to agree by using a Change in Lease Terms Addendum. But you can always negotiate the change with the tenant. Offer to reduce or waive a late fee payment; but only if the tenant agrees to change the due date.
It might surprise you that it’s my opinion as a property manager that most tenant’s will agree to the date change. Why? Because no one actually thinks they will be late again, including your tenants. They may have paid the rent late the past few months; but from now on it will be different!