Warning Signs that a Tenant May Stop Paying Rent
When you select a tenant for your property by reviewing a rental application form and conducting an interview, it can be hard to determine if down the road he or she may face difficulties paying rent on time. Even an individual with a perfect credit history and positive references from past landlords can still struggle. If this occurs with a tenant in your property, don’t kick yourself; it’s not possible to predict the future no matter how diligent you were when you chose them. But, do learn from the circumstances and keep an eye out for the warning signs that things are going downhill with future tenants.
Also, know that there are provisions you can put into place to help secure your rental income in the event your tenant stops paying rent and you have to evict. No longer do you have to lose months of rental income. With the Guaranteed Rental Income Protection Plan from www.Rentallogics.com, landlords and property managers can rent their units out with the security of knowing that they are covered in the event a tenant stops paying rent for whatever reason.
Here is a frequent scenario faced by landlords, property managers, and rental agencies:
1. The tenant begins to pay the rent late by a day or two initially. Then as time goes on, the rental payments may get later and later.
2. After being consistently late for a number of months, the tenant contacts you to request a change in the due date of the rent. Typically, a tenant claims that the date in place just doesn’t line up well with the payroll schedule.
3. After the rent payment date has already been changed, the tenant may contact you to inform you that he or she will not be able to pay the full rental amount at once. The tenant usually quotes a variety of reasons. Some are unexpected expenses, lost hours at work, and so on.
Each of these warning signs can indicate that your tenant may become non-paying, perhaps to the point that you will need to evict. Don’t wait until a tenant stops paying rent to get a rental protection policy. Make sure that you have secured the rental policy beforehand so that you have the peace of mind that you will not get screwed over by another tenant’s lack of payment again.