Multi Family - Rent Collection Ideas

General Real Estate Investing
1

I have looked at several class “c” multi family units recently that have been in marginal areas of town.

The last unit I looked at had to hire a guy to bang on the doors once a month to collect rent. They stated that this was the best way to collect from these units.

I’m not crazy about banging on doors in a rough area of town just to get rent money.

So - I want to hear from other Multi family landlords.

What is the safest way to collect rent in lower end units ?

Has anyone every used Western Union to collect rent?

Ed

2

when lease is signed, make it CLEAR you don’t f around. be courteous but stern - point out the importance of the tenant to pay ON TIME.

timely Past-Due Rent First Notice

and follow procedures to the T - to “politely” encourage them to pay their rent.

3

ecollier2012,

I have a lot of these low income apartment buildings in marginal areas of town. I collect the rents in person every month. Many of the people living in low income units get one government check each month. You must be there the day it arrives if you want the rent. These people do not have check books and do things as if we still lived in the 1950’s. They get their check and then cash it (often at one of those check cashing places for a fee). Even if they are honest and intend to pay the rent, if you don’t get it quickly, someone will steal it from them or cheat them out of it.

As for safety, I always take Baretta with me, legally of course.

If you are not crazy about banging on doors in bad areas, then don’t buy any. Buy in better areas only.

Good Luck,

Mike

4

How do you think Donald Trumps father made all his money to give to Jr.? Low income housing.