Benefits of Accepting Online Rent Payments
January 15, 2020 / by Hignell Property Management Team
As a property owner, you have enough on your plate without having to deal with collecting checks or cash from your resident on a monthly basis, logging rental payments in a ledger and depositing these funds into the bank. Accepting online rent payments is a viable option to streamlining this process. Collecting rent payments online saves you time, money and frustration in keeping tabs on incoming revenue from property rentals. Less stress and frustration can lead to a more positive relationship with your residents. Here are just a few of the many benefits you stand to gain from accepting online rent payments.
Ensures Rental Payments are Made on Time
Giving your residents the option of paying online makes it more feasible for you to be paid on time. Electronic transfers are quick and seamless, especially when residents automate their payments to avoid late fees. There’s greater transparency for both you and your resident in keeping track of rental payments, reducing the confusion and stress that human error can cause when doing things “by hand.” If you’re managing more than one rental property, you’ll appreciate the convenience that online rental collection provides in getting your rental payments in on time.
Saves Time and Money
Instituting an online rental collection system can save you time and money in managing revenue from your rental properties. It eliminates the need for collecting rent manually, paying check clearance fees, logging checks into a ledger, depositing checks at the bank or having to cope with bounced checks. If accounting isn’t your strong point, you’ll greatly benefit from online rent collection as you’ll have up-to-date digital records of all transactions made.
The time you save with online rent collection can be put to good use in keeping up with property inspections, maintenance and repairs. You’ll also have time to research new investment opportunities to expand your business. If you haven’t used this system before, you’ll find it to be quick, effective and efficient in handling the rental payment aspect of your property rentals.
Allows for Greater Flexibility
As electronic transfers can be conducted anytime from anywhere, an online rent collection system gives residents greater flexibility in paying their dues. If a resident has to attend a business conference around the time his rent is due, there are no worries about getting his rent paid on time. Automatic pay eliminates the fear residents may have of forgetting to post a check or facing late fees. With online rent payment, residents can pay their rent without interruptions to their busy lifestyle.
This flexibility also extends to property owners as you can keep track of rental payments online from anywhere at your convenience. If you have to travel around the time rents are due, you don’t have to worry about collecting these funds or catching up on check collection and deposits when you return. Imagine the time you can save to grow your property rental business or pursue other personal or business affairs.
Improves Property Owner-Resident Relationship
If you were to do a survey of how people pay their bills today, you would probably find that the majority are accustomed to paying bills online. This is particularly true of the younger generation who make up a large percentage of renters.
From cell phone bills to utilities, credit cards to car loans, electronic payments have become the norm in society today. It’s only natural for a resident to add his rent to the mix of online bills that need to be paid monthly. In fact, your resident would probably prefer to do so, as it eliminates the hassle of writing a check every month, keeping tabs on that check, buying stamps and making trips to the post office to get that check to you.
Allowing residents to pay their rent online simplifies the process for both you and your resident. It’s an easy way of keeping your resident happy. A happy resident is more likely to renew his lease when the time comes.
There’s no doubt that online rent collection is a step in the right direction for property owners. It’s a simple, quick, efficient and stress-free means of handling rental payments and works well for both parties in streamlining the rental process. Giving residents this option could make your properties more appealing to others looking for a long-term or vacation rental.
Whether you’re renting one property or juggling multiple homes, condos or vacation rentals, hiring a property management company could help you stay on top of your responsibilities. A property management company can free you of such duties as interviewing new residents, communicating with current residents, keeping track of rental payments, handling property maintenance and repairs and more.
At Hignell Property Management, we offer professional management services to residential and commercial property owners in Northern California. Contact us today for all your property management needs.