don’t pay their monthly rent in full and on time according to the terms of your lease and your minimum qualification standards. For example, do you allow a “grace period” for rent payments? I know many landlords who give their tenants three-, four-, or even five-day grace periods, but in return, the tenants will receive reminders and notices on their front doors, as well as late fees (for example, a $50 late fee). This is not unreasonable. Just as you should make it easy for tenants to pay you on time, you should also make it difficult and challenging for tenants who pay late. Don’t “reward” them for not paying you on time. If you’re going to charge a late fee (which you should), don’t charge too much, but charge enough to the point where they feel it’s a pain. This should incentivize them to pay you on time next time, and then every time. If they still haven’t paid beyond your grace period, let them know that the penalty will become steeper, including possible eviction. And let them know that if you file for eviction, it’s going to become much more challenging for them to do business with you. Remind them that eviction involves legal fees and more, for which they are going to be responsible, and that eviction goes on their record and will make future tenancy difficult for them. Consider this possible (but unpleasant) situation: If someone doesn’t pay you for an entire month, and now they’re 30 days late, not only do they owe you rent for last month, but they also owe you rent for this month. If someone couldn’t pay you last month, how are they going to be able to come up with two months’ worth of rent? What if you start the eviction process? Then they’ll owe you for three months, plus late fees, plus attorney fees, plus all the other expenses you’re going to charge. In the end, they’ll end up saying they can’t afford all that, break the lease, and move out, and you’re left with all those unpaid fees.
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