The median sales price of homes in the United States has increased 64 percent over the last decade. Real estate remains a solid investment, and commercial rental properties can provide an additional income stream.
It does require a lot of work though. And you only make money if the property is leased and tenants are paying their rent on time. For this reason, commercial property investors are always looking for ways to improve rent collection.
Below are three to consider. They will help streamline the process, making things easier for your tenants and ensuring that you get paid for a commercial lease in PA.
1. Improve Communication
Your commercial renters chose your property because they see value for their business. Most of them will not want to do anything to tarnish that relationship.
However, even your best tenants are very busy. Sending out reminder emails is a great way to make sure they know when rent is due.
If a tenant does miss a payment, reach out to them. Ask them why they are late and when they think they will be able to pay. Also be clear about any late penalties they incur so that everyone is on the same page.
2. Provide an Online Portal
Online portals for rent collection may not be necessary in every situation. They are quite handy, though, and make it easy to automate rent collection.
Quality programs let tenants change their method of payment, even month to month. Making it easier for them to pay makes it more likely that they will do so on time.
Many of these programs have the added benefit of allowing you to track payments and generate reports. This can be a valuable tool for keeping up with rental income over a certain period or based on different units or tenants.
3. Hire a Property Management Company
The best way to be completely hands-off with rent collection while still ensuring that it gets done is to hire a property management company. These businesses specialize in such services. It means you do not have to deal directly with tenants, especially when it comes to uncomfortable situations like asking for overdue rent.
Property management companies are not just there to be the bad guys. Their role is to ensure that tenants are happy as well.
They want to make sure renters feel they are getting value for what they pay for the rental space. This will make them more likely to stay longer and meet rental obligations.
This has the added benefit of giving you access to other property management services. For instance, if you need help marketing other units or grounds maintenance on a particular property, a reputable management company will allow you to bundle those services.
Find Pittsburgh Rent Collection Services
Now that you know some ways to improve rent collection, you can take steps to make things easier for you and your tenants. It can help save you time and get the most out of your Pittsburgh commercial real estate investment.
The Burgh Property Management is a full-service property management company for Pittsburgh, PA, commercial real estate. Besides rent collection for commercial properties, we provide marketing, tenant screening, maintenance, accounting, reporting, and a range of other services. Reach out to us today to learn more.
