Do you have tenants who just aren’t paying rent? It’s one of the most frustrating aspects of being a landlord. In this article, we’ll talk about how Michigan Landlords are dealing with tenants who don’t pay rent.
If you have tenants who aren’t paying rent you’re not alone. The issue is the same, whether you live in Ann Arbor or you’re a property owner in East Grand Rapids.
According to an August 2020 Census Bureau survey, more than eight million Americans hadn’t paid last month’s rent.
It’s frustrating — we know.
Of course, the best defense is a good offense. You could start by performing a detailed background check of potential tenants. However, that might not help much if you already have a contract.
Here are your other options.
Four Ways Michigan Landlords Handle Tenants Who Don’t Pay Rent
Here are four ways in which Michigan landlords deal with tenants who don’t pay rent.
#1. Avoid the Situation
You could avoid the situation and hope they pay. While that may not be the best option it is an alternative that many landlords consider.
You could ignore it and hope they’ll pay on time next month — maybe even catch up. Unfortunately, that may never happen.
Indeed, the numbers suggest that it rarely ever does. Statistics from the Census Bureau survey revealed that 14.4 million renters have no confidence or slight confidence in their ability to make next month’s payment.
That’s why we don’t recommend this strategy when dealing with tenants who don’t pay rent. It increases the chances that your tenant will take advantage of you.
Another option is to negotiate.
Negotiation is especially handy when your tenant needs a more flexible payment schedule. After all, a monthly payment is not convenient for everyone. Some renters can pay better by the week because it’s a smaller payment.
You could also get your tenants to do some work on the property in exchange for a discount on their rent. It’s a win-win for both parties.
Be that as it may, the negotiation method can be even more frustrating if you’re unable to reach an agreement with your tenant. For instance, reaching a consensus on the amount of work required for a specific discount can be challenging.
That brings us to the next option.
You can try to evict tenants that are not paying rent. Note that the process can be complicated and time-consuming. What’s more, the landlord may have to spend a small fortune on potential legal hassles.
Why is eviction so challenging, you wonder?
It’s because almost all U.S. states have laws to protect renters. For example, the CDC’s federal eviction moratorium limits landlords’ ability to remove tenants from their homes when tenants are struggling to pay rent.
Consider selling the property. If this is just one of many frustrations you’re facing with your rental property then it could be your best option!
Imagine selling the property and getting on with your life. That means you no longer have to deal with tenants and the daily hassles that come with being a property owner.
Many landlords love the newfound freedom they get when they sell.
At Cash for Michigan Houses we buy frustrating rental properties from landlords like you who are burned out, worn out, frustrated, and who just want to get their lives back.