Do U give rent discounts?
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Do U give rent discounts? (by Roy [AL]) Jun 3, 2018 7:37 AM
       Do U give rent discounts? (by 1Gr81 [NC]) Jun 3, 2018 7:53 AM
       Do U give rent discounts? (by Roy [AL]) Jun 3, 2018 8:05 AM
       Do U give rent discounts? (by JB [OR]) Jun 3, 2018 8:35 AM
       Do U give rent discounts? (by RB [MI]) Jun 3, 2018 8:53 AM
       Do U give rent discounts? (by Coplin [CA]) Jun 3, 2018 9:00 AM
       Do U give rent discounts? (by WMH [NC]) Jun 3, 2018 9:02 AM
       Do U give rent discounts? (by NC INVESTOR [NC]) Jun 3, 2018 9:11 AM
       Do U give rent discounts? (by Vee [OH]) Jun 3, 2018 9:13 AM
       Do U give rent discounts? (by rentON [PA]) Jun 3, 2018 9:22 AM
       Do U give rent discounts? (by Roy [AL]) Jun 3, 2018 9:34 AM
       Do U give rent discounts? (by Doris [OH]) Jun 3, 2018 9:47 AM
       Do U give rent discounts? (by Roy [AL]) Jun 3, 2018 9:58 AM
       Do U give rent discounts? (by CJ [MO]) Jun 3, 2018 10:26 AM
       Do U give rent discounts? (by gevans [SC]) Jun 3, 2018 10:29 AM
       Do U give rent discounts? (by Doris [OH]) Jun 3, 2018 11:20 AM
       Do U give rent discounts? (by Stephen [ON]) Jun 3, 2018 11:58 AM
       Do U give rent discounts? (by Busy [WI]) Jun 3, 2018 12:08 PM
       Do U give rent discounts? (by Robert J [CA]) Jun 3, 2018 12:14 PM
       Do U give rent discounts? (by Ken [NY]) Jun 3, 2018 12:59 PM
       Do U give rent discounts? (by myob [GA]) Jun 3, 2018 1:58 PM
       Do U give rent discounts? (by Steve [MA]) Jun 3, 2018 3:22 PM
       Do U give rent discounts? (by WMH [NC]) Jun 3, 2018 3:38 PM
       Do U give rent discounts? (by Roy [AL]) Jun 3, 2018 4:37 PM
       Do U give rent discounts? (by NC INVESTOR [NC]) Jun 3, 2018 10:18 PM
       Do U give rent discounts? (by myob [GA]) Jun 4, 2018 8:52 AM
       Do U give rent discounts? (by WMH [NC]) Jun 4, 2018 11:56 AM
       Do U give rent discounts? (by Pmh [TX]) Jun 4, 2018 2:12 PM
       Do U give rent discounts? (by Pmh [TX]) Jun 4, 2018 2:55 PM
       Do U give rent discounts? (by Busy [WI]) Jun 4, 2018 6:06 PM
       Do U give rent discounts? (by NC INVESTOR [NC]) Jun 4, 2018 8:19 PM
       Do U give rent discounts? (by mike [CA]) Jun 10, 2018 3:37 PM
       Do U give rent discounts? (by Mickie [OH]) Jun 10, 2018 3:57 PM
       Do U give rent discounts? (by Dan [MI]) Jun 21, 2018 12:01 PM

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Do U give rent discounts? (by Roy [AL]) Posted on: Jun 3, 2018 7:37 AM
Message:

If you give your tenants a rent discount for paying on the 1st of the month, how much (% of total rent) do you allow and how do you enforce it?

For example: say your rent amount in the lease says: $750.00/month. How much less will they pay if they pay on the 1st? Is there any grace period here? Any additional late fees for payment on the 3rd or longer?

Some LL's will require the full $750.00 to be paid on the 1st and then refund $50.00 back to the tenant,..assuming it was received on the 1st. This is where the LL stays in control. Other LL's allow the tenant to apply the discount themselves.

How does your rent discount work?

--68.63.xxx.xx




Do U give rent discounts? (by 1Gr81 [NC]) Posted on: Jun 3, 2018 7:53 AM
Message:

I tried this for a while in my early years. It was a nightmare to keep up with. My tenants mail their payments (as opposed to dropping them off), so as you can imagine, there was always disagreements of when the payment was made. Somehow "received by the first." is too difficult of a concept for many.

Offering this just added more problems into my life.

If I were to do it again (which I wont), I would expect a full months payment and give rebates on a semi annual/yearly bases. --74.124.xxx.xxx




Do U give rent discounts? (by Roy [AL]) Posted on: Jun 3, 2018 8:05 AM
Message:

1Gr81,

With direct deposit at my bank, the date of deposit is engraved in stone (bank's database that is).

I thinking about creating a rent discount for my future tenants,...if I can make it work. Late fees just punitive in nature (they punish tenants for paying late) whereas a rent discount for paying on the 1st or earlier, can motivate people to behave the way we all want them too.

--68.63.xxx.xx




Do U give rent discounts? (by JB [OR]) Posted on: Jun 3, 2018 8:35 AM
Message:

In my state, I can't charge a late fee until the 5th. That also means it is actually not legal for me to give a discount for having them pay early. What I do like to do is tell them upfront and with every rent increase letter that early payment is one thing they can do to help keep increases to a minimum. --50.45.xxx.xxx




Do U give rent discounts? (by RB [MI]) Posted on: Jun 3, 2018 8:53 AM
Message:

No. --47.35.xx.xx




Do U give rent discounts? (by Coplin [CA]) Posted on: Jun 3, 2018 9:00 AM
Message:

At least in Ca. some, but not all, judges consider the discounted rent to be the actual rent. So if the eviction notice does not include the discount it is not valid, and the eviction attempt is voided. Forcing landlords to start over. --47.157.xxx.xxx




Do U give rent discounts? (by WMH [NC]) Posted on: Jun 3, 2018 9:02 AM
Message:

I am the opposite. Rent is due on or BEFORE the first and is late after that. About 50% of my tenants pay around the 23rd or 24th (of the previous month) these days! Most of the rest pay on the last day of the month or right on the 1st. TWO pay by the 5th (NC law says I can't charge a late fee until after the 5th day.)

At $150 a pop to file for eviction just to prove a point, I just don't do anything about those two except text them. One is a long-term tenant, the other is just an entitled jerk. We'll get rid of both when we have time to rehab their spaces. They are tired. --50.82.xxx.xx




Do U give rent discounts? (by NC INVESTOR [NC]) Posted on: Jun 3, 2018 9:11 AM
Message:

No. NC law automatically requires a 5 day grace period. I see no reason to entice tenants to fulfill their contractual duty. If I am going to reward anyone shouldn't it be those who abide by the rules and pay on time all of the time without enticements? --71.75.xx.xx




Do U give rent discounts? (by Vee [OH]) Posted on: Jun 3, 2018 9:13 AM
Message:

I do not discount, however you just have to shift gears a little in advertising, rent is 800 - if the funds are in the bank before the 1st next month is a 50bux reduction, this way if they goof up next month the discount is gone for the following month - then you just have to enforce it (many landlords fall victim to their own lease by failing to follow it), don't give credit where credit is not due. --76.188.xxx.xx




Do U give rent discounts? (by rentON [PA]) Posted on: Jun 3, 2018 9:22 AM
Message:

$50 Discount if payment received by the 5th. I have never had a problem with a Magistrate by handling it this way. --67.165.xx.xx




Do U give rent discounts? (by Roy [AL]) Posted on: Jun 3, 2018 9:34 AM
Message:

NC Investor

Okay, NC law requires a 5 day grace period,..fine. However, if you could entice them to pay on or before the 1st (with a small cash reward),...wouldn't that make sense? If they could pocket $25.00 just for paying on the 1st, they would never need to use the 4 additional day grace period. Forget late fees here and think in terms of 'rewards',..like 1-2% cash back on credit card purchases!

Because my rents are above market, I could afford to give a small amount of cash back for payment on the 1st. I am trying to figure out 'how much (or how little)' will it take to entice them to pay on 1st or before.

--68.63.xxx.xx




Do U give rent discounts? (by Doris [OH]) Posted on: Jun 3, 2018 9:47 AM
Message:

Have been doing this for years. Rent due on the first, no grace. If paid on the first or before, they can deduct $25. After the first no deduction. Most tenants drop off rent. I call on the evening of the first if no rent and remind them they need to pay the full amount. In 15 years, I’ve never had a tenant more than one or two days late and they do pay the late fee. Good screening. --74.140.xxx.xxx




Do U give rent discounts? (by Roy [AL]) Posted on: Jun 3, 2018 9:58 AM
Message:

Way to go Doris! I knew someone here could make this work!

BTW, are your tenants Class A, B or C's ? I am wondering if that makes any difference. --68.63.xxx.xx




Do U give rent discounts? (by CJ [MO]) Posted on: Jun 3, 2018 10:26 AM
Message:

I tried to give on time/early rent discount, but some people always take discount no matter late or not. Now I give discount some times when we collect higher deposit, move in fee, last month rent. --97.91.xxx.xxx




Do U give rent discounts? (by gevans [SC]) Posted on: Jun 3, 2018 10:29 AM
Message:

I require direct deposit of all rents.

Rents are received per the bank's time/date stamp.

I allow $25 discount for payment by 5:00 on the 1st.

Our state requires 5 days grace.

9 of my 10 tenants pay by the first (normally). One always pays a few days late, but always calculates the correct fee and deposits that amount.

I charge $5/day late fee for my cheaper places; $10/day for the more expensive ones. Progressive fee gives them further incentive to pay early or on time.

It is no accident that the first 5 days would add up to the $25 discount.

I have never once had a magistrate or tenant question the discount, but I have never once had a tenant take me to court either. --98.122.x.xx




Do U give rent discounts? (by Doris [OH]) Posted on: Jun 3, 2018 11:20 AM
Message:

Roy, I would say B or C in apartments, not SFH. Mainly young singles, factory workers or starting out but several retired as well. Rent here isn’t high like some places, $550 -700. --74.140.xxx.xxx




Do U give rent discounts? (by Stephen [ON]) Posted on: Jun 3, 2018 11:58 AM
Message:

The standard terms of the rental forms offered by some of the leading landlord associations in Ontario encourage offering a prompt payment discount of 2% on rent. This is the maximum discount allowable under the Residential Tenancies Act (crazy that discounts to tenants are regulated but that is another story). In practice I take my advertised rent and gross it up on the application form to cover this. So for example my current vacancy rents for a discounted rent of $1,460 but the lawful (undiscounted) rent is $1,489.80. This is the sum that the tenant would pay if they did not pay on the first of the month.

No late fees are allowed in Ontario so this is the nearest thing we have. Usually of course their cheque would have bounced so we charge our allowable admin fee $20 + the bank's NSF fee $7 + loss of prompt payment discount $29.80 = $56.80 which you would think would be a deterrent to screwing things up. Nonetheless I have one tenant who has gone through this three times in eighteen months now, and he has a rock solid government job that pays like clockwork. Most seem to like the idea of a discount for paying on time however. There are provisions such that you can cancel the prompt payment at any time after the first year for an immediate bump up in rent of 2% in addition to the guideline amount, over and above the guideline amount. I have not done this so far but am tempted to with some of my longer lived tenancies where the effects of rent control have begun to hit home. --70.30.xx.xx




Do U give rent discounts? (by Busy [WI]) Posted on: Jun 3, 2018 12:08 PM
Message:

Mine hasn't been tested in court, so whether it would fly ...

$25 discount if paid before the first, water bill must be current (unpaid water goes to property taxes, if too high.) Rent in my state is supposed to be due on the first, late on the fifth, if memory serves. (Got to get to another boot camp to see how judges are interpreting whatever the law is!) I will NOT tell someone its due this day, but late that day? What? I was was good at algebra, and that just doesn't equate!! So, rent is due on the fifth. To get a discount, rent must be in before the first. Late fee occurs on the sixth, if tenant texted and told me what date rent would be in by, and got APPROVAL.

That conversation goes like this,' get busy, rent will be in by the tenth.' Ok, tenant. Great thx .

If no text and approval, 5 Day P or Q goes uP on the sixth, and there is follow through.

If the revised date for rent is approaching, and tenant knows they are not going to make the deadline, they know to text again. That text usually goes like this: "Hey Busy, been a rough patch. We're going to have X amount in by the tenth, and we'll pay the last X amount on the 18th, with the $10 fee.

First late fee is $25, any additional late fees are $10. If we're having a lot of late fees, I make a point of going over to work on something when they are home, and we have a conversation.

I will admit, its getting harder to keep track of as I get older, and I don't have nearly as many tenants as you. But, for one tenant, they got the system immediately, they love it, and they keep the house great, neighbors love them, rent is always all in by about the 18th, most in by the tenth. Other tenants loves the early discount, one's already paying July. Others tend to be on time, neither early or late. But, they occasionally use it, and like that they can pay ahead and save, or, if they get in a spot, they can text, pay a fee, all is good.

I'm thinking an excel spreadsheet or a rent manager package could help. I've done my rent rolls pencil and paper on 13 column paper spreadsheet, mostly cuz I'm stubborn, and computers used to be fun in the 1980's, now they are annoying (showing my age.)

Sorry this is so rambling. Kids stopped over... Train of thought derailed... --172.58.xxx.xx




Do U give rent discounts? (by Robert J [CA]) Posted on: Jun 3, 2018 12:14 PM
Message:

To fill a difficult rental, I offer a discount after 12 months of the rent being paid on time, evidence by the post mark on the envelope. Example:

The market rent is $2,200 for a prime located 2 bedroom remodeled apartment. Hard to fill at that price. However, upon 12 months of on-time rental payments, the 13th month is "FREE"! So the rent is then $2,030 averaged for the 13 months. At just over $2,000, my apartment is a steel.

But as we know, most tenants will make a late payment and then will have to start recounting the 12 consecutive on-time payments. Most tenants never get 12 months in a row so I never have to give the discount. --47.156.xx.xx




Do U give rent discounts? (by Ken [NY]) Posted on: Jun 3, 2018 12:59 PM
Message:

For you guys in NC could you make the rent due on the 25th of the month so with the 5 days free grace period you would be getting paid on the first? --72.231.xxx.xxx




Do U give rent discounts? (by myob [GA]) Posted on: Jun 3, 2018 1:58 PM
Message:

In this economy? I give increases from 100 to 150.00. --99.103.xxx.xxx




Do U give rent discounts? (by Steve [MA]) Posted on: Jun 3, 2018 3:22 PM
Message:

No in MA it is illegal to offer a discount for rent paid on or before the due date.

--72.93.xxx.xxx




Do U give rent discounts? (by WMH [NC]) Posted on: Jun 3, 2018 3:38 PM
Message:

We are not required to give a five days GRACE period, we just can't charge a LATE fee until the 5th. I tell people rent is LATE on the 2nd, even if we can't collect the fee, and that we could file for breach of lease if rent is paid after the first.

In reality, if they pay by the 5th the judge would laugh me out of the courtroom if I filed for eviction because they didn't pay by the 1st but DID pay by the 5th. --50.82.xxx.xx




Do U give rent discounts? (by Roy [AL]) Posted on: Jun 3, 2018 4:37 PM
Message:

WMH,

Then what day do you post the P/Q notice on the tenant's door? The 2nd ? Mine get posted on the 7th day when they owe $70.00 ($10 x 7 days) in late fees. --68.63.xxx.xx




Do U give rent discounts? (by NC INVESTOR [NC]) Posted on: Jun 3, 2018 10:18 PM
Message:

ROY: Almost every tenant pays on the first and a few on the 25th of the preceding month. Most of the others on the 2nd. A few stragglers on the 5th. I'm fine with it.

My tenants pay electronically. The invoices are automatically emailed on the last day of the month except for those who have specifically requested them by the 25th (bankers who get paid monthly). Sure I could send the invoices earlier and some may pay earlier but most don't and then on the first ask where the invoice is because it gets lost in their email. I don't want them paying without an invoice since their electronic payment is automatically matched to the invoice and recorded in QBO. If they pay before the invoice is sent it needs to be manually recorded. My time is worth more than receiving the funds a day or two earlier. And a 2% discount would on average only be $35-40 and I doubt that would motivate them. I know it sure doesn't motivate me.

--71.75.xx.xx




Do U give rent discounts? (by myob [GA]) Posted on: Jun 4, 2018 8:52 AM
Message:

NC how do you generate extra income if everyone pays on time? we generate about 400.00 plus a month in late fee's-- not much until you do the 12 month calculus figures. (I knew calculus would come in handy one day) $4800.00.

We've also started (few years ago) to collect for the trash bill on any property inside the city limit. Another 10K bonus each year. --99.103.xxx.xxx




Do U give rent discounts? (by WMH [NC]) Posted on: Jun 4, 2018 11:56 AM
Message:

I don't post Pay or Quit. I text them and ask where the rent and they go pay it. --50.82.xxx.xx




Do U give rent discounts? (by Pmh [TX]) Posted on: Jun 4, 2018 2:12 PM
Message:

not sure why anyone would offer a discount to anyone who is supposed to pay the contracted rent by due date each month. I suppose the “discount” would be no late fees....roflmao. --166.137.xxx.xx




Do U give rent discounts? (by Pmh [TX]) Posted on: Jun 4, 2018 2:55 PM
Message:

I have posted TX 3 day pay or quit one time, on the 3rd, in 25 years. tenant did not pay so I changed the locks and seized his big screen tv & a rifle and pistol. which were worth more than the late rent... --166.137.xxx.xx




Do U give rent discounts? (by Busy [WI]) Posted on: Jun 4, 2018 6:06 PM
Message:

PMH, its amazing how threat of losing favored possessions can influence tenant behavior. Only a few short years ago, here in the cheesehead state, landlord had to pay to store tenant's stuff for 30 days after an eviction! Law changed just as I was signing my first tenant. I made sure I got the new contract. Store their junk! That's crazy talk.

Most of my tenants don't manage to get the early discount. But, they like the idea of it. Most of my tenants pay late as often as not. But, they know the system, I bring in extra, like myob, and they appreciate the flexibility.

But, I also encourage frugality, budgeting, and they have all paid attention and appreciate it. For now. I do realize that when their lives go bad, I become the evil landlord. *grin* --172.58.xxx.xx




Do U give rent discounts? (by NC INVESTOR [NC]) Posted on: Jun 4, 2018 8:19 PM
Message:

I don't issue P or Q notices since my lease waives notice. If the situation gets to the point that a tenant needs a push I have my atty send a letter reminding them of the consequences and then bill the tenant for the legal fees.

As for increased income from late fees, my rents are generally right at the top of market rent. And I find that for the most part tenants than can afford my rents are inclined to pay on time.

--71.75.xx.xx




Do U give rent discounts? (by mike [CA]) Posted on: Jun 10, 2018 3:37 PM
Message:

no. --76.176.xxx.xxx




Do U give rent discounts? (by Mickie [OH]) Posted on: Jun 10, 2018 3:57 PM
Message:

If I did what you're talking about. I would advertise my rent 25.00 higher. Then if they pay early or on the first credit 25.00 to their next months rent so I would be getting the amount I wanted to begin with while letting them reward themselves not at my expense...and if they didn't then they'd be paying a built in late fee plus a normal late fee. Hmmmm... tracking it would have to be automated so it didn't burn up my time. I might have to look into that and see if it's legal in Ohio. --174.233.x.xx




Do U give rent discounts? (by Dan [MI]) Posted on: Jun 21, 2018 12:01 PM
Message:

We give a $25 or $50 discount if paid on the 1st. All tenants deposit rent at the bank so we know if it is on time. We think it has some benefit. --99.35.xxx.xxx



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