Assetsoft - Blog #Rent Collection

Businesses are struggling to pay rent - how property managers can improve rent collection

Fri, 06 Jan 2023 10:36:35 -0500

The COVID-19 pandemic might have mellowed its effects, but the impact is far from gone. According to reports by USA Today, they pointed out that many small businesses in America are still struggling to pay overdue rent. Why so? Firstly, the rising inflation rates are hitting the market and paying rent is becoming even harder with no apparent rise in income.

In the last two years of the pandemic, many landlords stayed a little lenient on rent payment schemes because everyone was struggling. But since the beginning of 2022, most landlords are now demanding that tenants pay their outstanding rents. Be it commercial or residential real estate; the scenes are not very different.

Most states and even the federal government have started many schemes to help small businesses sustain themselves during the pandemic. IRS also allowed tax rebates, and many other such aids came up from local bodies. But since we are all adapting to the new normal and living with it, most of these schemes have ended, increasing hardship for companies.

Read this article to understand how you can help people struggling to make rent and better the situation in the industry. Also, learn how you can streamline the rent collection process to make life easier for your property manager.

Small businesses struggle to pay overdue rent

According to USA Today reports, more than 30% of small businesses in America could not make rent in May. Why? They struggle to pay back the overdue rent piled up during the pandemic. Through the pandemic, many landlords allowed tenants to pay as much rent as possible to retain tenants and help them. But most landlords now demand businesses pay the overdue amounts in one go, making it harder for businesses.

Due to the rising inflation, there is hardly any increase in income, whereas rents are still growing. This has sent many businesses into huge debts, and many are taking high-interest loans just to retain their rented places and keep business going. More than 52% of small businesses also mentioned that this year most landlords had increased rent making it harder to pay up.

But studies also believe that many landlords have also struggled to keep their business afloat due to many non-payments. NPR reports say that many tenants did not pay rent for months, or some are struggling to make ends meet. Which eventually also makes it hard for the landlord to survive.

Factors to consider while choosing a rent collection method

Rent collection is a struggle during the pandemic. Why? One factor was the obvious lack of work for most people, so they could not make rent. But there was a second factor too. Many landlords did not have online rent collection methods to automate the collection process. So figuring out a common ground is the best solution to settling this crisis to benefit all stakeholders.

So when you finally do make the shift from offline rent collection to an automated online system, consider these factors before you make the technology selection.

Size of your portfolio - number of properties

Whether your real estate business is commercial or residential, it does not matter. You need to look at the size of your portfolio to decide if you need rent collection software. If you only have two properties under your portfolio, you would not need a complicated system to work with. A simple rent collection portal would suffice for you.

But if you have too many units under only two properties, you would need a streamlined system to collect the rents on time and not fail deadlines. How does online rent collection help here? You do not need to send reminders to your tenants about deadlines individually. The system will automatically send reminders. Your tenants can also pay the rent online and save you all the hassle of travel during the pandemic.

Number of tenants

If you have many tenants to work with, then a rent collection portal is a wise idea for your business. Plan your strategy and leadership so that you do not have to meet hundreds of tenants individually; be it retail shopping outlets or multi-family homes, the problems remain the same.

How far are the properties

How far are the properties from one another? Are all your properties inside the same apartment complex, or are they far from each other. If they are situated quite far from each other, it makes sense to integrate rent collection software to help you with the process. You will not only have to reduce travel during the pandemic, but you will also reduce the average carbon footprint of your company with lesser travel.

Your communication skills

If you are bad at communicating, then an online automated rent collection system is one of your best bets. Your property managers can take care of the communication, and you will still not have to worry about rent collections. You will never have to interact with your tenants and still get rent on time.

Your comfort with tech

But the usage and selection of technology in project management is quite a new concept. So you need to ask yourself and your team and understand your level of comfort with tech to work with the rent collection portal. But the right software integration partner will help you get accustomed to the new tech and train your staff to work with it. So, even if you are a little intimidated by the new usage, find an IT outsourced partner to help ease the process.

How can property managers better handle the situation?

As real estate property managers, your tenants mean business to you. You need to have transparent relations with all your tenants to understand who is genuinely struggling to make rent or who is taking advantage of the situation. You can set a rent collection plan in motion to help speed up the process and have a humane touch to it while you do it.

Real estate is all about human relations, so make sure not to lose that even when you count your money.

Is managing your property, collecting rent and working with new tech at the same time becoming a little too difficult? Get in touch with us to know more about our services! Talk to the Assetsoft team; we will help you streamline your property management and tech integration plans.

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Best Practices for Property Managers to Collect Rent on Time

Wed, 05 Oct 2022 13:37:43 -0500

Rent collection can be a real hassle if you have a large portfolio of properties spread across the city or even the nation. But rent is what keeps a real estate business and the landlords going.

Due to the steep inflation, the economic slowdown due to the pandemic and rising rates, Bloomberg news reports have found that more than 8 million Americans are running late on their rent payments. How do you, as a real estate business owner or property manager, get out of this loop and make tenants pay on time? You need to plan and strategize better. Read this blog to know more about collecting rent on time and stablizing your business cash flow.

Top 10 Tips for Collecting Rent on Time

We have a few prop tips and best practices in project management ideas for you to ensure on-time rent collection for your company. And if you are having rent payment issues, here are all the ways you can solve them. Check them out below.

Directly communicate with tenants

There are many tenants who are habitually late in paying their rent on time or keeping up with any deadlines. As property managers, these people can be hard to manage and work with. But the only way to get around this problem is to talk directly to your tenants about the financial obligations of paying rent. Let them know the eviction guidelines and penalties that can be levied in case of long-term non-payments.

Start a fine for late payments

According to market reports, the average fine for late payment of rent is around 5% of the rent if the rent is due for over 5 - 9 days. These stats can vary a little between states and where your properties are located or whether they are commercial properties or residential. But penalties are a must. Otherwise, it opens up a floodgate of late paying tenants.

Though many landlords and real estate business owners gave a lot of rent rebates during the pandemic, things are getting back to normal now. You need to set a concrete penalty policy and mention that in the lease agreement during tenant onboarding to avoid any future confusion.

Use online and easy payment methods

Online payment methods encourage a lot of tenants to pay up faster. Old school methods are sometimes time-consuming, like cash payments and cheques. Especially if you deal with a millennial or Gen Z group of tenants, students and such, then it is best to have online rent collection options.

You can use a selection of technology in project management, like the Yardi or MRI software, to automate this process. Tenants can directly pay you through the rent collection portal, and they do not have to worry about cash payments. McKinsey data says that more th 82% of Americans are using digital payment methods. Your tenants may be one of them. Use the right technology selection to cater to this audience.

You can also collect rent in person

Though online payments are trending and faster, some tenants, especially the older generations like to pay directly to humans and not electronic machines. You must have an option for these tenants to pay in person. Also, if you or your representative shows up in person, tenants are more likely to pay up due to a direct moral obligation.

Send automated reminders before the due date

When you use property management software like Yardi or MRI to automate rent collection, it comes with its own benefits of sending reminders to tenants about due dates. You do not have to send individual reminders to them. The system will automatically keep reminding them and help them keep up with the timelines and get the money rolling on time.

Screen tenants before onboarding

There are many tenants who are habitually late payers and some who do not have any stable income to pay. You can surely identify the second set of people with tenant screening software. Before you onboard a tenant, it is better to do a thorough screening and background check to ensure the tenant has a stable source of income and enough financial stability to pay the rent. Otherwise, your business will suffer in the long run.

Employee a property manager

If you think running to and fro to collect all the due rent is becoming a burden for you, you can employ a property manager to take care of every task like rent collection. Having a human to contact and talk to directly will incentivize and push your tenants to pay on time rather than deal with a faceless business.

You can set up a rent drop box in properties

Due to the pandemic, many tenants who like to pay through offline methods have been finding it difficult to travel and pay rent. This has caused a lot of pending dues. It is a wise idea to set up a payment drop box in each of your properties where you rent out multiple units to ease the process.

Start collecting rent through partial payments

You can start taking payments in instalments throughout the month. This will help you get your money and also not put a lot of extra burden on your tenants. Due to the pandemic, it is better to go for partial payments when you understand that your tenants are struggling to make rent, but you also do not want to hand them an eviction notice.

Go for the old-school rent collection with the cheques method

The old-school rent collection system of paying through cheques still works for some older generations and businesses who want to keep physical records. So you need to keep this avenue open for such clients and not just become strictly digital.

Automating rent collection with property management software

The best way to cater to the rising digital payment age is to integrate property management software to automate the rent collection process. There are many property management software options like Yardi, MRI and more. Get in touch with our team to find out which one is the best fit for your business.

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How Many Rental Properties Does a Landlord have to Own Before Hiring a Property Manager?

Sun, 12 Dec 2021 12:59:07 -0500

As a landlord, managing multiple properties can be overwhelming. You have to list out your property to attract new tenants, screen and interview them, do a background check, and take care of all the documents, plus the maintenance of your property. If you have one property, you can do all of these yourself, but what if you own multiple properties?

Should you hire a property manager? Wouldn’t that be expensive? Or do you even need a property manager? Here's all you need to know about hiring a property manager for your property business.

When Do You Hire a Property Manager?

If you own a single property or even five units, you can handle all of it alone. Sure, it will be too much of a task, but hiring a property manager wouldn't be the best option considering the fees for property managers. But what if you own more than six to seven units? It can be an uphill task running behind every unit, looking for tenants, and maintaining them at once.

If you think you can afford a property manager, it's best to hire one to reduce your burden and get the work done on time. But hiring one means you have no direct control over your properties now. The property manager will handle all your units and report to you at the end of the day.

You will be the middleman indirectly managing your properties. It also means you get more free time and do not directly deal with tenants and property issues. But it would also mean you need to spend a part of your rental income on the property manager and hand over control of your property. It can be a tough decision, but hiring one can reduce your burden to a great extent as long as you have the budget for it.

What are the responsibilities of a Property Manager?

Property managers will be responsible for multiple things, right from interviewing your tenants to collecting rents to returning security deposits. Here are the top seven responsibilities held by property managers:

Screening of Tenants
Listing Property when Tenants are Needed
Setting the Price of Rent
Signing agreements

Manage repair and maintenance orders
Taking care of handing security deposit to the tenants
Handle issues raised by the tenant

When there are too many units to maintain, handling all your responsibilities on your own can be tricky, which is when property managers are hired. They can take care of your property, professionally address issues, and handle complaints by your tenants without taking them personally. Sometimes, disputes between landlords and tenants can turn personal, which may not be good.

Disadvantages of Hiring a Property Manager

Though pros outweigh cons here, one thing to note is that property managers can either be prompt and handle everything professionally since they don't own the property. But at the same time, they can be negligible about specific issues as they don't own the property. Even though you set to hire the best of the best, this factor can be a disadvantage of hiring property managers for your business.

When to Hire a Property Manager?

If you're still unsure when to hire a property manager, here are four tell-tale signs of you needing someone who can take care of your property.

You don't have much time

Suppose you own a business and you find it hard to devote equal time to your property business or find yourself delaying responding to tenant complaints and requests. In that case, it's time you consider a property manager. Sometimes you may not know that you need someone to handle your property, but if these subtle signs can mean hiring one can save you time and have a good relationship with your tenants.

Finding tenants is difficult

Searching for tenants, screening them, and handling their complaints can be a task, and if you don't enjoy managing it, it's time to think about hiring one. Some property owners don't like handling everyday property tasks, and if you're one of them, you know what to do. Leave the heavy work to property managers and sit back and get updates about your property every day if that's what you prefer.

You own multiple properties

One of the most common reasons to hire property managers is when you cannot handle multiple properties at once. And by numerous properties, we mean owning more than seven or eight properties. It sure is a task managing everything when there is so much going on at each unit. You can hire a property manager or consult a property management company to assist you with it. In fact, if you're looking for one, you can consult our team at Assetsoft.

You stay far away from your property

Whether you're staying in a different city or a different country and are away from your property, hiring property managers will ensure your properties are well-maintained, and your tenants are happy too. Having properties away from your home becomes challenging to manage and maintain when tenants raise complaints about the properties. And that's when you can hire a property manager.

Let Assetsoft Help You Decide If You Need a Property Manager or Not

Now that you got an idea, if you're still unsure and want to talk to experienced professionals about it, Assetsoft can help you. We provide property management services and products for your property business to make your life easier. We'll assess your portfolio and tell you what can be done best. Or, if you're looking for property management software for your business, we can help you with that too.

If you want to know more about it, you can get on a consultation call with us, and our team would be glad to assist you with your queries.

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Are You Ready For Generation Z Renters?

Thu, 07 Oct 2021 08:00:00 -0500

For the past few years, the global real estate industry focused on marketing to one target audience: millennials. But as technology develops, we have an entire generation having a different set of requirements. Gen Z renters are digital natives who haven’t lived without the internet. As the oldest ones turn 24 this year, now is the perfect time to prepare your business for the new generation.

There are around 68 million people belonging to Gen Z in the US alone. This demographic is the reason why most property managers want to cater to their needs. To give you a head start, we have compiled the best ways you can use technology to attract Gen Z renters.

Finding properties online

Gen Z uses social media for almost everything, even finding properties. Instagram and Youtube are some of their favorite online platforms. Even though Google search is still a popular method to market properties, you need to look beyond that to reach Gen Z renters.

Modify your marketing strategy to include social media platforms. In addition to Gen Z renters, these platforms also contain a large audience of all age groups. By creating the right ads, you can target the Gen Z renters while still marketing to other groups. Well-performing social media posts also show up as search results which drive organic traffic.

Improve your SEO strategy and create engaging social media posts to build a clientele of Gen Z renters. They also value personalization right from their playlists to their apartments. Create a brand strategy that speaks to them and personalizes their tenant experience.

Affordability over amenities

Even the oldest Gen Z members are still just out of college and looking for a place to live. They look for financial stability and believe in “saving” more than “spending.” A survey by BHG Real estate reveals that Gen Z tenants are ready to give up luxuries to achieve homeownership.

While they value tech and connectivity in their living spaces, affordability is still their topmost priority. Rental prices that allow them to save for their future home are most appealing to this generation.

They also prefer long-term leases that are longer than a year. This helps them achieve stability while they work for their future. According to a survey by Tenant Cloud, 55% of Gen Z renters plan to rent for a few more years, till they can buy their own properties.

Reviews matter

Gen Z do the most research online with 30% of them checking ratings and reviews before touring a property. So apart from listing your property on social media platforms, you also need to build a positive reputation around your property management business.

The best way to get reviews is to ask your current or previous residents. However, tenant experience plays an important role in what kind of review you will get. People rarely need a push to write about a negative experience. But if you ensure quality service to tenants, you can easily get positive reviews from them.

Consider collecting tenant feedback to improve your services accordingly. Tenant portals such as MRI Tenant Connect are an excellent way to maintain tenant communication and collect feedback.

More tour options

For Gen Z renters, property tours need not be on-site with an agent. A survey by RentCafe revealed that 52% of Gen Z renters chose non-traditional property touring methods including virtual and self-guided tours.

Virtual tours use a collection of images and videos that allow a tenant to view a property through phones and computers. You can also conduct virtual tours through video calls with an agent showing them through the property. Virtual tours save time as prospects can view the properties at their own convenience.

Self-guided tours, on the other hand, are conducted on-site. But, these tours lack an agent and the prospects view the properties on their own. Tools such as RentCafe Self-Guided Tours help create a seamless property touring experience. The software includes features such as tour scheduling and ID verification. You can also use AI chatbots to assist prospects throughout their property viewings.

High-speed internet connection

Since this generation is tech-dependent, it is no surprise that high-speed internet connection is the number one priority for them. Ensuring excellent connectivity through WiFi makes your property stand out. As the remote working trend is also catching up, building co-working spaces with a reliable internet connection are also helpful for all your tenants.

You can implement WiFi-as-a-Service (WaaS) to accommodate a high number of devices. WaaS allows your tenants to access the internet directly from your WiFi network. Tenants can choose their own bandwidth speeds through different monthly packages. A WiFi connection also unlocks a whole bunch of advanced amenities that can attract Gen Z tenants.

Smart home tech is a must

Smart home amenities provide favorable housing conditions that appeal to Gen Z. Around 62% of Gen Z renters believe that technology is very important when renting a property. Apart from the convenience and cost savings, these amenities also help in environmental conservation.

Smart home technologies include a host of amenities such as:

Digital locks: Locks that use QR codes or biometric scanners instead of keys.
Smart Lights: Lights that work through voice or motion activation.
Smart thermostats: Adjusting temperature by gauging the number of people in the room, external temperature, and more.

Using AI, machine learning, and the IoT, you can implement smart amenities that are fit for the Gen Z renters.

Prepare for Gen Z together with Assetsoft

Gen Z thrives on digital advancement in rental properties. Assetsoft can help you implement suitable technology through RPA, artificial intelligence, and the IoT. Our team works with the clients to build a custom strategy for each business.

Whether it is property management software or smart home amenities, we can help you with all your real estate technology requirements. Our experts are with you even after implementation by providing the required support and training. By working with Assetsoft, you can leverage the best technology and resources to boost your business effectively.

Talk to us at Assetsoft to make your business Gen Z ready!

10 Benefits of Using Tenant Portals

Thu, 02 Sep 2021 08:00:00 -0500

Keeping your tenant happy is an unending task, but it's the most important step in your real estate business to succeed. While there are many ways to achieve tenant satisfaction, implementing a tenant portal is something you don’t want to miss out on.

Automating and digitizing some of the traditional processes can save a lot of time and improve efficiency too. It reduces paper use and tenants' dependency on property managers as it's a self-service portal.

If you're spending more time replying to multiple emails and responding to calls every day, getting property management software can reduce your time and streamline your workflow.

Go paperless and cashless as tenants upload documents on a cloud platform and make online payments. If you’re wondering how beneficial is to use a tenant portal, we’ve listed some of them for you here.

What is tenant portal?

Tenant portals are online platforms for tenants to communicate with landlords or property managers easily. It's a self-service portal where all the information about the property, payments, and maintenance requests can be stored using a single platform. Tenant portals reduce time and provide easy access to all the resources regarding the services.

It also helps property managers manage tenant requests and service orders better with zero hassle. Payments can be made using this portal instead of in-person payments every month. All the tenant's documents can be stored, making it convenient for tenants and property managers. 

Advantages of using tenant portal

Tenant portals reduce the manual time it takes to process documents and make payments. Here are some of the benefits of using tenant portals:

1. Access on the go

One of the biggest advantages is that tenants can access the portal anytime, anywhere. If your tenant has to pre-book a hall, it can be done using the tenant portal, looking at the availability. Booking is easier as there is no middle man to handle the process. It's cost-effective, and you can cut down on the resources without compromising the service to your tenants. It helps them place maintenance orders and pay rents on the go without you chasing them every month. Accessibility is what makes tenant portals the best for both property managers and residents. 

2. Attract potential residents

Tenants often find it hard to reach out to property managers or receive delayed responses. When you show your potential residents about tenant portals, it lets them know that they can rely on them for any problems. Since it can be used to report issues or know better about the properties, it builds a sense of trust and draws them to rent your property. On the one hand, the tenant portal helps retain tenants; on the other hand, it helps attract potential residents. Providing a full-functional service can go a long way to succeed in your property business. Tenant portals resolve many issues and offer a hassle-free service to your tenants. 

3. Build trust

You no longer have to be available all the time, answering multiple calls and replying to emails when you have a tenant portal. Any queries by the tenants can be easily resolved on the portal within seconds, and you can also use automated messages to help them in case of any issues at any time. These instant responses can build a sense of credibility and get positive responses to your building management. Tenants need to be sure that you will be available at all times, and with tenant portals, it couldn't be easier. 

4. Land long-term tenants

Tenants stay in your property as long as you provide all the facilities and respond to their queries promptly. If you want your tenants to continue using your property, having a tenant portal is the best choice. Management becomes easy with it, and you will also have satisfied tenants who don't vacate soon. Finding long-term tenants can be a huge task, but you can provide the best services to them and make sure all their queries are resolved on time with tenant portals. 

5. Improve efficiency

With tenant portals, the overall process of dealing with issues will no longer be inefficient. You can include resources, guides, FAQs, and payment methods on the portal. It makes it easy for the tenants to look up general information and know the status of their orders and their payments. It improves the overall efficiency as tenants don't have to contact you every time they have a question. They can upload their details to the portal for easy access and save time than having printed documents. 

6. Organize events

You can announce upcoming events through notifications and also update about new instalments in your property using the portal. Community building becomes easier with it, and tenants will also feel like a part of the society. Digital channels in property management and community building a lot simpler. 

7. Quick communication

You can respond to tenant queries and complaints instantly without delay with tenant portals. It eliminates tenant frustration and, in turn, increases tenant satisfaction. If there are any new updates or new installations on your property, you can inform the tenants through the dashboard instantly. If you're planning to organize an event or meet up with the tenants, communicate easily through the portal. Instant communication is one of the many advantages of tenant portals. 

8. One-click payments

You no longer have to worry about in-hand payments or remind your tenants of rent payments. With multiple online payment methods in the portal, payments can be made on the go at any time. Around 80% prefer digital payment so, with the tenant portal, you can make the whole payment process smooth and convenient for the tenant.

9. Easy reservations

Making reservations for party halls or other amenities provided will be trouble-free with the portal. Bookings can be automated, and you need not worry about keeping a manual record of them. Slot bookings can be a cumbersome process manually, but with technology, the entire process is automated, making it easier for both you and the tenants. Tenants will not be entirely dependent on property managers for every step with such software. 

10. Time-saving

On the whole, tenant portals save tremendous time by speeding up rent collection and service requests. Online payments, slot booking, community building can all be made in one single dashboard using a mobile phone. Due to its convenience, they will likely recommend your property to others and may also turn into long-term clients. This self-service method can improve your business and also make your tenants happy. Processing payments will no longer take hours or days with tenant portals. You can also make announcements and respond to requests easily.

Ensure overall tenant satisfaction with Assetsoft

Handling tenants and managing properties is not an easy feat, but with the help of software, it can reduce your time and keep your tenants satisfied. Assetsoft can help you implement or customize your tenant portals. We help you choose the right property management software for your property business, whether it’s Yardi or MRI.

Want a tenant portal for your business? Reach out to Assetsoft today!

The True Cost Of Eviction And How To Avoid It

Thu, 26 Aug 2021 11:30:00 -0500

The most important aspect of maintaining a successful property rental business is having top-quality tenants who abide by the rules and pay rent on time.

Bad tenants lead to a loss of income in the future in terms of back rent. To protect your property and income from problematic tenants, an eviction may be necessary. However, it is a time-consuming and costly process and can be taxing for both you and the surrounding tenants.

Even back in 2015, eviction rates were high in the United States due to the rising cost of rent payments. Landlords were faced with high eviction costs while losing out on revenue as tenants were not able to make the monthly payments. Now with the effects of Covid-19, property managers are further burdened by rising evictions. During the pandemic alone, over 470,000 evictions were filed across 6 states tracked in the US.

Each eviction can cost up to $3,000 for the landlord, making it a costly ordeal. When possible, finding alternative solutions would be the better choice.

Knowing when to evict a tenant

You may be tempted to evict a problematic tenant when the situation gets out of hand, but to avoid any legal trouble, you need to be aware of when a quit notice can be presented to the tenant.

Before renting out any properties, you should make sure that the lease agreement includes all the important terms and conditions of renting a property. Any terms not mentioned on the lease can be fought in court by the tenant.

Here are some common situations where you can pursue the eviction of a tenant:

Recurring months of unpaid rent
Lease violations

Damage to the property by the tenant

The process of evicting a tenant

Due to the lengthy and uncertain process of eviction, many landlords prefer to avoid eviction and try to sort out the problem themselves. A certain amount of time needs to be given to the tenant to resolve the issue. This will differ depending on where you live. However, if the problem still persists, here’s what you need to do:

A complaint should be filed with the local court detailing the issue
A court date will be sent to you, and a summons will be sent to the tenant
On the court day, both sides will be presented to the judge by you and the tenant

If you win, the judge will issue a Warrant of Eviction, forcing the tenant to leave. If required, an officer will be present at the property to evict the tenant. Depending on your lease terms and local laws, the tenant may be liable to all proceeding fees:

Court filing fees
Back rent
Attorney fees

Damages to the property

However, if the tenant wins, they can continue staying at the property and the landlord will be liable for the court filing and attorney fees.

A breakdown of the eviction costs

The cost of eviction may be higher than what you factored in. There are additional costs such as maintenance and back rent involved as well. These rates will differ based on where the property is located. Here is the full breakdown of the true eviction cost:

Back rent - The eviction process can take up to two months to complete. You will lose this income during this period. On average, this can cost upwards of $1500.

Court filing costs - This rate will depend on the location, but the average in the US is $90.

Sheriff’s office charges - To serve a notice of eviction to the tenant, the sheriff’s office will charge a fee, typically ranging from $50 - $300.

Legal fees - The eviction process is complicated and requires a lot of paperwork. Hiring an attorney to handle this and also make sure it is all legal is important. Depending on the attorney, this can cost anywhere between $500 - $900.

Maintenance fees - Once the tenant has been evicted, the property will need to be cleaned for the next tenant. Personal possessions may need to be kept in storage or disposed of properly. This on average will cost around $300.

Property damages - Any damage caused by the tenant will need to be repaired and you may even need to hire a locksmith for security. This cost will depend on the level of damage caused but can range between $400 - $1500.

Marketing fees - There will be additional costs to list the property back for rent. This can cost up to $150 in total.

All of these costs add up to be an expensive endeavor for the landlord and this is not considering the non-financial costs involved such as lost time and the stress of a legal case. Preventing problems before it leads to eviction is the most ideal situation.

How to avoid evictions

The eviction process may look simple on paper but it can be a stressful ordeal. Therefore, evictions should be a landlord’s last resort. Instead, the focus should be placed on finding high-quality tenants and preventing problems before they arise.

These are alternative methods to prevent evictions:

Offer a cash-for-keys deal - This method involves the landlord offering a few hundred dollars of cash to the tenant to move out. It acts as an incentive for tenants with cash flow problems. Paying the tenant this cash will be less costly than eviction.

Screen your tenants - The easiest solution is prevention before it becomes a problem. The best way to do this is by screening and analyzing each tenant before allowing them to rent the property. High-quality clients are much less likely to force an eviction in the future.

Screening tenants also include a small cost, but it is only a fraction of the total cost of an eviction. You don’t even have to do it yourself. You can use Yardi or MRI software to automate the screening process. This will reduce the overall time and cost spent on screening tenants.

Assetsoft is an experienced property management service provider that can help you avoid all bad tenant-related expenses by incorporating this software into your property today.

Top 10 Tenant Screening Tips

Wed, 18 Aug 2021 08:00:00 -0500

Tenant screening is one of the first and the most important steps while renting your property. If you’re managing a property business, tenant screening can be a tedious task, and if done wrong, it can lead to troubling consequences. Getting that ideal tenant is not always possible. Even if all the documents are free of blemishes, you might end up running behind them for payments every month. You should also make it a point to adhere to the Fair Housing Act before screening tenants for your property

Avoid bad residents by following these top tips to screen your tenants and stay risk-free.

Why is it mandatory to screen tenants?

Tenant screening is essentially the first step to finding out whether the incoming tenants are the right fit for you. Doing so will keep property damages and legal actions at bay. When screening potential tenants, you find out if they have a stable job to pay rent regularly or not.

Did you know that around 468,000 were evicted in the last year alone? And if your potential resident falls under that, you might want to keep a close eye to avoid losses. Here is what you can do to stay away from such tenants. 

1. Review credit history

A credit score determines if the tenant pays rent on time or not. Conduct a thorough check on their credit history and see if they have a poor credit score. Sometimes, they tweak the credit scores and submit false information to get past the screening process. Watch closely to such reports and take necessary actions.

A poor credit score can mean the tenant delays paying on time, have an eviction history, or have large amounts of debt. In all these cases, it’s you who will have face adverse consequences later on. Checking credit history is a necessary first time to see if they are reliable. 

2. Background checks

Background checks determine any underlying problems beneath the surface. It’s a little more extensive than checking credits, in fact-checking credit history is sometimes a part of the background check. You need to check their address history, employment history, criminal records, public records, eviction records, full income, and credit scores here. This year, to keep the businesses steady, the CARES act was introduced to retain the properties.

There may be instances where there would be differences in the mentioned and the actual income, but you can uncover it during this stage of tenant screening. Background checks are a crucial part of the process that should be done extensively. 

3. Triple-check rental application

Avoid costly mistakes by verifying rental applications in your screening process. Rental applications need to be complete with accurate information and ensure the tenants have gone through all the terms and conditions before signing. Check for incomplete applications or incorrect details in the form. It may be a total red flag if they deny the false information mentioned. Keep in mind to not discriminate against a tenant during the process, no matter what.

4. Check with former landlords

Contacting former landlords unravel the true character of your future residents. Some landlords cover up for the tenants and avoid the truth, and trying to find out whether it’s true or not can be hard, but you can go with your instincts if you find something suspicious.

You can also check with at least two to three landlords and see if they say the same about the tenant. Checking with two is always better than sticking to just one. Get the contact information of the landlords by asking the tenants and dial them up. 

5. Conduct an interview

Finding profitable tenants is not enough; they should be reliable too. Keeping the property and other tenants safe is of prime importance, and conducting interviews can help you learn about the potential tenants better.

Ask about their short-term and long-term plans and find out if they are looking to stay for a long time or not, as you know how looking for new tenants frequently is a daunting task. Ask questions during this stage and see if they are the perfect fit for you. If you feel uncomfortable or have a strong gut feeling about their behaviors, you can reject their application. 

6. Verify their jobs

Talk to employers in the organization and learn about your potential tenants in the Workfront. Find out if they are someone who is always late to work or who is on time. Ferret out the little details as they are the ones that matter a lot when it comes to renting out your property.

Efficient time management, trustworthiness, and reliability are the three things to look for. How your potential tenants are at the professional front determines how they behave with you. It’s what defines them on the professional side and as residents. 

7. Run a quick check on their current home

You can conduct interviews, run background checks, and talk with landlords, but there’s no better way to learn about your potential residents than visiting their current place. You can say that you will be dropping by for a couple of minutes during the weekends for some paperwork and learn about their surroundings when you do so.

It’s one of the best ways to spot warning signals. See if they live with other roommates or have a pet they haven’t mentioned in their application and observe how well they have maintained the property. 

8. Watch our for red flags

Some property seekers seem overly friendly and try to build a sense of trust in their first meet with you. You may think they are the ideal tenants you’ve been looking for, but don’t let your guard down. Notice any subtle changes in their behavior and go with your intuition. It’s your property above all, and to protect future consequences, never miss a single step in the screening process. 

9. Check with references

We have listed about checking with former landlords and employees in the organizations. You can also contact the tenant’s roommates and other personal references if you get to know them better. Do not rely on one source. Always ask many people before renting your property. You may uncover more details as you talk to more people. 

10. Have a clear written agreement

Keep all the documents safe and have a written agreement signed by the tenant to avoid putting yourself in bad spots. Follow the tenant-landlord laws in each locality to avoid getting accused by the tenant.

List out the terms and conditions clearly in the papers and get them to sign them for better property management. You can automate the tenant screening process for better efficiency using Yardi Screenworks Pro or MRI resident screening to fasten the process and reduce costs.

Manage tenants with Assetsoft

Screening tenants can be one of the most exhausting tasks, but you can handle the entire process seamlessly with the latest technology and tools. Assetsoft helps manage the whole process of screening potential clients with software like Yardi, MRI, and others for a hassle-free business. 

We also help our clients with back-office accounting, tenant portals, lease abstractions, and overall property management. 

Looking for ideal tenants for your property? Contact Assetsoft today!

Top Real Estate Property Management Software Features to Help You Do More

Sun, 13 Jun 2021 22:01:09 -0500

How can you leverage more productivity for your real estate business with a good property management software? Popular real estate and investment management software like Yardi and MRI focus on automating tasks, streamlining business processes and above all - be flexible.

You can track leases, automate maintenance tasks as well as collect rent and manage finances the smarter way. With plenty of third-party integration options, it’s easy to continue what you’re doing now – with a much more structured, streamlined approach.

Get Started with the Right Software for Your Business!

Assetsoft helps you choose the right property management software for your business - taking into consideration the features you are looking for. We can help you:

Streamline all business resources for better productivity
Manage properties and leases including move-in, movie-outs and work order management

Rent collection and vendor payments made easy
Create robots to automate all mundane tasks
Provide a financial overview and valuable insights on how to increase profits
Track projects for on-time completion
Easy lease renewals and account insights

Integration with marketing tools
Budgeting, forecasting and CAM reconciliations
Secure data over the cloud

Real Estate Property Management Software: The Top Benefits

Sales

Major property management software companies like Yardi are making the transition to online marketing easier. Yardi’s RentCafe, for instance, integrates seamlessly with Yardi Voyager, making property listings simple and easy. Here is how your property management software can integrate with your sales team.

1. Online marketing integration

With products like Yardi’s RentCafe or MRI’s Market Connect, you can:

Increase visibility in search engine results
Bring more organic traffic

Generate more leads and build brand credibility
Increase your social media outreach

2. Property listing

Property listing feature allows you to list all the available properties on different platforms. Through listings, interested buyers can contact you for more details on the property.

Turbo Tenant Software allows you to list your properties on various sites including Rent Jungle and Apartment List. Automated Craigslist form filling, access to tenant databases and rent calculators makes property listing and lead generation much more easier.

It also allows tenants to apply for listed properties and alerts the users as applications come in.

3. Al-Assisted tenant onboarding

Manual tenant screening can be a tedious process and usually not yield the results you are looking for. Finding reliable tenants is important if you think long term.

You can use artificial intelligence for tenant screening, and complete background checks. The AI asks for basic information along with some images, which are run across a database for checking criminal and eviction history.

Data such as the credit history is collected through an AI interactive bot and uploaded to your account. This can reveal the lead’s current financial situation and their credit history. It tells you whether a tenant is known to pay their bills on time, reveal any debts and look for previous bankruptcy.

AI assisted tenant screening can achieve fewer evictions and increased financial performance. Assetsoft can also help you with back office accounting and lease abstraction.

After tenant approval, AI can also help in updating the availability and databases for new tenants. The software can also assist with self-guided tools, much needed keeping in mind the present pandemic.

You need a software that covers the three main aspects of tenant screening, that is, tenant background check, rental or eviction check and credit check. Assetsoft can help you find the right solution for you. With our ERP solutions, you can easily generate reports that and determine if a lead qualifies to be a tenant in your property.

Real Estate Property Management Software: The Top Benefits

1. Maintenance automation

With maintenance automation, you can easily track the maintenance requests submitted by the tenants. Through different tenant portals, you can ensure:

Quick submission of maintenance requests from tenants.
Increased tenant satisfaction levels, to improve occupancy.

Schedule different maintenance for recurring activities. The software will provide a reminder when property maintenance is due.
Easily order any service required for maintenance and transfer the costs to the accounting section.

You can also track how your team performs, your inventory, and your equipment to optimize your assets.

2. Tenant management

AI bots can complete tenant related functions to automate lease renewals, rent collection, and track payments. You can also collect work requests from tenants and supply them to the vendors. All records of requests and completed jobs are available in the data storage.

For example, Yardi and MRI have built-in tools that allow property managers to easily interact with potential or already existing tenants. Through the interactions, it allows you to store any relevant data and generate related reports. It also integrates with your CRM software to store leads into it.

3. Tenant and lease tracking

An important feature in most property management software, it lets you keep up with information about your tenants and lease agreements. It includes details like lease renewal dates, contact information and payments due if any.

4. Inspection

It’s time to replace manual inspections through several ways. Get a checklist of the properties needing inspection, quickly uploading any repairs needed, and online signature uploading of the inspecting officers.

5. Online portals

Tenant portals give tenants a channel to maintain contact with the landlords as well as other tenants. They can update their information, pay rents and renew leases through this portal.

Property managers can track applications, leases and payments. There are also several self-service features for tenants that lets them communicate with the owner, schedule inspections and request maintenance, all from the comfort of their homes.

Finances:

1. Data insights

Generate valuable insights that your sales and marketing team can use to predict high business months, suggest required changes, and provide easy-to-read visualizations of the data.

See areas in which you can improve and make necessary tweaks to increase sales and profitability. And make your online marketing better by using lead interaction data.

You will also be able to plan and manage the available spaces better.

2. Payments and accounting

Manual calculations and accounting can be a tedious job. Accounting features in the software can provide a holistic view of all your finances including forecasts. Report generation can be used to gain insights and make manual predictions for good investment.

With automated accounting features, the software easily handles all operations related to accounts payable and receivable.

If you want to keep track of your accounting data, you can also make financial modules and also gain software developed insights to increase cash flow. By having an accounting function, you can also minimize the errors in calculations and develop more accurate figures.

The Rent Manager is an excellent software to handle your accounting needs. For any company irrespective of the portfolio size, the software provides features such as budget creation, importing payrolls, generating reports and also bank reconciliations.

3. Budgeting and forecasting

Manual forecasting can be error-prone and involve lots of time and effort. By choosing AI budgeting and forecasting features you can integrate all the current financial data with the past lease information to predict future costs. By getting data from a centralized system, you can skip the hassle of collecting information from various systems and generating elaborate spreadsheets.

Computer-generated forecasts use relevant insights to produce customised predictions. These reports can be auto generated to be shared with other clients and stakeholders. Using these reports you can make data-backed investments, reduce risks and costs as well as improve overall returns on your properties.

The Yardi Breeze Budgeting and Forecasting software addresses all your forecasting needs. It gives accurate budget predictions for rents, charges, and concessions and helps with the calculation of future cash flow by analysing real-time data to determine NPV and IRR at a property level.

Others:

4. In-cloud data storage

Real time analytics: All the information is readily available, up-to-date and relevant.
Flexibility: Data stored can be accessible anywhere, with the right user permissions.
Lower costs: On premise data storage requires considerable investment. With the cloud, you can get similar data storage at reasonable prices, usually tailored to your company’s budget.
Scalability: Cloud data storage also scales your data to the appropriate size for any development stage.

5. Easy Collaboration and Better Security

Storing data over different applications carries with it an inherent security risk. Storing data over a property management software, on the other hand, is safe and requires no installation. Data can be stored either over cloud or on the application.

Many cloud property management software, for instance, need no installation. As a result, you can expect reduced costs, automatic backups and better security, making it a great choice for property managers and real estate agents.

The Top Benefits of Using a Property Management Software

Many popular choices like MRI, RealPage, or Yardi can help you streamline your business operations.

Automate complex calculations such as leases and taxes.
Make strategic changes in your property and move with current trends using information from the software.
Better staff coordination by having access to all departments in a centralized database
Better data protection through cloud-based storage and multiple security measures

Simplified tenant experience with AI bot assistance
Preservation of valuable time, money, and resources

Assetsoft can also help you with your Robotic Process Automation (RPA) needs, creating robots that automate all those mundane, time consuming tasks, from racing emails to processing invoices.

From Yardi consulting to MRI implementation, the Assetsoft team can help streamline your business work process. We can help you choose the right ERP, build RPA robots to increase work efficiency and take care of all your back office accounting needs.

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COVID-19 And Commercial Leases Today - Major Developments

Mon, 12 Apr 2021 08:00:00 -0500

Commercial real estate has been going through a bumpy ride during COVID-19. It's had its ups and downs, particularly regarding the industries focused on by its tenants. Luckily, things have been looking up lately, especially with the vaccine becoming available.

However, recent news and new coronavirus waves have kept uncertainty in the air. As we’ll see in a moment, new regulations have threatened its recovery rate.

What are these regulations? How do they stack up with other unresolved issues? Today, you’ll learn the latest developments and how they’ve affected commercial real estate.

Coronavirus and commercial leases: How have things gone so far?

Corporate renters have suffered extensively because of the pandemic. Some sectors, like retail and leisure, have been the most significant victims. Several companies have implemented several practices to absorb the significant losses from COVID-19.

The most critical strategies relate to how tenants and landlords have managed leases individually. Legal advice has moved from being standard to becoming a necessity for any party looking to keep their agreements.

Aperture considerations

With lockdowns and social distancing, countless retail businesses were forced to close. For contracts demanding tenants to remain open, force majeure clauses have provided substantial advantages in these cases.

If these clauses aren't part of your agreement, staying open becomes a primary challenge. In these scenarios, landlords can leverage damage compensation for failing to honor the contract. However, this strategy is still considered problematic.

Lease charges

In most cases, rent is still a primary obligation for tenants, and that’s the same with paying for essential services. However, governments have taken measures to keep landlords from leveraging forfeitures, often preferring to request post-pandemic compensation and additional agreements.

That hasn't meant landlords have to cover all expenses during the pandemic. Tenants are usually expected to pay rent for as long as they're able. Luckily, most governments have given ground for leases to remain subjected to landlord-tenant agreements, letting them find a good middle ground for both.

Tenant inability for payments

That leads us to rent payments specifically. Multiple legal clauses have stood in the way both for government measures and traditional procedures. For many agreements, not paying rent still makes it possible for landlords to oppose renewing leases.

Good preparation has become crucial for property managers who managed to weather the storm. For instance, initial deposits have allowed landlords to absorb many costs when tenants cannot pay for their rent. Another standard agreement is for tenants to absorb unpaid rent as debt.

Insurances

Finally, insurance policies have also changed the outcomes for any tenants. Many contracts have insurance clauses other than force majeure. Mitigation, general liability, and business interruption policies have enabled tenants to keep their leases during the worst times.

However, it's essential to assess whether COVID-19 is eligible for said clauses. Enforced closure could be considered a force majeure instance, but viruses and health crises could be arguable. "Act of God" clauses aren't considerably uncommon, so that it could provide relief for some cases.

Official advisory for the sector

Official advice has been one of the main advantages for many unprepared property managers. Different entities, like the CBRE, have provided vital recommendations for landlords and tenants.

Naturally, many of these resources repeat the same advice, and that's for a good reason. No one's better informed about government measures than official entities. Additionally, many governments have called for landlord-tenant agreements, looking to appeal to reason while keeping regulations minimum.

Service interruption

Service clauses within leases usually focus on essential services from landlords for tenants. Typically, these clauses help tenants offset abatement options from landlords since they earn the same right if these services aren’t provided.

It's also important to note whether these faults occur within a landlord's control. If that's the case, and the agreement covers the fault, rent abatement could be a necessary right. We still need to consider whether our lease covers these cases. Legal advice will often prove invaluable.

Casualties

In commercial real estate, casualty clauses have been particularly influential when the cause behind any damage could be attributed to COVID-19 or related regulations. These clauses typically entitle tenants to remedies when the building becomes unusable.

The fundamental consideration in this scenario is that these clauses usually cover physical damage. COVID-19 and its inclusion in casualty clauses are still debatable because of how unique the crisis has been.

Condemnation

Condemnation clauses are among the most curious elements during COVID-19 because they address government control over the lease's premises. In many cases, government measures could make it into condemnation.

The language used by the COVID-19 regulations could be considered. However, the full extent of these benefits will likely not be applicable. It could make tenants eligible for government compensation but not rent abatement and benefits from the landlord.

Force majeure

Finally, force majeure clauses have been the primary lifesaver for many lease agreements. It essentially refers to “greater forces” that could hinder any party’s ability to meet the agreement’s expectations.

Commonly, force majeure clauses pertain to earthquakes and similar natural disasters; these cause considerable damage and are often unavoidable. However, COVID-19 has been eligible for certain force majeure instances depending on how the contract specifies things.

Key considerations

When thinking about whether these measures are applicable, landlords and tenants need to consider several issues related to their applicability. Firstly, the premises' usability requires assessment. If access is possible and the tenant refuses not to use it, several clauses won't be applicable.

The same holds for essential services and damage to the installations. If the landlord still provides all the services, it could be more challenging for tenants to leverage clauses. Force majeure clauses could depend on physical damage suffered by the property as well.

However, do keep in mind any clause that mentions or could include governmental action. Those could protect one or both parties from lockdowns, curfews, and other regulations.

The pandemic’s year: What has transcurred?

It’s been one year since COVID-19 became a global pandemic, and it has brought countless surprises. Easily, rent reduction requests and decisions have been a staple during the crisis. Countless tenants haven't been able to pay their rent.

Rent reduction has been a rare measure during the pandemic, especially regarding government measures. The most common aids have included rent moratoriums and rent relief funds. However, tenants and landlords have been expected to meet their responsibilities as long as they can.

Lockdowns

Lockdowns have been around for almost as long as the pandemic. They’ve lessened and strengthened depending on how each country has endured the pandemic.

Additionally, this measure has been the most prominent damage source for businesses. Not being able to take clients often proved more detrimental than the virus for the financial landscape.

Exceptional cases

The global pandemic and government safety measures have defied legal advisors and lease agreements. Since countless commercial tenants can’t pay rent, original contracts require more attention than ever.

In most cases, courts have agreed that the pandemic, particularly government measures, constitutes a force majeure situation. Therefore, both parties usually benefit from these clauses, yet exceptions are plentiful.

Official subsidies

Finally, government aid has been vital for many businesses and landlords, especially in the retail and hospitality sectors. These markets were the most prominent victims of the pandemic.

Rent relief has varied extensively depending on the region. Some states provide rent relief if tenants can’t meet the expectations, and others have absorbed part of the rent, often demanding landlords and tenants to cover the rest.

Restrictions’ extensions in the UK: What do they mean?

Finally, the crisis has shown signs of slowing down, mainly due to the vaccine's development. Consequently, governments have started to ease restrictions. These developments have been crucial for raising hopes for recovery.

However, the UK has taken a somewhat different approach. Instead of slowly removing regulations, it has decided to extend its restrictions for landlords. This decision essentially aims to protect tenants from evictions.

Let's see what they've done and what we can learn from them—especially if other regions start doing the same. If you're unsure of the best countermeasure, make sure to work with a professional strategy and leadership service to curb the damage.

Strengthening regulations

The most noticeable measure is extending the eviction moratoriums for a few months. However, that’s only for not paying rent.

Other contract breaches can still entitle landlords to evict tenants. However, tenants will retain the right to remedy said breaches before eviction.

The CRAR procedure

Commercial Rent Arrears Recovery entitles landlords to issue notices demanding tenants to pay rent debt. Otherwise, the landlord can seize their assets as compensation.

However, the government measures have included the restriction of this right’s threshold. That means landlords will have to wait considerably longer before leveraging it.

Statutory demand restrictions

Finally, statutory demands haven't been announced for an extension, but they'll likely follow the other measures.

The UK is expected to bring back statutory demands at the end of March, yet an extension until June is likely. The main concern behind this (and other measures) is how tenants could abuse these restrictions, considerably slowing down recovery.

Tenants Could Enjoy More Benefits In 2021 - What Can Commercial Landlords Expect?

Mon, 12 Apr 2021 08:00:00 -0500

It’s been a year already since COVID-19 became a global crisis. It gave way to countless government measures to keep the health and financial consequences at bay.

Many of these regulations were supposed to end in these months, but the crisis isn’t quite over yet. Several governments have announced extensions on aid plans, primarily eviction moratoriums.

What does that mean for commercial property managers? If you’re unsure of what you can do about it, make sure to contact our strategy and leadership services for a fantastic edge.

The UK’s extension on landlord restrictions

The UK recently made headlines because it prolonged eviction moratoriums. It extended its forfeiture ban for three months, and it restricted landlords’ ability to demand debt repayments.

Additionally, it has also claimed that it intends to review current commercial lease legislation this year. It claims it's necessary to reconsider several issues related to the current Landlord & Tenant Act and rent payment models.

Is it only for financial complications?

The most important consideration for this extension is that eviction bans are solely for those who can’t pay rent due to the pandemic’s financial damage.

That means that other contract breaches still entitle landlords to evict tenants. The measure aims to aid tenants suffering from complications outside of their control.

What does it mean for landlords?

It's simple; landlords won't be able to evict tenants who failed to pay for their rent and debts within the announced period. However, they're not entirely at a loss.

If they can prove that tenants can pay rent but don't do so out of a will, they could gain leverage with the court. Unfortunately, it's still a considerable setback for recovery.

Mutual agreement is still fundamental

If the pandemic proved one thing, it’s the importance of nurturing healthy landlord-tenant relationships. This lesson will remain vital for landlords in these additional months.

Discussing conditions with tenants and offering alternatives could result in the same consideration from them. That's critical when they have the advantage of these restrictions.

Is Canada following this example?

Canada has employed similar measures to its peers: rent relief, lower mortgage rates, and eviction bans. It has also implemented stricter regulations regarding standard area maintenance and social distancing.

Recently, the government also extended its current regulations. While it extended rent evictions, the most noticeable difference comes with rent increases. It’s an additional restriction compared to the UK, but it comes with intriguing advantages for landlords.

Rent increases remain frozen

Canada extended its rent freeze until July 10th this year. Any increase set before that date isn’t valid, and tenants don’t have to pay the additional amount until the period ends.

Additionally, landlords can’t combine rent increases from this year and the previous one. This year’s increase can’t surpass 1.4% either.

Debt repayment period

Rent repayment also received a large time frame for owed amounts from March to August last year.

This period starts when the landlord provides the repayment plan, and it ends on July 10, with the rent freeze. Tenants must pay instalments on the exact due date for rent.

Unpaid rent evictions

However, Canada has been somewhat flexible with rent evictions due to financial difficulties. If the tenant failed to pay their total rent by the moratorium's end-time, landlords could evict them.

Additionally, landlords can send a notice to end the tenancy if the tenant fails to comply with the repayment plan by the period's expiration.

Advantages for landlords

Naturally, this means landlords aren't entirely at a loss in this case. We need to consider that Canada has been considerably supportive of all parties.

While these restrictions are primarily beneficial for tenants, insightful managers can leverage these exceptions to prevent tenants from abusing these measures.

The US: Eviction moratorium extensions as well

The US has also announced that it would prolong eviction bans, but that’s not the only approach it’s taking. Additionally, it has provided several guidelines for businesses to assess who’s eligible for this protection.

We also need to consider another vital difference between the US and other countries: relief bills. It’s one of the few countries delivering a direct financial stimulus to citizens—and even fewer sending checks to families.

Biden’s administration also kicked off the year with a new stimulus check, which we also need to consider.

Decisions from the CDC

The CDC has been the primary authority behind most health measures in the US, and it recently extended the federal moratorium for the entirety of March.

However, further extensions are possible, yet the total length isn't precise right now. Early March also saw the signing of an additional rescue bill.

Not everyone is eligible for eviction moratoriums

Again, this moratorium is only for tenants who can’t pay rent. It doesn’t forgive debts, and tenants are still eligible for eviction if they breach other contract terms.

Additionally, residential and commercial measures vary considerably in different states. A legal advisory will prove invaluable for any landlord and tenant in the upcoming months.

The latest relief bill: Did it aid tenants?

Last year closed with a significant relief bill providing $25 billion for tenant assistance, aimed for rent and utility overdue.

However, renters need to prove their eligibility for the government relief bill. That means showing that their income has been affected considerably, and they can't pay rent for reasons outside their control.

Considering the future: Other proposals from Biden

Biden has announced ambitious tenant protection measures for the future, but most of them focus on the residential real estate market.

However, rent assistance and greater eviction protections could hinder financial recovery for many commercial landlords. Additionally, individual state proposals could offset or worsen the effects of these restrictions.

Is Australia an exception?

As many of its emergency support measures start lessening, they’re yet to announce an extension for eviction bans.

It’s an uncommon sight among other countries strengthening their restrictions. While the moratorium is still ongoing in most of the territory, it has ended in many cities.

However, headlines could be misleading, as different cities have decided to extend their bans. For instance, the capital territory extended its ban until April 30th. That means that the most extended deadline is still a couple of months shorter than the UK.

Are eviction moratoriums ending?

Most eviction ban periods are reaching their deadline. Many states have ended their restrictions. Some closed last year with no eviction moratoriums in place.

However, not all regions are ending their eviction bans. Some have extended the period until the end of March or April, but not more than that.

No news about extensions

The primary reason why little is known about these regulations is that the government hasn’t released an official statement. Most of that responsibility has been left to each city.

On the other hand, there has been considerable silence since the beginning of March, so there are still chances for official extensions to release nationwide.

Landlord-tenant relationships are more crucial than ever

In states where eviction moratoriums have been lifted, nurturing a positive relationship with your landlord or tenant is critical.

Many landlords have excellent tenants who’ve failed to pay rent. With the eviction ban ending, keeping these tenants despite financial difficulties could be a worthy long-term investment.

New Zealand: A more liberal approach?

New Zealand seems to be the most liberal region regarding its market intervention. So far, notice periods for ending tenancies—and the valid reasons—have been the only target for the latest regulations. No news on outright eviction bans has surfaced.

Additionally, rent increases have been regulated considerably lightly. They've extended the allowed period to a year from six months and temporarily froze rent increases between March and September last year.

If you're unsure whether you can increase your rent and how much, consider working with an expert financial service.

Ending tenancies depends on their type

Not all tenancy categories are eligible for the eviction moratorium. Landlords can’t end fixed-term tenancies before the term’s conclusion.

However, periodic tenancies can end if the landlord provides the proper notice. There's no specific period for delivering the notice, but it's best to give the tenant enough time to relocate.

What about rent increases?

Since September 26th, the rent freeze isn’t in effect. That means landlords have been free to increase their rent for a while now.

However, they must wait for a year before increasing rent, and no additional increases can’t take place within 12 months. Fixed-term leases must allow for increases in the agreement.

Can landlords decide freely?

There’s no regulation limiting the size for the increase, only how to do it and the tenant’s option in case of a disagreement.

Additionally, landlords and tenants can agree on rent increases beyond 12 months. If the increase benefits the tenant (property improvement or a better agreement, for instance), the rent increase is possible.

Are tenants “out of luck”?

The most important takeaway from this analysis is the word “agreement.” Tenants must grow a good relationship with their landlords if they wish to keep their lease.

We must consider that a more substantial recovery for landlords could benefit tenants. Especially if they're in a strong industry, it'll be easier for landlords to accommodate leases to their tenants' needs.