Why Property Managers Should Collect Rent via Text Message
Collecting rent and collecting it on time, especially during the pandemic, has been a challenge. Property managers are seeking the best ways to collect rent and also communicate with tenants, and one solution at their – and their tenants’ – fingertips is paying and communicating by text message.
Writing and mailing a check or going through a lengthy online login process to submit monthly rent payments can be avoided by using the solution more industries are adopting every day. Instead of playing phone tag or listening to lengthy voice messages, a simple communication by text will put dialogue in motion. Everyone texts. It’s the universally accepted favorite form of communication with an average open rate of 99% (RedEye).
Let’s take a look at the benefits from both the property manager and the tenant perspective. Getting rent paid on time is a small piece of the puzzle among the other benefits a texting solution adds to the property manager-tenant relationship. Some of the benefits to property managers include:
- Saying goodbye to late payments: Serial late rent offenders can be swiftly reminded of their upcoming rent being due with a simple automated text message. The date can be pre-determined and the text formatted and automatically sent every month. Imagine the headaches avoided by a tenant’s response text resulting in rent paid.
- Swift payment: With a simple “Your rent is due, would you like to pay now?” text message, tenants who have set up the secure pay by text function are able to reply “Yes” and instantly pay rent. Capabilities include setting up recurring payments and even partial payments for those property managers who can offer flexibility – an especially appreciated feature for renters hit by the pandemic and looking for the ability to pay certain amounts over time.
- Retention: Vacancies and retaining tenants was a larger issue at the start of the pandemic and continues to plague property managers today. Tenant retention is crucial at any time. A satisfied tenant is more likely to renew their lease and stay for multiple years, which is the ultimate goal. Keeping an open dialogue with your tenant, makes for a happy tenant.
- Apartment mishap management: Quickly address problems like water leaks or broken appliances. An established communication by text between property manager and tenant results in a level of comfort and ease with reporting problems and finding the solution quickly.
- Competitive edge: Offering a new and convenient way to pay rent is an added feature that tenants will appreciate. It shows the property manager to be forward-thinking and embracing technology, which today’s renter values greatly. It can be the deciding factor when weighing the pros and cons of where to live.
Tenants have just as much to gain by the ability to pay rent and communicate with their property manager by text message. Some of those include:
- Payment confirmation: Tenants can see their rent payment status in real-time with a “Rent received” text response. Gone are the days of waiting for a check to clear, needing to visit the bank or login online to pay rent every month.
- Security: Paying rent by text eliminates the concern of a lost or stolen check, which contains personal and banking information. Payment by text is confirmed secure on both ends with two-factor authentication, certified secure by PCI and SOC 2 compliance, payment verification and more.
- Communication: Tenants value a responsive property manager, someone who can come to their aid when issues arise and is willing to communicate whether it’s about payment or general rental unit questions. It lends to a better relationship and reason for the tenant to stay put and renew their lease.
Both the tenant and property manager benefit from the ability to pay rent and communicate by text. The solution brings today’s technology to a payment function that has long been in existence, with the added benefit of easy communication between both parties.
About the author
Larry Talley is the founder & CEO of Everyware, an Austin-based leading contactless payments and communications solutions company. His passion for partnerships, connecting with people, business development, and customer satisfaction led to the creation of a payment and communications solution like no other. Everyware combines the tools that meet the high demand for contactless payment and two-way messaging in a multitude of industries. Larry lives in Austin, TX with his wife and three sons.