How to increase resident adoption of online rent payments

According to the National Multifamily Housing Council, 72% of renters are below the age of 44. With this age group, paying bills online has become the norm, and their rent is no exception. For property managers hoping to collect more digital rent payments rather than paper checks, the first step is to encourage resident adoption.

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Online rent payment platforms offer convenience, security, and additional benefits both for property managers and tenants. Increasing adoption amongst your tenants requires educating tenants on the advantages and ensuring a seamless transition.

In this guide, we explain the benefits of choosing to increase online rent payment adoption, ensuring happy tenants and streamlined operations for property managers.

Why is online rent payment important?

Online rent payment is a method where tenants can pay their rent to property managers or landlords using rent payment software. This method leverages technology to facilitate the transfer of funds from the tenant to the property manager’s account without the need for physical checks or cash transactions.

Offering online rent payments is a step towards modernization in property management. Modern tenants seek convenience and instant solutions, which online payments readily provide. This ensures that you are meeting the evolving expectations of renters, increasing tenant satisfaction in your properties.

Online rent payment adoption can streamline and simplify rent payments for both tenants and property managers. It automates many aspects of the rent collection process, freeing up time for property managers to focus on other important areas of property management. It also helps property managers keep better track of payments, reducing the chances of missed or late payments.

MRI Software’s RentPayment makes it easy for you to accept credit cards and eChecks for monthly rent payments and move-in expenses. Not only will this keep your tenants happy, but it also means you can easily collect rent on time. As the largest independent electronic payments processor in the multifamily industry, RentPayment already represents over 2.5 million apartments. Find out more in our RentPayment eBook.

What are the benefits of online rent payments?

Online rent payment systems offer numerous advantages to both property managers and tenants.

Here are some of the key benefits:

1) Easy and flexible

Online payments offer a level of ease and flexibility that traditional payment methods can’t match. Instead of having to locate a check and drop it off in the leasing office, tenants can pay their rent the same way they pay many other bills – from the comfort of their home, computer, or mobile app. The online platforms often have user-friendly interfaces that guide tenants through the payment process, making it straightforward.

Paying online also gives them the flexibility to use a credit card, debit card, eCheck, or cash. Tenants can also change between these options month-to-month. This variety caters to the different preferences and financial setups of tenants, making the rent payment process a lot more accommodating.

Tenants can also set up automated monthly payments. This feature offers peace of mind for tenants as it ensures that they never miss a payment deadline. For property managers, this added ease for tenants can ensure a steady and timely flow of income.

For property managers, the adoption of online rent payment systems streamlines the rent collection process immensely. It minimizes the administrative tasks associated with manual rent collection such as handling checks, managing cash, and manually recording payments. The system automatically updates the payment records, reducing the chances of errors that can occur with manual data entry.

2) Increased security

Gone are the days of tenants worrying that their rent check could be lost in the mail or stolen, ultimately exposing their bank account information. With online rent payment, renters can rest assured that their personal details are protected behind secure rent collection technology and strong passwords.

3) Renters can take advantage of incentives

Offering incentives can significantly increase online rent payment adoption. For instance, you could do a small monthly giveaway for anyone that signed up for autopay that month. This is something you easily promote across your community to increase excitement and awareness.

You can also inform tenants that many credit cards offer points or cash as a reward for using them. By including a larger purchase, such as their rent, on their credit card, they are automatically boosting their benefits, such as cash or points, and helping themselves build credit over time.

Discounts or rewards for online payments is a win-win situation. Tenants get something extra for paying their rent, and property managers receive payments on time.

4) Personalized support

Providing personalized support during the transition to online payments can help increase online rent payment adoption. Personalized support demonstrates a level of care and understanding, which can persuade tenants to adopt online rent payments. This support can be offered through various channels including phone, email, or in-person meetings.

5) Ability to track metrics with rent payment software

Rent payment software allows property managers to track and analyze payment data efficiently. This can help in identifying trends, monitoring late payments, and generating reports. The insights gained can be invaluable in making informed decisions and improving the overall rent collection process.

Want to learn more about how to increase your resident adoption of online rent payments? Sign up for the on-demand webinar that covers tools and tips to increase resident adoption of digital payments.

FAQs about online rent payments