COVID-19 – Q&A: How is it affecting landlords and tenants? -Rental System facilities.

COVID-19 – Q&A: How is it affecting landlords and tenants?

COVID-19 is going to have an enormous impact on all of us over the coming weeks and months. Questions was raised regarding the post effect of Covid 19 and we have pulled together answers to some of the key questions that are likely to arise between landlords and tenants. Can online rental system help?

Alternatively, if a landlord or tenant wishes to consider termination of its lease as a result of COVID-19, it should review whether there is a break clause in the lease which can be operated or if the tenant is in breach, whether the landlord can forfeit the lease.

Can a lease be terminated if there is a force majeure clause?

It seems unlikely that COVID-19 will fall within a force majeure clause without express wording as it is arguably not a foreseeable event.  However, it will depend on the precise wording of the clause in the lease.  In addition, commercial landlords and tenants will also need to consider whether there is a rent suspension clause in the lease but again, it is unlikely that the wording will extend expressly to COVID-19.

What action can landlords take if tenants cannot afford to pay rents due to business interruption as a result of COVID-19? Is rental system beneficial?

In the usual way, a landlord may forfeit a lease for non-payment of rent either by possession proceedings, if the premises are residential or by peaceable re-entry or proceedings if the premises are commercial.

No doubt landlords and tenants will open dialogues with each other to discuss particular issues to help tide them over this difficult period.  Commercial landlords may have the added incentive not to forfeit leases unless they are able to re-let the premises, as they will become liable for expenses in respect of the property such as business rates (subject to any exemptions).

Online rental system facilitates the process since that tenants does not directly address landlords. In this case, you are in a much better position as depending on your rental status, agencies may support and help you dealing with the owner.

If there is a coronavirus outbreak in a building , can a landlord prevent access to the building?

The short answer is no.  There will be either a quiet enjoyment covenant in the lease or it will be a term implied into the lease). This prevents a landlord from disrupting a tenant’s use and enjoyment of the premises. So, the landlord will be in breach of that provision if it prevents access to the building.

However, there could be regulations in the leases (particularly within residential long leases of flats) within a building which enable a landlord to review or update regulations. For example, limit access to certain common parts.

Will a tenant breach its “keep-open clause” in a commercial lease if it is forced to close or reduce opening hours?

There is likely to be a covenant in the lease to comply with all statutory and Government requirements.  This is likely to override any keep open clause in a commercial lease.

If the Government has advised or created new legislation forcing premises to close, then there is unlikely to be any action a landlord can take unless there is another breach such as rent arrears for which the landlord can forfeit the lease.

What actions can tenants take if they are struggling to pay via rental system in respect of either residential or commercial premises?

A tenant should seek to open a dialogue with a landlord and discuss a rent concession.

For commercial tenants, they should also check relevant insurance policies which they hold for business interruption. This will ascertain what cover they have.

Online rental system may facilitates the process since tenants do not directly address landlords. In this case, you are in a much better position. Depending on your rental status, agencies may support and help you dealing with the owner.

With the RentGuard system, all information are stored and monitored by our staff. We will help you to handle any issues faced by your Landlord. Our system keep tracks of all tenants and landlords record, payment and deposits. There is no need for you to be worried about your rentals. Our support team are here to handle any discussions or issues between both parties. This leaves you with a hassle free life. We know it might be difficult for you during this pandemic. Feel free to contact us.

What are the duties of online rental system, landlords and management companies to the occupants of residential buildings/estates in respect of COVID-19?

There are existing health and safety obligations on landlords such as legionella risks and gas safety.  However, coronavirus is different as it is not linked directly to a building.

Sometimes landlords provide single property with no service provided.  Then, it is unlikely that a landlord has any legal obligations to the tenant or other occupiers.

However, there are other services such as cleaning or maintenance of other parts of the premises under the landlord’s control. Then, the landlord may have responsibilities to employees and contractors.

Also, a landlord should check with its insurance broker/insurers as to any specific requirements under block policies.

Online rental system will facilitates the process since that tenants does not directly address landlords. In this case, you are in a much better position as depending on your rental status, agencies may support. They can also help you dealing with your owner.

Source: https://www.charlesrussellspeechlys.com/

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Benefits of online rental system for property owners and tenants.

Benefits of online rental system for property owners and tenants.

Rent collection is one of the most stressful aspects of maintaining a property. However, shifting to an online rental system solution can remove this stress from a property manager’s life and help streamline the whole process. There are many benefits when it comes to collecting rent payments online for both the property manager and a tenant.

1. Schedule recurring reminders for payment. 

Firstly, we must admit that most tenants simply forget to pay the rent on time. Online rental system will be sending reminders closer to the payment date which will ensure a better rent collection. However, sending rent reminders manually is time-consuming. Consequently. an online rent payment solution with automated payment reminders can help send accurate and consistent reminders to the tenant. 

2. See the rent collection status instantly.

A central payment solution integrated into the property management software helps property managers see the rent collection status instantly. Collecting rent online will give you a digital receipt, and if it is integrated with your property management software, the details are updated in your accounting module as well.

With the RentGuard system, RentGuard rental solution provides a hassle free on rental collection with credit card and debit card to  deduct the tenants rent money and deposit it to landlord bank account. Receipts and invoices are automatically sent via email which serves as a proof. 

All status are clearly shown on the system, whereby there is no room for confusion between the operator and the tenant. To know more on the RentGuard system, click here.

 

3. Streamline the property management operations

With online payments, many uncertainties like check bounce, inadequate balance, and loss of cash are negated. It issues online payment receipt confirmation, thereby reducing the task for the property manager to create receipts manually. Integrating the online rent payment solution with the accounting and reporting software will help streamline the process and help everyone stay on the same page.

4. Save money and time by using online rental system.

Each time property managers travel to collect the payments physically and then make a run to the banks; they are spending time and gas. Similarly creating payment receipts and depositing cash in the banks also consume much time. Automating the process and moving online is a convenient way for property managers and the tenants to save time and money.

5. Online rental system’s In-built payments module is secure.

Online payment options are secure and eliminate the risk associated with cash or check fraud. Cloud-based online rent payment options protect your consumer data. Besides, this is a great way to protect yourself and your tenant. 

To overcome this, consider having an ACH (Automated Clearing House Network) based in-built online payment option. ACH transfer is a process where the money is moved between accounts at different banks electronically. A property manager will have to sensitize the tenant of the benefits to ensure smooth onboarding and adoption of the online payment systemsonline are greawever, a tenansaction charges that are levfor a credit card or debit card payment.

Benefits of online rent payment for tenant

Moreover, we discussed the online rent solution benefits for a property manager or landlord. However, there are similar benefits for the tenant as well. 

6. Set-up Recurring Payments to never miss the date

A tenant can set up recurring payment advice in his account for the rent to be debited with an online payment solution on the right time. Additionally, this will streamline the payment process and ensure that the tenant is never late for payments. 

7. Avoid Late payment charges.

In-built rent collection module integrated into the resident portal. Hence, it can help tenant make payments instantly, once they receive the notification of payment reminder. This will help them save on late payment charges.

8. Pay safely and securely at your convenience.

Making payments via a rent collection portal means the tenant does not need to share his account details with others. As as result, the tenant can make the payments via resident portals, mobile apps or payment links. It gives convenience with security.

9. Go Green and paperless with the online rental system.

Save on paper and gas by going online. Additionally, online rent payment means no checks or receipts and no trips to the bank or the property manager’s office! 

In conclusion, online rent payment solution is convenient and secure. Primarily it saves time and cost. Secondly, it helps get instant reports and faster turnarounds when it comes to closing accounts related to rents. A property management solution with an integrated payment solution like RentGuard can assist in the whole rent collection process. Eventually, with our pay as you go method, a client can integrate just the rent payment module in their existing property management software. To know more connect with us or fill the form below and we will get back to you.  

 

 

Source: https://www.rialtes.com

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Why landlords should be asking their agencies to set up direct debit with their tenants

Why landlords should be asking their agencies to set up direct debit with their tenants

As the percentage of landlords in Malaysia increases, so does the demand for quality agencies to manage your investment. Estate agencies often manage hundreds of investment properties and can sometimes let ”rent collection” fall down the priority of daily actions. Do you pay your property manager to chase rent when your tenant is in arrears, or would you rather they proactively collect rent when it’s due? Take matters into your own hands and direct debit won’t let late tenancy rental payments affect your cash flow.

Is it time to talk to your agency about implementing direct debit with your tenants? We have compiled a list of direct debit benefits to help you make an informed decision:

1.  Help tenants pay on time

In a time, poor society, it’s easy to forget when rent is due; it’s an easy mistake to make but one that impacts your tenant and ultimately you, the landlord. Multiple methods of bill payment can make it hard to keep track of when and how to manage your payments. Make it easy by allowing them to set and forget their payment method. Tenants also receive a reminder when their payment is due to ensure they have the money available in their account.

2.  Consistent income on agreed timelines

 

Inconsistent rental payments make it difficult for you, as the landlord, to manage your own budgets. Direct debit will empower you to sleep easy knowing that your income will be deposited into your account at the same time, every week, fortnight or month. If you get more surety around rent collection (your cash flow), you don’t risk your mortgage payments defaulting when they are due.

3. Reassurance that your property manager is in control

Agencies need to manage multiple properties at any one time so, at times it could be easy to overlook a payment that has fallen into arrears. Direct debit is much easier to reconcile; therefore, your property manager will have more time to focus on other important tasks. They can also easily manage rent increases, making sure that the tenants pay the updated amount from the first time it comes into effect.

With the RentGuard system, RentGuard rental solution provides a hassle free on rental collection with credit card and debit card to  deduct the tenants rent money and deposit it to landlord bank account. Receipts and invoices are automatically sent via email which serves as a proof. 

4. Obtain your rental income more frequently

With a defined schedule of rent payments you can request regular payments into your account helping you offset more and more bank costs and retain more money in your back pocket. Ask your property manager about more frequent disbursements.

As a landlord the value of direct debit is in minimizing the risk of late rent. Whereas for tenants the value is in ‘doing the right thing’ (being on time and paying the correct rent). Over 60% of landlords recently surveyed recognize that they get the most value from rent when paid by direct debit.

Source: https://www.ezidebit.com/

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How to Assess and Maximize Your Rental Income

How to Assess and Maximize Your Rental Income profits

As a rental property owner, it is natural to seek maximum profits from your investment. Some landlords find it hard to make a decent profit after expenses. However, there are many ways to increase your rental income even in a struggling real estate market. In this article, we will outline several ways you can assess and maximize your earnings.

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4 Things you MUST do to get your Security Deposit back in Malaysia

4 Things you MUST do to get your Security Deposit back in Malaysia

The most nerve-racking aspect of moving out has to be getting the security deposit back. While some landlords are honest and forthright during the process, others are looking for any little reason to deduct from your deposit. There are countless horror stories about landlords refusing to return a security deposit for the most minuscule of reasons.

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Record 9,180 COVID-19 cases, third nationwide lockdown

Record 9,180 new COVID-19 cases, ICU patients in Malaysia amid third nationwide lockdown

KUALA LUMPUR: Malaysia reported a new daily record of 9,180 new COVID-19 cases on Friday (Jul 9) with nearly 960 patients in intensive care as the country remained under its third nationwide lockdown.  Malaysia’s previous new daily case record was on May 29 when it saw 9,020 infections. The country’s previous high of 952 critically ill patients was on Thursday.

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Tips to maintain a Healthy Tenant-Landlord Relationship

Tips to maintain a Healthy Tenant-Landlord Relationship

Landlords often have the want to get well along with their tenants. As landlords, you want to trust your tenants, communicate regularly with your tenants. Sometimes you might as well want to develop bonds of friendship with the tenants. However, it is not to be forgotten that the tenants are more importantly clients and the relationship is at the base a business transaction. It is hence important to maintain a healthy tenant-landlord relationship.

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5 Reasons Why Renting Could Be Better Than Buying

5 Reasons Why Renting Could Be Better Than Buying

Although owning a home is a lifelong goal of many Malaysians, renting has advantages too. Home ownership isn’t for everyone. Renting can be considered better than buying for some since rates of home ownership are currently high in Malaysia. Historically, families either needed to build their own homes or rent a home from someone else.

For some people renting might make more sense for their financial circumstances. Below are 5 advantages of renting, instead of buying, a home.

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