How Owners Can Manage Rentals during Coronavirus

The coronavirus pandemic is dramatically affecting the lives of people around the world. The virus that causes Covid-19 disease spreads rapidly, leading to an exponential growth of contamination. Still without a vaccine that can immunize the population, governments needed to take serious measures to control the outbreak.
Until then, the most effective solution, according to scientists and health agencies, is social isolation. In this way, it is possible to reduce the spread of the coronavirus and the consequent increase in the contagion curve.
Faced with this scenario, homeowners ask themselves about how to manage rents and what is the best way to deal with tenants. In fact, the moment has affected all sectors, including landlords and tenants.
With this in mind, we will explain, in this article, the impacts of the pandemic for those who have rented properties and how to manage rents in the best way in those times. Understand!

What is the impact of coronavirus for landlords and tenants?

With social isolation, people have been quarantined and several establishments, such as schools and businesses, must remain closed – unless they offer essential services, such as a pharmacy, bakery and supermarket.

And what is the relationship of this scenario with the rental of real estate? First, for those who rent commercial properties, it is important to understand that companies – especially small businesses – will go through a crisis and will struggle to survive the pandemic.

In addition, with the reduction of hours or even the closing of companies, it is estimated that the rate of dismissal of employees and unemployment will increase.

So, if you have a tenant, whether residential or commercial, it is important to keep in mind that many people will experience difficulties during quarantine.

Will your tenants be able to pay the rent? Should you charge late fees at that time? And how to receive the rents following the recommendations of the health agencies to prevent the proliferation of the coronavirus?

These are some of the questions that arise at this point, and the owners must be prepared to deal with the situation in the best way. Therefore, we have separated some precautions that you must take when managing rents throughout the pandemic.

How can homeowners manage rents during the coronavirus?

In order to manage rents in the midst of the crisis, it is important to keep in mind two things: the impacts of the coronavirus and the care needed to combat it.
See some actions that owners can take!

1) Consider the situation of your tenants

Many people and businesses can go so far as to be unable to pay rent during quarantine. If this happens, it is important to consider new ways to manage rentals in that period.

For tenants with a large payment history on time, you can, for example, establish an agreement with a new collection plan. By means of a written document, determine terms that can improve the conditions for the tenant, without you running the risk of going unpaid.

2) Assess contractual flexibility

The Tenancy Law regulates the rights and obligations of landlords and tenants. Despite this legal support, it is important to consider the need to be flexible at the moment.
If your tenant is unable to pay the rent, for example, reconsider charging late fees and eviction terms. Or, if you rent a commercial property and have noticed that small traders are struggling, consider reducing the value.

3) Avoid physical contact between lessor and lessee

Coronavirus is easily spread through physical contact. Therefore, the best way to avoid contamination is to reduce it as much as possible. Whether to receive your rent, send documents or make negotiations, it is essential to look for other possible means.

The best alternative to make physical contact is to charge the rent by bank slip. To learn more about the rules and how to charge your rent by boleto, we have a post on our blog especially talking about this topic. Enjoy Click HERE, the reading is approximately 05 minutes.

4) Avoid receiving cash

In addition to physical contact, it is also recommended to avoid receiving the rent in kind. Money bills pass through the hands of many people, making them a conducive medium for the accumulation of viruses and bacteria. Therefore, there is a high risk of contamination. Therefore, opt for digital payment methods and without direct interaction. In this case, it is also recommended to charge for bank slips, so it is possible to have greater control and be unconcerned, if the payment is not made, fines and interest can be automatically applied. Take advantage and click HERE, to learn more about how to charge your rent by bank slip automatically and professionally –  the reading is approximately 05 minutes .

5) Use the Internet to manage your properties

To manage rents during the coronavirus, the Internet has been, more than ever, an ally. In the real estate business, there are specialized platforms on which you can virtually manage the real estate.
You can post the ads, make the rental agreement and manage the rentals online. To communicate with your tenants, send announcements and / or request renewal of documents, also give preference to digital media. The Zimobi is a digital platform for owners manage their properties safely and easily.

6) Sign contracts digitally

If you are in the process of contracting, arrange with your tenant to send and receive online documents for the rental agreement. Also remember to avoid crowding during the quarantine period. In order not to have to go to the registry office, the lessee and lessor can digitally sign the document.
The use of electronic signatures in real estate contracts has been growing due to their practicality, efficiency and security. Everything can be done in a matter of seconds over the Internet and with full legal validity.

In times of coronavirus, you have one more reason to adopt the feature.

7) Have good hygiene habits

Another important precaution is hygiene habits, which must be redoubled during the pandemic. If you need to have physical contact with potential tenants, as in the case of showing a property, have all the basic health care.
Wash your hands with soap and water or rub alcohol on gel, avoid touching surfaces, keep a distance of 2 meters from other people and do not touch parts of your face, such as eyes, nose and mouth.
Finally, it is important to keep in mind that, in times of crisis, homeowners need to look for alternatives to manage rents. The ideal is to look for solutions that prevent the drop in your profitability, but that also do not harm your tenants.

To manage your coronavirus rentals easily, online and securely, get to know Zimobi and find out how renting works on our platform!

Back to Top