Yahoo Finance 6 Ways To Get Back on Track If You Get Behind on Your Rent
There are few things in life as stressful as not being able to pay your rent. It’s a scary, impotent feeling — and it’s easy to fall into a loop of worst-case scenarios.
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But rather than stay paralyzed, it’s crucial you take action.
“Getting behind on rent can be a daunting situation, but there are practical steps to mitigate this issue,” said Dennis Shirshikov, head of growth at Go Summer.
Fortunately, experts outlined some ways to get back on track if you get behind on your rent.
Communication Is Key
“First, communicate,” advised Melanie Musson, finance expert with Clearsurance. “Just because you haven’t voiced your problem doesn’t mean your landlord hasn’t noticed. They most definitely have noticed if you’ve missed a rent payment or two. Talk to them and tell them your problem.”
That’s why — before beginning a worry spiral — experts say communicating is essential.
“If you find yourself in this situation, the first step is to communicate openly with your landlord,” said Rhett Stubbendeck, CEO and founder at Leverage Planning. “It’s best to approach them early, explain your circumstances, and propose a realistic repayment plan. For example, one of our clients successfully negotiated to split their rent into more manageable payments over two months.”
Martin Orefice, CEO of Rent To Own Labs, said one of the most important steps you can take here is to maintain a positive relationship with your landlord as you work to get back on track.
“Reach out to them to let them know that you’re struggling, and try to make at least token rent payments on a regular basis even if you can’t afford the full amount. This will hopefully give you the grace you need to figure out your finances.”
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Ask For Temporary Relief
You can also ask for temporary relief, Stubbendeck said, like a reduction in rent or the waiving of late fees.
“I’ve seen landlords agree to these adjustments, especially if you’ve been a reliable tenant. Make sure to outline how and when you plan to catch up fully on payments.”
Negotiate a Payment Plan
“It’s important to approach this conversation with honesty and propose a realistic payment plan,” Shirshikov said.
“Many landlords are willing to work with tenants to avoid the eviction process, which is costly and time-consuming for both parties,” he explained. “For example, a tenant might negotiate to pay half the overdue rent immediately and spread the remainder over the next few months.
When negotiating with your landlord, Ethan Keller, president of Dominion, advised to offer a structured partial payment plan in addition to the normal rent.
“For instance, if someone forgot to pay $1,000 in rent, they might offer to spend an extra $200 every month for five months to make up for it. This shows that you are serious about getting caught up and paying your rent on time.”
Do Your Homework: Look Up Eviction Laws in Your Area
“It’s also important to recognize that not all landlords will be understanding of your struggles,” Orefice said. “Make sure to look up eviction laws in your area.”
He said this will help you understand exactly how much time you have before you’re evicted, and outline steps your landlord will have to take before they can throw you out.
“It’s also a good idea to get in contact with tenants’ rights organizations, who may be able to help you with this process and put you in contact with support resources.”
Find Ways To Make Extra Money
The key here is to find a way to come up with extra money to make rent, Orefice said. “The two ways to do this are to cut your expenses or boost your income.”
Ideally, he said you should pursue both strategies.
“A major step that will help the most, if you have room in your apartment, is to bring in another roommate. If you’re living by yourself, this will cover half of your rent right there,” he explained.
“This isn’t always possible, though. Finding extra work is a good idea, but this can also trap you in a cycle of low-income jobs.”
He advised making sure you’re spending at least a little time every day looking for a higher-paying job.
“Even one application a day can be a big help.”
Keller equally suggested making extra money by starting a side business or freelancing in an area where you have experience.
“This could mean providing skills like graphic design, tutoring or organizing your home. The extra money made from these activities can be used to pay off rent debts and avoid future financial problems.”
Seek Out Government Assistance or Local Charities
“Those who are behind on their rent should look into and apply for local or national rental assistance programs,” Keller said.
He said these programs can help by providing money to cover late rent payments, which can relieve immediate stress and make it easier to catch up.
Shirshikov also agreed that this can be another option.
“Explore local government programs or charities that offer one-time financial assistance to prevent eviction. These programs often fly under the radar but can be lifesavers in times of need.”
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This article originally appeared on GOBankingRates.com: 6 Ways To Get Back on Track If You Get Behind on Your Rent
