What happens if my tenant stops paying rent?

If in the unfortunate circumstance where your tenant doesn’t pay their rent on time, an agency with a diligent rent monitoring system will ensure that you as the landlord minimise your out of pocket expenses.

Rent arrears should be checked and followed up by your property manager daily along with issuing the appropriate notices as permitted by legislation. If your property manager is using the latest property management software, automated reports would be issued to them daily.

The legislation in accordance to rental areas is very clear about when formal notices can be issued if previous reminders have been ignored.  An experienced and pro active property manager should be in constant communication with the tenants to actively resolve any rent arrears from day one and also to avoid such formal notices as to keep the relationship between both parties positive.

Some tenants genuinely forget to pay rent if they don’t have an automated system set up. Thus if a property manager was not managing your property efficiently and then proceeded with formal notices, it can result in quite a negative situation.


The key to handling rental arrears effectively comes down to daily monitoring, reporting and effective communication from the property manager. If this situation is handled poorly the tenant can cause more headaches then just rental arrears. It is also important to have appropriate insurances in place as the landlord to cover yourself if unforeseen circumstances like this arise.