The Mid-Month Move-In On Your Rental Property

blnkmarch.jpgPhone rings: “Chris.  I have some tenants that want to move in this weekend.  How do you handle the rent?”

Ah, the mid-month move-in.  They really are not that hard to deal with.  In fact, they are really no different than any other tenant.   Except;

  • Regardless of what day they move in I always collect the security deposit and a full month’s rent when I give them the keys.
  • On the first of the following month, I then charge them the pro-rated fee for their previous “short” month.

Quick example:  Rent is $1,000 a month with a $1,000 security deposit requirement.  They move in on March 20, 2008. 

On move in I collect $2,000.
On April 1 I collect $322.50  ( $1,000/31 days = $32.25 per day x’s 10 days)

And obviously on May 1 I collect $1,000.

This way I know that they have the money to move in and that I am getting much of my rent money up front.  To me, it’s non-negotiable.  I don’t want someone moving in and then not pay rent right away and I’m only holding about $700 less than I could be. 

Just my $0.02 on the mid-month move-in for your rental property!

4 Comments

Filed under Property Management

4 responses to “The Mid-Month Move-In On Your Rental Property

  1. That approach works. What we’ve always done, (just another way to skin the cat) is take the partial AND following full month’s rent. Then their next rent payment doesn’t come up for 40 days.

    Sounds like six of one and half a dozen of another, doesn’t it?

  2. Either way, getting as much money up front as you can is the key.

  3. Great idea.

    I am always skeptical of the tenants that have to move in within a couple days. It tells me they are at best terrible planners or at worst being evicted.

    What are the reasons they often give you?

  4. Scott, I don’t know the specifics of this situation. In my history, it’s usually been nothing more than their lease has expired or a divorce. I still run the credit and background checks and see what I find.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s