Pro Rata payment

Landlord Discussion Legal
1

Hello guys,

My tenant is due to begin their tenancy on 15th June. I’d like to confirm whether this means they will be charged a pro rata amount for the remaining 15 days of June as their first rent payment, and then pay the full monthly rent starting from 1st July.

In other words, can I charge 15 days’ pro rata rent for June and then begin full monthly payments from July?

Will OpenRent automatically calculate the pro rata rent for the period 15–30 June. Full monthly rent payments will then begin from 1st July.

Example (for £1,800/month rent):

June pro rata due before move in date = £960.00 (pro rata rent for 15–30 June)

From 1st July, the full rent of £1,800 will be due each month.

Monthly rent: £1,800
Holding deposit (1 week of rent): £415.24
Pro rata rent (15–30 June): £960.00

Total due before move-in:

£960.00 pro rata rent – £415.24 holding deposit = £544.76
Plus security deposit

Many thanks

Giulia

2

Hi Giulia3
If the tenancy starts on 15 June your tenant needs to pay their first month’s rent on the 15 June to the 14 July. They will then pay on the 15th of every month. No need for any pro rata calculation.

3

Thanks Christopher, I think tenant would prefer to pay the pro rata payment and I would also prefer that the rent payment will be on 1st of every month - is that something I can do via RentNow? Thanks

4

Not sure if it is possible. The system is geared up to start the tenancy in the traditional way. It may be possible to start the tenancy on 15 June as normal and change the repayment date later.

5

It is possible, but the tenant must pay rent from 15th June to 31st July, hence 1 1/2 months, then monthly from 1st August. When you create the contract (I think in advance settings) you select the preferred payment date, and the systemm will work this out.

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6

I would not recommend this. You would have have different dates for the start of the tenancy and the rent payment and it could get confusing if you serve notice for leaving or increasing the rent.

7

The openrent system is to put you on full months from day 1, and the pro-rata at the end of tenancy if required, and they work out all the pro-rata rent payments.

1 Like
8

Thanks Karl ! Very helpful thank you

9

Understood we decided to keep the tenancy period in line with moving in date. Just make everything easier as you said. Thank you