There's one landlady who had all her tenants pay rent one month in advance. They'd pay the money when they were moving in and would pay their rent on the same day each month, meaning that at no time did any of her tenants have rent arrears. Failure to pay the rent on the pre-agreed date would result in getting a notice to vacate the house at the end of the month. Most of her tenants always paid [their rent] in time. Think it's a great way to weed out tenants who might have issues paying their rent in time?
When you say advanced rent that means you pay today and move in today. That payment will cover the future one month of your stay. So after one month, you will have to pay again for the next month. That's neat. But here, landlords usually ask for a total of 3 months - that's 2 months advance and 1 month deposit and some would say 1 month advance and 2 months deposit. Whatever it is, the tenant gives 3 months rent before moving in. After consuming 1 month, the tenant pays again. In effect there are 2 months stored in the bank account of the landlord.
Did you mean pay an extra month in advance? I used to be a property manager. Paying for the month you are starting , and receiving a pay or vacate notice a day or so after rent is late is standard practice. At least in my country it is. Sometimes tenants will pay first & last months rent on a lease when they move in. It isn't a revolutionary or rare concept.
While not exactly the same, in most cases you will have to pay a security deposit (usually 1 month's rent) which not only acts as a safeguard against damaged property but also as a way to have a months rent if the tenant fails to pay.
Yes in many states it takes time to evict a tenant. It also takes time to foreclose on a property. In my experience as a property manager I am seeing more and more people paying their fee's or rents in advance. Not just a month sometimes for the entire year. I always wondered about that practice, I suppose if you had the funds it is no big deal. in theory I guess that is the type of person you would want in a property anyway. The advantage is that when a repair needs to be made, or even regular maintenance, the money should already be available so there should be no delay in keeping the property tip top. One thing I do fear is that as more people do this they have a greater chance of being taken advantage of. Once you pay your money it is very hard to get it back if something goes wrong, like in the case of a theft or if the place burns down. I am not certain that insurance will pay your resident back and as an owner you certainly would not be entitled to funds that were meant for the use of someone living in the unit. Heaven help you if you spent that money already. An owner could find themselves on a hot seat.
Well yeah it can be hard for those moving into their first rental apartment. But as long as everyone has more or less the same rules, then obviously you are going to be prepared for it as you will get the security deposit back. Or in the case of paying a whole year's rent, you'll have time to save up the required for the next one as you have no monthly expenses from your current place.
I agree, no way that after missing a payment for the next month for one day you can be evicted, but it seems a good idea to have the money in advance, just no legal base to support it.
Yes you absolutely can. It just depends on the nature of the rental agreement and the laws of the jurisdiction. In some places it takes months, in others the process can take days.
Here in the UK, landlords tend to ask for a months rent as a deposit and the first months rent upfront. So two months in advance, if you like. The only issue here is that tenants don't always get their deposit back if the landlord is unscrupulous. It's all too easy for them to invest issues or charge for the smallest amount of expected wear and tear. Pricvate tenants in this country seem to resign themselves to the fact that they won't get all of their deposit back. I do think that asking for a deposit plus two months rent is a little excessive though. My tenants are generally always on rent assistance and as this is paid directly to me, there's never any issues with people not paying the rent. Because of this, I can get away with asking tenants for a "damage deposit" only and don't ask those on assistance for the first month upfront.
