What exactly pro rated rent is and how it is calculated can be confusing. At a time when you are spending so much money and signing so many documents, calculating what the figure is based on is the last job you want to do. Pro-rated rent, however, is easily explained.
Pro-Rated Rent Defined
Typically, apartment rents are charged on a monthly basis and are due at the beginning of the month. There are times, however, when an occupant moves out days or weeks prior to the end of a month and the landlord re-lets the apartment in the middle of the month. In these instances, a landlord cannot charge a new tenant an entire month’s rent since the new tenant has not occupied the apartment for the entire time.
Pro-Rated Rent Calculations
Pro-rated rent is calculated by dividing the monthly rent by the average days in a month for the majority of moths in a year, or thirty days. This provides the amount of rent per day it costs a tenant to live in the apartment. Then, this number is multiplied by the amount of days the new tenant will occupy the space for the remainder of the month. The sum is then the amount of pro-rated rent charged to the new tenant.
For example, if the monthly apartment rent is $1,000.00. The daily rent for the space is $30.40. A new tenant that will occupy the apartment for ten days would therefore be charged $333.40 pro-rated rent.
While not a fun task, calculating the amount of pro-rated rent is easy and should be done prior to paying the first month’s rent. If the number seems high, tell the landlord so; it is possible there was simply a miscalculation. And remember, asking for a receipt when not paying by check will prevent future problems.