Last Months Rent As Deposit How Do I Word It
I want to get in addition to a security deposit the last months rent to one of my properties, how should I word the receipt of the last months rent in the lease (Or not put it in the lease) or on a receipt, to state that I rteceived a security deposit of X$ and I recie ved the last months rent prepaid?
thanks ushouldsee
Do your local landlord-tenant laws permit advance rent payments as a condition of your lease, such as "first and last month's rent plus a security deposit is due at move in"?
Mine don't.
I CERTAINLY NEVER USE THE TERM "LAST MONTHS RENT" UNDER ANY CIRCUMSTANCES. I CALL IT A SECURITY DEPOSIT. TIP? GET A GOOD LANDLORD CREDIT AND TENANT REPORTING SERVICE WHERE YOU CAN INSTANTLY DOWNLOAD A COMPLETE TENANT/CREDIT HISTORY. VIRTUALLY ALL APPLICANTS WILL HAVE QUESTIONABLE ITEMS ON THE REPORT. MENTION THESE SPECIFIC ITEMS TO THE APPLICANT AND USE THEM TO ASK FOR MORE OF A SECURITY DEPOSIT.
Getting the last month's rent in advance used to be much more common; however it is less than appealing fro a number of reasons, namely, the fact that it is basically just "extra'" security deposit.
Secondarily, in MN, landloards are required to pay interest on security deposits, to skirt the issue I understand some landlords waived the security deposit and only charged last month;s rent in advance - i guess the state felt this was not appropriate.
Also, be aware that if your tenant stays fro many years, the last month;s rent will be the amount you have pre-collected, not the current market rent.
steve