Creative Real Estate Financing
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback
Updated about 14 years ago,
Seller's financing - pro-rated rents?
Hi,
I am finally finishing the seller's financing contract (I am the buyer) and I have a question about pro-rated rents. The house is currently occupied, and I have read in a few books, that when you actually close in the beginning of the month, you should get the rents for the most of the month (the rest of the month rent pro rated).
Is this automatic thing, or do I have to write it in the contract?
If I will write it in the contract, I can see that it will scare of the seller a bit (since he might not be realizing it now). He might not want to do that.
The first payment to him from me will go on the 1st of January, so I would have almost full month rent extra, before starting paying him the mortgage payments.
One more thing, what about the utility bills - they are also prorated, so I will have to take care of them since the closing date? Or is he still responsible for the rest of the month.
Thanks in advance for answers!