Smart to get Pre-Paid Rent from Tenant Applicant ?

[Tricia O'Brien]

I'm thinking about offering a lease to an applicant using a strategy done by a local PM company in my area.  I would like everyone's opinion if this seems like a reasonable and/or smart way and/or legal way to handle pre-paid rent.  This single family home is in Indiana. 

Property's advertised rent amount: $750/month

Minimum Rental Qualification in the ad:  gross income $3,000/month (4x the rent)

This applicant's income:  $2680 to $2700/month

Applicant doesn't meet income requirement. If tenant is willing to pay 1 month pre-paid rent  ( $750) in additional to the first month's rent ($750)  and security deposit at move in, then this pre-paid rent can be spread out over 11 months to lower their monthly obligation from $750/month to $681.81 so they can meet or almost meet the rental qualification of income being 4X the rent.  

It's an alternative to asking for additional security deposit.  

What do you think?  Pros / Cons?    Here are the details ...

Total Obligation- 1 year lease - 12 x $750 = $9,000

Paid at move in (2 months rent) - $1,500

Remaining rent obligation:  $7,500

$7,500 / 11 months = $681.81 per month for 11 months