Skip to content
×
Pro Members Get
Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
ANNUAL Save 54%
$32.50 /mo
$390 billed annualy
MONTHLY
$69 /mo
billed monthly
7 day free trial. Cancel anytime
×
Take Your Forum Experience
to the Next Level
Create a free account and join over 3 million investors sharing
their journeys and helping each other succeed.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
Already a member?  Login here
General Landlording & Rental Properties
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated about 7 years ago on . Most recent reply

User Stats

7
Posts
1
Votes
Maël Fortin
  • Quebec, Canada
1
Votes |
7
Posts

Paying a year of rent up front

Maël Fortin
  • Quebec, Canada
Posted

Hy, ont of my renters want to pay me a year of rent. He also want a discount for paying everything up front. What is a reasonable/normal range of discount I should offer him/accept from him? Thank you a lot! 

Most Popular Reply

User Stats

1,425
Posts
1,480
Votes
Cara Lonsdale
  • Realtor and Investor
  • Scottsdale, AZ
1,480
Votes |
1,425
Posts
Cara Lonsdale
  • Realtor and Investor
  • Scottsdale, AZ
Replied

This always sounds better in theory, than it happens in real life.  First there's the matter of whether you can even write it up that way in your lease.  I don't know what the rules are in your area (you should check), but here in AZ, a landlord cannot require more than 1.5 times the rent up front, which means that it can't be in the lease as a requirement.  So, that leaves it up to the Tenant to volunteer to pay after a signed lease is in place. 

Next is the fact that you can't "Have" the money even if they prepay.  You must place the prepaid rent into an account, and only "take" each momnth's rent as it becomes due.

So, I don't know what benefit that is for you..??  Why would you offer a discount for that?  It's the same as a tenant who would pay month by month.

Loading replies...