Allow full year prepaid rent?

[Jake Barrutia]

I have a tenant who would like to apply for one of my Hammond units. This person said she's had surgery recently and has been out of work since March, and will return in August. She offered to pay a full rent's payment upfront, along with the deposit, to compensate for her current unemployment.

Are there negatives or major red flags that are associated with this that I should consider as I evaluate her application?

[Nathan Gesner]

Quote from @Jake Barrutia:

It is totally acceptable, but you need to be conscious of a few things:

1. Do not skip your screening! Many bad renters will offer to pay extra up front as a means of avoiding your screening or skipping to the front of the line ahead of more-qualified applicants. Make sure they check all the boxes.

2. Do not reduce rent or offer other incentives. Your rent rate stays the same, your standards stay the same. 

3. The money is not yours to spend until it is applied to a monthly rent charge. If you collect all the money on January 1st, you earn one month of rent in January, one month in February, etc. If the tenant terminates the lease, you may be required to give some of the money back. Don't be foolish and spend it before it is earned.