I have heard of a few prorating rent formulas and was wondering what the established practice was. The formulas I have heard are:
1. [Monthly Rent X 12] / 365 X Number of Days
2. Month Rent/ 30 X Number of Days
2. Monthly Rent/ Days in Month X Number of Days
I know this only changes the rent a few dollars, but I want to know if there is an industry standard or any established law. Please give me a source if you can.
2007-05-07 20:18:46 · 1 answers · asked by john b 1 in Business & Finance ➔ Renting & Real Estate
Rent pro-rations are determined either by contract or practice in your area. There are no laws governing this situation.
In my particular area, pro-rations are done on the first scenario you describe, and that appears to be the most common formula in use.
2007-05-08 04:45:48 · answer #1 · answered by acermill 7 · 0⤊ 0⤋