With not being able to charge a late fee in Maine until 15 days past due + limit of 4%...can I structure the lease amount in the following way: (Example)
Total monthly lease amount of $1,000 due the 1st of the month
10% ($100) discount if rent is received on or before the 5th of the month -- so $900
If not received by the 5th the rent is $1000 from the 6 - 15th after the 15th the 4% late fee kicks in.
I can't find anything in the regulations about a rent with timely payment discount so I assume I can do this?
Appreciate your help
I like how you think outside the box. You will probably have to actually text in court a time or two to see if it flies or not.
Good luck and I hope it works
Ours landlord tenant regs have a specific clause allowing rent discounts. Yours should mention discounts if not then I would go ahead and do it. Nothing ventured nothing gained. If your rents are at $900 jack it up to $1000 for your next tenant and give the discount.
Keep in mind most tenants never challenge anything as long as they are happy.
Alternately you could just have M2M leases. M2M leases solve all tenant problems. M2M will keep tenants paying on time knowing they will be terminated if they don't.
Bernie, I had the same thought! I love the idea and plan on putting something similar in my leases.
You should also include that the rent remain at $1000/month until they have 6 consecutive on time rent payments.
Thank you all...I am adding this to my terms
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