Annual rent payment Vs monthly

4 Replies

I know everyone has an opinion on accepting rent on an annual basis Vs monthly, however I was hoping someone could speak to the legal implications accepting an annual (or 6 month) rental payment. The obvious issue could be if the lease is violated and the need to begin the eviction process comes up. I would think a prorated refund would solve for this. Thanks in advance!

Why would any decent tenant want to fork over that much rent in advance?  They receive no benefit.  Typically prepaying multiple months is a tactic used by tenants with issues that they want you to overlook.  

@Dick Stevens I would agree, usually. In this instance, the tenant has passed our credit, eviction, employment and criminal record check. He just retired with an honorable discharge after 20 years in the Marines. He says that he’d like to just pay annually so he doesn’t have to worry about monthly. Trust me, I’ve turned these offers down before and I’ve heard many stories from potential tenates from all our other properties. However this one seems legit. I’m more interested in what, if any legal implications this could possibly lead to...

I think this is actually illegal in NJ, you cannot take security of more than 1.5 months rent. If someone doesn't want to worry about paying rent, they should use Cozy. You should be using Cozy anyway!