My tenant moved in on aug 5th. I charged him full month’s rent and prorated September. I mistakenly charged him $2730.34 for the 27 days in August.

In my mind I calculate:

($3000x12)/366= $98.36/day. ( he pointed out next year is a leap year)

Therefore for 27 days in August it should’ve been $2655.74.

The difference $2730.34 - $2655.74 = $74.66

This is his response:

Since we have now aligned my payment schedule with the first day of the month, I will have paid a total of 3000*11+2730.38 by end of July 2020 for 361 days of renting your place. The rent for that 361 days should be 361*98.63. So the over payment would be (3000*11+2730.38) - 361*98.63 = 124.90. I believe your calculation assumes that the saving from not occupying the house for 4 days of a month varies from month to month.

But to be even more precise, 2020 is a leap year🙂, and the rent per day should be ($3000x12)/366 = $98.36/day. So the refund turns out to be (3000*11+2730.38) - 362*98.36 = 123.82. So I believe $123.82 is the correct refund.

Of course I will have to pay you 4 more days of rent for next August if we don't renew the lease. I now realize why you asked if I could start the lease on Aug. 1st. To save both of us some hassle, let's do that next year if we decide to renew.

Please tell me which refund is correct - $74.66 or $123.82???

Thanks in advance.