Pittsburgh, PA · Member since 2016 · 140 posts · 119 votes
Hi BP Community,
When do you start your leases? I never though it really mattered but have heard some people make the claim that you should always start them on the first of the month.
Does anyone subscribe to this theory? If so, why? The only reason I could really come up with is for the simplicity of keeping all tenants on the same pay schedule and therefore fee schedule should they be late on rent. Are there any legal implications to starting on the first vs. any other day with regard to processing evictions in PA? Or any other reasons I am not thinking of?
Specialist · Riverside, CA · Member since 2015 · 6k+ posts · 3k+ votes
6y
Don't have to start at the first of the month but have rent due at the first of the month, simply because it is the market norm, and makes things easier to keep track of.
Real Estate Investor · Audubon, PA · Member since 2009 · 13k+ posts · 8k+ votes
6y
I have some tenants who preferred to pay rent in the middle of the calendar month. So for those tenants, their lease starts on the 15th rather than the 1st, so that the rent due date aligns with lease start and end date. If your lease then specifies other things by date, such as when a late fee kicks in, you need to adjust for the different start date.
You can decide to have any date you want, but I limit things to the 1st or 15th just to be able to keep track of things easier. And I give tenants the choice, just because they know when they get paid and I want them to have money for the rent when it's best for them. Prorate any leading days (but do that in the second month so you get a full month paid up front).
Chicago, IL · Member since 2018 · 546 posts · 227 votes
6y
Just bear in mind that most typical lease start dates are at the beginning of the month (the first). You'll want to account for this because the next tenant who comes in (after this lease ends) may be looking for a start date of the first as well -- but the 15th is also a common start date. Worst case scenario, you can easily pro-rate the rent for the first-month move-in date if it isn't on the 1st or 15th, but still, have the rent due on one of those two dates.
Real Estate Agent · Merritt Island, FL · Member since 2017 · 974 posts · 1k+ votes
6y
@Megan Hirlehey - there is no right or wrong, it's a matter of what you and your tenant want. I tend to start leases as soon as a tenant is interested and haven't had any problems with that. When a tenant leaves, it's normal to do a few things to prepare for the next tenant. If that takes several days, should I wait until the 15th or 1st to start the next lease? Not me.