QUESTION: Have a tenant offering to pay a year in advance

Hello, I am 27 and a younger/newer landlord who recently was asked by a potential tenant to pay 1 year up front. I only have one unit and live in another city (job moved and I decided to keep the house and buy an extremely cheap fixer upper in the new town.)

FAQs about QUESTION: Have a tenant offering to pay a year in advance Coupon?

Can a tenant pay rent in advance?

Some tenants may ask if they can pay rent in advance in exchange for a discount. You may agree to the terms if you find collecting rent particularly inconvenient. You may decide to offer a tenant the chance to make an advance rental payment if you have a property that’s particularly popular. ...

What are advance rent payments?

Advance rent payments are when tenants pay for future months of rent ahead of time. For any landlord, a tenant offering to pay their rent in advance may sound like a dream come true. However, there are potential downsides to consider before you accept the payments. ...

Should you accept multiple rent payments in advance?

It can be tempting to accept multiple rent payments in advance, however, doing so could land you in trouble later. During the time you’re a landlord, you may encounter tenants who offer to pay you several months’ rent upfront. ...

Do you need to collect rent in advance?

Unless the tenant is paying for twelve months of rent in advance, you'll eventually need to start collecting rent on a monthly basis for the duration of their lease. Sometimes, a tenant offers to pay for rent in advance with no clear plan as to how they're going to afford rent every month in the future. ...

Should you allow non-traditional tenants to pay rent in advance?

Allowing non-traditional tenants such as recent college grads to pay for multiple months of rent in advance allows them to be considered as prospective tenants. By paying several months of rent in advance, tenants communicate their interest in the property and alleviate your concerns about whether or not they'll be able to consistently pay rent. ...

Does rent paid in advance cover a renter's next month?

Rent paid in advance will cover, at minimum, your renter's next month’s rent. Any additional payments would also be an advanced payment to the landlord from the tenant, whether your renter is paying six months' rent upfront or prepaying rent for a year. ...