i prefer rent paid monthly, not weekly

[abcdiamond]

Sorry for bringing up an old thread, but I have a question regarding rent calculations.

If you have a tenanted property at $240 per week, then I come up with the following results:

Rent paid monthly:
rent = 4(240) = 960
=> yearly rental income = 12(960) = 11520.

Rent paid fortnightly:
rent = 2(240) = 480
=> yearly rental income = 26(480) = 12480.

Hence, it would be better to get the rent paid fortnightly as you, the landlord, would receive an extra $960 per year, (12480 - 11520).

So my question is this. Is the monthly rent calculated differently?

Thanks in advance.

Rent at $240 pw = 52 weeks x $240 = $12,480.00 per year
paid monthly would be $1240/12 = $1,040.00 per month

Rent at $480 p fortnight = 26 x $480 = $12,480.00 per year

 

[Merovingian]

Rent at $240 pw = 52 weeks x $240 = $12,480.00 per year
paid monthly would be $1240/12 = $1,040.00 per month

Rent at $480 p fortnight = 26 x $480 = $12,480.00 per year

I thought that may be the case. Thanks.

 

[geoffw]

Rent at $240 pw = 52 weeks x $240 = $12,480.00 per year
paid monthly would be $1240/12 = $1,040.00 per month

Rent at $480 p fortnight = 26 x $480 = $12,480.00 per year

It used to be calculated at 365 days per year (leap years as well) rather than 52 weeks...

240pw / 7 = $34.2857 per day
34.2857 by 365 = $12514.29 pa = $1042.86 pm

Only $2.86 pm difference, but that's what they would use on my leases when I was renting.

 

[capitalist]

I use the same method as abcdiamond, i.e. multiply weekly rent by 52 and divide by 12 to get monthly rent.

Another quick way to get the monthly rent is to multiply the weekly rent by 4.334.

 

[Pete]

rental lease requires direct payment

Some of the earlier posts in this thread reminded me of something.

I'm not sure of the details, but a real estate agency I use for property management has in the rental lease agreements (signed by tenants) that payments by tenants have to be made in a specific way - and I think it is direct bank transfer, to the agents account. There is no option, as I recollect. As in, tenants can not pay cash.


Also, regarding software. Payments to owners are made twice monthly - first and fifteenth of month. The agency formerly issued monthly statements. However, a few months ago the agency switched to different, new software and encountered many problems. One consequence of the new software is that an owner report has to be printed each time a payment is made. So whereas there was formerly a single statement each month there are now two. It takes a day or two to print them so instead of a couple of days each month it takes twice as long; the pairs of reports for each property are collated for a single posting - otherwise there'd be twice the postage as well as twice the paperwork. It means really twice the work for owners too as we now receive two reports per house each month. Very disappointing for the property manager to receive the "improved" software and be worse off than previously - takes a time to learn the new software & liaise with software writers to overcome bugs.

 

[Pete]

limits on tenant's payments methods

Further to my post the other day, a copy of a tenant lease renewal arrived in the mail today. The relevant section about payment begins,

"The Tenant acknowledges and agrees that it is a condition of this lease that all rental payments will only be made using "Raine and Horne Home Pay Card" which provides for rental payments to be made by telephone, Internet access or direct debit. The Tenant agrees that no other form of payment will be accepted and further agrees ......"

Thought that info might be of interest.

Seasons greetings,