According to RentData.org, the fair market rent (FMR) for a two-bedroom apartment in Wichita, KS, is $1,017 monthly. It is average compared to the national average but still marks a considerable 10.54% increase from the previous year's FMR of $920 a month.
Since rents have increased considerably in Wichita, renters will not be happy if their property managers or landlords require them to pay more than necessary. For instance, if you, as a new self-managing landlord, should just charge them prorated rent, but make the mistake of demanding the entire monthly fee.
If you're unsure how prorated rents work, don't worry; our experts at PMI Wichita have your back. Read on as we have shared practical rent calculation tips and insights in this prorated rent guide.
Understanding Prorated Rent
Prorated rent is the portion of rent due for a partial month. If a tenant moves in, for example, on the 16th of the month, they wouldn't want to pay for the entire month, as they will only occupy the property for half of that time. Instead, you must calculate rent for that month fairly based on your actual days of occupancy.
How to Calculate Prorated Rent in Wichita
The basic formula to calculate prorated rent is straightforward:
- First, determine the total monthly rent
- Next, divide that amount by the number of days in the month (which could be 28, 30, or 31 days during a common year)
- Finally, multiply the daily rate by the number of days you will reside in the unit that month
For example, say that the monthly rent you charge is $1,000 and your tenant moves in on the 16th of a 30-day month. In this case, your calculation should look like this:
- Daily Rent: $1,000/ 30 = $33.33
- Number of Days Occupied: 15 days (16th to 30th)
- Prorated Rent: $33.33 x 15 = $500
Important Considerations
While the calculations may seem simple, there are several factors and rental tips Wichita landlords and property managers should consider when dealing with prorated rent:
- Different months have different numbers of days, so ensure you adjust your calculations accordingly
- Check the lease agreement for any clauses related to prorated rent (it can vary from one landlord to another)
- Depending on the agreement, a move-in fee may affect the total amount due
To help ease any confusion around these calculations, consider engaging with a full-service property manager in Wichita, Kansas. They have the experience and knowledge to ensure everything works smoothly for self-managing landlords and tenants.
Need More Help From Expert Property Managers?
Understanding how to calculate prorated rent is valuable knowledge for Wichita property managers and landlords, who must ensure they charge fair rents. Taking the time to comprehend these calculations saves money and fosters better communication with renters.
If you're a new self-managing landlord, remember that professional help is available to ease your burden. At PMI Wichita, we can help by taking over many, if not all, duties and tasks associated with managing your property. We're locally owned and operated, but we are also proud to be a part of PMI, a larger franchise that has helped perfect the property management industry in the last two decades.
Call us today, and our Wichita property management experts will happily answer your questions in a free consultation!
