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Old 10-05-2011, 10:18 AM
 
172 posts, read 221,145 times
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just a quick question...


when you pay your rent on the 1st of the month are you paying for that new month or the month that just past?

same with mortgage, on the 1st, are you paying for the new month or the one that just past?
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Old 10-05-2011, 10:25 AM
 
Location: East Northport
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Rent is paid in advance. Mortgage is paid in arrears.
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Old 10-05-2011, 10:26 AM
 
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Not sure about rent but for my mortgage, I pay for the current month. In other words, if I pay on October 1st I am paying for October; not September. But that may just be my mortgage with my bank. Not sure how others work.
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Old 10-05-2011, 10:27 AM
 
Location: Long Island
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Quote:
Originally Posted by TomMoser View Post
Rent is paid in advance. Mortgage is paid in arrears.
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Old 10-05-2011, 10:59 AM
 
Location: Islip,NY
20,936 posts, read 28,432,613 times
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My mortgage company sends their bill for the following month ahead of time. Which means I have already paid september and octobers mortgage I am now waiting for november's which should come in 2 weeks. It sounds strange but that's how chase does it.
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Old 10-05-2011, 11:24 AM
 
Location: Village of Patchogue, NY
1,144 posts, read 2,990,782 times
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For Rent, you usually have to pay before you move in, thus you are paying for the current month. Oct 1st is October's rent. I don't know any LL that will front you 30 days of living. That would mean you could owe rent even after you move out.

As for a Mortgage, what's it matter? You have to make 360 payments, once every month. I don't see how it matters if it's for Sept or Oct... Just make the payments on time.
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Old 10-05-2011, 12:37 PM
 
Location: East Northport
3,351 posts, read 9,761,758 times
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Anther way to understand this is to look at the end:

On the last day of your lease (the day you move out), you don't pay anything. You already paid for that month on the 1st.

On the day that your mortgage is retired (if you ever get there) you make your final mortgage payment. This is for the interest that has accrued over the last month and the small amount principal that is left.
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