What Is Prorated Rent?

4 min read · Updated 2026-08-01

How partial-month rent is calculated and why the method matters.

The basic idea

Prorated rent is rent charged for part of a month, based on a daily rate and the number of days you occupy the unit. It usually appears when a lease starts mid-month or ends mid-month.

Three ways to compute the daily rate

Leases differ, and the choice changes the total slightly.

  • Actual days in the month: monthly rent divided by 28–31 days
  • Banker's month: monthly rent divided by 30, regardless of the calendar
  • Annual: monthly rent times 12, divided by 365 — the most consistent daily rate

What to check before signing

Confirm in writing which method applies, when the prorated amount is due, and whether the first full month is billed at the same time. Landlords are not always required to prorate the final month, so ask about move-out too.

This guide is general information, not financial, tax, or legal advice. Figures are estimates and vary by lender, insurer, and location.

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