Rent Per Room Formula:
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The Rent Per Room calculation is a fair method to distribute total rent among roommates based on the area each person occupies. This method is commonly used in Australia for shared housing arrangements.
The calculator uses the following formula:
Where:
Explanation: The calculation proportionally distributes rent based on how much space each roommate occupies.
Details: Area-based rent distribution is considered one of the fairest methods, especially when rooms vary significantly in size. It accounts for the fact that larger rooms provide more living space and should therefore command higher rent.
Tips: Enter the total rent amount in AUD, the room area in square meters, and the total property area in square meters. Ensure all values are positive numbers and that the room area doesn't exceed the total area.
Q1: Should common areas be included in the calculation?
A: Typically, only private spaces (bedrooms) are included in this calculation. Common areas are considered equally shared by all tenants.
Q2: What if rooms have different amenities?
A: You might adjust the base calculation for factors like en suite bathrooms, better views, or built-in wardrobes.
Q3: Is this method legally binding in Australia?
A: This is a fair calculation method, but all tenants are jointly responsible for the full rent under most lease agreements.
Q4: How should irregularly shaped rooms be measured?
A: Measure length × width for rectangular areas. For irregular shapes, break them down into measurable sections.
Q5: Does this account for differences in room quality?
A: The basic calculation only considers area. Roommates may negotiate adjustments for other factors.