Definition: For each day or by the day. In real estate calculations, a per-diem amount allocates an expense, income item, or interest charge to one day.
Example
Under an assumed 365-day method, a $3,650 annual expense equals $10 per diem.
Keep the distinction clear
Use the day-count convention stated in the contract or exam question. A 360-day method and an actual-calendar method can produce different daily amounts.
Related terms
Prorate · Arrears · Debit (Closing Statement)
Keep studying
Real Estate Prorations: Who Gets Debited and Credited?
References: California DRE: real estate glossary
Pronunciation (US): per DEE-um (capitals show stress)
Pronunciation reference: Merriam-Webster
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