Most people don't realize negotiating rent is an option. Just because you have to pay rent doesn't mean you can't swing a sweet deal and save some cash.
Most people don't realize negotiating rent is an option. Just because you have to pay rent doesn't mean you can't swing a sweet deal and save some cash.
Apartment hunting is hard enough without worrying about how much money you’ll have to shell out once you find somewhere to live. The prices of rent these days can scare you out of ever leaving home, but don’t worry. Despite what you may think, it’s possible to swing rent prices to suit you better, and here’s how.
Apartment hunting is hard enough without worrying about how much money you’ll have to shell out once you find somewhere to live. The prices of rent these days can scare you out of ever leaving home, but don’t worry. Despite what you may think, it’s possible to swing rent prices to suit you better, and here’s how.
#Know the rental market
Rental rates are not a secret, but they can change from day to day. Get a competing rate in writing if you can, and if it’s lower than the one being offered, have it with you when you go to negotiate. A lower rate in a similar apartment is a great tool for negotiating a lower price on your own apartment.
#Rent in a new development
New developments have hundreds of units to fill, and having them sit on the market means lost revenue for the landlord. This makes them prime targets for concessions. One or even two months free rent are not uncommon when renting in a new development.
#Consider the time of year
For property managers, timing is everything. The best time to think about negotiating your lease is the time in which you have the most leverage. In other words, think about the broader supply and demand trends during any given season. If it’s the end of the month, vacancies are high and you’d be willing to leave if you don’t get what you want, that could be a time when a manager is more likely to be amenable to your offer. As a rule of thumb, winter is usually a good moment to broach the topic, as it’s harder to find tenants during that time of year.
#Do up the damage yourself
Most properties that are available to rent tend to have something wrong with them. Unless the apartment is a new build, the wear and tear of previous tenants will be evident in places. A lot of the time these issues aren’t something that should put you off renting the property, and they can be used in your favor.
Make a note of what’s wrong with the apartment and bring them up when discussing rent with the landlord. If you offer to deal with the problems yourself in return for reduced rent, there’s a chance that they’ll take you up on the offer.
#Experiment with the lease terms
Offering a different move-out date, extending your lease term or reworking the end of your lease term to fall during high season (spring or summer) are some of the ways you may be able to play with lease dates and terms that might be attractive to a leasing manager.
You could also offer to pay rent in lump sums. Following the financial axiom that a dollar today is worth more than a dollar tomorrow, you could offer to pay rent in 3- or 6-month advance payments instead of monthly rent in exchange for a lower price.
#Be Flexible
If the landlord doesn’t want to offer you a lower rent, ask for a concession (like a free months rent). If that’s off the table, ask for a gym membership. You can also offer a term that is advantageous to the landlord, such as a 2-year lease or a lease ending in summer. Just beware that if your lease ends in summer, you’ll likely end up paying more for your next place. You can also offer to move in immediately as the landlord probably doesn’t want the apartment sitting vacant.
