For some, the first of the month is a time to be dreaded—the rent is due. Most people assume that the price of rent is beyond their control. They assume that the actual price of rent is based on some mathematical equation done by their landlord, which measures property value, demand in the marketplace and the average income of residents in the area. But in just about every case, neither of these two assumptions is entirely accurate. That is to say, the price of rent is not completely arbitrary, nor is it wholly scientific—there are actually some things a tenant can do to get a lower price on their rent.
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In most instances, when home values in a person’s neighbourhood are dropping, so should the price of rent. But, in most cases, a landlord is not going to volunteer lower rent prices to the tenant. The thinking of the landlord goes like this: if the tenant is willing to pay a certain price, then that is what they will pay. As such, it is the tenant who must take the initiative in such cases.
The first thing a tenant can do is the obvious option: they can simply ask the landlord for lower rent. This will not work every time—especially if a lease has already been signed—but if a tenant has yet to sign a lease or is nearing the end of a lease, then a lower rent price deal may be worked out. It is important to keep in mind that this tactic will probably only be effective in apartment buildings that have high turnover rates or high vacancy rates, as the landlord may be a little more in need than usual.
Again, it is important to remember what kind of market you are in and how it is faring. Doing some research into the local renter’s market will be useful in deciding whether or not lower rent is even possible. Some research into the landlord’s history will also prove to be helpful in a search for lower rent prices. The whole idea is to prove to the landlord that a tenant has a solid case for lower rent. This is the only way a landlord will be persuaded.
If a tenant has a long history with the landlord, then it is time for that tenant to use that as a resource. This is imperative because good, reliable tenants are hard to find, and a landlord will appreciate someone who pays their rent on time, doesn’t make a lot of noise or get in trouble often. Renting out to a tenant who is consistent in as many positive ways as possible is the ideal situation for any property manager. A landlord will be much more willing to negotiate with someone they want to keep around. If a tenant needs a rent reduction due to financial hardship, then it is important for the tenant to show their financial situation to the landlord.
A tenant should show the landlord the bills (medical, college loans, utilities, etc.) and the tenant should also show the landlord their employment situation. In the end, a landlord is a human being and therefore may understand a tenant’s predicament. If the landlord feels the tenant is important enough to keep, then the landlord may just agree to lower the rent price for the tenant.
This article was written on behalf of InsuranceSwami where you can find information on insurance.