88. Save $100 per month – Save money on rent – Negotiate rent
For those that are renters, this technique may save you money.
Negotiate Rent. For some reason, everybody knows they're supposed to negotiate house purchases, but almost nobody thinks of negotiating rent. Why should you pay the same rent as the punk rockers upstairs? You're a quiet, high quality, self-sufficient tenant who will be less hassle than other people. Therefore you should pay less rent. (Trust me, as a former landlord, this is absolutely true.)
Another technique that may help you negotiate lower rent is to offer to pay several months upfront. These ideas may not work, but it costs nothing to try.
For example, you offer to pay your current landlord 3 months rent upfront for a 10% discount, like 3 months, $3,000 worth of rent for $2,700, saving you $100 per month. You could also offer to pay 6-months or 1-year worth of rent at 15-30% discount.
Make sure you have in writing proof of the upfront payment or write in the description of your bank wire, "UPFRONT PAYMENT 3 MONTHS RENT"
In case you have expensive debt, like credit cards, it may be wiser to pay off debt first with your savings. Calculate how much you save per month if you pay down $3,000 of credit card debt.
Perhaps the most obvious way to save money on an apartment and the most classic way to do so is to split the apartment with a roommate or two or more depending on the size. Splitting an $1,100 a month apartment with one person means you'll only pay $550 a month for rent. Just ensure that the fellow apartment resident can pay their share on time every time.
Negotiate with your landlord which options are included. You could also decide to rent an apartment or house whereby:
- It is fully furnished
- The electricity is included
- Natural gas is included
- Hot and cold water is included
- Internet and cable is included
- Free parking place is included
- Security included (people often overlook getting apartment insurance for their belongings, but a secure complex can minimize the risk of robbery thus saving you from having to replace your belongings)
Paying rent with these options included can save you money in the short and long-run.
Downsizing to a smaller apartment also saves you money. Only buy or rent as much home as you need. If you have a home that is larger than you need, consider renting some space.
Do not limit your rental housing search to classified ads or referrals from friends and acquaintances. Select buildings where you would like to live; go visit places in the city and search rental properties, and contact their building manager or owner to see if anything is available.
Remember that signing a lease probably obligates you to make all monthly payments for the term of the agreement.
You can also rent-to-own a property, so whereby your rental payments become the downpayment for a mortgage. This is offered for some foreclosed properties, a good website to search for such foreclosures is foreclosurefreesearch.com
If you decide to rent for only a short period, like only for a couple of months, you may consider renting on a daily or weekly basis, see AirBnb.com
