As your lease comes to an end, you must decide whether or not you’re going to renew for a longer period of time. If you’re like most renters, that decision will depend on a multitude of factors. In the case that a monthly rent increase is out of your means, you should not have to abandon an apartment or home that you love just like that. You must first learn how to approach your next lease renewal negotiation like a professional!
A Beginner’s Guide to Lease Renewal Negotiations
Start Early
One of the best ways to get the right price on your next lease renewal is to start as early as possible. A few months before you even need to decide, ask your landlord or property management company what you can expect your rent increase to be.
After all, you will need to begin a new apartment search months before your lease is up. Their eventual response, whether good or bad, should leave you with more than enough time to negotiate the price a bit.
Market Conditions
If you feel that your increase is unreasonable, you might be right. Just because an increase is legal, that doesn’t necessarily mean it’s correct. You need to know what your property is worth. Try to figure out how much similar properties in your building or neighborhood are going for.
There could be a high number of vacancies in your area and your landlord might ultimately have trouble filling another empty unit. Or, maybe property prices in your area are on the decline. There are a ton of bargaining chips at your disposal if you’re willing to look for them.
Be a Good Tenant
The process to win your next renewal starts the very first day you step foot in your lease. Fact of the matter is that landlords are bound to give better prices to renters that they like, which is easy if you follow these simple guidelines:
- Always pays on time
- Checks don’t bounce
- Respectful to other tenants
- Follows building rules and codes
- Keeps their unit in good shape
It isn’t difficult to be a good tenant, especially if your efforts may be rewarded when it comes time to renew your lease.
Extending the Lease Term
You may even be able to convince your landlord to lower future monthly rent payments if you sign a longer lease than the typical half or full year term. This will provide your landlord with more financial stability by securing a tenant for the foreseeable future. Besides, they won’t have to waste time and money trying to fill an empty unit.
Lastly, a lower rent may be possible if you pay in advance. This way, they won’t have to worry about collecting rent down the line.
If you’re looking to win your next lease renewal with an optimal rent price, these tips should help you navigate that process!
