When it comes to renting an apartment, most people are happy to accept the list price, which has been good news for landlords over the past six years or so thanks to the US housing boom. But, is it every okay to negotiate on rental prices?
However, several analysts suggest that the market is cooling down due to a lack of demand and recent construction surges. As a result, landlords may be more willing to drop their rental rates, with some even offering concessions.
How To Negotiate On Rental Prices
But, even if it is now ok to negotiate on rental prices, how can you get the best deal? Well, start by identifying potential properties on Forrent.com before giving the following tactics a go.
Conduct some market research
After you’ve found a potential property, keep looking for comparable listings in the local area, pick out the cheapest options, and approach your landlord with this information. They might need to accept the fact they are asking for too much and consequently yield.
You can also cite the latest statistics on rental vacancies, which the US Census tracks on a quarterly and annual basis, breaking them down into municipal, state, and national trends.
Talk with the landlord face-to-face
Although you will want to stand firm with your negotiations, you must be as polite and friendly as possible too. This is much easier if you are discussing the rental rate with the landlord face-to-face.
Getting the landlord on your side and striking up a rapport won’t be as difficult in person either. Try to find out what they want in a tenant and convince them you are the ideal candidate before moving onto a discussion about the rent.
Point out needed renovations and repairs
You will need to be a bit tactful about this one, but by pointing out any required renovations or repairs, which you must also be happy to live with or fix yourself, you may be able to get a better deal.
If utilities are also included in the rental rate, you could suggest buying an energy efficient appliance. By bringing down your landlord’s bills, you may receive a portion of the savings as well.
Prove your worthiness and reliability
Despite the fact that the vast majority of landlords will want to maximize the profitability of their property, they also need to make sure tenants are reliable with payment, which often takes precedence.
Therefore, you should prove your worthiness by providing recommendations from previous landlords or work colleagues along with documentation like pay slips and bank statements.
Commit to the long-term
If possible, suggest a long-term tenancy in exchange for a cheaper rental rate. Once again, the landlord will want certain guarantees over the future revenue of their property, which a prolonged lease can provide.
Landlords that have tenants coming and going every year will lose lots of money in transaction costs, which can include repainting, brokers fees, and professional cleaning. On top of that, it takes a great deal of time and effort to find a new tenant, which your long-term tenancy could eliminate.
Not only do I think rental negotiation is OK, I think it is a must for anyone who is looking to exercise responsibility in managing his or her finances. It is important to practice a polite approach when doing so, but it never hurts to try.