Bankruptcy

Bad Economy = Good Deals on Rent?

By meaghano

A recent BusinessWeek article suggests that some tenants may actually benefit from the weak economy right now.

Rent costs are apparently dipping in major U.S. cities, including Manhattan, which is notorious for high rent costs.

But the savings aren?t limited to just the Big Apple ? landlords across the country are reportedly looking for ways to fill their units, whether that means offering freebies or reducing rates for current tenants.

Negotiating Your Rent

So how can you take advantage of this trend to save some cash every month? Try these negotiation tips:

• If you?re looking for a new apartment: Before signing a lease, put on your bargain shoes. Ask for a rent reduction, a security deposit waiver, free access to available amenities, or whatever else makes sense for your area. Landlords would rather fill an apartment or house for a little less money than normal than lose money by letting it sit empty.
• If you?re getting ready to renew a lease: If you?ve stayed current on your rent and generally been a good tenant, you may be in a position to negotiate. Consider asking your landlord to lower monthly payments, waive rent increases or spring for new appliances. Decide what you want most and then ask for it: a landlord looking to hang on to tenants likely won?t let you go.
• If you?re worried about losing your job: Consider asking for a ?layoff-proof? lease, which some landlords have begun offering to get people to sign. These agreements come with the understanding that, should you lose your job, you can break the lease with no penalty. This offers you a sense of security about the future and allows the landlord to pick up at least a month or two of rent.
• If you?ve taken a pay cut recently: Again, many landlords would prefer to keep their units filled ? even for less money per month ? than let them sit empty. If you?re worried about making your rent, contact your landlord and explain your predicament. Ask for a rent reduction or shortened lease.
• If your neighbors are moving out: If you?ve noticed moving trucks carting away your neighbor?s belongings, consider asking for a free upgrade. Maybe other apartments in your building have nicer features than yours ? you could request to be moved to one of those apartments for no price change.

Remember, negotiating can be fun and rewarding?and the worst anyone can say is ?no!?

Full post as published by The Bankruptcy Blog on May 18, 2009 (boomark / email).