29 Jan 7 Renting Costs You Need To Know About
Moving into a new apartment is an exciting process, but unless you’ve been around the block for a while, you might not know about these hidden costs associated with renting. Check them out so you’re prepared!
1. Application Fees
Most of the places you look for an apartment will require you pay an application fee before letting you know if you’ve been accepted to sign the lease. The fees usually range from $25-$50 per person and are rarely refundable.
The application fee covers your background and credit check, as well as the time and effort involved with checking your references and other information. It also shows that you are serious about the property, since the fee is usually high enough to deter people that are not.
It’s possible for your application to be denied for a variety of reasons. Having bad credit, no rental history, bad rental history, or not enough income are all reasons why a landlord could deny you. It’s a good idea to see what the rental requirements are before applying to avoid stacking up multiple application fees.
2. Security Deposits & Move-In Fees
You will almost always have to pay a security deposit upon signing your lease. Usually, places will charge around one month’s rent for a deposit, but they can reach up to two months worth in some cases. You may be required to pay more for your deposit if you have pets or if you have bad credit.
Once you move out, your landlord or property management company will inspect the home for damages, and subtract the cost from your deposit. They then must return the remainder of your deposit to you within 60 days of the inspection.
Sometimes you will charged a move-in fee as well, which usually covers the expenses incurred for moving you into the apartment. This is a non-refundable fee but is usually reasonably affordable.
3. Moving Costs
No matter where you’re going, it’s going to cost at least a little bit of money to move there. Even if you get all of your boxes for free, you will probably want to buy some moving tape and packing material for fragile items. You might find yourself needing to rent a truck for the day to fit your mattress and giant couches. You will need to pay gas for the multiple trips you WILL take to your old place and back. And lastly, I always make sure to put some extra money towards pizza and drinks for the friends that help me move. They’ll remember it next time you ask!
4. Renter’s Insurance
Renter’s Insurance is an expense that you might not want to pay for, but once you need it, you’ll be so glad you did! If anybody steals anything from your home, you’ll be covered. Same if you have an unexpected fire in your building. You can find plans that are around $20 a month, which is small change compared to the damage that you’ll incur if your valuable items are destroyed or taken.
If you’re lucky, some places will pay certain utilities for you, like water or sewage. Most of the time, however, these expenses are left to the renter to pay. Don’t be surprised if your landlord asks you to put sewage, trash, water, gas, and electric! It’s smart to ask what the average utility bills for the home cost before signing the lease. Don’t forget about your phone, cable, and internet, too.
If you’re moving into a smaller space, or somewhere that you’ll no longer have access to a garage, attic, or basement, you might need to pay for additional storage. You might want to shop around for storage prices before deciding to move into that cramped apartment. You’ll be grateful once you aren’t stubbing your toe on all of your extra furniture after you move in.
If you’re moving into a rental house, you’ll usually have at least one or two free parking spaces to use, whether in the driveway, garage, or on the street. If you live in an apartment, these spaces sometimes cost extra. Make sure you know what parking amenities are included with your rent price, and what the cost of additional parking would be, if necessary.