Lisa Schade

Broker, BS, CDPE, SFR

Tips to maximize Your Rental Agreement



Tips to Maximize Your Rental Agreement

With foreclosures continuing to rise and financing becoming increasingly harder to achieve, many consumers are deciding to put their hard-earned money down to pay rent in lieu of a mortgage. With this influx market of new-found renters, some are concerned about the almost-inevitable rising of rent prices.

In order to remain content with your living situation, it is important that rental agreements are fair to both renter and landlord. WilliamPaid, an online resource for renters, suggests the following tips for maximizing rental agreements in the current leasing market:

Don't blame your landlord. When your rent costs rise, the landlord is an easy person to stick the blame with. Your landlord, in most cases, is not your enemy. He or she wants to make you happy because they want you to stay. A dependable renter is a landlord's dream--one that pays on time, takes care of the place and keeps renewing the lease. Developing a solid relationship with your landlord is the best way to manage the situation. Talk to him or her about potential price increases and see if there is a way to compromise so that renting is still an affordable option for you. With good, open communication you can hopefully work something out that will make everyone happy...and pay everyone's bills too!

Figure out your rental budget before signing the lease. Budgeting for your rent payment before getting legally attached is crucially important. According to WilliamPaid, you should spend no more than 30-35% of your gross income on rent no matter which area you are deciding to move to. Find a place below your maximum price point so that you can be sure you can afford utilities, groceries and other spending money. In addition, if your rent increases slightly, you will still be able to pull it off and continue staying in your residence.

Be sure your roommates hold their own. If there is one thing that can soil the relationship between landlord and renter, it's the continuously late payment. If you are living with a roommate, make sure he or she agrees to pay the rent on time each month. If you don't know your roommate well enough yet, make a roommate agreement or loose outline of the expectations of the living arrangement. Getting everything out in the open at the beginning is a great way to avoid arguments later and ensure that you are paying all of your bills on time.

For more information about renting, budgeting and more, please visit: www.williampaid.com.

Reprinted with permission from RISMedia. ©2013. All rights reserved.

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