The post A better way to split rent: What responsible flexibility should look like appeared first on Flex | Pay Rent On Your Own Schedule.
]]>By Ryan Metcalf, VP of Public Affairs, Flex
Rent is the largest monthly bill for most households and it’s still due in one lump sum around the first of the month, even though most people are now paid weekly, biweekly, or on irregular schedules1. That mismatch is a predictable source of instability, not because people are irresponsible, but because the system is rigid and most households don’t have the liquidity to bridge short timing gaps.
When timing doesn’t line up, or an unexpected expense hits at the wrong moment, a small shortfall can quickly spiral into penalty-driven outcomes: late fees, overdraft and NSF fees, revolving credit balances, and high-cost short-term credit, which together cost Americans more than $280 billion a year2.
Flex exists to modernize that system, starting with rent.
Flex Rent helps people split rent into smaller payments within the month while ensuring property managers are paid in full and on time. At scale, that matters. Rent is an essential obligation for households and a foundational cash-flow input for the housing ecosystem. A functional system should support on-time payment without relying on penalties, compounding, or prolonged indebtedness as the default.
As flexibility becomes more common in essential bills, the design standard should be clear and enforceable in practice:
In practice, responsible flexible payment products offer clear pricing upfront, bounded costs that do not escalate over time, guardrails that prevent repeated borrowing without repayment, and outcomes that reflect stability rather than a worsening cycle.
Flex Rent is a bank-issued line of credit regulated under the Truth in Lending Act and Regulation Z. But what matters most is the user experience and the safeguards built into the product:
That structure is deliberate. Flex’s interests are aligned with the best interests of our customers.
The best test of whether a product helps or harms is what happens over time.
Today, more than 2.5 million renters have used Flex, with 19 million bills paid and roughly $30 billion in rent paid through the platform. We conservatively estimate Flex customers have avoided more than $500 million in late rent fees to date. At current scale, users are avoiding approximately $30 million per month3.
Just as important, usage patterns and repayment outcomes suggest the product is working as intended. Nearly half of users (48%) use Flex episodically, up to five times per year, and median lifetime usage is three months of rent payments. Another 20% use Flex monthly, reflecting a second, distinct use case. For most renters, Flex is an occasional tool to absorb a timing mismatch or unexpected expense. For others, it is a monthly way to smooth cash flow, reduce financial stress, and make budgeting more predictable.
Repayment performance supports the same conclusion. Flex’s 30-day default rate is 1.06% overall and 1.39% for subprime customers. For context, Federal Reserve data4 show a 30-day default rate of 5.3% for credit card customers overall and 16.3% for subprime credit card customers5.
User-reported outcomes support the data. In a survey of Flex users, 92% said Flex helped them avoid fees or penalties, 87% said Flex reduced their need to borrow money, 92% said Flex improved their long-term financial health, and 90% of Flex users reported improved housing stability6.
Cancellation data reinforces that Flex is often used as a temporary bridge. In our cancellation survey of 18,906 users, 44% said they canceled because they did not need Flex anymore. Among users who said they no longer needed to split rent, 34% attributed that to an improved financial situation, and within that group, 53% said they can now comfortably pay rent on time without Flex. 11% said they canceled because their financial situation worsened and they could no longer afford Flex, which is why we launched Flex for Good: to test complementary support for renters who need more than Flex Rent can offer, including direct rental assistance7.
We also see positive signals from housing providers. Flex is integrated with thousands of property managers nationwide. In a survey, property managers report lower delinquencies, fewer late fees, and fewer eviction notices after offering Flex8. These outcomes are consistent with the goal: keep rent current, reduce downstream harm, and prevent a timing gap from turning into a housing crisis.
As flexible payment products grow, renters should demand clarity about what they are signing up for.
The questions are simple:
Rent is an essential obligation and a foundational cash-flow input for the housing economy. Financial products should not have gotchas, gimmicks, or fee traps. They should be designed with transparent pricing, bounded use, guardrails that prevent escalation, and outcomes that reflect stability.
That is the standard we built Flex to meet and the standard this type of product and its providers should be held to.
To see this approach in practice, read real customer stories at https://getflex.com/reviews, explore outcome-focused research at https://getflex.com/properties/resources, and review our broader commitments and results in the 2025 Impact Report at https://getflex.com/impact-report.
If you are a housing operator, policymaker, or partner focused on responsible flexibility, we welcome the chance to build clear standards together. You can reach us at [email protected].
Sources
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]]>The post Preventing Evictions Upstream: Flex and Hope+Door Pilot appeared first on Flex | Pay Rent On Your Own Schedule.
]]>For millions of renters living paycheck to paycheck, one unexpected expense, a car repair, fewer hours at work, or a medical bill, is all it takes to fall behind on rent. When the financial shock happens, the risk of eviction rises fast. Eviction hurts everyone: renters, property owners, families, and communities. Prevention requires speed, trust, and coordination.
That’s why we partnered with Hope+Door, a nonprofit committed to keeping families housed before an eviction is filed. Their mission and eligibility model are designed specifically to reach the vulnerable households, especially working parents with children under 18 facing a short-term financial shock. Each year, their team distributes hundreds of rent grants to families living across the United States through partnerships with fellow nonprofit organizations and property managers. Flex’s platform processes billions in rental payments each month, and is uniquely positioned between the renter and the landlord. Together with Hope+Door, we saw potential to leverage this technology to keep families housed.
For this pilot, we combined Hope+Door’s research-backed eligibility criteria with Flex’s technology and payment infrastructure. Flex identified families showing early signs of financial strain and referred eligible households to Hope+Door. Further, the Flex platform eliminated the need for time-consuming landlord coordination, saving time and energy for applicants and Hope+Door staff.
The Hope+Door team reviewed and approved applications within 48 hours. Once a rent grant was approved, Flex delivered funds directly to landlords within hours, avoiding mailing delays, late fees, and compounding stress for families. We iterated on the workflow each month to be simple and coordinated: Hope+Door remained the trusted, renter-facing operator, while Flex powered the backend verification and grant distribution.
In just three months, the pilot delivered $140,000 in emergency rental assistance to 75 families—more than doubling Hope+Door’s typical grant volume. Flex’s infrastructure slashed processing times, and dramatically increased reach and efficiency:
This is what tech-enabled philanthropy looks like in practice: more families supported, in less time, with the same mission-driven care.
“My experience was a lifesaver. I wasn’t sure how I would pay my rent on time after my car broke down and I stopped receiving child support. I was barely making ends meet for months. The grant allowed me to redirect funds and sleep easier knowing that we would not be homeless. I cannot tell you how appreciative I am.”
These are families who appear stable on paper but are one unpredictable financial shock away from crisis. The pilot didn’t just distribute funds quickly, but targeted assistance where it would have the greatest impact upstream.
"This collaboration between Hope+Door and Flex proves that when the right tools meet the right heart, we can scale our impact across the country without losing the personal touch that is so essential to our work."
We will scale this partnership with Hope+Door in 2026, while expanding our work with other nonprofits, property managers, and community partners. Together, we aim to:
We believe eviction prevention should be simple, fast, and rooted in dignity, which is why Flex is proud to partner with Hope+Door. Partnerships like this one show what’s possible when technology supports, not replaces, the human relationships at the heart of housing stability.
To learn more and support the work of Hope+Door, visit their website.
If you have any questions about this partnership, we’d love to hear from you: [email protected].
Sources:
1 Eviction Lab. Who Is Evicted in America? Princeton University. evictionlab.org
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]]>The post How Inflexible Rent Systems Deepen Financial Strain for Renters appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Flex Rent* is an open-end line of credit that allows eligible renters to split their rent into multiple payments for a fee. Approval is required, and renters remain responsible for repaying all amounts under the Flex Rent line of credit according to the terms.
For most American households, rent is the single largest monthly expense. It should be a straightforward transaction: money goes out, housing is secure. But for renters living paycheck to paycheck, it is anything but simple.
Rent is typically due on the first of the month. Property owners and managers face their own early-month obligations like mortgages, payroll, utilities, and taxes. The due date makes sense for them. The challenge lies in a structural mismatch between due dates and pay cycles. Most renters are paid on different cycles such as biweekly, semimonthly, or irregular schedules that rarely line up with the rent due date.
That gap can create friction for renters whose income does not align with rent due dates. For those with little or no financial cushion, the result is a monthly obstacle course of calculations and trade-offs that test household stability:
What should be a simple bill becomes a high-stakes calculation, where every option carries a cost or a penalty.
"Before Flex, paying rent felt like a gamble. Either I skipped groceries or got hit with late fees. With Flex, I know the cost upfront and I can plan."
Every path renters face comes with its own price tag. Some are predictable costs: visible and predictable. Others are penalties: disclosed in agreements but conditional, triggered when timing fails, and often cascading into overdrafts, debt, or eviction risk.
Costs (predictable tolls):
Penalties (conditional and cascading):
Costs are tolls you see upfront. Penalties are charges that only appear when income timing fails and often spiral into larger financial harm.
Flex belongs in the first category. It is a cost-based option with no late fees or compounding interest when timing goes wrong. However, it is not without cost**, and renters should evaluate whether the benefits outweigh the fees for their particular financial situation.
Traditional credit products like credit cards operate on a fundamentally different model. Their revenue comes from interest charges, late fees, and consumers who carry compounding balances the system profits most when the user struggles. This creates a perverse incentive: success for the lender often means failure for the borrower. Flex, by contrast, is aligned with the renter’s success and gains nothing when a renter struggles or fails to repay.
Maria is a single mom earning $2,400 a month, paid on the third and seventeenth. Her rent is $1,406, exactly the national median. On the first of the month, her checking account shows just $700.
On the morning of the first, she reviews her account again, trying to make the numbers work. If she pays rent immediately, her account will overdraft and she will owe her bank $30 to $35. If she waits until her paycheck clears on the third, she risks an $85 late fee, plus the possibility of an NSF charge if her landlord attempts to debit early.
Her options are all costly:
Every path carries a penalty: fees, debt, strained relationships, or unmet household needs. What should be a simple bill becomes the trigger for cascading instability.
Now imagine the scenario with Flex.
With Flex Rent, Maria’s rent is paid on time without overdrafts, late fees, or rollovers. On the first, she pays half her rent ($703) through Flex using a debit card, plus a 1% fee ($7.03)7. Flex pays her landlord the full $1,406 due. Before the end of the month, she pays the remaining $703, another 1% fee ($7.03), and her $14.99 monthly membership. The monthly cost of $29.05 is predictable, transparent, and far less punishing than the alternatives.
The impact is more than financial. It preserves her ability to buy groceries, keeps her bank account intact, protects her from high-cost debt, and provides peace of mind that her housing is secure. By shifting the rent trigger from a penalty to a planned cost, Flex turns an impossible timing problem into a predictable payment schedule. And Flex reports that on time rent payment to Transunion, which can help Maria build her credit history.
The challenges renters face are not limited to late fees. A missed rent payment often sets off a chain of costs and tradeoffs that destabilize households. What begins as a single $85 late fee can quickly snowball into overdraft charges, revolving credit interest, or payday rollovers that multiply the cost of being a few days late. For many households, paying rent late means juggling which bills to delay, which essentials to skip, or which family member to ask for help. These tradeoffs are invisible in financial statements but deeply felt in day-to-day life.
Property owners and managers also absorb the costs of this misalignment. Each late payment creates staff time spent on reminders, collections, and legal follow-up. Repeated delinquencies reduce net operating income and increase turnover, which is far more costly than collecting rent on time. Late fees may provide short-term revenue, but they do not improve overall collections or tenant stability.
Flex interrupts this cycle by shifting timing risk away from both renter and property. By aligning rent with income flows, Flex replaces unpredictable penalties with a transparent cost. Renters gain breathing room to manage unexpected expenses without sacrificing essentials, and property managers receive steadier payments with fewer operational burdens. The result is not merely avoiding late fees, it is the prevention of the downstream risks that threaten housing stability.
Maria never planned to pay her rent late. But when her paycheck was delayed by just a few days, the penalty was immediate: an $85 late fee. It happened again a few months later, and again the following spring. Over time, what seemed like isolated incidents turned into a pattern that quietly drained hundreds of dollars from her budget each year.
Maria’s experience is not unusual. According to CFPB data, 23 percent of renters incur at least one late fee annually, representing more than 10 million renter households.8 Within this group:
Late rent fees average $85 per incident, and when multiplied across millions of households, the costs are staggering.
Total: ≈ $2.2 billion annually in late fees across renter households.
For millions of renters like Maria, these fees are not isolated penalties. They are structural features of household cash flow, triggered by predictable timing gaps between income and rent due dates. A single late fee can mean losing a week’s worth of groceries. Multiple late fees over a year can approach the cost of an additional month’s rent.
And that figure excludes revolving credit costs. Many renters rely on credit cards to cover shortfalls, paying $50 to $100 a month in interest and fees. According to the CFPB, the average revolving cardholder pays roughly $1,000 annually in interest and fees, which turns short-term timing gaps into long-term debt.9
The Costs Add Up Quickly — and So Can the Savings10
Flex charges up to a $14.99 monthly membership fee, plus 1 percent of rent when renters choose to split their rent and pay with a debit card. Using the ACS 2023 median gross rent of $1,406, the 1 percent fee is $14.06, bringing the total average monthly cost of use to $29.05.
Renters can choose to:
Even using Flex occasionally can deliver meaningful savings. For renters who face multiple late fees per year, those savings accumulate quickly. Because many renters use Flex episodically and apply only when they anticipate a timing gap, the economics align closely with real behavior rather than theoretical best cases.
These savings do not even include the avoided cost of revolving credit card interest. According to the CFPB, the average revolving cardholder pays roughly $1,000 annually in interest and fees. While Flex does charge predictable monthly costs, it avoids the compounding interest that can turn a short-term timing bridge into long-term debt. Replacing credit card use for rent could yield additional savings for some renters.
At scale, the costs of misaligned rent systems add up far beyond late fees. Renters lose billions of dollars annually in penalties, overdraft charges, revolving interest, and emergency loans. Property managers absorb the indirect costs of turnover, arrears management, and reputational strain. Households face stress, instability, and diminished resilience when unexpected expenses collide with rigid due dates.
By contrast, aligning rent with income transforms the system from a penalty-driven model to one based on predictability. The benefits compound across all stakeholders: renters avoid unnecessary costs, property managers experience steadier cash flow, and communities benefit from lower eviction risk and stronger financial stability.
This isn’t only about saving the cost of a late fee, it’s about preventing cascading financial crises before they start. A well-aligned payment system is not a perk. It is an essential piece of housing stability.
“It is not just the money. It is the stress. Flex gave me back peace of mind.”
Flex is one of several rent payment tools that help renters manage cash flow by turning timing penalties into predictable costs. It charges a transparent fee with no late fees, no revolving interest, and no compounding debt. Unlike debit or ACH, which require having the full rent amount available on the first of the month, Flex aligns rent payments with income schedules.
By spacing out payments, Flex can reduce short-term stress and improve budgeting. It may also help renters avoid reliance on high-interest credit cards or payday loans. Flex is not a zero-cost solution, and renters should weigh its membership and transaction fees against their current payment costs and needs. Flex reports on-time rent payments to TransUnion, which helps build credit history over time. Flex is not available to all renters and requires credit approval.
Property managers also benefit. On-time payments reduce delinquencies, improve cash flow, and ease administrative burdens. By aligning incentives between renter and owner, Flex supports on-time payments, steadier operations, and fewer delinquencies across portfolios.
The problem is not the rent due date itself. It is the rigidity of a system that does not account for how and when renters actually get paid. Inflexible rent systems amplify the strain of living paycheck to paycheck and penalize renters who are already vulnerable.
Flex provides one practical alternative. By replacing penalties with a predictable cost and aligning rent with income, it reduces unnecessary friction and offers short-term liquidity and long-term stability. But it is not a solution for every renter, and it should be viewed as part of a broader conversation about equity, cash flow, and the design of financial systems.
The structure of a financial product matters as much as its price. When products profit from consumer failure through late fees, revolving interest, or compounding debt they create lasting harm. Flex aims to reverse that model by aligning success for the product with success for the renter.
Data Sources
Consumer Financial Protection Bureau, Rental Housing Payment Data Report (Jan 2025)
Consumer Financial Protection Bureau, Credit Card Market Report (2023)
American Community Survey, Median Gross Rent (2023)
RealPage Payment Services, Tenant Fee Schedule (2025)
Flex Data (2025)
Assumptions
Calculations
Limitations
Not all renters qualify for Flex. Some renters may still pay late despite Flex availability. Estimates use national median rent; savings vary by market. Does not quantify stress, eviction filings, or credit score impacts. Figures represent modeled savings scenarios, not observed empirical data. Results depend on user eligibility, activation behavior, and property participation. All monetary figures are expressed in U.S. dollars and rounded to the nearest whole dollar for clarity.
* Flexible Finance, Inc. (“Flex”) is a financial technology company, not a bank. All lines of credit (including the “Flex Rent” product), banking services, and payment transmissions are offered by Lead Bank or Column N.A., Member FDIC. Visit getflex.com for more info.
**Flex doesn’t charge escalating late fees or default interest, but missed payments may limit your access and could be sent to collections. You remain responsible for all amounts owed under your lease and your Flex Rent line of credit as outlined in your agreement.
1 RealPage Payment Services, Tenant Fee Schedule (2025)
2 RealPage Payment Services, Tenant Fee Schedule (2025)
3 May be subject to an additional $3 property passthrough fee for each month Flex is used, depending on your property. There is no processing fee when paying with a debit card. An additional 2.5% processing fee applies when using a credit card.
4 Consumer Financial Protection Bureau, Junk Fees in the Rental Housing Market (CFPB Research Brief / Issue Spotlight, 2023).
5 Consumer Financial Protection Bureau, Overdraft and NSF Fees
6 Consumer Financial Protection Bureau, The Consumer Credit Card Market
7 For illustrative purposes only, actual credit line limits vary.
8 Consumer Financial Protection Bureau, Rental Housing Payment Data Report (Jan 2025)
9 Consumer Financial Protection Bureau, The Consumer Credit Card Market, most recent editions 2021–2023.
10 Assumptions: Late fees = $85 per incident. Median gross rent = $1,406 (ACS 2023). Episodic users cancel between uses and are approved upon return. Always-on users keep accounts active in non-use months. Heavy users split every month.
11 Consumer Financial Protection Bureau, Credit Card Market Report (2023)
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]]>The post Why Rent Timing is the Missing Piece in Housing Stability appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Housing stability is often discussed in terms of affordability. Rent levels, income constraints, and rising housing costs dominate the conversation. But another factor plays a critical role in whether renters are able to stay housed, especially in affordable housing communities.
In Flex’s Flex in Affordable Housing report, which examines renter and property manager experiences across affordable housing communities, one issue consistently surfaced:
Rent payment timing.
Most rent systems require a single payment at the beginning of the month. Most renters, however, are paid weekly, biweekly, or on irregular schedules. This misalignment between when rent is due and when income arrives creates short-term cash flow gaps, even for households whose total monthly income is sufficient to cover rent.
For renters living on tight margins, these timing gaps can have outsized consequences. A paycheck that arrives after rent is due can trigger late fees, overdrafts, skipped essentials, and eviction risk. Over time, these short-term disruptions compound into housing instability.
Flex’s research in affordable housing communities shows that rent payment timing is a key, and often overlooked, factor in eviction prevention and housing stability. When rent schedules better align with income, renters and property managers alike report fewer penalties, fewer disruptions, and greater overall stability.
Rent in the United States is typically due at the beginning of the month. Income, however, rarely is. Most workers are paid weekly, biweekly, or on irregular schedules. For renters living paycheck to paycheck, especially in affordable or subsidized housing, this creates short-term cash flow gaps even when total monthly income is sufficient.
When budgets are already tight, timing matters. A paycheck that arrives after rent is due can force renters into difficult choices. They may pay rent late and incur penalties, overdraw a bank account, delay utilities, or skip essentials like food or childcare. What begins as a timing issue can quickly escalate into a financial spiral driven by rent due before payday.
This dynamic is especially pronounced in affordable housing, where rent burdens are higher and emergency savings are limited. In these environments, even modest disruptions, such as a delayed paycheck, a car repair, or a medical bill, can trigger late fees, overdrafts, eviction notices, and displacement — hidden costs that often extend beyond what renters initially expect.
When rent timing and income timing do not align, the consequences extend beyond individual households.
Late rent payments increase the likelihood of eviction filings, which are costly and destabilizing for renters, property managers, and communities alike. Property teams spend more time on collections and arrears management. Turnover costs rise. Courts and local governments absorb the downstream impacts of eviction and housing instability.
For renters, these pressures often show up not just financially, but emotionally, contributing to anxiety, stress, and reduced well-being.
Our research across affordable housing communities shows how quickly these costs can compound. A short-term liquidity gap can generate hundreds, and sometimes thousands, of dollars in penalties and system-level expenses, even when the underlying issue is temporary.
In many cases, eviction is not the result of chronic income insufficiency. It is the result of timing shocks that go unaddressed.
When rent timing is better aligned with income, renters report greater stability and fewer financial penalties. Property managers report smoother operations and fewer disruptions.
Property managers reported similar benefits:
Taken together, these findings suggest that addressing timing does not just improve the renter experience. It stabilizes housing operations as well.
Flex Rent is not a solution to the structural housing affordability crisis. It does not lower rent, expand housing supply, or replace subsidies and assistance programs. Those tools remain essential for addressing long-term housing needs.
What Flex Rent does provide is helping with rent payment timing alignment.
Flex Rent allows renters to split a single monthly rent obligation into smaller, scheduled payments that may align with when income arrives, while ensuring rent is paid in full and on time to the property. For renters looking to understand the benefits of flexible rent payments, this approach can help reduce short-term financial strain while managing their cash flow to start the month. By addressing these gaps, the product helps prevent timing mismatches from escalating into potential late fees, overdrafts, or eviction risk.
In this way, Flex Rent can function as a stabilizing layer within the rent payment system itself. It is designed to provide a more predictable and structured way for renters to navigate short-term financial disruptions.
Importantly, Flex’s research shows that most renters do not rely on Flex Rent indefinitely. Many use it episodically during periods of financial volatility and stop once their situation stabilizes. This usage pattern reinforces that Flex Rent works best as a temporary bridge, supporting housing stability without creating dependency.
Housing policy and public conversation have rightly focused on affordability, especially for renters living on tight margins. But payment systems also reflect assumptions about how people earn and manage money. When those assumptions no longer match reality, instability follows.
The findings from affordable housing communities suggest that better timing alignment can deliver meaningful stability at relatively low cost. Flexible rent payments will not solve the housing crisis but as part of a broader ecosystem of subsidies, assistance, and supply-side solutions, it can help prevent avoidable evictions and reduce unnecessary harm.
Preventing eviction does not always require new construction or deeper subsidies. Sometimes, it requires better alignment between systems and real life.
If housing stability is the goal, timing has to be part of the solution.
For renters navigating income and rent timing mismatches, solutions that align rent with pay schedules can make a meaningful difference.
Flex Rent is designed to help renters split their rent into smaller payments that can align with when income arrives, while ensuring rent is paid in full and on time to the property. Learn how Flex Rent works and whether it’s right for you.
Interested in the research behind this approach?
Read the Flex in Affordable Housing report.
1 Flex, Flex in Affordable Housing Report, August 2025. Findings are based on a survey of 762 renters and 47 property managers in affordable housing communities. Results are self-reported and may vary.
2 Flex does not prevent eviction or legal action; outcomes depend on property policies and local law. Individual experiences may vary.
3 Flex Rent transaction cost calculated using $14.99 monthly membership fee and average bill payment cost per rent transaction. Cost comparisons are illustrative estimates only and do not reflect total costs or outcomes for all Flex users.
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]]>The post Flex federal employee and SNAP relief program report appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Flex is not affiliated with or endorsed by the U.S. government. SNAP is a federal assistance program; this report is independently produced.
The experience also shifted how PMCs viewed rent timing tools. Before the shutdown, about 20% viewed Flex as essential infrastructure. After participating in the relief program, 36% held this view, and nearly 80% said they would be open to participating in similar programs again.
In this report, you’ll explore:
Income volatility is no longer limited to rare crises. From contract work and hourly schedules to benefits that arrive on fixed but inflexible timelines, many households experience ongoing timing mismatches between income and expenses.
Rent systems, however, are still largely built around a single monthly due date. As the 2025 federal shutdown demonstrated, even short-term disruptions can create immediate financial strain when timing flexibility is absent.
Understanding how renters and property managers navigated this moment offers important insights into how housing systems can better support stability during future disruptions, whether driven by policy, economic shifts, or income volatility.
The findings from the Federal Employee and SNAP Relief Program point to several broader considerations for housing and affordability stakeholders:
These insights can inform future policy discussions around housing stability, benefits administration, and renter protections during periods of income disruption.
Explore the full findings from renters and property managers who participated in the Flex Federal Employee and SNAP Relief Program during the 2025 government shutdown.
Flex is not affiliated with or endorsed by the U.S. government. SNAP is a federal assistance program; this report is independently produced.
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]]>The post What the 2025 Government Shutdown Revealed About Rent Timing and Financial Resilience appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The 2025 federal government shutdown disrupted far more than paychecks. For weeks, hundreds of thousands of federal employees, contractors, and benefit recipients faced delayed or uncertain income. Yet one thing didn’t change: rent was still due, on time, and often with penalties attached. What followed showed how quickly financial stress can emerge when income and rent fall out of sync.
As income disruptions became widespread, Flex launched the Federal Employee and SNAP Relief Program to help renters remain current during a period of uncertainty. The goal was not to change rent obligations, but to address the timing gap created when paychecks and benefits were delayed while rent deadlines remained fixed. The program was designed for rapid deployment, with a dedicated enrollment pathway, direct coordination with property managers, and waived membership fees for eligible renters during the shutdown.
The shutdown became a real-world stress test for the rental system revealing how rigid payment structures collide with modern income volatility, and what financial resilience actually looks like when predictability disappears. These dynamics are explored in depth in the Flex Federal Employee & SNAP Relief Program report, which examines how renters and property managers experienced the shutdown firsthand.
For many renters, stress is not solely tied to how much rent costs. It stems from when rent is due relative to when income arrives, a rent timing mismatch that affects many working renters.
Paychecks were delayed. SNAP and WIC benefits became uncertain. Guidance from employers and agencies changed week to week. Meanwhile, rent deadlines and late-fee policies* largely stayed fixed. The result was a narrow window in which renters had to make fast, high-stakes decisions often without clarity about when their next payment would arrive.
Even renters who could normally afford their rent felt the pressure immediately. Without flexibility built into the system, timing gaps quickly turned into stress.
To better understand what renters experienced during the shutdown, Flex gathered insights from nearly 2,000 renters who enrolled in the Federal Employee & SNAP Relief Program.
The findings highlight how renters experienced the shutdown in practical, immediate ways. Across surveyed participants (self-reported):
These numbers point to something bigger than satisfaction. They highlight how quickly a timing disruption can cascade into fees, penalties, and housing risk, even when the underlying issue is short-term income interruption.
Faced with uncertainty, renters didn’t simply wait things out. They adjusted.
Some delayed other bills to keep rent current. Others focused on avoiding late fees or secondary penalties that could compound an already fragile situation. Many searched for ways to smooth cash flow just long enough to bridge the gap until income resumed.
That “bridge” mattered because timing shocks can trigger additional costs quickly, from late rent fees to overdraft charges when balances dip too low. Once a household starts falling behind, stress and risk can accelerate.
In survey responses, many participants reported using Flex specifically to avoid those compounding outcomes, like late fees (reported by 63%) and overdraft/NSF fees (reported by 27%). About half said Flex helped them avoid receiving an eviction notice or warning during the shutdown period.
For many renters, success during the shutdown meant staying steady and avoiding escalation during a short-term disruption, rather than getting ahead financially.
The shutdown also underscored a broader truth: financial resilience, especially during disruption, often looks more like containment than growth.
Many households operate with tight margins. When pay is delayed, there may be little room to absorb even a temporary gap, especially when a single fixed expense like rent must be paid all at once, on a fixed date, regardless of when income arrives.
In that context, resilience looks like staying current, avoiding penalties, and maintaining housing stability long enough for income to resume. The reported avoidance of late fees, overdraft charges, and other costs reflects the downstream harms renters work to avoid when timing breaks down.
While the federal shutdown was an extreme event, the conditions it exposed are not unusual. Income volatility is increasingly common, from hourly work and contract roles to gig income and benefits that arrive on fixed but inflexible schedules.
Rent systems, however, are still designed around a single due date. When income arrives later, or unpredictably, systems with little flexibility built into rent payments leave households with few options, even when total income is sufficient.
The shutdown brought an existing problem into sharper focus.
Timing mismatches can quickly cascade into late fees, overdraft charges, and eviction risk. Not because renters are mismanaging money, but because the system leaves little room for adjustment when income timing shifts.
The impact of the shutdown wasn’t limited to renters. Property managers were on the front lines as well, fielding questions, managing resident stress, and navigating uncertainty while rent deadlines stayed fixed.
During the shutdown, Flex surveyed 473 property management companies participating in the relief program. More than 90% reported actively communicating the program to residents, often through email, resident portals, or in-person conversations. For many teams, having a clear and consistent option to share mattered.
Property managers described the value of being able to offer something concrete when income timing broke down. Several noted that it helped reduce escalation, avoid penalties, and stabilize resident relationships during a volatile period.
The experience also shifted how property managers viewed rent timing tools more broadly. Before the shutdown, roughly 20% of surveyed PMCs viewed Flex as essential infrastructure. After participating in the relief program, that figure increased to 36%, with nearly 80% saying they would be open to participating in a similar program again.
Stability for residents, in this context, translated into stability for properties—highlighting how timing flexibility can support both sides of the rental system during periods of disruption.
The 2025 federal shutdown offered a clear lesson: when income timing breaks down, rigid rent systems can amplify stress quickly. Financial resilience, in these moments, isn’t about thriving but rather it’s about staying housed, avoiding penalties, and preventing short-term disruption from becoming long-term harm.
Timing matters more than we often acknowledge. And when systems are built to recognize that reality, they can offer stability when it’s needed most.
To explore the full findings, including insights from renters and property managers, read the Flex Federal Employee & SNAP Relief Program report.
Findings referenced in this article are drawn from the Flex Federal Employee and SNAP Relief Program: Supporting Renters During the 2025 Federal Shutdown, which analyzes self-reported survey data from renters and property managers who used Flex during the 2025 federal government shutdown.
*Be sure to check your property’s policies to avoid late fees, as fees may still be assessed at your property’s discretion. Flex doesn’t charge escalating late fees or default interest, but missed payments may limit your access and could be sent to collections. You remain responsible for all amounts owed under your lease and your Flex Rent line of credit as outlined in your agreement.
The post What the 2025 Government Shutdown Revealed About Rent Timing and Financial Resilience appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post How Rent Stress Affects Mental Health: What the Data Shows appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Rent payments are typically treated as a fixed financial obligation, but their emotional impact is rarely examined.
When rent timing doesn’t align with income timing, the resulting uncertainty can create sustained stress that affects how renters plan, make decisions, and carry financial pressure across their lives.
While conversations about rent stress often focus on affordability, far less attention is paid to how payment timing shapes mental health. Data from Flex’s Understanding Rent Timing Stress report helps illuminate this overlooked aspect of renting, revealing how structural misalignment, rather than individual behavior, contributes to recurring stress for millions of renters.
For many renters, stress is not solely tied to how much rent costs. It stems from when rent is due relative to when income arrives, a rent timing mismatch that affects many working renters.
That uncertainty compounds over time. Renters are forced into a posture of constant vigilance, closely monitoring balances, delaying decisions, and bracing for potential consequences before the month even begins.
As one renter shared:
“The rent goes up, but my paycheck doesn’t. I’m always behind before the month even starts.”
When income consistently arrives after rent is due, stress becomes predictable rather than episodic.
Over time, this structure turns rent into a recurring stress event, revealing the hidden costs of rent timing gaps that extend beyond late fees alone. The pressure is not limited to a single missed payment, it’s tied to the ongoing anticipation of whether the next month will unfold the same way. That kind of sustained uncertainty can weigh heavily on one’s mental health, shaping how renters think about finances, stability, and risk.
When rent is due before income arrives, renters are often pushed into difficult tradeoffs that extend beyond their budgets.
Without flexible rent options, renters reported they would likely:
These are not neutral financial decisions. Skipping groceries or utilities introduces fear and instability. Borrowing from loved ones can strain relationships and undermine independence. Late fees compound stress by making future months harder to manage.
Taken together, these tradeoffs create a cycle where financial pressure and emotional strain reinforce one another month after month.
Financial well-being is not determined by income alone. Predictability plays a critical role.
When renters can better align rent payments with income timing, their sense of control improves. Tools like Flex Rent, which splits rent into two smaller payments better aligned with pay schedules, are designed to reduce uncertainty without pushing renters toward high-cost credit or short-term fixes.
The report found that after using Flex Rent, 71% of renters felt confident handling unexpected expenses1. That confidence reflects more than manageable cash flow, pointing to reduced panic and greater emotional stability.
As one renter put it:
“I don’t panic when something unexpected comes up anymore; I know I’ve got a plan.”
It’s important to be clear about what flexible rent does and does not do.
Flex Rent is a rent payment solution designed to help renters manage timing volatility by allowing a single monthly rent payment to be split into two payments better aligned with their pay schedules. The property is paid in full and on time when the first payment is made, while renters gain more predictability in how they manage their largest recurring expense. These benefits of flexible rent payments can help reduce uncertainty without increasing financial risk.
Flex Rent does not reduce housing costs or resolve the broader affordability crisis. Instead, it functions as a stabilizing, low stress tool that helps renters avoid cascading financial stress caused by misaligned income and rent due dates. By reducing reliance on higher-cost financial products and minimizing risk of late fees and penalties, Flex Rent can create breathing room during periods of income volatility.
For many renters, that stabilization is temporary but meaningful. Data shows that many renters stop using Flex Rent once their financial situation improves, reinforcing its role as a short-term support rather than a permanent dependency.
Rent stress is often framed as a personal budgeting issue. The data suggests otherwise.
When systems fail to account for income timing, emotional strain becomes an unintended outcome. Stress and anxiety signal structural misalignment rather than signs of irresponsibility.
Rent is often the largest monthly expense and one of the least flexible. When rent is due before income arrives, renters face repeated uncertainty about meeting a non-negotiable obligation. That uncertainty can create ongoing stress, even when total monthly income is sufficient.
When income arrives after rent is due, renters often anticipate financial consequences before the month begins. This anticipation can lead to anxiety, difficulty planning, and constant monitoring of spending. Over time, this recurring stress can affect how renters feel about their financial stability and sense of control.
Unlike short-term credit products that finance new purchases or rely on borrowing structures, Flex Rent simply restructures an existing bill. Renters pay the same rent amount, split into scheduled payments. Flex Rent does not use compounding balances or late-fee models common in many credit-based products.
Flex Rent charges a recurring monthly membership fee of up to $14.99. In addition, a bill payment fee equal to 1% of each payment amount applies when rent is paid through Flex. If a renter chooses to pay using a credit card, an additional processing fee may apply.
All fees are disclosed during enrollment so renters can review the full cost before choosing to use the service. Terms and eligibility may vary. Visit https://getflex.com/rent to learn more.
The findings point to a clear conclusion: renters need systems that reflect real income patterns.
Stability doesn’t always come from earning more. Often, it comes from having more control over timing. By aligning rent payments with pay schedules, renters can reduce stress, avoid penalties, and manage their largest expense with greater confidence.
Flexible rent payments are not a cure-all. However, by addressing a critical timing gap, they offer a practical way to reduce unnecessary financial and emotional strain and to make rent more manageable month to month.
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]]>The post The Benefits of Flexible Rent Payments appeared first on Flex | Pay Rent On Your Own Schedule.
]]>For many renters, the hardest part of paying rent is not the cost itself. It is the timing. When income arrives weekly or biweekly but rent is due on a fixed date, renters often find themselves navigating a cash flow gap that is difficult to manage. In a recent survey of Flex renters, Understanding Rent Timing Stress report, only 48% of surveyed renters said they received income before their rent was due1. This means that more than half start the month already at a financial disadvantage.
Flexible rent payments offer a way to ease this pressure. Rent is still paid in full, but the cost is broken into smaller installments that line up with a renter’s pay schedule. While it is a simple change, the impact on daily life, stress levels, and financial confidence can be meaningful.
Traditional rent systems assume a predictable financial life. Rent is due on one day, in one payment, every month, but many renters do not live on that kind of financial cycle. Income often comes in waves, especially for hourly or variable-pay workers. When the first of the month arrives before paychecks do, the result is a timing mismatch that causes stress, juggling priorities, or the need to delay essential expenses.
Flexible payments can provide renters with a structure that mirrors the reality of how they are paid. Instead of saving for a large lump sum, renters can make smaller payments throughout the month that match the timing of their income. This adjustment often brings immediate relief and a more manageable budgeting rhythm.
Flexible rent payments allow renters to pay their rent amount in smaller scheduled installments throughout the month. This does not reduce the cost of rent, instead, it restructures when renters pay, not what they pay. By aligning rent with income, renters can manage their budgets in a way that feels more natural and sustainable.
Tools like Flex Rent follow this structure by sending the full rent to the property manager or landlord on the due date, while allowing renters to make smaller payments aligned with their pay schedule.
The days surrounding rent day are often the most stressful. When rent is broken into smaller installments, that stress can soften because the financial burden is no longer concentrated at the start of the month. Renters can plan ahead without the pressure of making one large withdrawal from their account.
The report shows that flexibility does more than ease the logistical burden. Renters who switched to Flex Rent reported feeling more in control of their finances and better equipped to anticipate upcoming obligations. This emotional lift is often one of the first benefits people notice.
Cash flow is one of the biggest challenges renters face. When rent consumes a large portion of income all at once, the rest of the month can feel like a scramble. Flexible rent payments allow renters to match payments to incoming paychecks, which strengthens day-to-day stability.
Late fees and overdraft charges can stem from timing issues rather than budgeting issues. When rent is due before income arrives, renters may find themselves choosing between holding off on other bills, cutting back on essentials, or turning to short-term stopgaps that come with added costs.
Consistent, steady payments create a more predictable financial life. Renters can track their budget, anticipate upcoming expenses, and plan for the month with greater clarity. This predictability is especially helpful for renters who have variable earnings or multiple income sources.
Once payments match income, many renters find it easier to maintain consistent budgeting habits. They are able to set routines, schedule bills with more confidence, and avoid the cycle of playing financial catch-up at the beginning of every month. When rent no longer disrupts the entire budget at once, the rest of the month begins to feel more stable and manageable.
When renters gain more breathing room and predictability, they often shift their attention to longer-term goals. This can include building an emergency fund, paying down debt, or preparing for major purchases. With less pressure around the rent due date, renters often feel better positioned to make decisions that support their long-term wellbeing and mental health.
The report shows that many renters begin to view their budgets differently once they adopt a flexible rent schedule. With reduced stress and more stable cash flow, the path toward long-term financial goals becomes clearer and more achievable.
Rent systems are designed around a monthly income model, but most renters do not live that way. Income varies, expenses shift throughout the month, and many households face unpredictable costs that disrupt even the most careful plans. Flexible rent payments help renters bridge the gap between a rigid system and real-world financial life.
This approach does not replace responsible budgeting. It supports it. By reducing pressure of high upfront rent costs and a manageable cash flow, flexible rent payments make room for healthier financial habits.
Flex Rent divides your monthly rent into two scheduled payments. Flex sends the full rent amount to your property manager on your rent due date, and you make your first payment to Flex at the beginning of the month and your second payment at a date of your choosing later in the month. This structure allows renters to avoid a single large payment and instead spread the cost across two predictable installments that are easier to manage.
Unlike short-term credit products that finance new purchases or rely on borrowing structures, Flex Rent simply restructures an existing bill. Renters pay the same total rent amount, split into scheduled installments. Flex Rent does not use compounding balances or late-fee models common in many credit-based products.
Flex Rent charges a recurring monthly membership fee of up to $14.99. In addition, a bill payment fee equal to 1% of each payment amount applies when rent is paid through Flex. If a renter chooses to pay using a credit card, an additional processing fee may apply.
All fees are disclosed during enrollment so renters can review the full cost before choosing to use the service. Terms and eligibility may vary. Visit https://getflex.com/rent to learn more.
Flexible rent payments give renters a practical way to experience these benefits in their everyday budgeting. By aligning rent with the timing of income, renters can plan with more confidence and avoid the pressure that comes from a single large payment at the start of the month. Flex Rent was designed to support that shift by offering smaller installments that follow a renter’s pay schedule. For many, this structure helps create steadier financial footing and makes it easier to stay current on rent.
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]]>The post The Hidden Cost of Rent Timing Gaps and How Renters Cope appeared first on Flex | Pay Rent On Your Own Schedule.
]]>When rent is due before income arrives, most renters are not thinking about “timing gaps.” They are focused on what they need to do in the moment to avoid being late. That pressure often leads to difficult decisions such as putting rent payments on a credit card, delaying other bills, borrowing from family, or using short-term financial tools to get through the week.
In Flex’s 2025 renter survey, 89% of users said they had worried about paying rent on time before using Flex Rent. Many described relying on stopgap options to bridge the gap. These choices may help renters manage the immediate timing mismatch, but they can also create financial and emotional strain.
This article looks at the coping strategies renters use when rent is due too early and the longer-term effects that can follow from relying on these short-term fixes.
Rent is one of the largest and least flexible bills many households face. When it comes due at the wrong time, one cannot simply wait for the next paycheck to arrive. To avoid being late, renters often resort to short-term fixes that help in the moment but create longer-lasting strain. What follows are the most common ways renters cope when timing gaps hit and the true costs that follow.
“I don’t take in a lot of savings after I get paid biweekly, so the first half of the month can be stressful. Flex makes it easier to pay off credit cards and debt because you are not constantly fluctuating between broke and then secure every couple of months.”
Relying on credit cards may prevent a late payment, but it can often lead to a cycle of compounding interest, rising balances, and increased stress. What starts as a one-time fix becomes a recurring part of the monthly budget.
“I used Klarna all the time just to float bills, but it always caught up with me. Flex doesn’t bury me like that.”
BNPL may feel manageable, but multiple installment plans can overlap, creating confusion and missed payments. Future paychecks become tied up before they arrive, leaving less room for essentials and emergencies.
In moments of desperation, high-cost financial tools become the last resort.
These products can bridge the gap, but often at a steep price. Interest and fees accumulate quickly, overdraft charges can multiply, and borrowers often end up repaying one advance by taking another. The result is a cycle that becomes harder to break each month.
Although each coping strategy looks different, the underlying costs often stack in similar ways.
Financially, renters face late fees, interest charges, overdraft penalties, and multiple payment schedules that drain their income long after the timing gap ends.
Emotionally, timing gaps lead to constant triage, anxiety around cashflow, and feelings of exhaustion or shame.
Over time, these patterns can negatively impact credit scores, reduce savings, and leave renters without the buffer they need to handle unexpected expenses. Even when renters are doing everything they can, the timing mismatch continues to pull them backward.
Renters consistently describe feeling more stable once they no longer need to rely on borrowing, credit cards, or fees to make rent work. After using Flex:
“For the first time in a long time, I actually have something in my savings account.”
These are self-reported outcomes, but the pattern is consistent. When rent becomes predictable, many of the costly behaviors tied to timing gaps begin to fade.
There is no single solution, but several steps can help make timing gaps more manageable:
Flexible rent payments can also help by aligning rent payments with income. Flex does not charge compounding interest or late fees and requires full repayment before reuse each month. It also reports positive payment history when payments are made, which can help renters build credit visibility.
Timing gaps are not a budgeting failure. They reflect a structural mismatch between due dates and pay cycles. When renters are forced to bridge those gaps with short-term tools, the hidden costs can take a heavy toll.
With the right support and more predictable rent timing, renters can move from crisis mode toward stability, planning, and financial control
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]]>The post Rent Due Before Payday? Why Timing Mismatches Cause Financial Strain appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Your rent is due on the 1st. Your paycheck doesn’t arrive until the 10th. That gap, common for millions of renters, is called a rent timing mismatch, and it creates financial strain even for people who earn enough over the course of the month.
Housing (which includes Rent, Mortgage, etc.) is the largest monthly expense for most Americans, and rent is often due on a fixed date that doesn’t reflect how renters actually get paid. Most workers receive income weekly, biweekly, or on variable schedules, which means their rent due date rarely lines up with their cashflow.
In a survey of 845 renters using Flex, 89% have worried at some point about making rent on time. More than half also reported that their first paycheck of the month arrives after rent is due, which shows that the strain is not about affordability alone but about timing. This article explains why rent timing mismatches happen, how they create financial strain, and what renters can do to regain stability.
A rent timing mismatch happens when a renter’s housing costs are due before their income arrives. For example, rent might be due on the 1st, but a paycheck doesn’t come until the 5th, 10th, or even later in the month.
Timing mismatches are most common for renters who are paid weekly, biweekly, or on variable schedules. When income is unpredictable or arrives after rent is due, even a short gap can create immediate cash flow pressure and make it harder to stay consistent month over month.
Rent timing mismatches are far more common than many renters or property managers realize. Flex’s data1 highlights the scale of the issue:
When income arrives days or even weeks after rent is due, renters face immediate cash flow pressure regardless of their overall earnings. These insights show that timing mismatches are a widespread, structural challenge that affects renters across income levels, work types, and locations.
When rent is due before payday, renters must bridge a gap causing an immediate impact.
This often leads to:
Even renters who earn enough over the course of the month can still struggle when the timing of their income and expenses doesn’t line up.
Because the cash flow gap occurs before paychecks arrive, renters often turn to high-cost, short-term solutions such as:
These may cover temporary gaps but they may add fees, interest, and create long-term financial strain.
While the immediate impact is the cash flow gap itself, the longer-term effect is the instability that follows. For renters with variable or hourly income, timing mismatches amplify financial volatility.
The combination of unpredictable income and rigid rent timing makes it difficult for renters to plan ahead, stay consistent, or build any form of financial cushion. This is the ripple effect of timing mismatches: instability that extends well beyond the initial gap.
The uncertainty that comes from not knowing whether income will align with rent can create ongoing strain, even when total monthly income is sufficient. This stress compounds over time, affecting renters’ confidence, decision-making, and overall sense of stability.
Most budgeting tools and advice assume predictable cash flow. But many renters:
Advice like “plan ahead” or “save earlier” does not address the core issue. This is a structural challenge based on timing, not a personal budgeting failure.
There are strategies renters can use to better manage cash flow, even if they cannot change their pay schedule.
Weekly or biweekly budgeting can help renters plan around when income actually arrives. This approach is especially helpful for hourly workers with fluctuating pay because it aligns spending and saving decisions to real cash flow patterns rather than a traditional monthly model.
Shorter cycles n also make it easier to anticipate and prepare for timing gaps when rent comes due early in the month.
Financial technology offers renters new ways to smooth cash flow by aligning major expenses with income. Flex Rent allows renters to split their rent payments into two during the month on a schedule that matches their paychecks. This helps renters manage timing gaps more effectively and avoid relying on high-cost forms of short-term solutions like payday loans.
Insights from renters using Flex1 show how meaningful timing alignment can be:
These results show how aligning expenses with income timing can reduce strain and create more predictable month-to-month financial routines.
Flex Rent helps renters match their rent payments to their income schedule. Instead of paying all of their rent on the 1st, renters can pay in a way that works for them.
This approach helps renters:
By improving payment timing, Flex helps renters create financial stability without needing to earn more or drastically change their budget.
A rent timing mismatch happens when your rent is due before your paycheck arrives. Even if you earn enough over the month, this gap can create immediate cash-flow pressure and make it harder to stay consistent with bills and savings.
Most rental agreements require rent to be paid on a fixed date, usually the 1st, regardless of how renters actually get paid. Since many people are paid weekly, biweekly, or on variable schedules, it’s common for income to arrive after rent is due, creating a timing mismatch.
You can try strategies such as budgeting weekly or biweekly, setting aside smaller amounts across paychecks, or using tools that allow more flexible rent payment schedules. Aligning your rent payment with when your income arrives can help reduce strain and create a more predictable monthly routine.
Rent timing mismatches are one of the most underestimated causes of financial strain. When rent is due before payday, renters face a cycle of gaps, fees, and financial pressure even when they have steady income.
Aligning rent payments with actual income gives renters a path to smoother cash flow, more consistent on-time payments, and greater financial control. Rent should not cause strain simply because its payment calendar does not reflect real life. Tools like Flex are helping renters close that gap.
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]]>The post LR Management appeared first on Flex | Pay Rent On Your Own Schedule.
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LR Management is enabling its residents to pay rent on time and in full, without a debt balance, through its partnership with Flex.
$2.5M+
record rent paid via Flex in October 2025
6.3%
higher net adoption rate of Flex compared to PMCs of similar size
Asset type
Multifamily Housing
PMS
Yardi
Locations
Southeast Michigan
“No vendor has been as successful as Flex. We want to see it everywhere.”
— Matthew DeVos, Chief Operations Officer, LR Management
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]]>The post Cardinal Group appeared first on Flex | Pay Rent On Your Own Schedule.
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With a portfolio primarily focused on student housing, Cardinal Group looked to Flex for a low-risk, high-reward rent payment solution that would benefit all of its residents.
~5-7 hrs
saved per month for staff
11.9%
MoM increase in resident adoption of Flex
Asset type
Student, Affordable, Multifamily Housing
PMS
Entrata, Yardi, RealPage
Locations
Across the U.S.
— Courtney Bagwell, Ancillary Revenue Manager, Cardinal Group Management
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]]>The post Berger Communities appeared first on Flex | Pay Rent On Your Own Schedule.
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Berger Communities partnered with Flex to support its residents with an alternative rent payment option to help them manage and maintain their finances without added stress.
1.4%
higher resident adoption rate of Flex than the average PMC of a similar size
2.5%
MoM increase in residents using Flex to pay their rent portfolio-wide
Asset type
Multifamily Housing
PMS
Entrata
Locations
PA, OH, DE, MD
“Flex has been my easiest implementation.
For me and my team, it’s very hands off, which is my favorite type of integration.”
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]]>The post Why Rent Stress Peaks Before Payday and What You Can Do About It appeared first on Flex | Pay Rent On Your Own Schedule.
]]>For millions of renters, the biggest source of rent-related stress isn’t how much they owe but rather when their payments are due. In Flex’s 2025 survey of 845 renters, 89% said they had at some point worried about having enough money to pay rent on time. If you’ve ever felt uneasy in the days leading up to rent being due, you’re not alone. Here’s why it happens and how to make it easier to manage.
Rent timing stress is the anxiety that comes from your rent being due at a time that doesn’t align with when you get paid. Even if you can afford your rent, paying a large bill on a specific day, usually the first of the month, can create pressure if your paycheck arrives days or even weeks after.
This mismatch can strain your budget, increase the risk of overdrafts and late fees, and force you to sacrifice essentials until your next deposit hits. It’s not about poor budgeting; it’s about the challenge of fitting fixed costs into irregular cash flow.
Stress tends to rise sharply in the days before rent is due, and the data helps explain why. Nearly 1 in 3 renters (31%) said their income does not arrive consistently, creating a spike in stress during the week leading up to rent day1. That stress can be particularly heightened for renters paid biweekly.
That timing gap creates emotional and financial strain. Even renters who can afford their payment often end up juggling bills, shifting spending, or relying on credit cards to bridge the window before their next paycheck arrives. More than 47% of surveyed renters said that they’ve delayed other expenses, like utilities or groceries, to make sure rent is paid on time.
Even if rent fits your budget, the due date can disrupt your entire bill cycle. When a paycheck arrives after rent is due, you’re forced to stretch every dollar just to stay caught up. The cycle of catching up and recalibrating can wear you down month after month.
Gaining more control over when rent leaves your account makes a meaningful difference. Renters who feel their payments better align with their income report stronger financial stability: 71% said they feel more confident handling unexpected expenses when they have more control over when rent is withdrawn, and 46% said they’ve been able to save more as a result1.
In other words, predictability, having rent align with your real-life cash flow, matters just as much as affordability.
If your rent is due before your paycheck arrives, here are a few ways to ease the pressure and build more predictability into your finances:
If your landlord or property management company offers flexible payments or partial payments, consider adjusting your rent timing to better align with your income. Even a small shift can reduce cash-flow anxiety.
Apps and tools that track income and bills can help you spot gaps before they cause stress. Seeing your full month laid out in advance builds confidence and reduces last-minute surprises.
Some platforms allow renters to align rent payments more closely with their pay schedule. With Flex Rent, you split your rent into two payments, paying a portion at the start of the month and the rest later. Flex pays your full rent directly to your property on time, and you repay Flex on the schedule that aligns with your income.
Flex Rent is designed to offer renters more control over when their payments are deducted from their accounts. By allowing users to split rent into two payments and choose a schedule that fits their income, Flex helps create a smoother monthly cash flow.
When rent aligns with your actual paycheck timing, you’re less likely to fall behind, face late fees, or feel overwhelmed leading up to the due date. It’s a simple way to build predictability into your month and reduce rent-related stress.
A more predictable rent schedule can make a real difference in your financial stability. If you’re looking for a way to smooth cash flow and reduce stress when rent is due, explore how Flex Rent can support a more balanced monthly routine.
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]]>The post Flex in affordable housing appeared first on Flex | Pay Rent On Your Own Schedule.
]]>How aligning rent with income reduces late fees, delinquencies, and eviction risk for low-income renters, while helping property managers improve on-time payments and stability.
31%
For renters living paycheck to paycheck, timing is not a convenience but a lifeline. Aligning the largest bill of the month with when income arrives can be the difference between stability and a cycle of fees, credit damage, and displacement.
Flexible rent is a responsible financial tool that complements long-term affordability and housing-supply solutions.
1. Recognize flexible rent as a stabilizing tool
Incorporate responsible flexible rent options within eviction-prevention and tenant-support programs.
2. Fund and evaluate pilots
Partner with public housing agencies, housing finance agencies, and nonprofits to test and measure impact.
3. Broaden access through subsidies
Establish reserves and philanthropic partnerships to reach renters who do not qualify for credit-based programs.
The complete methodology, survey instruments, benchmarks, and case studies.
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]]>The post Endeavor fosters long-term resident stability with resident-centric solutions appeared first on Flex | Pay Rent On Your Own Schedule.
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In just less than a year partnering with Flex, Endeavor Communities has seen strong resident adoption, improved business run rate and a measurable increase in receivables.
$878,999
in rent paid YTD (as of October 2025) across 5K+ units
~6x
the number of resident sign ups since launch less than a year ago
Asset type
Single Family, Manufactured Housing
PMS
RentManager
Locations
ID, NM, IL, TX, WI, MI, MO, IN, MN, VA, KY, ND, CO
“By nature, Endeavor is forward-thinking, and Flex allows us to put our residents first while maintaining the stability of our business. We were looking for a creative solution that aligned with our mission and values, and Flex made the most logical sense.”
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]]>The post Stop the domino effect: The rent timing mismatch that costs your portfolio money appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Gain control over financial instability. Correct the misalignment between pay cycles and rent due dates, reducing delinquency and saving your staff time.
— James S., Flex User
— James S., Flex User
The traditional rent model is built on outdated assumptions of stable, monthly salaries. Today, 89% of American workers are paid on a cadence other than once a month, yet rent is almost always due in full on the 1st.
This timing mismatch creates a critical liquidity gap that forces millions into forced trade-offs.
76% of renters face late fees (up to $250) if rent is not paid by the 3rd of the month.
In the absence of flexible payments, 47% of renters would delay other essential bills like utilities or groceries to cover rent.
62% of Flex users live paycheck to paycheck and 45% have less than $500 in emergency savings.
Stop managing delinquency, start stabilizing your portfolio. Download the full report to access the data and strategy you need now.
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]]>The post Flex partners with AppFolio to transform the rental payment experience appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The partnership offers a flexible payment option to improve the resident experience for AppFolio customers. Learn more here.
New York, October 8, 2025 — Flex, the leading flexible rent payment provider, and AppFolio, the technology leader powering the future of the real estate industry, are pleased to announce a partnership designed to transform the rental payment experience for residents nationwide.
Through this partnership, AppFolio customers gain seamless access to Flex’s innovative flexible rent payment option. This allows residents to split their monthly rent into smaller, more manageable payments directly from their online portal, while ensuring property managers receive the full rent payment when it’s due.
“Flex’s mission is to improve renters’ financial wellness by offering more flexible ways to pay rent,” said Shragie Lichtenstein, CEO of Flex. “Partnering with AppFolio allows us to seamlessly deliver this benefit directly within tenant portal workflows and fully integrate into the property ledger. Together we are creating a true win-win scenario: residents gain payment flexibility and property managers see improved on-time payments at no additional cost or effort.”
New findings from the AppFolio 2025 Renter Preferences Report highlight the demand for this offering, revealing that 69% of renters view flexible rent payment options as important when selecting their next home.
“Today’s renters seek financial empowerment and greater control over their monthly budget,” said Chris Womack, Chief Growth Officer at AppFolio. “By partnering with Flex, we’re enabling property managers to offer Flex’s popular payment option right within their online portal.”
Flex facilitates over $16 billion in on-time rent payments annually for thousands of property management companies in the U.S. By offering Flex as a flexible payment option to residents, property managers can increase on-time payments, boost resident retention and NOI, and give residents the financial flexibility that helps make paying rent easier and less stressful.
About Flex
Flex is a leading financial wellness company that allows residents to split their rent and build credit. Trusted by millions of residents and thousands of property management companies, Flex has processed $23 billion in on-time rent. By integrating seamlessly with major property management systems, Flex offers a simple solution that supports operational efficiency and creates a superior resident experience. Learn more at getflex.com/appfolio.
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]]>How fixed rent schedules drive financial strain and how renters are adapting.
“Flex is the reason I sleep at night.
I’m not stressing about rent, I’ve started saving, and I don’t have to skip bills just to get by.”
— Kendra J.
Most renters are paid weekly or biweekly. Yet rent is almost always due in full at the start of the month. This mismatch forces millions into a recurring cash flow crisis — even when their total monthly income is stable.
Our latest report, based on survey data and behavior from 845 Flex users, reveals how rigid rent schedules deepen financial stress and what happens when renters are given the option to pay in alignment with their income.
88% worried about making rent on time before using Flex
48% received income before rent was due
71% now feel more confident handling unexpected costs
85% say Flex is essential to staying current on rent
62% earn hourly wages
45% have less than $500 in emergency savings
58% are solely responsible for rent
1 in 3 are severely rent-burdened
Rent flexibility does not reduce housing costs or increase wages. But it helps renters align their biggest bill with how and when they’re paid. This simple shift can prevent a domino effect of missed payments, credit damage, and eviction.
For those living on the edge, timing isn’t a convenience — it’s the difference between falling behind and staying afloat.
Discover how rent timing shapes financial stress and what it will take to fix it.
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]]>The post Flex Move-in: Powering the next chapter in flexible living appeared first on Flex | Pay Rent On Your Own Schedule.
]]>When Flex launched Flex Rent in 2019, our mission was clear: give renters more breathing room and property managers more predictable cash flow. By letting residents split rent into smaller payments while helping properties receive on-time payments, we set a new standard for rent payments—one trusted by over 2,400 property management companies (PMCs) across more than 8 million units nationwide.
Today, Flex processes over $20B in rent payments and has supported more than 12M on-time payments. But rent is only part of the financial equation for renters and PMCs. The move-in process—often burdened by large upfront costs—remains one of the biggest barriers to leasing velocity, occupancy rates, and resident satisfaction.
That’s why we’re introducing Flex Move-in: the next step in charting a new path for how renters secure housing and how rent is paid—one that works better for residents and property managers alike.
We see an industry ready for a shift—away from rigid, outdated payment norms and toward a rental experience that’s more flexible, affordable, and sustainable. With Flex Move-in, we’re tackling the costly move-in process so properties can lease faster and residents can get into homes without the financial strain that’s become the norm.
Move-in costs can feel like a wall for renters. Nationwide, 91% of renters pay a security deposit, but only 42% get it fully returned. Add first (and sometimes last) month’s rent, plus fees, and the totals can be staggering: a 2023 StreetEasy study found the average upfront cost to lease a unit reached $10,454, up 29% from 2019.
For PMCs, those costs often slow leasing velocity, increase lease fall-off, and leave units sitting vacant longer—impacting NOI and portfolio performance.
How Flex Move-in Helps:
Qualified residents can split their full move-in costs (security deposit, first month’s rent, pet fees, and more) into 3- or 6-month installments. PMCs receive 100% of the move-in amount upfront via ACH, with no risk of reversal and no extra operational lift.
Benefits for property managers:
Benefits for residents:
See how Flex Move-in can help you reduce vacancy and improve leasing speed—Learn More
Every rental relationship is shaped by financial touchpoints—moments where money changes hands and both resident stability and property performance are on the line.
We started with the biggest recurring touchpoint in renting: monthly rent. By aligning payments with income, Flex Rent helped residents avoid strain while driving more consistent, on-time payments for PMCs.
Now, Flex Move-in addresses the other major touchpoint at the very start of the lease: move-in costs. Large, one-time expenses can delay leasing, drive fall-off, and keep units vacant longer. With Flex, residents can spread these costs over time while properties receive the full amount upfront.
The result:
The rental housing industry is under growing pressure. The national rental vacancy rate averaged 6.8% in 2024, with principal cities at 7.1%—the highest in seven years. The average time to fill a unit has grown from 25 days in 2022 to roughly 36 days today, costing properties more than $4,000 per vacant unit per year.
For residents, large upfront costs can delay move-ins or cause them to walk away entirely. Even after move-in, rigid payment schedules can create strain, leading to late rent, turnover, and instability.
Flexibility works. Properties offering flexible rent payments have experienced up to a 20% drop in vacancy losses and a 6% reduction in tenants with bad debt.* Residents pay on time more consistently, portfolios perform better, and relationships improve.
Flex Move-in applies the same model to the start of the rental journey—eliminating the upfront cost barrier while securing predictable revenue for PMCs and delivering a smoother, more equitable experience for residents.
From the first payment a resident makes to the monthly rent that follows, financial friction has long shaped the rental experience. At Flex, we believe it doesn’t have to.
Our mission is to create more breathing room in people’s lives while giving PMCs the stability they need to grow. With Flex Rent, we redefined how residents pay rent. With Flex Move-in, we’re transforming how they begin their tenancy.
These solutions are part of a broader shift in the rental housing industry—moving beyond rigid, outdated payment norms toward a model where flexibility and predictability work together to benefit everyone. By expanding from a single offering to a suite of connected solutions, we’re laying the groundwork for a new standard in financial wellness for renters and a more resilient, profitable rental housing ecosystem for property managers.
We see a future where flexibility is the norm, not the exception—and Flex Move-in is just the next step toward making that future a reality.
Start removing financial barriers at move-in. See how Flex Move-in can help you lease faster, reduce vacancy, and improve resident satisfaction—Learn More
*Source: Flex internal data, 2024–2025. Analysis based on over 36,000 units for vacancy losses and over 8,000 units for bad debt reduction. Results may vary and do not constitute a guarantee of future performance.
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]]>The post Supporting renters before crisis hits appeared first on Flex | Pay Rent On Your Own Schedule.
]]>A surprise car repair. Fewer hours at work after caring for a sick child. A utility bill that tipped the budget. For millions of Americans living paycheck to paycheck, that one unexpected expense is the tipping point. Suddenly, eviction is imminent.
Evictions are surging back to pre-pandemic highs, with more than 3 million filings expected this year when federal housing assistance is under threat.
Renters need effective relief, built with compassion, dignity, and flexibility in mind.
That’s why we launched Flex for Good, an eviction prevention program providing upstream, rapid intervention to prevent short-term financial shocks from becoming a family’s housing crisis.
Flex for Good steps in before eviction becomes a reality by providing one-time, unconditional grants—from $300 to $1,000 dollars—to cost-burdened renters facing a short-term financial shock. Rental assistance isn’t a new concept, but it’s never been this simple, precise, and fast.
Since January 2024, Flex for Good has provided $400,000+ in rent relief to more than 400 households.
For families living close to the edge, even small shocks—like a medical bill or missed shift—can create lasting disruption.
Eviction is more than a housing event. It’s a public health issue, an education issue, and a driver of long-term poverty.
Eviction is one of the leading causes of homelessness, especially for families and young adults.
Without intervention, eviction doesn’t just push people out of housing—it pushes them into cycles of economic insecurity, health risks, and social disconnection.
We tend to treat eviction as a personal issue. But it isn’t. It’s a community issue. A public health issue. An economic issue.
When we stop eviction, we don’t just save a lease—we save futures.
Flex for Good is built on trust. It’s built on the belief that people are doing the best they can—and when we remove red tape and meet them with grace, recovery is possible. How it works:
This takes a few hours, not weeks. There’s no onerous application. No confusing process. Just quiet dignity, delivered when it matters most.
We’re preparing to establish Flex for Good as a 501(c)(3) nonprofit so we can scale what’s working and deepen our impact across the country.
Here’s what’s ahead:
Interested in partnering? Join us to build systems that work better for renters.
Say hello: [email protected]
¹https://www.census.gov/newsroom/press-releases/2024/renter-households-cost-burdened-race.html?utm
³https://evictionlab.org/eviction-tracking/
⁴https://evictionlab.org/why-eviction-matters/#eviction-resources
⁶https://evictionlab.org/why-eviction-matters/
⁷https://evictionlab.org/eviction-and-educational-trajectories/
⁸https://naahq.org/sites/default/files/2025-02/Eviction%20Process%20Infographic%202025.pdf
⁹https://nlihc.org/resource/hud-study-examines-costs-associated-first-time-homelessness?utm
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]]>Why is rent still stuck in the past?
For decades, renters and property managers have been forced into a rigid system that no longer reflects today’s financial realities. One missed paycheck can set off a chain reaction—late fees, eviction risks, and long-term financial instability.
But it doesn’t have to be this way.
Flexible rent payments, rental assistance programs, and credit-building opportunities are reshaping the way renters and property managers approach housing stability.
The key takeaways from our discussions on flexible rent payments. Why the future of rent should focus on financial stability. How renters, property managers, and policymakers can drive change.
Millions of renters live paycheck to paycheck, making it difficult to pay rent in full on the first of the month.
Late fees, overdraft charges, and eviction costs push renters further into financial hardship.
3.6 million eviction cases are filed annually in the U.S., often due to temporary financial setbacks rather than long-term inability to pay.
Property managers face financial instability too, with high delinquency rates and costly turnovers when tenants struggle to pay.
For millions of renters, the first of the month isn’t just a date—it’s a source of anxiety. A single unexpected expense can mean the difference between keeping their home or facing eviction.
Clearly, the system isn’t working. But instead of waiting for it to collapse, innovative solutions are already reshaping how rent is paid.
Throughout this series, we’ve explored several innovative solutions that are changing how rent payments work:
Allows renters to split rent into smaller, scheduled payments Reduces late fees, overdraft charges, and eviction risks Helps property managers improve cash flow and reduce delinquencies
Gives renters financial credit for paying on time Helps improve credit scores without taking on new debt Increases renters’ access to better loan rates and housing opportunities
Provides emergency rental support for renters facing financial hardship Prevents unnecessary evictions and homelessness Helps property managers keep occupancy rates stable
Together, these solutions create a more financially secure and sustainable rental market.
To truly rethink rent, we need to embrace policy and industry shifts that support financial flexibility.
Advocate for flexible rent payment options in your community. Use rental assistance programs when needed—early intervention prevents eviction.
Look for rent payment providers that report on-time payments to credit bureaus to help build credit.
Adopt flexible rent payment models to improve on-time payments and reduce eviction rates.
Integrate rental assistance programs into your property management system to support tenants in crisis.
Use data-driven solutions to predict and prevent tenant delinquencies before they lead to evictions.
Expand support for rental assistance programs and eviction prevention initiatives.
Encourage credit bureaus to include rent payment history as a standard reporting factor. Partner with fintech solutions to create more inclusive, sustainable rental payment models.
The traditional rent system is outdated, but change is already happening.
Flexible rent payments, credit-building tools, and rental assistance programs are paving the way for a rental market that works for both tenants and property managers.
The question is:
Will we embrace these changes—or keep forcing renters into an outdated system that doesn’t work?
Get the Full Report
Breaking the Fee Cycle: How Flexible Rent Payments Improve Financial Stability and Housing Security
Sign up here 
https://getflex.com/newsletter to get updates from Flex—straight to your inbox!
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]]>The post How to get started with flexible rent payments appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Rent payments are evolving. No more scrambling to pay rent in full on the first of the month—flexible rent payments are making life easier for both renters and property managers.
But how do you actually get started?
If you’re a renter wondering how to take advantage of flexible rent payments—or a property manager considering offering this option—this guide walks you through everything you need to know.
How renters can enroll in flexible rent payments. How property managers can implement this system. What to look for in a flexible rent payment provider.
Some property managers already provide flexible rent payments as part of their leasing agreement. If you’re unsure, check with your leasing office or property management company.
If your property doesn’t currently offer it, you can request it! Many landlords are open to solutions that improve on-time payments.
If your landlord allows flexible payments, you’ll need to sign up with a rent payment platform that offers this feature.
Some platforms work directly with landlords, while others allow renters to enroll independently.
Once approved, you’ll typically have options like: 
Splitting rent into two payments per month Choosing a due date that matches your paycheck schedule Automating payments to avoid late fees
Some flexible rent payment providers report rent payments to credit bureaus—helping you boost your credit score over time.
Be consistent with payments to maximize financial benefits.
For property managers, flexible rent isn’t just a convenience—it’s a financial strategy.
For example, a property management company in Texas implemented flexible rent payments and saw a 20% decrease in late payments within six months—leading to fewer evictions and happier tenants.
Flexible rent payments help reduce delinquencies, improve tenant retention, and create more predictable cash flow.
Property managers offering flexible rent solutions have seen a 20% reduction in missed payments.
Look for a solution that: Integrates with your property management software Allows tenants to customize payment schedules Automates payments to ensure on-time rent collection
Announce the new payment option via emails, leasing office signage, and tenant portals. Provide clear instructions on how renters can enroll. Offering flexible rent payments can be a major competitive advantage in attracting and retaining tenants.
Track delinquencies, tenant satisfaction, and retention rates after implementing flexible rent. Many property managers see higher lease renewal rates when tenants feel financially secure.
Whether you’re a renter or a property manager, choosing the right platform is key.
Look for a Provider That Offers:
Flexible scheduling options – Ability to align rent with paychecks No hidden fees or predatory lending practices – Transparent pricing Automated payments – To reduce missed payments Credit-building benefits – Some platforms report payments to credit bureaus Strong security & compliance – Safe and encrypted transactions
By selecting a reliable provider, renters can gain financial flexibility, and property managers can ensure consistent, on-time rent collection.
For renters, flexible rent payments provide control over cash flow and help avoid unnecessary fees.
For property managers, this solution increases on-time rent payments, lowers eviction rates, and improves tenant retention.
Getting started is simple—and the financial benefits are significant for everyone involved.
Get the Full Report
Breaking the Fee Cycle: How Flexible Rent Payments Improve Financial Stability and Housing Security Sign up here https://getflex.com/newsletter to get updates from Flex—straight to your inbox!
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]]>The post The future of rent payments: flexibility as the new standard appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The way we work has changed. The way we get paid has changed. So why is rent still stuck in the past?
For millions of renters, rigid first-of-the-month rent deadlines create financial stress, late fees, and even eviction risks. But what if rent payments evolved to match the way people actually get paid?
How the rental payment model is evolving. Why renters and property managers are embracing flexible rent solutions. What the future of rent payments looks like.
The first-of-the-month rent deadline is a holdover from an era when most workers were paid monthly. But today, that’s no longer the case.
Over 50% of renters are paid biweekly or weekly, making it difficult to save enough for a full rent payment by the first. Rent costs have increased by 5.8% year-over-year, while wage growth has lagged behind.
$186 billion was paid in late fees on credit cards and bills in 2023, often by renters struggling to cover their full rent amount.
For many renters, it’s not that they don’t have the money—it’s that they don’t have it all at once.
Meanwhile, property managers face: 
Higher delinquencies due to tenants struggling to pay in full. Cash flow uncertainty when rent payments are delayed. Costly evictions when tenants fall behind.
Clearly, the way rent is structured isn’t working for today’s renters—or property managers. But the good news? The industry is already shifting toward a smarter, more flexible model.
Imagine This: A Smarter Rent Payment System Today’s system: A renter’s paycheck comes in every Friday, but their rent is due in full on the 1st of the month. They scramble to save, but an unexpected bill throws them off. They’re forced to pay rent late, incurring a $100 late fee and a $35 overdraft charge.
The future of rent: Instead of one lump-sum payment, rent is split into smaller, scheduled payments that align with their paychecks. No late fees. No overdraft charges. No stress.
They sit at their kitchen table, calculator in hand, trying to figure out how to stretch their paycheck. The numbers don’t add up. Their rent is due in two days, but an unexpected bill has thrown off their budget—again. The cycle repeats, month after month.
This is where flexible rent payments come in.
Rent flexibility is no longer just a concept—it’s becoming the new standard.
Renters are demanding more control over their payments. 92.3% of flexible rent users reported that it improved their financial stability. More property managers are adopting flexible rent solutions to reduce delinquencies. Industry trends show that digital and automated payment solutions are on the rise.
As the demand for financial flexibility grows, property managers who offer modern rent payment solutions will attract and retain more tenants.
The transition to flexible rent payments benefits both renters and property managers by creating a more predictable, financially stable system.
Avoid late fees and overdraft charges Match rent payments with paychecks Reduce eviction risks and financial stress
Lower delinquencies and eviction rates More predictable cash flow Higher tenant retention and satisfaction
This win-win model is why flexible rent payments are quickly becoming the future of rental payments.
As rent payment models evolve, we can expect to see:
More property managers adopting flexible rent solutions to improve payment consistency. Integration with credit reporting, allowing renters to build credit through on-time rent payments. A shift away from late fees as a revenue model, leading to a more financially stable rental industry.
In the next five years, flexible rent payments could become the norm—helping millions of renters and landlords move toward a more stable and predictable rental market.
The traditional rent model is outdated, but change is already happening.
Flexible rent payments represent the future—one that benefits renters, landlords, and the rental industry as a whole.
As more renters demand financial flexibility and property managers see the operational benefits, this shift will transform the way rent is paid—forever.
Get the Full Report
Breaking the Fee Cycle: How Flexible Rent Payments Improve Financial Stability and Housing Security Sign up here https://getflex.com/newsletter to get updates from Flex—straight to your inbox!
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]]>Think flexible rent payments are just another debt trap? Or that they encourage bad financial habits? Think again.
Flexible rent payments are gaining traction as a game-changer for renters and property managers alike. But as with any new financial solution, misconceptions and myths can create hesitation.
Some people worry that flexible rent payments encourage bad financial habits, while others think it’s just another form of debt. Property managers might wonder if it will disrupt their cash flow or increase delinquencies.
So, let’s set the record straight. In this post, we’ll debunk the most common myths about flexible rent payments and explain why this solution is a win-win for both renters and property managers.
Unlike credit cards or payday loans, Flex does not compound or defer interest. Instead, we allow renters to split their rent into smaller, more manageable payments for a small fee that align with their income.
No high-interest rates No revolving debt No compounding interest No late fees No loan stacking
For example, rather than struggling to pay a $1,500 rent bill all at once, a renter could pay $750 upfront and $750 later when their next paycheck arrives. They still pay the full rent amount—just on a schedule that works for them.
This myth assumes that if renters aren’t forced to pay rent all at once, they’ll waste their money elsewhere. But studies show the opposite:
76.8% of renters using flexible rent payments reported that it helped them better manage their finances and pay bills on time.
92.3% of users said it positively impacted their long-term financial health.
For renters living paycheck to paycheck, the first of the month can be a source of anxiety. A single unexpected expense—a car repair, a medical bill—can mean the difference between paying rent on time or racking up costly fees.
By aligning rent with income cycles, flexible rent payments help renters:
Avoid late fees and overdraft penalties.
Budget more effectively throughout the month.
Prevent falling behind on rent due to bad timing.
Financial flexibility isn’t about avoiding rent—it’s about making it more manageable.
Some property managers worry that allowing flexible rent schedules will lead to more delinquencies or financial uncertainty. But the data tells a different story:
Property managers offering flexible rent options see:
More on-time payments 
Lower eviction rates
Improved tenant retention
A 2024 property management study found that flexible rent payments reduced missed payments by 20%, helping landlords maintain more predictable cash flow.
Considering that the average eviction costs landlords $3,500–$10,000 in lost rent, legal fees, and turnover costs, flexible rent payments provide a much more sustainable solution to keep tenants current.
Instead of relying on late fees and evictions, property managers can keep good tenants while ensuring steady rental income.
Some renters and property managers worry that adjusting rent schedules will create unnecessary complexity. But modern flexible rent payment solutions are fully automated.
How It Works:
1⃣ The renter signs up and chooses a payment plan that aligns with their income.
2⃣ The system automatically schedules payments, ensuring landlords receive rent on time.
3⃣ No extra paperwork or manual tracking—everything is managed through an easy-to-use platform.
For property managers, it’s as simple as collecting rent the old way—just with fewer missed payments.
Some people assume that rent flexibility comes with high fees—but in reality, flexible rent payments help renters avoid even bigger costs like:
Late rent fees: $81–$162 per missed payment
Overdraft fees: $35 per occurrence
Credit card late fees: $30–$41 per bill
77.46% of renters using flexible rent payments reported that it saved them money.
Instead of paying hundreds in penalties, renters pay a small, transparent fee to keep their finances on track.
Flexible rent payments are a smarter way to pay rent that reflects how people actually earn money.
They reduce financial stress for renters.
They improve cash flow for property managers.
They prevent unnecessary late fees and evictions.
Get the Full Report
Breaking the Fee Cycle: How Flexible Rent Payments Improve Financial Stability and Housing Security Sign up here https://getflex.com/newsletter to get updates from Flex—straight to your inbox!
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]]>What if you could reduce late rent payments, lower eviction rates, and improve tenant retention—all while ensuring steady cash flow?
For property managers, rent collection is one of the biggest challenges of running a rental business. Late payments, delinquencies, and tenant turnover create financial instability, increase operational costs, and lead to costly evictions.
But the way rent is collected today is outdated—and it’s costing you money.
Why traditional rent payment structures lead to late payments.
How flexible rent solutions reduce delinquencies and evictions.
The financial and operational benefits for property managers.
Many renters don’t get paid on a monthly schedule, making it difficult to have the full rent amount available on the 1st of the month.
Over 50% of renters are paid biweekly or weekly, yet rent is still due in one large lump sum.
84% of landlords cite rent collection as their top concern, with late payments causing cash flow disruptions and operational headaches.
3.6 million eviction cases are filed annually in the U.S., costing property owners thousands in legal fees and lost rental income.
Inconsistent cash flow
Higher delinquency rates
Costly evictions and tenant turnover
Traditional rent payment structures don’t align with how renters actually earn money—causing problems for both tenants and property owners.
Imagine This: A Common Rent Collection Struggle Imagine a property manager overseeing 200 rental units. Each month, a significant percentage of tenants struggle to pay rent in full on the 1st.
Every month, the same cycle repeats. Dozens of tenants scramble to pull together rent, late payments pile up, and the property manager spends hours chasing overdue balances. Notices go out, tensions rise, and eventually, some cases lead to eviction—a costly and time-consuming process for everyone involved.
Unpredictable cash flow due to late rent payments.
More time spent chasing overdue rent and issuing notices.
Higher eviction rates, leading to costly vacancies and lost revenue.
With Flexible Rent Payments: Tenants can align rent payments with their pay schedules, reducing delinquencies.
Property managers receive steady, predictable cash flow.
Fewer eviction cases, leading to long-term tenant retention.
Instead of chasing payments, property managers can focus on running their business more efficiently.
This problem isn’t just frustrating—it’s expensive. But what if property managers could take a proactive approach to rent collection that keeps tenants on track and stabilizes cash flow?
A property management study found that flexible rent payments reduced missed payments by 20%.
When tenants can pay rent in smaller, scheduled installments, they’re less likely to fall behind.
Flexible rent payments create a steady flow of rental income instead of dealing with unpredictable bulk payments.
Less reliance on late fees means property managers get paid more reliably, without depending on penalties to recover lost revenue.
Evictions cost property managers thousands of dollars in legal fees, lost rent, and unit turnover costs.
By making rent more manageable, flexible payment options help tenants stay current, reducing the need for costly evictions.
Tenants who feel financially stable are more likely to renew leases.
Offering flexible rent payments makes properties more attractive to prospective tenants.
Many leading property management companies are already implementing flexible rent solutions to:
Reduce late payments and delinquencies Improve tenant retention and satisfaction Optimize cash flow and financial planning
As the rental market evolves, offering flexible rent payments will become a competitive advantage—helping property managers attract and retain reliable tenants.
The first-of-the-month rent deadline is outdated and doesn’t reflect how people earn and manage money today.
Flexible rent payments offer a smarter alternative—one that benefits both renters and property managers by reducing delinquencies, improving financial stability, and creating a better rental experience.
For property managers looking to stay ahead of the curve, improve cash flow, and lower eviction rates, flexible rent solutions are the future of rent collection.
Get the Full Report
Breaking the Fee Cycle: How Flexible Rent Payments Improve Financial Stability and Housing Security Sign up here https://getflex.com/newsletter to get updates from Flex—straight to your inbox!
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]]>The post Building credit while paying rent: A hidden opportunity appeared first on Flex | Pay Rent On Your Own Schedule.
]]>For many renters, paying rent is their biggest monthly expense—but unlike mortgage payments, it doesn’t typically help build credit.
This is a missed opportunity. On-time rent payments should count toward financial growth, but most landlords don’t report rent payments to credit bureaus. As a result, millions of responsible renters see no credit score benefits—even when they make rent a priority.
But that’s starting to change. Some flexible rent payment solutions now report on-time rent payments, helping renters improve their credit scores—without taking on new debt.
Why rent payments traditionally don’t build credit The power of rent reporting for renters How flexible rent solutions can help renters strengthen their credit history
Unlike mortgage payments, rent payments aren’t automatically reported to credit bureaus.
35% of a credit score is based on payment history—yet most renters get zero credit for on-time rent payments. Only 10% of landlords report rent payments to credit bureaus, leaving most renters without a way to build credit through rent. Credit invisibility: 26 million Americans have no credit history at all, and many more have low scores due to limited credit activity.
For renters looking to buy a home, lease a car, or access better loan terms, this lack of credit reporting is a major disadvantage.
Imagine This: How Rent Reporting Could Change a Renter’s Financial Future
Imagine Maria, a renter in Miami. She has always paid rent on time but has no credit card or loan history.
Without Rent Reporting: She applies for a car loan but gets rejected for having a thin credit file. When she finally gets approved, her interest rate is sky-high due to a low credit score. She’s stuck in a cycle where she can’t build credit without taking on debt.
Maria has worked hard, never missed a rent payment, and always assumed she was financially responsible. But when she applies for a car loan and gets rejected, she feels stuck. Why should she be penalized for something outside her control?
With Rent Reporting: Her on-time rent payments are reported to credit bureaus, boosting her credit score. When she applies for a car loan, she gets approved with a better interest rate. She builds a strong credit profile.
Flexible rent solutions that report payments to credit bureaus are helping renters like Maria gain financial leverage without taking on unnecessary debt.
Builds Credit History – Rent payments are often a renter’s largest recurring expense—reporting them helps establish or improve credit scores.
Increases Access to Loans & Better Interest Rates – A higher credit score means renters can qualify for lower interest rates on auto loans, credit cards, and mortgages.
No Need for Additional Debt – Unlike credit cards or personal loans, rent reporting doesn’t require borrowing money—it simply rewards renters for payments they’re already making.
A study by TransUnion found that renters who had rent payments reported saw their credit scores increase by an average of 60 points within six months.
But renters don’t have to wait for landlords to change their policies—some flexible rent solutions are already offering built-in credit reporting, making it easier than ever to turn rent into a financial advantage.
Each on-time rent payment is reported to the credit bureau TransUnion. Renters may improve their credit history over time with consistent payments. Renters can improve their financial future—without changing how they pay rent.
Instead of just paying rent and getting nothing in return, renters can now turn rent into a credit-building tool.
Rent shouldn’t just be an expense—it should be a stepping stone to financial stability.
Flexible rent solutions that offer credit reporting empower renters to build stronger credit scores, qualify for better financial opportunities, and improve their long-term stability.
And for landlords, offering rent reporting can attract reliable tenants who are motivated to pay on time, leading to lower delinquency rates and fewer missed payments.
For renters who have been locked out of traditional credit-building tools, rent reporting is a game-changer.
Get the Full Report Breaking the Fee Cycle: How Flexible Rent Payments Improve Financial Stability and Housing Security Sign up here https://getflex.com/newsletter to get updates from Flex—straight to your inbox!
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]]>The post Real stories: How flexible rent payments change lives appeared first on Flex | Pay Rent On Your Own Schedule.
]]>For many renters, the stress of paying rent on time isn’t about mismanagement—it’s about timing. Their paycheck schedule doesn’t align with the first-of-the-month rent deadline, forcing them into difficult financial decisions.
Do they:
Pay rent late and get hit with a fee? Overdraw their bank account and face NSF charges? Put rent on a credit card and rack up debt?
These aren’t just hypothetical questions. Millions of renters face them every month. But with flexible rent payments, tenants can pay rent on their schedule, avoiding late fees and financial penalties.
How rigid rent deadlines create financial instability. The real impact of flexible rent payments through renter stories. Why this system benefits both renters and property managers.
Imagine This: How Flexible Rent Payments Could Have HelpedTo see how flexible rent could change lives, let’s explore three real-world scenarios renters face every day.
Michael: The Warehouse Worker Facing a Car Repair CrisisMichael, a warehouse worker in Phoenix, relies on his car to get to work. One month, he faces a $400 car repair bill. Without his car, he can’t work—but paying for the repair leaves him short on rent.
The Result? A $100 late rent fee A $35 overdraft charge from his bank More debt from a payday loan with high interest
Michael lies awake at night, running numbers in his head. If he fixes his car, he can get to work—but how will he cover rent? Every option feels like a trap.
With Flexible Rent Payments:
He could have split his rent into two smaller payments. He could have avoided late fees and overdrafts. He wouldn’t have needed a high-interest loan.
Instead of being penalized for bad timing, he could have stayed on track financially.
Sarah: The Childcare Worker Whose Hours Were CutSarah, a childcare worker in Atlanta, always pays her rent on time—until a flu outbreak at her daycare cuts her hours. Suddenly, she’s short on cash and can’t cover her full $1,500 rent payment.
The Result? A $180 late fee added to her balance A missed credit card payment, leading to a $30 penalty More stress and financial strain for the rest of the month
Sarah fights back tears as she opens her bills. She’s never missed rent before, but this month, she doesn’t have a choice. One bad month shouldn’t derail her finances—but it is.
With Flexible Rent Payments:
She could have paid part of her rent upfront and covered the rest after her next paycheck. She could have avoided late fees and unnecessary penalties. She would have had financial breathing room instead of mounting debt.
Chris: The Gig Worker with an Unpredictable PaycheckChris, a freelance graphic designer, doesn’t get paid on a fixed schedule. Some months, he gets paid early. Other months, clients delay payments, making it hard to predict exactly when he’ll have enough for rent.
The Result? Some months, he pays rent early—leaving him short on cash for other bills. Other months, he pays late—racking up fees and damaging his credit. His finances feel like a constant juggling act.
Chris refreshes his bank account, hoping an overdue payment has cleared. It hasn’t. Rent is due in two days, and he has no idea if he’ll have enough to cover it.
With Flexible Rent Payments:
He could adjust his rent schedule based on his incoming payments. He wouldn’t have to sacrifice other bills or take on debt. He would have more control over his financial stability.
Flexible rent payments don’t just help renters—they also improve financial outcomes for landlords and property managers.
Fewer missed payments – Tenants are less likely to fall behind on rent. More predictable cash flow – Property managers receive steady, scheduled payments. Lower eviction rates – When renters stay on track, property managers avoid costly turnovers. Higher tenant retention – Renters who feel financially secure are more likely to renew leases.
Evictions aren’t just stressful for renters—they cost landlords thousands in legal fees, lost rent, and turnover expenses.
One study found that property managers who offer flexible rent options see fewer delinquencies and higher tenant satisfaction. It’s a win-win for everyone.
For years, renters have been trapped in an all-or-nothing rent system that punishes them for temporary financial setbacks.
Flexible rent payments offer a smarter, more sustainable alternative—one that gives renters more control and reduces financial stress.
It’s time to modernize rent payments to match how people actually get paid. Breaking the Fee Cycle: How Flexible Rent Payments Improve Financial Stability and Housing Security
Sign up here https://getflex.com/newsletter to get updates from Flex—straight to your inbox!
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]]>The post Rethinking rent from first principles: Why monthly payments are outdated appeared first on Flex | Pay Rent On Your Own Schedule.
]]>For decades, rent payments have been structured as a lump sum due on the first of the month—but why? The modern workforce no longer follows a fixed monthly income cycle, yet rent collection remains stuck in the past. This misalignment creates financial stress for renters, cash flow challenges for property managers, and an inefficient rental market that penalizes temporary liquidity issues with compounding fees and evictions.
By applying first principles thinking, we can break down why the traditional rent model exists, why it fails modern renters and landlords, and how flexible rent payments create a better system for everyone.
The historical origins of monthly rent payments
Why the current system creates unnecessary financial hardship
How technology enables a more rational rent model
What an optimal, first-principles approach to rent should look like
The concept of paying rent in full on the first of the month is not based on financial optimization—it is a historical artifact rooted in administrative convenience:
Pre-Industrial Societies: Rent payments were often tied to agricultural cycles, where landowners collected rent after harvests.
Industrial Revolution: As urbanization grew, landlords adopted a monthly billing cycle to standardize payments for tenants working fixed-wage factory jobs.
20th Century Banking: Monthly rent collection became standard because landlords and banks managed payments manually, making a single, predictable due date easier to process.
While this structure made sense before digital transactions and variable income streams, it is now an outdated relic that no longer aligns with how people earn and manage money.
The problem with requiring a single, full rent payment on the first of each month is that it doesn’t reflect how people get paid:
Over 50% of renters are paid biweekly or weekly, making it difficult to accumulate the full rent amount by the first of the month.
Wages haven’t kept pace with rent increases, making it harder for tenants to set aside a lump sum for rent while managing other expenses.
Renters often resort to credit cards, payday loans, or overdrafts just to make rent on time, leading to costly fees and cycles of debt.
This mismatch leads to a predictable chain reaction:
Liquidity Mismatch: Renters have the money, but not all at once.
Compounding Penalties: A single late payment triggers fees, increasing financial strain.
Eviction Risks: If renters fall too far behind, eviction becomes inevitable, creating long-term housing instability.
Instead of helping renters stay housed and pay rent on time, the current system punishes them for earning money on a different schedule than landlords expect.
Historically, landlords collected rent in a single payment because manual accounting and banking systems made flexible payments too complex. Today, technology eliminates these barriers:
Automated Payment Processing: Digital platforms allow tenants to schedule rent payments based on their income cycle instead of a fixed calendar date.
Predictive Analytics: AI and machine learning can predict payment risks and offer renters proactive solutions before they fall behind.
Integrated Property Management Software: Landlords can receive steady, scheduled rent payments, reducing delinquencies and evictions.
With these advances, there is no practical reason why rent must be collected in a single lump sum. A more rational system would allow flexibility and automation to ensure both tenants and property managers benefit.
By stripping rent collection down to its fundamental components and rebuilding it from first principles, we arrive at a model that better serves both renters and property managers:
1⃣ Rent should be paid on a schedule that matches tenants’ income flow.
2⃣ Late fees should be minimized or eliminated through smarter payment structures.
3⃣ Property managers should receive consistent, predictable cash flow.
This model is not only financially smarter, but it also fosters tenant stability, reduces eviction risks, and enhances landlord profitability.
The monthly lump-sum rent payment is an outdated artifact that no longer reflects the financial realities of today’s workforce. By applying first principles thinking, we see that the ideal rent model:
Aligns rent payments with income schedules
Eliminates unnecessary fees and eviction risks
Provides steady, predictable cash flow for landlords
The future of rent payments is flexible, automated, and designed to work for both tenants and property managers—not against them.
Get the Full Report
Breaking the Fee Cycle: How Flexible Rent Payments Improve Financial Stability and Housing Security Sign up here https://getflex.com/newsletter to get updates from Flex—straight to your inbox!
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]]>The post How flexible rent payments break the cycle of fees and debt appeared first on Flex | Pay Rent On Your Own Schedule.
]]>For millions of renters, paying rent in full on the first of the month isn’t just difficult—it’s financially disruptive. Many Americans get paid biweekly, weekly, or on irregular schedules, making it nearly impossible to align their biggest expense with their actual cash flow.
The result? Late fees, overdraft charges, and growing debt—all of which make it even harder to keep up with rent in the future. This cycle traps renters in financial instability instead of helping them build security.
But what if rent payments could work differently?
How rigid rent deadlines create financial hardship The benefits of flexible rent payments How aligning rent with paychecks helps renters avoid penalties Why property managers also benefit from flexibility
The current rent system was designed for a time when most workers got paid once a month—but that’s no longer the case.
Over 50% of renters are paid biweekly or weekly, making it difficult to accumulate the full rent amount by the first of the month. More than 23% of renters are severely rent-burdened, spending over half of their income on housing. $186 billion was paid in late fees on credit cards and bills in 2023—often by renters forced to use credit to cover shortfalls.
When rent is due before a renter has enough money in their account, they’re forced into impossible choices:
Pay late and incur fees. Overdraw their bank account and get hit with a $35 overdraft fee. Charge rent to a credit card and take on high-interest debt.
Instead of helping renters stay current, the system punishes short-term financial gaps with long-term consequences.
Imagine This: A Common Struggle for RentersTo see how this plays out in real life, let’s look at an all-too-common scenario.
Imagine a server in Dallas who earns her income through weekly tips and wages. She works hard, but her income fluctuates, and she doesn’t always have enough saved up by the first of the month to cover her full rent payment.
Her options?
Wait until her next paycheck and get hit with a $150 late rent fee Use a payday loan with a 300% APR Put rent on a credit card and risk late fees on other bills
She ends up paying an extra $200+ in fees—all because her income schedule doesn’t align with her rent due date.
She dreads the first of the month, knowing she’ll have to make an impossible choice. The stress of juggling bills keeps her up at night, and each month, she falls further behind.
This isn’t just her story—it’s a reality for millions of renters across the country.
If the problem is misaligned rent deadlines, the solution is simple: Let renters pay on a schedule that works for them.
Flexible rent payments allow tenants to split their rent into smaller, more manageable payments that match their income.
Avoid late fees by paying rent in increments that fit their cash flow. Reduce overdraft charges by preventing large, lump-sum withdrawals. Prevent eviction risks by making rent payments more predictable. Support credit-building if payments are reported to credit bureaus.
Instead of forcing renters into an all-or-nothing deadline, flexible rent payments let them stay on track without unnecessary penalties.
Flexible rent payments aren’t just good for renters—they’re also a win for landlords and property managers.
More on-time payments – When renters can pay in smaller installments, they’re less likely to fall behind. Lower eviction rates – Fewer missed payments mean fewer costly evictions and lower turnover. More predictable cash flow – Property managers get steady, scheduled payments rather than dealing with unpredictable delinquencies.
Evictions are costly for landlords too—between legal fees, lost rent, and turnover costs, a single eviction can cost thousands.
One property management study found that landlords offering flexible rent options saw:
20% fewer missed payments Higher tenant satisfaction and retention
By making rent more manageable for tenants, property managers can reduce financial risk and keep occupancy rates high.
The traditional rent system isn’t designed for today’s workers, and it’s forcing millions of renters into unnecessary financial hardship.
By adopting flexible rent payments, we can:
Reduce late fees and overdraft penalties Prevent eviction and housing insecurity Create a better system for both renters and landlords
It’s time for a modern rent payment solution that works with people—not against them.
Get the Full Report
For a deeper dive into how flexible rent payments improve financial stability, check out our full white paper:
Breaking the Fee Cycle: How Flexible Rent Payments Improve Financial Stability and Housing Security Sign up here https://getflex.com/newsletter to get updates from Flex—straight to your inbox!
The post How flexible rent payments break the cycle of fees and debt appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post The financial struggles of renters: Why the current system is broken appeared first on Flex | Pay Rent On Your Own Schedule.
]]>For millions of Americans, rent isn’t just a monthly expense—it’s a constant source of financial stress. With 65% of U.S. households living paycheck to paycheck, even a minor setback—a delayed paycheck, a medical bill, or a car repair—can derail a renter’s entire budget.
Yet, instead of accommodating financial unpredictability, the rent system demands full payment on the first of the month, regardless of when a renter gets paid or what unexpected expenses arise. When renters can’t pay on time, late fees, overdraft charges, and financial penalties stack up, making recovery even harder.
This system isn’t just outdated—it actively undermines renters’ financial stability. In this post, we’ll explore:
Why renters struggle under today’s rent payment system The hidden costs of late rent payments, including fees, penalties, and eviction risks How flexible rent payments could help break the cycle of financial instability
For many renters, financial stability isn’t about thriving—it’s about surviving. And when rent consumes a significant portion of their income, even minor disruptions can be financially devastating.
65% of Americans live paycheck to paycheck, leaving little room for unexpected expenses. 47% of renters spend over 30% of their income on housing, while 23% are severely burdened, paying more than 50% to keep a roof over their heads. National rent prices have increased by 5.8% year-over-year, while wages have failed to keep pace, further straining household budgets.
With such tight margins, one unexpected expense can send renters into financial distress.
For renters who can’t pay in full by the first of the month, the consequences are immediate—and costly.
Late Rent Fees – Many landlords charge 5-10% of monthly rent for late payments. For a one-bedroom apartment averaging $1,617, that’s an additional $81 to $162 per missed payment. In the past year, 23% of renters incurred a late fee, with 1 in 5 paying five or more. Overdraft & NSF Fees – Renters who try to pay without sufficient funds may face $35 overdraft fees. In 2023, U.S. consumers paid $5.83 billion in overdraft fees, disproportionately impacting those already struggling. Late Payment Fees on Credit Cards & Bills – Some renters turn to credit cards or payday loans, leading to even more debt. In 2023, Americans paid $186 billion in late fees on credit cards and utility bills, exacerbating financial strain.
Each penalty deepens the cycle—the more a renter struggles, the more they pay in fees, making it harder to catch up.
A Common Struggle for RentersImagine a warehouse worker in Phoenix who relies on his car to get to work. One month, he faces a $400 car repair bill. Without his car, he can’t work—but paying for the repair means he can’t cover rent in full.
A late rent fee of $100 An overdraft charge of $35 High-interest credit card debt to cover the shortfall
This isn’t just a hypothetical scenario—it’s a reality for millions of renters. A single unexpected expense can snowball into months of hardship, making financial recovery nearly impossible.
Instead of offering solutions, the current system punishes financial unpredictability—even when renters have the income to pay.
For those who fall behind, the consequences extend far beyond late fees—they risk losing their homes entirely.
3.6 million eviction cases are filed annually in the U.S., disproportionately affecting low-income renters. Eviction filings surged by 50% in some major cities in 2023, compared to pre-pandemic levels. The cost of an eviction—including legal fees, lost wages, and moving expenses—can exceed several months’ rent.
For renters already on the financial edge, eviction isn’t just a temporary setback—it’s a long-term barrier to housing security. A single eviction can:
Destroy credit scores, making it harder to rent in the future. Force families into homelessness—70% of families experiencing homelessness are headed by single mothers. Create lasting financial hardship, as many landlords refuse to rent to tenants with eviction records (which can stay on reports for up to seven years).
This isn’t just a renter problem—it’s a systemic failure that affects entire communities.
If rigid rent deadlines and excessive penalties are the problem, what’s the solution? Flexible rent payments.
Instead of requiring a lump-sum payment on the first of the month, flexible rent models allow renters to align payments with their pay schedules—helping them avoid penalties and manage their budget more effectively.
How Flexible Rent Payments Help: Avoid late fees and overdrafts by offering payment flexibility Reduce eviction risks by allowing renters to split payments throughout the month Improve financial stability by giving renters more control over their cash flow Support credit-building by reporting on-time payments to credit bureaus
This approach doesn’t mean renters pay less—it simply means they pay in a way that works for them.
For decades, renters have been stuck in a rigid, outdated system that doesn’t reflect the reality of modern work and pay cycles. The result? Millions of people struggling to keep up—punished for circumstances beyond their control.
Flexible rent payments represent a common-sense solution—one that empowers renters, reduces stress, and ultimately makes housing more stable for everyone.
Get the Full Report
For a deeper dive into the data and solutions that can reshape the rental market, check out our full white paper:
Breaking the Fee Cycle: How Flexible Rent Payments Improve Financial Stability and Housing Security Sign up here https://getflex.com/newsletter to get updates from Flex—straight to your inbox!
The post The financial struggles of renters: Why the current system is broken appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post Evictions and homelessness: the ripple effect of housing instability appeared first on Flex | Pay Rent On Your Own Schedule.
]]>For millions of renters, a single missed rent payment doesn’t just lead to late fees—it can trigger a downward spiral that ends in eviction, financial ruin, and even homelessness.
With 3.6 million eviction cases filed annually in the U.S., the crisis is growing, especially in cities where rents have surged. And once a tenant is evicted, recovering is incredibly difficult. An eviction can stay on a renter’s record for up to seven years, making it nearly impossible to secure housing again.
The eviction crisis in America—who is affected and why The long-term financial consequences of eviction The connection between eviction and homelessness How flexible rent payments can help prevent housing instability
Eviction isn’t just a legal process—it’s a financial and emotional disaster for renters and their families.
In 2023, eviction filings were 50% higher in some major cities than pre-pandemic levels. 3.6 million eviction cases are filed every year in the U.S. The cost of an eviction—including legal fees, lost wages, moving expenses, and security deposits—can exceed several months’ rent.
Many states allow landlords to evict renters in as little as two weeks after a missed payment.
While eviction affects all income groups, it disproportionately impacts:
Single-parent households Low-income workers Gig workers and those with irregular pay schedules
For many, eviction isn’t just about rent—it’s about a system that punishes short-term financial hardship.
Imagine This: A Common Struggle for RentersTo understand how eviction plays out in real life, let’s look at a common scenario.
Imagine a single father in Chicago. He’s been a reliable tenant for years, but after missing one paycheck due to a job transition, he falls $600 short on rent.
His options?
Take out a payday loan with 300% interest Delay other bills and rack up late fees Hope his landlord gives him time to catch up
Instead, his landlord files for eviction.
Within three weeks, he’s forced out of his apartment. As he scrambles to find a solution, stress and anxiety consume him. He stays up at night searching for emergency loans, knowing each option comes with its own risks.
Now, he faces:
A permanent eviction record, making it harder to rent again Lost wages from missing work to attend court hearings Debt from legal fees, moving expenses, and storage costs
This isn’t just his story—it’s the common reality for millions of renters across the country.
Once a renter is evicted, securing stable housing again becomes incredibly difficult. Many landlords require background checks, and an eviction record is often an automatic rejection.
70% of families experiencing homelessness are headed by single mothers—many of whom were evicted from rental housing.
Evictions are not just a symptom of poverty—they are a cause. Studies show that eviction increases the likelihood of:
Job loss (due to missing work for court dates or moving) Worsened mental and physical health Generational cycles of instability
In some states, an eviction stays on a renter’s record for up to seven years, making it nearly impossible to secure stable housing again.
For low-income renters, one financial setback can lead to years of housing insecurity.
If missing rent leads to eviction, what if rent payments were more flexible?
Flexible rent payments allow tenants to split their rent into smaller, more manageable payments that align with their paychecks.
Reduces eviction risk by making it easier to stay current on rent. Avoids late fees that push renters further behind. Gives renters breathing room to recover from financial shocks. Helps landlords maintain stable occupancy by reducing tenant turnover.
This isn’t about paying less—it’s about giving renters the flexibility they need to stay in their homes.
And for landlords, eviction isn’t ideal either—vacancies cost money. Flexible rent payments can help them maintain steady occupancy and reduce tenant turnover.
Eviction isn’t just a personal crisis—it’s a housing market failure. The current rent payment system forces tenants into all-or-nothing rent deadlines, which don’t reflect the financial realities of modern workers.
Flexible rent payments offer a simple but powerful solution—one that helps renters avoid eviction, maintain financial stability, and break the cycle of housing insecurity.
Get the Full Report
For a deeper dive into the eviction crisis and how flexible rent payments can help, check out our full white paper:
Breaking the Fee Cycle: How Flexible Rent Payments Improve Financial Stability and Housing Security
Sign up here https://getflex.com/newsletter to get updates from Flex—straight to your inbox!
The post Evictions and homelessness: the ripple effect of housing instability appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post The hidden costs of late rent payments: fees, debt, and evictions appeared first on Flex | Pay Rent On Your Own Schedule.
]]>For millions of renters, a single missed rent payment doesn’t just lead to late fees—it can trigger a downward spiral that ends in eviction, financial ruin, and even homelessness.
With 3.6 million eviction cases filed annually in the U.S., the crisis is growing, especially in cities where rents have surged. And once a tenant is evicted, recovering is incredibly difficult. An eviction can stay on a renter’s record for up to seven years, making it nearly impossible to secure housing again.
The eviction crisis in America—who is affected and why.
The long-term financial consequences of eviction.
The connection between eviction and homelessness.
How flexible rent payments can help prevent housing instability.
Eviction isn’t just a legal process—it’s a financial and emotional disaster for renters and their families.
In 2023, eviction filings were 50% higher in some major cities than pre-pandemic levels.
3.6 million eviction cases are filed every year in the U.S.
The cost of an eviction—including legal fees, lost wages, moving expenses, and security deposits—can exceed several months’ rent.
Many states allow landlords to evict renters in as little as two weeks after a missed payment.
While eviction affects all income groups, it disproportionately impacts:
Single-parent households
Low-income workers
Gig workers and those with irregular pay schedules
For many, eviction isn’t just about rent—it’s about a system that punishes short-term financial hardship.
Imagine This: A Common Struggle for RentersTo understand how eviction plays out in real life, let’s look at a common scenario.
Imagine a single father in Chicago. He’s been a reliable tenant for years, but after missing one paycheck due to a job transition, he falls $600 short on rent.
Take out a payday loan with 300% interest.
Delay other bills and rack up late fees.
Hope his landlord gives him time to catch up.
Instead, his landlord files for eviction.
Within three weeks, he’s forced out of his apartment. As he scrambles to find a solution, stress and anxiety consume him. He stays up at night searching for emergency loans, knowing each option comes with its own risks.
Now, he faces:
A permanent eviction record, making it harder to rent again.
Lost wages from missing work to attend court hearings.
Debt from legal fees, moving expenses, and storage costs.
This isn’t just his story—it’s the common reality for millions of renters across the country.
Once a renter is evicted, securing stable housing again becomes incredibly difficult. Many landlords require background checks, and an eviction record is often an automatic rejection.
70% of families experiencing homelessness are headed by single mothers—many of whom were evicted from rental housing.
Evictions are not just a symptom of poverty—they are a cause. Studies show that eviction increases the likelihood of:
Job loss (due to missing work for court dates or moving)
Worsened mental and physical health
Generational cycles of instability
In some states, an eviction stays on a renter’s record for up to seven years, making it nearly impossible to secure stable housing again.
For low-income renters, one financial setback can lead to years of housing insecurity.
If missing rent leads to eviction, what if rent payments were more flexible?
Flexible rent payments allow tenants to split their rent into smaller, more manageable payments that align with their paychecks.
Reduces eviction risk by making it easier to stay current on rent.
Helps avoid late fees that push renters further behind.
Gives renters breathing room to recover from financial shocks.
Helps landlords maintain stable occupancy by reducing tenant turnover.
This isn’t about paying less—it’s about giving renters the flexibility they need to stay in their homes.
And for property managers, eviction isn’t ideal either—vacancies cost money. Flexible rent payments can help them maintain steady occupancy and reduce tenant turnover.
Eviction isn’t just a personal crisis—it’s a housing market failure. The current rent payment system forces tenants into all-or-nothing rent deadlines, which don’t reflect the financial realities of modern workers.
Flexible rent payments offer a simple but powerful solution—one that helps renters avoid eviction, maintain financial stability, and break the cycle of housing insecurity.
Get the Full Report
For a deeper dive into the eviction crisis and how flexible rent payments can help, check out our full white paper:
Breaking the Fee Cycle: How Flexible Rent Payments Improve Financial Stability and Housing Security
Sign up here https://getflex.com/newsletter to get updates from Flex—straight to your inbox!
The post The hidden costs of late rent payments: fees, debt, and evictions appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post New research reveals Flex helps 92% of renters avoid fees & 82% reduce eviction risk appeared first on Flex | Pay Rent On Your Own Schedule.
]]>New York City, NY – February 24, 2025 – A new 2025 Flex Financial Well-Being Survey reveals that flexible rent payments significantly improve renters’ financial stability:
92% avoid late fees and penalties
82% report a reduced risk of eviction
85% saved money in the past year
90% improved housing stability
With 65% of Americans living paycheck to paycheck, Flex offers a critical financial lifeline, helping renters stay on track while ensuring property managers receive consistent payments.
“Having Flex as a payment method has literally changed my quality of life. I can budget better, get my rent paid on time, and significantly reduce my financial stress.” – Flex Member
Each year, Americans pay $186 billion in late fees and penalties, often due to misaligned rent due dates rather than an inability to pay. Flex’s model allows renters to split rent into smaller, more manageable payments that align with their income cycles—reducing financial stress and preventing evictions.
“Our research shows that when renters have the flexibility, safeguards, and transparency they need, they’re able to stay on track, avoid financial penalties, and remain in their homes. At Flex, we’re committed to transforming the rental experience so that rent works for people, not against them.” said Ryan Metcalf, VP of Public Affairs at Flex.
Read the Full White Paper: getflex.com/properties/resources/breaking-the-fee-cycle
Sign up for updates: getflex.com/newsletter
Flex is a financial services company transforming the rental experience by providing innovative solutions for renters. Flex enables online rent payments, rent splitting, direct rental assistance and credit building, simplifying the management of rent and improving financial health. Trusted by over 2,000 property management companies and available in more than eight million units nationwide, Flex has facilitated $14.8 billion in on-time rent payments for over 1.4 million renters. Learn more about Flex at www.getflex.com.
Flex line of credit issued by Lead Bank. Visit getflex.com for more info. All brokering activities are performed by Flexible Finance Brokering, Inc.
Contact:
Ryan Metcalf
VP of Public Affairs, Flex
Email: [email protected]
The post New research reveals Flex helps 92% of renters avoid fees & 82% reduce eviction risk appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post Breaking the fee cycle appeared first on Flex | Pay Rent On Your Own Schedule.
]]>
How flexible rent payments improve financial stability and housing security
Renters across the United States face growing financial challenges, particularly those living paycheck-to-paycheck. Rising rent, stagnant wages, and a lack of financial flexibility create a precarious situation where even minor disruptions—such as late rent payments—can have severe consequences, including eviction and, in the worst cases, homelessness. This paper evaluates how flexible rent payments—such as those offered by solutions like Flex—can empower renters by breaking the cycle of late fees and rigid payment schedules, ultimately fostering financial stability and housing security. By aligning rent due dates with income schedules, flexible rent solutions give renters greater control over their finances while also helping property managers maintain consistent rental income, reduce delinquencies, and lower eviction rates.
92%
avoid fees or penalties
82%
reduce their risk of eviction
87%
reduce their need to borrow money
92%
avoid fees or penalties
82%
reduce their risk of eviction
87%
reduce their need to borrow money
92%
boost their long-term financial health
92%
boost their long-term financial health
77%
significantly improve their ability to manage finances and pay bills
77%
significantly improve their ability to manage finances and pay bills
Sign up for updates: getflex.com/newsletter Sign up for updates:
getflex.com/newsletter
Data based on 458 customer responses through Flex’s 2025 Financial Well-being Survey. Survey findings may represent a population facing greater financial challenges than the overall Flex customer base. While the results offer valuable insights into Flex’s support for financially vulnerable users, differences in representation should be considered when interpreting them.
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]]>The post Revolutionize rent collection with flexible payments appeared first on Flex | Pay Rent On Your Own Schedule.
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Is late rent holding your property management business back? Discover how offering flexible rent payments can help you increase on-time collections, boost resident satisfaction, and streamline operations.
of residents say digital payments would improve their view of their property management company
US residents spend more than 30% of their income on rent
of digital transformation projects succeed
of businesses offering flexible payments report positive impacts on their operations
In this comprehensive guide, you’ll learn:
Flexible rent payments empower residents to pay on a schedule that works for them while ensuring you receive full rent reliably each month. By aligning rent with your residents’ cash flow, you can reduce delinquencies and stabilize your rental income.
Stop chasing rent and start offering your residents the modern, convenient payment options they expect.
Download the guide now to see how flexible payments can drive efficiencies and on-time payments for your business.
About Flex
Flex is a leading flexible rent payment platform that allows residents to split rent into customizable installments while ensuring properties receive full rent on time, every time. Join the 6+ million unit revolution and bring your rent collection into the 21st century with Flex.
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]]>The post Making rent flexible: How Sage Ventures streamlined operations with Flex appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Sage Ventures, overseeing more than 4,000 units across Maryland, tackled this challenge by implementing flexible payments. After noticing a spike in delinquency rates and receiving numerous resident requests for more payment options, Sage trialed flexible payments in two communities. The success was immediate, with rapid adoption across their portfolio, including Class A assets.
(July – September 2023)
$16,617
delinquent rent shielded
$2.2m
in on time rent paid (from the 1,170 bills we processed)
~5 hrs
saved per month per property manager
In this case study, you’ll discover how Flex enabled Sage Ventures to:
— Leora Strimber, Accounts Receivable Manager, Sage Ventures
Download the full case study to learn how Sage Ventures leveraged flexible rent payments to optimize their business and elevate the resident experience.
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Discover the hidden links between payment flexibility and operational success. Uncover how leading properties are leveraging innovative payment solutions to drive satisfaction and efficiency.
43%
of lease non-renewals are preventable by enhancing the living experience
30%
of industry professionals currently offer flexible payments compared to the 84% of residents who actually want them
9.7 hrs
spent per month per property manager chasing down rent on industry average
3.6 pts
average increase in ORA® score for properties that offer flexible payments than those that don’t
In this report, dive deep into:
“It was a huge eye-opener for us when we instituted [flexible payments] back in the fall. Our outstanding accounts dropped dramatically just by offering that flexibility to our residents… there’s certainly a need for this everywhere as an option.”
“The biggest impact for us is when technology eliminates manual steps for our onsite teams. If we can remove the burden of remembering to perform redundant tasks like collecting documents, that’s a win.”
“In today’s market, people could care less what our policies and rules are. They care about how they feel. The resident is king. If we want to keep them, we need to better understand and relate to them. They’ll pay more to feel better. They’ll pay more if they like you and the experience you’re providing.”
Download the full report to learn how embracing innovative technologies can give your properties a competitive edge in resident retention, operational efficiency, and overall resident satisfaction.
The post Tech and flexible payments appeared first on Flex | Pay Rent On Your Own Schedule.
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Is late rent holding your property management business back? Discover how offering flexible rent payments can help you increase on-time collections, boost resident satisfaction, and streamline operations.
78%
of residents say digital payments would improve their view of their property management company
22.4m
US residents spend more than 30% of their income on rent
of digital transformation projects succeed
91%
of businesses offering flexible payments report positive impacts on their operations
Flexible rent payments empower residents to pay on a schedule that works for them while ensuring you receive full rent reliably each month. By aligning rent with your residents’ cash flow, you can reduce delinquencies and stabilize your rental income.
In this comprehensive guide, you’ll learn:
Flexible rent payments empower residents to pay on a schedule that works for them while ensuring you receive full rent reliably each month. By aligning rent with your residents’ cash flow, you can reduce delinquencies and stabilize your rental income.
Download the guide now to see how flexible payments can drive efficiencies and on-time payments for your business.
About Flex
Flex is a leading flexible rent payment platform that allows residents to split rent into customizable installments while ensuring properties receive full rent on time, every time. Join the 6+ million unit revolution and bring your rent collection into the 21st century with Flex.
The post Ebook: Flexible-payments-in-property-management appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post How to future-proof your technology investments in rental property management appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Thinking about going digital in your rental property management business? You’re in good company. Digital transformation is a top priority for 74% of companies. Also, 61% of real estate businesses have adopted technology, with a third embracing one to two solutions. 
But in rental property management, there’s a lot to consider, and the stakes are high. Should we invest in fixed or custom-built solutions? What’s this project going to cost? What’s our ROI? Is this move worth the risk? 
The apprehension is understandable when you consider how quickly solutions become obsolete. After all, technology like floppy disks and fax machines were once high-tech.
You’ll need to plan for longevity to see long-term success in your digital transformation. We’ve got you covered. In this article, we’ll share the key areas to consider when selecting solutions. We’ll also cover some current trends to guide your decisions.
Do you want to see long-lasting results from digital transformation? Well, as the famous saying goes, you’ve got to “start with the end in mind”. Let’s explore some features to consider.
When you’re running a rental property management company with ambitious growth goals, scaling fast is a possibility, and you’ve got to prepare for it. So, it’s essential your tech stack can grow with your business.
Opting for flexible solutions that allow you to scale usage up and down to support business needs is an effective way to do it. This move will ensure uninterrupted service as your portfolio expands and can reduce costs in market downturns.
Things change, and over time, so will your business. Throughout your digital transformation, it’s critical to onboard flexible technology, allowing you to adapt to changes in business and market demands.
Agility will be invaluable to your rental property management company. Compared to non-agile companies, agile businesses report better customer satisfaction (93%), enhanced employee engagement (76%), and increased operational performance (93%). 
The companies you partner with shouldn’t stagnate, neither should their technology. They should have a history and commitment to incorporating new functionalities and processes.
“If cash is King, data is Queen.” Integrating solutions within your rental property management ecosystem reduces data siloes and unlocks a new level of insight sharing across teams.
You’ll have a more accurate view of your company’s current position on liquidity and compliance. You‘ll eliminate data sharing inefficiencies, making it faster to spot potential opportunities and challenges and giving your company a competitive advantage. For instance, such an integration could involve linking your HR, IoT, property management, HR, accounting, and flexible payment solutions.
Tech debt is real. Solutions can be expensive through time investment and cause lost productivity or funds. Companies incur $1,083,000 of technical debt for every 300,000 lines of code. Companies also saw 23-43% in wasted time.
The result? Your business progress stumps. Affordability and good value for money are crucial to future-proofing your technology investment. A cost-effective solution should balance upfront investment, long-term operational savings, and income production. Don’t just look at now but a few years down the road.
Top tip: Evaluate both the initial setup costs and ongoing maintenance expenses.
What would your team’s work day look like if they didn’t manually battle rent week or admin? We’ll set the scene for you: more efficient, productive, and happier.
The not-so-secret digital transformation hack is automation, and every solution you pick should leverage it. 73% of IT leaders say automation saves 50% of their time. Also, 51% believe automation slashes costs by 10% to 50%.
Selecting solutions with built-in automation will ensure that every new tool takes tasks off your team’s hands instead of creating new ones. Automation can also reduce errors, resulting in increased accuracy rates. For best results, look for systems that offer rent payments and collections automation, maintenance scheduling, rental property management tools, and communication features.
Have you ever had to send money by bank transfer, money transfer service, or online rent payment portal? Using these solutions involves a lot of clicking, double-checking, and hoping the details are right. If not, your company or the tenant could be footing the bill. 
Yet, many tenants endure this stress monthly. There’s also no leeway for split rent payments without going through the laborious admin again. Then there’s the notorious rent week [Link to rent week blog post], where many teams battle collections month in and month out.
To eliminate these battles, ensure every rent payment and rental property management solution you select balances ease and convenience with security and affordability. For example, a long-term approach to digital transformation could look like implementing a rent payments app like Flex. Our solution allows you to offer flexible payments on a mobile app with a UX-optimized interface. This setup will allow painless rent processing for tenants and your team.
Whether it’s the typical tenant or a mega-corporation, fears surrounding data security are rising. It’s easy to see why. Between 2021 and 2023, data breaches skyrocketed by 72%, obliterating the previous record. Additionally, 40% of US consumers are concerned about their digital privacy. 
Protecting tenants’ personal and financial data is essential to building trust and maintaining good relationships. To achieve this, ensure that each technology complies with relevant data protection and compliance regulations and has robust security measures. For instance, end-to-end encryption, security certificates, firewalls, pen tests, and security audits to safeguard data.
Mobile accessibility 
These days, it’s a challenge for most people to spend a day without using their phones. We use them to execute routine tasks, from paying rent to booking repairs. So, it’s unsurprising that mobile payments are tipped to make up 79% of all digital transactions by 2025.
Mobile apps are the future. Your rental property management tech should reflect this. Every solution you select should facilitate on-the-go property management for tenants and staff. For example, tech-savvy property managers use a flexible payments app integrated with a comprehensive property management solution to collect rent, handle maintenance issues, manage service requests, and keep tenants updated.
Did you know that 86% of customers would stop engaging with a brand after one poor experience? On the bright side, companies prioritising customer satisfaction alongside margins, growth, and profitability are more likely to experience customer success and 29% more likely to get CX budgets. With this much at stake, ensuring that each solution offers top-notch customer support is crucial. What counts as excellent service will depend on your tenants’ wants and needs. For instance, if your resident base comprises busy professionals, you could look for solutions that offer 24/7 online customer support and quick training for property managers and tenants. 
As we saw earlier, insights can have huge payoffs in your rental property management business. Data-driven companies aren’t only 23 times more likely to secure new customers and six times as likely to keep them. Such companies are also 19 times more likely to be profitable. So, once you’ve unlocked data within your ecosystem, you’ll need a way to interpret it quickly and accurately. That’s where advanced reporting and analytics tools come in. By leveraging real-time insights, these solutions keep your team informed on what’s happening in the business and what’s upcoming so they can make informed decisions quickly. Such capabilities can help you improve tenant satisfaction, retention, and profitability.
For instance, you could push data to business intelligence software or a customizable dashboard solution through native and API integrations. These solutions will help your team get up to speed quickly.
Gone are the days of needing an entire team on hand 24/7 to handle even the most basic tasks. With more people leading busy, digital lives, there’s an emphasis on self-service and automation to get things done. Let’s cover some of the most popular digital transformation technologies.
Best for: Enhancing security, automation, and efficiency.
Blockchain: Tools like blockchain efficiently promote security, trust, and transparency while reducing instances of fraud. Blockchain strengthens tenant screening by creating an unchangeable record of the tenant’s rental history and financial transactions. [link to blog post on tenant screen red flags] Vehicles of choice include smart contracts, automatic tenant screening, and document verification—40% of property managers implementing blockchain in tenant screening see verification time drop by half. The increase in trust has also created a 25% spike in on-time rent payments and a corresponding drop in eviction rates. Additionally, around 30% of landlords see a decrease in tenant-related fraud.
AI: Whether it’s virtual assistants or virtual tours, property managers now use AI to enhance their customer experience and team capacity. The bots can take over many administrative tasks, freeing time and energy for driving growth. AI-powered solutions can also improve tenants’ view of your company. Properties that use intelligent assistants are viewed as five times more forward-thinking and tenant-centric. 
IoT: Property managers and landlords leverage IoT solutions to transform properties into smart ecosystems. Digital transformation efforts include smart security (like home locks and package lockers), heating, and lighting technology in units that tenants can control remotely. This setup creates a greater sense of control and safety for residents. Some property managers and landlords also embed sensors in buildings to collect data on occupancy, temperature, and security.
Best for: Driving more accurate decision-making, resource allocation, and threats and opportunity spotting
These days, it’s common to see property managers and landlords leveraging big data analytics in their digital transformation efforts. They use it to build comprehensive analyses, better understand their business position, and make informed decisions. They also use big data analytics to support increasing tenant satisfaction and revenue growth.
Some avenues of choice include customer segmentation and personalization, price testing, analysis of external factors, competitor analysis, demand analysis, and personalized business strategy recommendations. Their investment is paying off. Users see increased operational efficiency, better pricing models, and improved resource risk management.
Best for: Operational efficiency, cost-savings, and forging better tenant relationships
Thanks to innovative property management solutions, businesses are shedding huge administrative loads and climbing costs. Popular tools include communication portals to keep tenants informed and stay on the pulse of renter sentiments. Predictive maintenance is also popular for estimating system failures and proactively scheduling repairs. Then, there are the automations to optimize maintenance schedules to reduce costs, reduce downtime, and improve efficiency. So, it’s no surprise that property management software is a hit. Get this:
Best for: Increasing on-time rent payments, decreasing admin, and boosting tenant satisfaction
With a precarious job market and rising living costs, more consumers are tightening their spending belts and bracing for impact. So, property managers and landlords have had to find creative ways to secure rent on time. A key solution they’re leveraging is flexible payments, typically through a mobile app. Allowing residents to split rent payments is pivotal in boosting tenant satisfaction and timely rent. [link to tenant satisfaction blog post] It’s easy to see why when you consider that 40% of tenants say flexible rent payments are important to them, and 5.5 million units in the US use Flex. The digital and automated aspect also helps improve operational efficiency.
In today’s evolving market, the ultimate growth hack is having innovative technology to support your business through the highs and lows. So, before you sign up for any solutions, stop and assess. Also, consider how to support tenants and staff through the transition and beyond to maximize your digital transformation investments. Don’t be afraid to demo multiple solutions and compare features and services to find the right fit. Take these steps, and keep tweaking your strategy. Your rental property management company will have a tech stack that lasts.
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]]>The post A simple guide to money management for property managers appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Imagine this: It’s rent week, and you have 3000 units and over 4000 renters to manage. Late payments and revenue fluctuations are recurrent issues. Over a third of tenants have dodged rent so far. 300 residents won’t be renewing their lease. At the same time, a bunch of water heaters are out, and contractors are quoting an eye watering, five-digit figure to fix them. Oh, and your best administrator just handed in their notice. These issues have one consequence in common. More costs for your business. And just like that, your profits nosedives.
Sadly, this is the daily reality for many landlords and property managers. 7% of landlords missed mortgage payments during the pandemic due to tardy rent from tenants. Landlords in Miami and New York, where cash reserves were lower, experienced such losses disproportionately. Some landlords also couldn’t pay property taxes and maintain properties due to delinquencies and tenant evictions. The good news? While the economy may keep swinging, you can block some of the impact with some sharp money management blows, namely a financial cushion. In this article, we’ll explore why and how to build one.
Cost of living crisis, check. Rising operating costs, check. Increasing compliance and sustainability obligations, check. These issues add up to a hefty bill for which your rental property management company is on the hook. It’s a huge deal since the demand for rent has fallen, with decreases hitting 0.78% in December 2023. Then there’s the fact that margins in property management can be slim, with fees between 4% and 12%. 
Optimizing your money management may seem like yet another task to execute on your team’s already-packed to-do list. But the payoff is worth it. Once you build a solid financial runway, your business can take off. You’ll have more security, profits, and freedom to take advantage of scaling opportunities. 
When it comes to finance management for a rental property management company, what’s a smart decision will depend on its unique circumstances. However, there are some milestones you’ll want to achieve on your money management journey. These include:
Whether you’re starting from scratch or have some runway saved up, reaching the next stop in your money management journey will take some planning and sacrifice. Let’s dive into some money management moves to execute and position your rental property management company for success.
“If you fail to plan, you are planning to fail,” as Benjamin Franklin quite rightly put it.
So, first up on your financial management task list is getting up close and personal with your business’ numbers. Take a look at the figures from the last three to five years and note any trends and inconsistencies. In particular,
Now you’ve got an idea of company finances, it’s time to set some money management goals. They should empower your business to eliminate monetary burdens and create more financial freedom. For instance, you could focus on:
Top tips: Be specific in your money management plans. Set S.M.A.R.T. goals. Also, pick three to focus on initially. Then once you’ve nailed the goal, move on to the next.
If your team spends umpteen hours on admin, it’s costing your business big time. Labor can consume up to 70% of business expenses. That’s money that could be going into your financial cushion. So, it pays to reduce the administrative burden in your business through automation. In practice, calling in the bots to uplevel your finance management could look like:
Implementing digital tools for bookkeeping and expense tracking. Including spend controls like company cards and automated categorization and approvals
Perhaps you’ve already digitized rent collection processes so that tenants can pay rent online. Or maybe you allow a select few to pay in instalments through a rent payments portal. But for your money management moves to succeed long-term, your company’s payment options must match your tenants’ wants and needs.
Let’s put this tip into perspective. Americans are glued to their phones more than ever. The average person spends 4 hours and 25 minutes each on their phone and checks it up to 144 times daily. 
At the same time, BNPL is on the rise as life becomes more expensive. Around 60% of “financially fragile” consumers used BNPL at least five times in the past year. Knowing this, offering payment options embodying these trends makes sense. You’ll not only enhance tenant satisfaction but reduce those pesky late payments A great example of such a solution is a rent payments app like Flex. While it’s not a BNPL service, it embodies some of its selling points. Flex simplifies the rent collection by enabling renters to split payments through a mobile app.
Not only does Flex manage defaulters for you, but it also provides an unbeatable deal. Your company will get paid on the 1st of each month, no ifs, no buts. Flex also has nominal fees for renters and no extra cost for your company. Plus, you’ll get analytics features on renters and payments to make cash flow management and forecasting quicker and more precise. 
For aeons, financial experts have talked about the importance of keeping expenses low, diversifying income streams, saving, and investing. While their delivery was sometimes out there (think jam-packed conferences with singing and dancing audiences
), they were on to something. You’ll need to tackle your company’s money management goals from different angles to improve your company’s financial position. Here are some ways to pad up your company’s financial cushion:
Pro tip: Remember to be transparent with renters about fees and rent costs in the lease agreement and any comms. This approach will keep renters happy, your business compliant, and income streams steadier.
Want to maximize your returns? Then, knowing what’s working and what’s not in your money management strategy is critical. Integrate company data from sources like Accounting, ERP, HR, payments, and property management. These will provide you with a more accurate view of the company’s financial position.
Use reliable forecasting software to gain an accurate view of your company’s financial health. Then, track key performance indicators (KPIs) and metrics. Examine them (at least weekly) and adjust your approach, considering current developments. Some KPIs and metrics to track include:
Managing money for a rental property management company can be challenging. So, don’t go on this finance management journey alone. Seek professional financial advice from a qualified financial advisor specializing in real estate or your business’ size. They’ll give you insight into key areas like tax and investment optimization. Your financial advisor can also tailor strategies based on your company’s circumstances to boost its effectiveness.
If there’s one thing we can take away from crises like the 2008 recession, pandemic, and rising living costs, it’s that “cash is king”. Those with enough liquid capital to withstand the economic blows and invest in their business win. So, building a financial cushion is critical for peace of mind, managing risk, and taking advantage of unexpected opportunities.
Your efforts will compound. So, even if you can’t make a huge investment, start your money management journey today. Implement cash flow management optimizations, stash away a few dollars, and leverage sophisticated rent payment technology. Also, stay informed of market developments and seek professional advice for sustainable financial success in property management. Before you know it, your finance management will be top-tier tier, and you’ll have a hefty financial cushion to prove it. 
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Such scenarios are all too common. 15% of Americans have fallen behind on rent. The issue is global, too. In the UK, 59% of landlords say they’ve seen an uptick in late payments amidst the shaky financial landscape.
As economic uncertainty rages on, delinquent rent could spell disaster if left unchecked. It’s time to wage war on late payments. 
To prepare you for battle, we’ll expose some issues arising from rent defaults and how they can impact your business’ financial health. We’ll also share some strategies and solutions for hassle-free rent collection.
Noticed a decline in on-time payments? Get paid faster with Flex.
Late payments aren’t just inconvenient. They can have consequences that can hold your business back. Let’s zoom in on a few
Who doesn’t love income streams? But when renters pay late, cash flow resembles more of a puddle than a river.
Here’s where issues arise. Property management for rentals comes with hefty costs, making constricted cash flow dangerous to your company’s financial health. For example, defaults can disrupt your ability to cover operating expenses. We’re talking mission-critical costs like mortgage payments, property maintenance, utilities, and wages. Soon, your company’s credit score will suffer, and securing affordable funding will become challenging. Strained relationships with lenders and vendors follow.
With less cash coming in, keeping properties in top condition also becomes more challenging. You may have to delay urgent repairs and cut corners, causing properties to deteriorate and reducing their attractiveness to residents. This problem is a huge deal, considering renters happy with their property’s maintenance are three times more likely to renew leases. 
From hunting down delinquents to issuing notices,managing late payments can stretch to-do lists to unmanageable lengths. The recovery process is also very costly. Wages for overtime and the execution hours required divert resources from strategic property management initiatives. As a result, growth-driving projects take a backseat as does your company’s progress.
Managing properties is tough. But do you know what’s tougher? Trying to keep a steady ship while late payments make rental income choppy and workloads explode. Considering many property managers already have jam-packed schedules (in states like Michigan, there’s one property manager for 754 employed residents), such a situation will wreak havoc on your workforce stability. Before long, you’ll wonder how you’ll hit company targets. Sleepless nights and endless mental math become your reality. Worse, your team can become demoralized, leading to higher staff turnover, and, you guessed it, even more work.
We know how important growing your assets is critical for property management success. The problem is, late payments limit your ability to expand your property portfolio or explore new investment opportunities. This issue dampens your business’ growth. For example, at auctions you may spot a lucrative property in an upcoming area but don’t have the funds to buy the property.
Persistent late rent payments can lead to vendors suing your company not paying them due to a lack of capital. But the legal problems don’t stop here. You might also have to take legal action to boot out offending residents that won’t pay up. In 2023, Los Angeles sent 40,000 eviction notices, 96% due to non-payment. These eviction proceedings can have hefty counsel and court-related expenses, which your business will be on the hook for.
When managing late payments, prevention is always better than cure. Let’s run through some remedies to stop late rent payments in their tracks.
Despite it being common practice, imposing a late fee for tardy rent or seeking an eviction aren’t always practical. Whether it’s a layoff or an unexpected medical bill, life happens. These events impact your residents’ financial health. So much so that 56% of landlords have had renters move out due to being unable to keep up with rent.
To counter this problem, set clear and realistic expectations about due dates and consequences for late payments. For example, alongside the terms in the lease agreement, you could provide a quick sheet outlining:
Empathy is crucial in the battle against late payments. Avoiding conversations about financial difficulties is still ingrained in today’s society. 62% of Americans feel awkward discussing their finances. As a result, feelings of shame and hopelessness can plague defaulters. Ensure residents know they can come to you with any issues without judgment. Be ready to help late payers find a solution without resorting to penalties immediately.
Top tip: Provide educational resources on budgeting and financial health to help residents understand the damaging effects of late payments. 
There are often telltale signs tucked away in your company data that a resident will default. Leveraging these insights is an effective way to spot risky accounts and create preventative measures. To do this:
For instance, say you notice a renter is experiencing financial hardship. After some digging, you uncover the late payments are due to a job loss. You can work out a temporary payment plan to clear the debt and share career development resources.
Another proactive way to tackle late payments is to make paying on time attractive. Use incentives like discounts and rewards for residents who pay rent before the due date or cover some months upfront. Factor these incentives into your rent or business costs to avoid impacting profits. In action, the incentives could look like:
Picture this. A summer heatwave hits and the air conditioning goes out. 
Simple daily tasks like cooking and sleeping have become unbearable. You submit an urgent maintenance ticket to fix the faulty air conditioner. After waiting days for help, you contact management; crickets. 
A few more days pass, and still no repairs in sight. At the same time, rent is due, and your landlord expects speedy payment.
Such a scenario would leave a bitter taste in your mouth, and quick rent payments probably wouldn’t be top of your to-do list. Conducting regular and prompt property maintenance fosters a positive landlord-resident relationship. Transparent communication throughout the process also breeds trust. This, in turn, motivates residents to complete rent payments on time. So, make property upkeep a priority to reduce delinquencies.
Perhaps you’ve already set up online rent payments or offer a portal. The problem is that many solutions are generic, complicated, and cumbersome, even though they tick the digital box. These characteristics do no favors for your on-time payment figures. The fix is to remove such friction in the rent payment and collection processes with better tech and strategy. Here are some ways to make it happen:
Don’t rely on calendars, spreadsheets, and emails to track rent and chase late payments.Set up reminders in the residents’ preferred communication channels and style, e.g., audio message, a specific language, or text. Extra brownie points if the solution offers analyticsFlex is on a mission to speed up on-time payments for owners and property managers, and make rent affordable for residents, all while taking the hassle out of these processes. Using the Flex app, residents can access split rent payments and pay in smaller portions on-the-go. Users can also adjust the second payment date to make the cost more manageable, reducing late payments (subject to credit checks and terms and conditions).
With Flex, there’s no more guessing when your company will get paid. You’ll get rent on the 1st of each month, guaranteed. Plus, Flex has nominal fees for renters and no extra cost for your business. Some more perks of using the app include:
More on-time rent payments
Optimized cash flow
More ROI
Higher NOI
Less rent collection admin work
Happier residents and staff
Late payments are thorns in many property managers’ sides that increase workloads, deplete profits, and drag down morale. But the good news is you don’t have to settle for delinquent rent or expensive eviction processes.
Be a listening ear to uncover why residents go rogue on their rent. Then, put in place preventative measures to reduce their occurrence. Also, automate repetitive tasks like paying and tracking rent through digital and flexible payments through solutions like Flex. This approach will cut busy work and drive resident and staff engagement. Finally, stay on top of resident sentiments and adjust your approach continuously to maintain high on-time payment rates. Soon, cash will flow in, residents and staff will be happy, and late payments will be a thing of the past.
Ready to tackle late payments head-on? Learn how Flex can help you build a solid game plan.
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Picture this. It’s February. Lease sign-ons are sluggish, and profits have dipped. Eagerly wanting to get tenants through the door, your team skips key tenant screening steps. A few renters have moved in, and everything has been going well for a while. At least, that’s what you thought. But now, the cracks are starting to show. A few tenants refuse to pay rent, and you get daily disturbance complaints. Worse, one tenant moved out, taking your furniture with them. The other has pulled a Houdini, but not before turning their unit upside down. 
If you’ve ever experienced something similar, you’re not alone. In 2022, 85% of landlords said they were rental fraud victims, up from the 66% pre-pandemic level. Also, 52% of landlords say disruptive tenants are now somewhat or extremely common. So, it’s not surprising evictions average 2.6 million a year, costing landlords thousands in legal fees.
But don’t worry. In this article, we’ll cover the issues property managers and landlords face in the changing rental property management landscape. We’ll also reveal the red and yellow flags to look out for when screening tenants. Plus, we’ll cover hassle-free ways to structure your tenant screening process to secure better residents.
As technology advances, fraudsters have developed more cunning ways to deceive landlords and property managers. The issues start at the beginning of the rental process, with plots ranging from criminals using falsified rental applications, pay stubs, employer verifications, and stolen identities.
Today’s tenants are more informed of their rights and have increasing legal protections. While these changes can have positives, they can also make it harder to manage problematic tenants who know how to exploit loopholes. Take New Jersey’s law on evictions, for example. Landlords can’t evict or force a tenant to vacate the property without probable cause. This allows tenants to stay in their unit until their tenancy ends, provided they don’t break any rules.
Economic fluctuations and housing crises impact your company’s pockets, but they also affect your tenants’. As a result, renters’ behavior can become unpredictable. For example, you could experience tenants becoming more transient. Residents could also want lower rates than typical and be at higher risk of rent payment arrears and defaults. You’ll need to adapt continually to stay on track with your occupancy and revenue goals.
Red flags are serious warning signs that a potential tenant is bad news. Spotting these tell-tale signs early on is critical to protect your rental property management business from wasted time, money, and stress. Let’s run through a few of them.
If a prospective tenant got the boot from previous landlords for significant issues they caused, you could have a problem on your hands. These scenarios could look like a renter evicted for non-payment or disturbing the peace.
Have you found inconsistencies in a potential tenant’s income frequency, or can they not prove their declared pay? It’s time to hit the “Stop” button. 
If their income is questionable, the security of your revenue and profits will be, too.
Say a tenant has built a reputation for failing to pay rent or other bills. Well, this habit could signal future problems. If the potential tenant’s credit score shows many late payments for bills or the previous landlord shares that it was an issue, this is a major red flag. Get this: 73% of landlords say late rent payments are somewhat to extremely common.
While it’s important not to discriminate, checking a potential renter’s criminal background for actions that could pose safety or security issues is essential. For instance, if a tenant has convictions for violent crime, terrorism, drug offences, or fraud, don’t ignore this information. Look into parole terms and recent activity to determine whether they could pose a threat.
This issue may not seem like a red flag. After all, a tenant could have gaps in their rental history due to time living abroad or with family. But this is a bad sign if your investigations uncover reasons like time spent incarcerated for serious crime or non-payment leading to eviction.
While “variety is the spice of life,” constant address switching can suggest a tenant has difficulty maintaining stable housing. A long-term tenancy is also unlikely. Considering costs for things like wear and tear maintenance, having high tenant turnover can lower profits, so it’s a “no” for such renters.
Shady documentation and information, whether fake references or shady employment details are serious red flags. Such moves could be the start of a fraudulent plot that will put your business at risk. One out of eight rental application documents is fraudulent.
Yellow flags aren’t as severe as their red counterparts, but you’ll still need to do some further digging and proceed with caution. Here are a few to look out for.
While not as bad as an eviction, a poor credit history can signal a lack of financial savvy, inexperience, or irresponsibility. So, looking closer at reports for signs like late payments and young credit history will help you distinguish which one you’re dealing with.
New renters may be model tenants, but they still pose a risk to your business since there’s no track record to assess. So, you may need to do some more checks and put in place security measures. For example, if you’ve got a recent graduate trying to secure their first apartment, you could use higher deposits, guarantors, and character references.
Have you received applications from prospective tenants with zero-hours contracts, seasonal jobs, or short-term fixed contracts? While these are common employment formats, the instability of today’s market may also impact their financial stability. Next, their ability to make timely rent payments could go south. Tenants with short employment durations or frequent job changes may lack the financial stability to pay rent consistently.
Say you have a tenant who meets all the requirements except for references. Despite having past tenancies, they only list friends and family to vouch for them. This situation could be a concern. There’s a chance the previous landlord won’t give them a positive reference, or they’re hiding something negative. It’s best to enquire about alternative references before granting a tenancy.
If prospective tenants shoulder debts like personal loans, car notes, and credit card balances, their disposable income could decrease. All it takes is a job loss and an unexpected bill, and your rent payments are on the line. So, to guard your rental property management company, put in place some protective measures before signing the tenancy agreement. These include flexible payments, co-signers, higher security deposits, advance rent payments, and rent guarantee insurance.
We all make mistakes, so sometimes rental applications have discrepancies. For example, the job start date or applicant name doesn’t match what the prospective tenant said in the interview. If you notice some details don’t add up, it could be an error, but maybe not. So do some further investigation before signing the prospective tenant.
Top tip: Pay attention to the details and make a list of common errors to look out for, such as different aliases and (middle) names with various spellings.
You’ll need to take a structured approach to ensure your tenant screening process does your rental property management company justice. Let’s cover some things to do.
When your team already has packed schedules, it’s easy to miss something. Luckily, these days, you don’t have to handle the tenant screening process manually. You can use technology to automate most of the process, from verifying pay stubs to checking a tenant’s history. AI-backed solutions can also conduct mass-cross checks in a fraction of the time it would take a staff member. These features make your company more efficient and, in time, more profitable. Here are some tools to research:
Note: Some tools do more than one type of tenant check, so pick the most comprehensive and reliable solution(s)
We get it. It’s easier to communicate by text or phone and use virtual reality to show properties and close the deal without seeing a potential tenant. But if something sets your antenna off, you’re due for an in-person or virtual face-to-face interview. Conducting an interview will give you access to subtle insights that aren’t obvious on paper so your team can vet more effectively. 
For example, an interview could reveal body language and variations in identities or details from those disclosed on the application. face-to-face or virtual interviews can provide insights that aren’t clear on paper. For best results, delve into their reasons for moving, previous tenancies, landlord relationships, income, and expectations.
Top tip: Consider visiting tenants where they currently live to assess their living conditions. Unkempt units could be a sign of what’s to come.
If you aren’t sure whether a tenant will be the right fit due to things out of their control, like limited rental history or credit history due to age, consider a trial run for 3-6 months. You can state terms and conditions to pass the probationary period and offer a regular lease. This could look like on-time repayment, no disturbances, and maintaining a well-kept unit. So, if the tenant fails to compile, you can send them on their way quickly (and legally!). You’ll also have a process to spot and keep great tenants around.
This solution may not be the first thing that comes to mind when improving tenant screening, but it is an effective hack. Flexible payments through solutions like Flex not only conduct due diligence on tenants but can also close more deals. How? By salvaging the deals, you would have had to decline due to financial infeasibility.
For example, Flex allows tenants to split rent payments into two affordable portions over one month, increasing the odds of timely payments and reducing the risk to your business. We also guarantee rent payments to landlords and property management companies, no matter what. Our solution uses automation, protecting your team’s time by making rent collection faster and more efficient.
Tenant screening has always been integral in rental property management, but the game has changed. The rise of sophisticated fraud schemes, savvier tenants, and a rocky economy means more is at stake. Your tenant screening must be top-tier from start to finish to shield your business and secure the best renters.
So, invest in innovative and comprehensive technology, train staff to spot fraud schemes, and continually review and update your process as the market evolves. In particular, you can add flexible payments through a rent payments app to accept suitable tenants you would have turned away on financial grounds. Take these steps, and soon, you’ll have a robust tenant screening process that keeps the money rolling in.
Need a hand implementing flexible payments? Chat with us.
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]]>The post The secret to increasing profits without raising rent appeared first on Flex | Pay Rent On Your Own Schedule.
]]>“12 boilers on the east wing just went out”, Carl from maintenance emails. The same day, your leasing team reveals they’re swamped and need some extra hands to stay afloat. Then there’s your business insurance, which is due for renewal any day now. All these challenges have one thing in common: they need money. Unless you’ve got a substantial financial cushion you’ll need a huge cash injection to make it all happen.
With spiraling costs, increased consumer expectations, and market instability, passing the piling bills on to your tenants can be tempting. But raising rent isn’t always the right or only choice. For example, rent jumped by 30.4% between 2019 and 2023, outpacing salary increases by 10.2%.
In this article, we’ll share some instances when increasing rent could make sense and when it’s best to seek alternative income sources. We’ll also share some ways you can increase profits that don’t involve a rent hike.
To increase rent or not to increase rent? 
That is the question. We’ve got you covered. Let’s cover some circumstances that warrant a rent hike or holding off.
If you’ve made significant upgrades to a property, you’ve likely racked up some eyebrow-raising costs. But the good new is sprucing up a property, whether through a new kitchen, co-working, or fitness amenities, can make it more appealing to tenants. In such cases, tenants may be willing to pay higher rent if you communicate the benefits of the improvements. 
Even when you’re trying to avoid increasing rent, rising costs for things wages, supplies, and utilities can force your hand. Take the rising cost of utilities over the last decade, for example. In 2022, US electricity prices jumped by 10.7%, the highest spike since the beginning of the century. However, if you go ahead with increasing rent, it’s critical to be transparent about the reasons with tenants to maintain tenant satisfaction and trust.
Are your properties in a growing tech hub, student city, or the like? Such circumstances can lead to a surge in demand. The demand for rental units can outpace supply, making it a good time to consider increasing rent. This move can align your pricing with the market to capture the property’s increased value. Just be sure to tailor your rental to your target demographic to increase lease signups.
Similar properties in your area are charging tons more
If your neighbors with similar units have substantially higher rent asking pricing, it could be time to charge your property’s worth. Underpricing could raise flags in some renters’ eyes. It can also create an opportunity cost. For example, undercharging by $200 per month across ten units is a $24,000 loss annually, which you could have used on strategic initiatives. Raising rents helps you avoid such losses.
A lot can change over a few years, from inflation rates to renters’ financial position. So, if a tenant has been paying at the same rate for multiple, raising rent could be reasonable. This is especially true if your property’s market value and operating costs have increased. To lessen the shock factor of raising rent, offer ample notice and explain the rationale behind the increase like upgraded amenities.
Competition is part and parcel of rental property management. But if competition is too stiff, raising rent could backfire. For example, in states like Texas and Florida, there’s been a surge in property development. This fact has made it challenging to secure tenants without offering perks like lower rent, a one-month free stay, or reduced security deposits. So, raising rent could cause tenants to look elsewhere for more affordable options, leaving you with vacancies.
The cost of living crisis is raging on. Half of renters in the U.S. are considered cost-burdened or rent-burdened, spending more than 30% of their 2022 salary on rent and utilities. Also, 15 million tenants are paying more for rent than they can afford, a.k.a rent-burdened. Knowing these facts, it’s possible that some of your tenants may be facing financial difficulty. This is especially likely in areas with high unemployment or tenants on social assistance. Some tenants could view raising rent as unsympathetic, leading to issues like late payments, delinquencies, and breaking leases early. Next comes high turnover and costly vacancies.
Let’s be honest. No one likes paying more for things, especially if they once had a lower rate. Most renters want value for their money. So, if your company has been steadily increasing rent, another hike too soon could cause dissatisfaction. This issue could lead to higher tenant turnover, even if they were initially happy with your property and service. If keeping tenants as many units as possible in your units is a priority, it’s best to delay increasing rent.
Raising rent has always been a source of contention among landlords, property managers, and tenants. Some states have caught on to issues like unfair rent increases and brought in rent control laws. These laws limit how much and how often you can hike rent. Failing to obverse these regulations can land your business in legal hot water. Tenant lawsuits, fines, and penalties could soon follow. For example:
If your property looks and feels the same or worse than it did when the tenant moved in, tenants could see a rent spike as unjustified. Such renters may look elsewhere for units that they consider worth shelling out more cash for. So, if you’re not looking to invest in amenities, services, and overall property condition, hold off on increasing rent.
Now that you’ve got an idea of when it’s the right time to consider increasing rent, it helps to have some alternative methods for boosting revenue if you decide now isn’t the right time. Let’s cover a few.
If your property has busy common areas or highly trafficked corridors, use them to your advantage. Look for ways to maximize the use of and revenue from communal spaces. For example, you could:
These days, many people live busy lives and end up with too many errands and too little time. Offering services that cater to your tenant’s specific needs can give your rental property management company a kick in revenue. They’ll also provide value to tenants, getting your business in their good books. You could offer services on-site or collaborate with local businesses to offer services like:
Have you got great tenants who are happy with your property and service? Encourage them to refer their network. Referral marketing works best in communities where word of mouth is strong. Why? “Like attracts like”, so your tenants will likely know people looking for housing. You’ll also have more chances of attracting model tenants which will aid your tenant screening.
Create incentives for your staff, too. Leveraging connections to those who know your properties well and can vouch for your company’s quality standards is a surefire way to close more deals. For best results, incentivize your employees and renters with monetary gifts. For example, you could offer renters $200 off their rent for referring a friend who signs a six-month lease or cash bonus.
As more tenants tighten their purse strings to cope with the rising cost of living, it’s essential to reduce friction in rent payment policies and processes. Help your tenants stretch cash further by offering flexible payments through a rent payment app. For example, Flex allows residents to split rent into two portions, making payments more manageable.
The mobile app setup means renters can manage their accounts on the go. Plus, the automated features for things like payment reminders, collection, and receipts mean you’ll spend less on admin and eliminate the dreaded rent week. This setup means less financial stress for tenants and more on-time payments for your rental property management company.
Whether it’s due to a polished move-in experience or well-manicured buildings, happy tenants stick around longer. For example, renters who are satisfied with property maintenance are three times more likely to renew their leases. This fact means less marketing spend and more profits for your rental property management company.
But despite this huge opportunity for property managers and landlords to shine, most don’t. Just 33.8% of renters are satisfied with their landlord’s service. Also, just 64% of tenants feel heard by their landlords, and that their landlords are focused on acting on their opinions. If your business falls into this category, don’t stress. You can turn things around. Here are a few ways to improve tenant satisfaction [link to happy tenants/ tenant satisfaction blog post]:
Increasing rent is an easy way to boost income and profits quickly. But this approach isn’t risk-free. Raising rent too high or too soon could can be a recipe for disaster.
Rent spikes can push your residents over the edge. Before you know, late payments and high turnover swoop in, causing losses rather than profits.
Knowing this, expanding your property’s income streams is always a good idea. You’ll optimize operations and drive more profit, but you’ll also build a pipeline that turns leads into tenants.
So, take the leap. Build longevity into your rental property management by getting creative with your rental space and providing unforgettable service. Adapt your strategies based on tenant responses, and larger pockets will await.
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]]>The post Unlock the power of tech with these 6 must-have rental property management tools appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Technology in rental property management has come a long way. In a short time, we’ve gone from relying on Rolodexes, spreadsheets, and checks to using digital payments and AI-backed property management tools.
So, if you want to get ahead in rental property management, it’s time to reevaluate your tech stack. Investing in digital transformation can pay huge dividends for years to come. 92% of companies that have become digital leaders have seen a 17% increase in profit margins over three years, polished off with a 72% digital tool adoption rate.
In this article, we’ll trace the issues that kickstarted digital transformation in property management and their consequences. We’ll also reveal some of the latest and greatest solutions to invest in to take your business to the next level.
Paper invoices, payment logbooks, postal orders—remember those? You may even still use them. These were once rental property management staples. Then, in the 1980s, PCs and spreadsheets like Lotus 1-2-3 and Microsoft Excel came along. Suddenly, there was a formula for almost every task, including record-keeping, accounting, and even communication with tenants and vendors (we’re looking at you, Mail Merge!
). These technologies were a step up from their predecessors. But, some issues reared their ugly heads continually, setting property managers back. These include:
Perhaps you’re using some of the traditional tools we just covered and experiencing the headaches that come with them. Or maybe you’re using newer technologies but not seeing the gains you’d like. We’ve got you covered. Let’s explore some game-changing solutions and their perks.
First up, an industry favorite. Property management software is like a marketing, sales, bookkeeping, and administrator platform rolled into one. This solution acts like your very own assistant, streamlining and digitizing processes. Some benefits of property management software include:
In a world where 2 billion people use mobile payments, it was only a matter of time before renters started to expect more modern rent payment options. A huge leap forward in payment technology is a rent payment app. Residents pay rent through a few clicks. This technology can replace checks, bank transfers, standing orders, and the tedious admin associated with them, making life easier for all. For example, a solution like Flex, a rent payments app, residents can split rent payments and manage them when and where they want. Some more perks of a flexible rent payments app are:
Answering tenant queries and concerns is a given in property management for rentals. So, you need tools that’ll make your customer service flawless. That’s where AI-backed support solutions come in. From chatbots and virtual assistants to automated ticketing and case assignment tools, many solutions help you get and stay in tenants’ good graces. Get this: tenants view properties using intelligent assistants as five times more tenant-focused and forward-thinking. Some more highlights of using AI customer support tools are:
Accurate, real-time data is essential to know what actions to take to optimize operations and scale. Predictive analytics will help. It uses insights, statistical algorithms, and machine learning techniques to analyze historical data and forecast future events or trends. For example, you track key metrics like tenant satisfaction, retention, and sales. As a result, predictive analytics is creating windfalls. Companies that use predictive analytics are twice as likely to sit in their industry’s top quartile of financial performance. Also, 80% of companies that use predictive analytics experienced an uptick in revenue, $321 billion in savings from reduced personnel costs, and 98% saw higher customer happiness. Some more perks of using predictive analytics include:
Another high-tech solution you’ll want in your arsenal is blockchain. It facilitates secure and transparent transactions, data collection, and analysis, which you can use to optimize operations. Blockchain also allows you to manage buildings and documents remotely while keeping data secure. You’ll often find blockchain-powered solutions for lease management and tenant screening. Blockchain also features in smart building technology like sensors, lighting, cameras, doorbells, access controls, and energy management. Some benefits of using tools with blockchain include:
If you manage many buildings or need more time to conduct viewings, VR property tour solutions are a must. These solutions place your prospective tenants in the unit using realistic 3D renderings. Users can view and navigate these VR showrooms, including the different rooms or areas, from various angles and interact with objects or elements within the environment. These features allow prospective tenants to feel what it would be like to live on the property without visiting in person. Some benefits of using VR property tours are:
To get ahead in property management for rentals, your strategies need to be as good as your new tech stack. This may call for a revamp to compliment. Let’s explore some key tactics to elevate your rental property management game.
Many have high hopes for their digital transformation but fail. The reasons vary from business culture and entrenched legacy technology to budgetary and legal constraints. For example, 28% of businesses see digital transformation as a cost center. So, before you upgrade tech solutions, take some time to identify the barriers to your success. Then, set clear goals and timelines to combat them.
For example, say you discover renters want more flexible payment options like solutions that offer split rent payment. However, internal discussions reveal staff worry that such solutions could increase their administrative load. You could:
With so much choice, it’s easy to get swept up in adding more tools to your tech stack. Set a high standard for what you’ll onboard. Ensure each solution adds value to your existing tech stack rather than diluting it with yet another software staff, and tenants will have to learn. What counts as a top-quality solution varies, but as a rule of thumb, pick ones that are:
Learn more with our flexible payments eBook.
Another critical job is keeping an eye on your company’s performance through KPIs and metrics. This task will share what you’re doing right and what you need to improve to stay on the right track. It’ll also give you insights to share with different teams to optimize results. Some KPIs and metrics to track include:
Top tip: Integrate insights from key company software like property management, payment, ops, and account solutions. Then, push the data to a dedicated dashboard to track progress at a glance.
Analysis paralysis, rigid processes, and entrenched beliefs hold back many projects, but they don’t have to delay yours. The trick is to set S.M.A.R.T. goals, start small, collect feedback, and then tweak your approach. Taking the leap into agile digital transformation will pay huge dividends on your rental property management journey. Companies that go agile see a staggering 98% success rate and 60% more profit than businesses that take a more traditional approach. This could look like testing a solution with one team or department. Then, conduct a phased rollout to the rest of the company once you’ve got proof of concept.
Change can be intimidating when you’ve always worked a certain way or relied on specific tools. Even when the current setup has issues. So, it’s important to share why you’re changing technologies and the benefits tenants and staff will get from them.
Additionally, provide comprehensive training, support, and resources to your team and residents to ensure they can use the new digital tools and systems. This move will ease everyone into the switch and increase adoption.
Not too long ago, we could only dream about executing rental property management on autopilot. Thankfully, those days are gone. You can now use technology to do the heavy lifting. So, assess your current tools and processes. Highlight what takes too much time, energy, or funds. Then, find solutions to optimize managing them, starting with mission-critical tasks. Keep improving your approach based on data, and you’ll be well on your way to lighter workloads, higher profits, and happier.
It’s time to level up your rent collection. Learn how Flex can help you go from cash to clicks pain-free.
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]]>The post Automated rent collection with Flex: What’s in it for you? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Inconsistent payments, late nights completing admin, and cash flow disruptions.
These are just a few of the battles you’ll face when managing rent collection with manual tools and processes. If you can relate, don’t stress. There’s hope in sight.
50% of employee tasks can be automated, and rent collection is one of them.
We’ve built an innovative rent payment solution that takes the stress out of getting paid. In this article, we’ll share how Flex automates rent collection and why it’s the best way to collect rent as a landlord or property manager.
You’ve probably heard countless businesses claiming to have the solution to beat all rent payment solutions. You may have even tried a few, but the trials fell flat. So, what makes Flex the best way to collect rent as a landlord or property manager?
Automated and flexible rent payments.
Flex allows tenants to split rent into two bills, making payments more manageable. Let’s zoom in on how our solution works to guarantee rent:
And that’s it! Your rent payments are on cruise control. 
By now, you’ve likely heard about all about the perks tenants get using flexible payments via an automated rent collection system. But what does your rental property management company stand to gain? We’ve got you covered. Here’s a breakdown of the benefits your business can expect from using Flex:
Rental property management has become an increasingly demanding role with many moving parts. The hustle and bustle is taking its toll on staff—so much so that 1 in 4 is leaving the industry. This trend negatively affects the remaining team, who must work even harder to keep rent coming in. However, since Flex takes over the task, your team can reclaim time and enhance its performance. This feature allows staff to focus on other important tasks to drive their career and the business’ progress.
Did you know that the average worker spends 4 hours and 38 minutes on repetitive tasks every week, amounting to 219 hours each year? Now imagine dedicating this much time or more to manual rent collection with an already packed to-do list. The chances are it’s not your idea of fun or good use of time, and your staff probably feel the same. This setup isn’t just painstaking; it drags down output and morale.
But with Flex, your team won’t have to spend hours executing rent collection by hand. Our solution also removes the administrative burden, reducing the need for manual data entry, reconciliation, and error correction. Take Sage Ventures, for example. The property management team now saves 5 hours per week per Assistant Manager using Flex.
Processes involving manual entry, like rent collection, aren’t just a chore; they’re costly, too. But it’s not just the extra hours that drive up costs. It’s the inevitable mistakes that creep in and wreak havoc. In 2008, business professor Raymond R. Panko published a paper covering various research on manual entry. They found tasks like putting data into documents and spreadsheets had a human error rate between 18% and 40%.
With Flex, you’ll eliminate the manual entry from rent collection tasks, minimizing discrepancies and disputes. We even offer integrations with property management solutions like MRI, RealPage, Yardi, and Entrata to reduce data silos and errors.
Securing rent on time is essential for healthy cash flow. So, it’s unsurprising that 75% of landlords want to be paid the first of every month. But it’s challenging to hit this target with clunky and slow rent payment tools and processes. Here’s where Flex comes in. You get paid every month, which is guaranteed.
Our solution also reduces the risk of payment failures and delinquencies. These features mean you’ll gain more stability in your income. You’ll no longer have to wonder about where your next cash injection will come from, enabling you to budget more effectively.
This perk is invaluable for unexpected costs and covers hefty bills like property improvements and maintenance. Plus, the automated rent collection process means fewer staff members oversee it, making it more profitable, too.
Miscommunication on rent due dates, forgetfulness, and tenants who dodge calls when rent is due are all common issues in rental property management. Those hard-to-use and manual solutions make on-time payments even more unlikely. Worse, if your team can’t secure rent in time, your company will be footing the bill.
The good news is our automated, mobile-based rent collection solution removes such friction points, allowing you to offer a smooth experience for tenants and staff. So much so, property managers and landlords using Flex see an average boost in tenant satisfaction of 85%. Here are a few things Flex does without your team’s manual effort, making it the best way to collect rent as a landlord or property manager:
Rent collection is a high-stakes task that can make or break your rental property management company. So, it pays to optimize your solutions and processes.
With Flex, everyone wins. Property managers and landlords get more cash, security, and efficiency from the guaranteed rent, lessened admin loads, and sleek user experience. Tenants get flexibility, ease, and polished customer experience from the mobile app setup, flexible rent payments, and automated reminders.
Ensure your processes support the new technology, which could look like removing unnecessary steps and reallocating resources. Finally, offer tenants and staff in-depth training to increase adoption rates and longevity.
Make these moves, and soon, you’ll have a rent collection system that gets your business paid on time, every time.
It’s your turn to enjoy rent on autopilot. Book a demo.
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]]>The post 7 lethal mistakes property managers make with rent payments appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Tenant complaints, choppy cash flow, and never-ending admin—sound familiar? These are just a few signs costly payment mistakes have infiltrated your camp. You’re not alone. Across the pond, 60% of UK landlords have seen a spike in late rent payments, and this is just one problem. A less-than-stellar payment stack and process impacts tenants, too. 79% of renters say issues, like lost, incorrect, or delayed disbursements from their property manager, have caused them to stop renting from them. 
Efficient and accurate rent payments are pivotal to your company’s success. So, it quite literally pays to get your solutions and processes in order. In this article, we’ll shine the spotlight on the top payment faux pas in rental property management and ways to avoid them. We’ll also reveal a popular solution you can use to get your payment stack up to scratch without investing heaps of time, effort, and money. Let’s get into it.
Mistakes, we all make them. But when your company’s money is on the line, it’s best to prevent as many as possible. The first step to solving issues in your rent payments is acknowledging they exist. Let’s zoom in on some of the most common mistakes.
No one wins when you have inflexible rent payment rules and processes. Your staff has to battle through rent week chasing late payments. Renters can struggle to pay on time, putting your company’s precious cash on the line. This issue is rife. 40% of renters say flexible rent is important. Yet, just 9% of tenants can access flexible payments.
With such demand for more relaxed rent payments, one thing is clear: strict schedules will hold your company back. On the flip side, investing in flexible rent payments can help your business attract and retain more tenants.
Late and non-payment is one of the top issues property managers face. Traditional payment methods like manual checks and paper-based transactions worsen the issue. Do you use industry favorites like standing orders and an online rental payment portal? Well, these aren’t off the hook, either. Such tools give little leeway on payment times and are often separated, making it more difficult to leverage data for decision-making. This situation can lead to even costlier issues like misallocation of funds and regulatory noncompliance. Yikes!
Have you ever sneaked a peak at how much bank transfers and your online rent payment portal cost? For many, it’s a jump scare moment. Charges for receiving wire transfers can hit $50, and some rent payment portals levy hefty fees on tenants and landlords. In the end, these solutions cream huge slices of cash off your company’s bottom line. Worse, these solutions don’t translate into better processes for the company or tenants. It’s essentially pouring money down the drain.
Building a robust and diversified payment stack is essential, but the wrong setup is a recipe for disaster. Issues arise from disconnected tools and processes, especially for tasks like rent collection, expense management, bookkeeping, and tenant communication.
For example, many property managers use Excel, physical receipts, and email to track rent payments. The problem is, that this setup can cause mistakes, backlogs, and customer complaints due to the manual processing aspect and authorization bottlenecks. Late payments and delinquencies can also go unnoticed due to siloed data. On the flip side, companies that use the right technology in property management see a whopping 800% ROI. They also skyrocket data visibility and improve decision-making.
Whether you’ve got snail-mail fans or avid cash counters on your team, being digitally averse sets your business up for failure. Before you know it, you’re missing opportunities, losing money, and falling behind competitors. On the other hand, digital transformation will give your rental property management company a competitive edge. We’re talking increased growth, tenant satisfaction, and efficiency to name a few perks. For example, from 2018 to 2022, digital leaders have built their active customer base at a rate of 0.5% and revenues by 0.8%. That’s compared to digital laggards who saw no growth in their active customer base and a 1.4% drop in revenues.
Unclear payment processes, hidden charges, and questionably high fees are just a few mistakes that muddy the waters in your rent payment process and create a poor tenant experience. Lax security measures, like keeping credit card details in hard copy, using shady payment tools, or switching between umpteen bank accounts, can also expose your renters to data breaches and fraud.
In such cases, tenants can lose trust in your organization and cut ties, leading to reputational damage and financial losses. 65% of businesses that suffered payment fraud or cyber-attacks couldn’t recoup the funds from the successful fraud attempt.
While diversifying how tenants can pay rent is key to maximizing on-time payments, you must be strategic. Throwing together too many tools can overwhelm renters and create more busy work for your team. Just think how much time everyone will need to learn each solution and manage payments through them.
Instead, offering a comprehensive solution or two is best to make everyone’s lives easier. Each rent payment solution you use should be digital, with flexible payment terms. It should also leverage automation, be secure, and complement other solutions in your payment stack. For example, Sage Ventures saved ~5 hours of admin work per Assistant manager per week by upgrading their rent collection process with Flex. 
Have you made some of the payment mistakes we covered? Don’t sweat it. Let’s run through some quick tips to course-correct your rent payments.
Good news! You no longer have to settle for expensive, stiff tools and processes that create endless headaches for your team. Flex offers a purpose-built rent payment app that allows users to split rent into two affordable portions. Flex also provides:
These features result in:
Faster transactions
Reduced errors
Less admin
Enhanced financial visibility
Increased tenant satisfaction rates
Improved net operating income
Higher return on investment
and much more.
In today’s competitive rental market, efficient payment solutions and practices are more critical than ever. So, step back and consider which mistakes your company is making with rent payments. Take inventory of the solutions you’re using and the results they produce. Then, find and test solutions that will level up your payment stack. Be strict in adoption criteria for your rent payment solutions. Focus on solutions with features that enhance cash flow, staff productivity, security, and renter happiness. Test them thoroughly before going “all in.”
Take these steps, and you can have a rent payment stack that makes tenants smile and takes your business to new heights.
Are rent payments standing in the way of your company’s success? Get ahead with Flex.
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]]>The post Housing types that thrive with Flex appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Will Flex work for us? Will our staff and tenants use the solution? Can Flex actually make us money?
If you’re asking any questions along these lines, don’t sweat it. It’s normal to want to make the right decision. Rent payments are a huge deal—so much so that how you collect them can make or break your business. But this fact isn’t always reflected in rent collection solutions and processes.
79% of renters say they’ve received incorrect, delayed, or lost payments from their property management company, which led them to cut ties. On the other hand, 78% of residents say making and receiving online rent payments would improve their view of their property management company.
Like many property managers and landlords, you’re probably searching for a rent payment solution that your renters and team will love. You may have even tried a few options, like an online rental payment portal. Now, you’ve found Flex and wondering what makes our app so special compared to the other rent payment solutions out there. We get it. To help you decide whether Flex is right for your business, we’ll be covering the housing types that have done well with Flex.
Have you ever paid for goods through a phone app? Chances are it was quick and easy, allowing you to complete your transactions with little thought. Well, Flex allows users to do just that, only this time for rent payments.
Our innovative technology simplifies paying and managing rent while making it more affordable. Using Flex, your tenants can split rent payments into two affordable portions and adjust the second installment date to suit them (subject to credit checks and terms and conditions). Once your company is all signed up, we’ll pay rent on the 1st of each month, no matter what. Additionally, our solution will chase tenants who pay rent late, not your team. Your team will get access to real-time data and analytics on your tenants to help your team forecast quicker and more accurately.
If you’re worried about how much this is all going to cost you, don’t be. Flex is free for your company, with low fees for renters. Plus, if you’ve got staff living on the property, they can use our app on the house. As a result, you can look forward to perks like:
More on-time payments
Optimized cash flow
Increased ROI
Higher net operating income and efficiency
Less rent collection admin
Happier tenants and staff
Less admin and risk
More time to focus on growth initiatives
One of the great things about Flex is its versatility. This feature allows it to cater to different tenants’ preferences and help property managers and landlords succeed. Let’s break down some of the housing types and renter profiles that are winning with Flex.
From books and tuition fees to lump sum rent payments and food costs, students have a lot of costs to cover. Some have demanding study schedules and extracurricular activities. These commitments can make it difficult to work enough hours to cover bills. Others are dependent on loan or scholarship installments, resulting in irregular income.
So, many students face the reality of too many expenses and too little time and funds. Flex helps students stretch cash further and provides more time to pay rent. This feature increases the odds of on-time payments, stabilizing cash flow in your business. You’ll also ease the administrative load on your team since they’ll no longer have to chase payments.
It’s easy to think you don’t need flexible rent payments when you’re managing luxury properties, but the opposite is true. “Cash is king”, especially in this choppy economy. Class A renters often prefer being liquid throughout the month. It’s also common to see those with good credit using credit cards to stretch out payment dates.
Others pay for high-end purchases in installments to preserve cash periodically. Around 68% of financially stable BNPL users have leveraged the solution at least twice in the past year. The same reasoning fuels many Americans with large mortgages opting for biweekly payments. While Flex isn’t a BNPL solution, renters can still access similar perks like split rent payments to achieve this. Every little helps.
Did you know more than 80% of households in Section 8 housing earn less than $20,000?
Between rising living costs, 24% rent price hikes, rent controls fuelling housing shortages, and a spike in unemployment, cash can get tight for these tenants. Such circumstances make them ideal users, increasing the odds of adoption.
This is because implementing Flex can help tenants in affordable and subsided housing catch a financial break by addressing affordability immediately with split rent payments. Our solution also promotes financial inclusion and wellness,[Link to resident financial health blog post] helping more people to afford a place. For example, Flex extends payment flexibility, automated payments, credit building, and budgeting assistance to renters. These are great benefits since tenants using Section 8 and affordable housing don’t always have access to traditional credit. Using our solution, rent payments can contribute to credit history, allowing tenants to build their credit scores.
You may wonder, “What about the late fees we’ll miss out on by implementing Flex?” However, it’s important to consider the risk associated with late payments. Last year, 7% of landlords missed mortgage payments due to tardy rent from tenants. A better approach is to focus on securing on-time payments using a solution like Flex.
When you’ve got a handful of properties, rent payments are even higher stakes due to cash coming from fewer avenues. It’s also common to depend on rent payments to cover expenses like salaries or maintenance. This situation can make for a very stressful Rent Week.
With Flex, you’ll streamline collections and stabilize payments using automatic reminders, payments, and (non-payment) follow-ups. You’ll no longer have to wait for Rent Week to collect funds. Nor will you need to question whether you’ll get rent thanks to our commitment to paying out each month whether tenants have paid or not. These features will increase your team’s productivity and income without increasing workloads.
You can also enhance financial visibility and maintain accurate records to guide decision-making and drive more tenant satisfaction [link to the power of happy tenants blog post]. Simply use our automated receipt issuance, reporting and analytics tools, and seamless integration with property management, HR, accounting, and ERP solutions.
To improve rent payment processes and set your business up for continued growth, it helps to learn from those that have gone before.
Take Sage Ventures, a Maryland-based property management company with over 4,000 units. The property management team received many requests from tenants for flexible payments and noticed an increase in delinquencies. So, Sage decided to test Flex’s rent payments app.
After a successful trial, Sage onboarded Flex across its portfolio. Using Flex, Sage now saves 5 hours each month on admin per assistant manager, which they redirect to strategic tasks. They’ve also seen a decline in delinquencies. Plus, Sage has processed $2.2 million in rent payments since July 2023 using Flex.
In today’s tech-driven world, using cutting-edge technology to run your rental property management company is a must. A great place to start is leveling up your rent payment solution. But don’t go for any ol’ solution. The right one will mimic your tenants’ payment preferences, increase on-time payments, and take pressure off your team, to name a few. Considering this, Flex is a good shout. By partnering with us, you can deliver a modern, sleek rent payment experience without adding to your team’s workload.
So, don’t wait. Book a demo to learn how Flex can revolutionize your rent collection processes.
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]]>The post The power of happy tenants appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Are your tenants happy with your property management efforts? Like shouting from the rooftop, singing your company’s praises kind of happy?
They should be. And if not, it’s the point you should get them to. Residents who are happy with their property’s maintenance are three times more likely to renew leases. Also, a renewing tenant is worth an extra $900 on top of their rent payments.
Put another way, focus on tenant satisfaction, and you’ll hear that almighty cha-ching more often. And let’s not forget the valuable social proof and referrals you’ll receive from having tenants be loud and proud about your business. 
In this article, we’ll explain how tenant satisfaction drives bigger profits and some ways to achieve it in rental property management.
As a property manager or landlord, you’ve probably heard countless times that keeping tenants happy is essential. But this advice doesn’t always come with a list of what’s in it for you. Let’s cover a list of benefits to expect:
Have you ever sat in a good mood at your desk, ready to start your day, then suddenly you’re bombarded with complaints, late rent notifications, and queries? Now, you’ve got a hopelessly long to-do list and angry tenants to deal with. All you can think about is logging out and throwing your laptop in the trash, or better yet, running away. 
We’ve all been there. The good news is it doesn’t have to be this way. Improving tenant satisfaction will reduce your team’s administrative load and its overhead. This is because happy tenants are more likely to adhere to lease terms, make timely payments, and communicate effectively. Lease renewals also become smoother.
Another knock-on effect of happy tenants is a happy team. The sad reality is that employee retention in property management is poor, with 1 in 4 leaving the industry. Staff often bear the brunt of residents’ frustrations, which takes a toll on their mental health. 24.3% of property managers say managing aggressive and abusive renters is the most stressful part of their role. Creating a positive tenant experience translates into a harmonious environment for your team. Staff’s stress levels dip, and job satisfaction rises, which fosters a more collaborative and productive workplace. This environment also powers employee engagement.
When managing multiple rental properties, it’s easy to fall into the trap of busy work. Soon, sending emails, chasing tenants for rent, and filing documents take priority over scaling goals. Months go past, and you’ve made little to no progress toward your growth goals. When you focus on tenant satisfaction, you’ll get routine tasks under control. Having fewer operational bottlenecks creates more bandwidth in your team. This capacity will allow you to explore scaling initiatives. Think exploring new markets, increasing marketing and sales efforts, implementing innovative technologies, and buying new properties or enhancing existing ones.
Like most property managers and landlords, getting the business to where it is now has taken a lot of time, money, and effort. So, it’s important to protect it. Upleveling tenant satisfaction will help you keep and build on your gains. For example, satisfied tenants stick around for longer, increasing tenant retention rates. They’re also more likely to recommend your business promoting growth. This setup is crucial for maintaining your progress, driving cash flow stability, and building a solid reputation in property management.
As someone running a rental property management company, improving NOI and ROI is probably high on your list of priorities. Well, stepping up tenant satisfaction is one way to do it. As we mentioned earlier, satisfied tenants become advocates for the property, which can lead to increased referrals. Here’s where the magic happens. Organic growth reduces the need for extensive marketing efforts and tenant acquisition admin costs. Why? It’s 5X -25X more expensive to acquire customers than to sell to existing ones. Also, increasing customer retention by 5% can scale profits by 25% to 95%.
Now that it’s clear why tenant satisfaction is crucial to your business’s success, the next question is how to do it without overextending your team or budget. Let’s run through a few tips and tricks.
Before implementing any changes, it’s essential to understand tenants’ needs. Let your residents point you in the right direction. Here’s where tenant feedback surveys come in handy. While they aren’t the newest way to engage tenants, they can drive smarter decisions. To optimize the effectiveness of your survey, create a structured and professional dialogue covering all facets of the tenant experience. Some questions to include in your resident survey are:
Once you’ve created the survey, get some participants. Some great ways to increase feedback are to:
Top tip: Track your Net Promoter Score (NPS). This metric gives you a good indication of tenant satisfaction, as it shows how likely they are to recommend your service.
Consumers care about customer service. So, whether they have a good or bad experience, others will hear about it. Providing phenomenal customer support is essential to boosting tenant satisfaction. To polish customer support, you could:
Things change, whether it’s a tenant securing an educational opportunity out of state or a new job hours away. Such events could change their property requirements. But it’s no secret the property market has given renters a rough ride in recent years. 73% say a lack of available housing has affected them, and 34% say they struggled to find their current home. 24% of renters feel their current rental tenure doesn’t suit them, 46% don’t live in their preferred area, and just 26% say they’re satisfied with the level of security provided.
Those are some bleak stats, but there’s a silver lining. This situation gives your rental property management company the chance to boost tenant satisfaction and shine. Help prospective and current tenants navigate life’s shifts by staying informed of their needs and offering flexibility.
For instance, say two tenants renting a one-bedroom apartment are expanding their family. They want more rooms and outdoor space. You could assist them by:
Resident perks are nice. But do you know what’s even better? Recognizing and appreciating renters that have stuck around. A great way to do this is to set up a loyalty program. It can help your business grow, too. 84% of consumers will stick with a brand that offers a loyalty program. Also, top-performing loyalty programs increase revenue from consumers who use them by 15% to 25% yearly. So, study the profiles of your long-term tenants. Then, offer discounts, exclusive events, or personalized gifts. Don’t forget to vocalize your appreciation for tenants and promote the available treats for loyalty to increase signups.
How tenants feel about your property affects their enjoyment and retention rates. So, it’s essential to give them the best experience possible. There are many ways to enhance your resident experience. But to start, focus on quick wins. These include personalizing and diversifying your amenities, implementing sustainability initiatives, and polishing shared spaces and units. For example, you could:
Top tip: Identify the most common profiles in your tenant base with questions during the screening process and surveys. Use this information to adjust perks so you always have ways to improve.
Want a quick and painless way to improve tenant satisfaction? Step up your payment options. Tailor them to your residents’ current wants and needs. For example, Flex, a rent payments app, makes life easier for all, contributing to tenant satisfaction. Renters get financial flexibility since they can access split rent payments and manage rent on the go. Users can adjust the second payment date to make the cost more manageable, reducing late payments (subject to credit checks and terms and conditions).
Flex also accelerates rent for owners and property managers while reducing the admin associated with it. While Flex isn’t a delinquency management solution, on-time payments are a natural byproduct, as are fewer errors and complaints. That’s why 5.5 million units offer Flex, a rent payments app, as an amenity.
Plus, you won’t have to wonder whether your company will get paid. You’ll get rent on the 1st of each month, in full. Plus, Flex has nominal fees for renters and no extra cost for your business. Some more perks of using the app include:
Optimized cash flow
More return on investment
Higher net operating income
Happier residents and staff
Tenant satisfaction isn’t just a byproduct of successful property management but a driving force behind it. Happy tenants lead to positive referrals, reduced administrative burdens, and increased profitability. So, start and end your tenancies positively with hassle-free transitions. During each renter’s stay, offer optimized payment options, top security, excellent customer support, and well-manicured properties. Also, focus on building relationships and positive experiences beyond signing the lease. Soon, you’ll have a team of happy tenants going out telling the world about your business.
Want to level up your tenant satisfaction? Make it happen with Flex.
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]]>Are you struggling to keep employees around? If so, you’re not alone. The multifamily property management’s quit rate sits at around 33%, 10% higher than the industry average. Even more worrying, just 49% of property managers plan to stay in the industry, a steep 9% drop from 58% in 2018. 
The labor laws are well underway and are causing instability in the global workforce. To win, you’ll need to call in reinforcements. But where do you start? In this article, we’ll dissect the issues fueling the labor wars and how they impact rental property management. We’ll also reveal how having Flex as a tool in your arsenal will help you build higher staff retention rates and happier teams.
You don’t have to look far to hear talks of employee shortages and strained operations in countless industries. The rental property management industry is one of those taking a beating. Let’s unpack some of these issues.
The talent pool as we once knew it is gone. Gen Z has entered the workforce with higher expectations of work-life balance and career development. Millennials face a career identity crisis, realizing that promises of better wages and career opportunities from securing higher education may not happen. Gen X is approaching an era of more responsibility and costs at home, raising families with aging parents. Some Boomers have to work into their retirement, creating an aging workforce. So, it’s no surprise that:
In business, you’re only as good as your staff. But, with the workforce pool shrinking, talent gaps have emerged. As a result, some rental property management companies face challenges in finding qualified candidates to fill vacant positions. These vacancies place more pressure on existing staff, who often already have sizable workloads. This situation can lead to burnout, absenteeism, and disengagement fueling the cycle of employee turnover. The issue has become so common that 59% of employees aren’t engaged at work, and 51% are looking for new jobs if nothing changes. 
Labor shortages have intensified competition among property management companies to attract and keep top talent. At the same time, large companies have entered the market, exacerbating competition for skilled workers. As a result, recruitment in rental property management has become a battle of the budgets. The companies with the deepest pockets and willingness to invest win by offering more perks, so smaller businesses don’t get the chance to land a swing, missing candidates as a consequence.
Let’s put this situation into perspective from the view of an employee. Say you’re at the top of your game as a property manager and receive identical salary offers. One company has a basic package, while the other offers a large sign-on bonus, better medical insurance, wellness perks, vacation, and career development resources. Which would you choose?
Labor wars don’t just drag down staff numbers; they negatively impact service quality, too. Stretching teams too thin makes it challenging to provide timely and efficient support to current and prospective tenants. This problem can have undesirable consequences like decreased satisfaction, increased turnover rates, lost sales, and opportunity costs.
If you’re ready to step up your staff retention, the chances are you’ve come across some technology staples like property management and workforce management solutions. So, you’re probably wondering how a rent payment app like Flex can encourage employees to stick around. The answer lies in Flex’s features and benefits. Let’s break them down.
Ensuring staff meet targets is important, but so is helping them acquire the skills to do so and providing the tools to facilitate it. Yet, just 34% of property managers say they’ve had adequate training to execute their role successfully. Sound familiar? There’s hope. Using Flex will reduce your team’s administrative burden and sharpen their efficiency. From here, employees can focus on other valuable endeavors like career development training and business scaling projects. Such initiatives also boost engagement.
Make the switch to improve staff retention and engagement, and your business could be in line for huge rewards. Companies in the top quartile for employee engagement are 23% more profitable and 18% more productive in sales. They also experience 81% less absenteeism, 64% fewer safety incidents, and 18% lower staff turnover for (high-turnover companies).
Rent payments are critical to keep operations ticking. Knowing this, you may have tried to offer split rent payments as a way to encourage early and on-time payments. But without the right solution, it’s easy for things to go haywire. This is especially true if you’ve got a small team or hit busy seasons.
Whether it’s chasing later payers, double-checking payments, or completing paperwork, each admin task adds an extra layer of complexity to your staff’s day. Soon, your team is using their limited bandwidth to put out fires instead of focusing on income generation and tenant satisfaction.
But when you leverage flexible payments through our rent payments app, your staff can work smarter, not harder. Flex allows you to collect rent payments around the clock without needing staff to cover the phones and emails. Flex also automates the rent collection process, meaning no more manual follow-ups, payment recording, and filing admin. That’s a huge load of work your team no longer has to worry about. This setup also means it’s not disastrous if employees are on vacation, sick leave, or busy with other tasks. Our flexible payments solution even reduces the admin burden on the site staff like leasing agents freeing them to focus on tasks like marketing, resident tours, and customer service.
Losing a payment or opportunity due to a manual error or having dirty data derail your company’s choices, is common. It’s easy to see why when you zoom in on technology choices and processes. 43% of rent payments are still paper-based, and bad data costs most businesses between 15% and 25% of their revenue. Thankfully, when you install Flex, you can curb such issues. Our solution will:
You’ve probably heard that promoting resident financial health is essential to boost their loyalty. Well, helping staff master their finances can do the same for your staff retention rates. When staff feel appreciated and considered by their employers, they’re more likely to return the favor with their continued presence. Offering Flex is a great way to care for your staff as part of the company’s benefits package. This is because Flex isn’t just free for landlords. It’s free for employees who live at the properties offering our solution, which can increase employee retention. Using our rent payment app, your staff can then stretch paychecks further, making life less financially stressful.
Labor wars continue to rage on in the rental property management industry, with no signs of wavering. So, as a growing business with big goals, you’ll need proactive ways to attract and retain top talent. Let Flex support your staff retention strategy to help staff get ahead financially and increase engagement. Then, combine Flex, with optimized work processes, learning and development investments, and personalized benefits to build enviably staff retention rates.
When you take care of your staff, they’ll take care of your business. So, don’t wait. Get the ball rolling on your employee retention and engagement initiatives today.
Don’t let low staff retention hamper your business. Tackle the burn and churn with Flex.
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]]>The post How to go from manual mayhem to rent payment bliss appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Warning! A harsh reality is coming. 
No matter what growth stage your rental property management company is in, manual rent collection and traditional payment methods will keep your company from fulfilling its potential.
For example, four out of ten tenants still use checks to pay rent, yet checks are the payment option most vulnerable to fraud. Then there are stressful rent weeks with a hefty admin bill and no guarantee of payment. And let’s forget late and non-payments, which are some of the biggest challenges rental property managers face.
The good news is upgrading your rent payment tools, and processes can pay huge dividends. But how do you go about it? In this article, we’ll delve into the reason why traditional rent collection tools and processes miss the mark. We’ll also share ways to bring rent payments into the future.
It’s easy to look at old-school rent collection tools and processes with nostalgia. Soon, you’re putting off change, reasoning that they’re not that bad and how you’ve always done things. But, holding on to traditional rent collection tools and processes will cost you. Let’s explore some reasons why.
Have you ever called the wrong number or been told the wrong name, which you then used when speaking to current or potential tenants? If so, chances are such scenarios weren’t just embarrassing. They also wasted time and left everyone confused. You’re not the only one to be struck by bad data. Outdated information, errors, and omissions cost US businesses a whopping $3.1 trillion every year. The lack of data visibility caused by data trapped in spreadsheets, physical files, and disconnected tools also impacts risk management, compliance and decision-making.
The reality is that manual payment tools and processes are more vulnerable to manipulation. This fact makes spotting fraud from staff and renters harder. Just think how hard it is to spot a forged check, intentional check bouncing, or expense fraud by eye. Worse, your business ends up on the hook for financial and reputational losses.
Did you know 79% of renters say they’ve received incorrect, delayed, or lost payments from their property management company which caused them to not rent from them again?
Not good. Also, the true cost of rent admin isn’t immediately obvious, and there’s the danger. Admin makes up almost 70% of business costs. So, tasks like filing paper statements and verifying rent payments swipe digits from your bottom line. Plus, there’s always the chance costly errors could slip through when you process rent collections by hand.
Rent week busywork like calling tenants and tools your team can’t access online or use remotely, like accessing physical records, are set up for failure. A lackluster rent collection strategy creates inefficiencies and low staff morale. They also make it harder for your team to hit targets, slowing business development. Yet, these issues are rife. Half of employees with limited digitization spend a minimum of two or three hours per workday on ineffective processes. Also, 59% of workers say they could save six hours or more if they could automate repetitive parts of their role.
Clunky and manual rent payment tools and processes don’t just impact staff; they can also leave a bitter taste in tenants’ mouths. For instance, say you only let tenants pay rent by check, cash, or bank transfer each month. But you only process payments during business hours in the office. The tenant will have to disrupt their busy schedule to pay your team a visit or call if they have a query or issue, causing inconvenience. Mailing checks and ACH payments can also lead to delays in processing, causing anxiety for tenants waiting for confirmation of their rent payments. The result? Missed payments, wasted time, and strained relationships with renters.
If you’ve encountered some of the issues we just covered from traditional rent payment collection, don’t worry. Modern solutions like a rent payment app can help your business turnover a new leaf. Let’s cover a few ways:
In today’s busy digital world, people value speed and efficiency. Modern rent collections fulfill this need with innovative technology. For example, with Flex, your tenants can pay rent via our app in a few taps. Our solution also equips your team to manage rent collection on autopilot
As market volatility continues, renters seek ways to optimize their financial health through rent payments. More flexibility for tenants keeps them satisfied. In turn, you can expect higher retention rates and fewer tenant-related issues. Get this:
When you’ve got to cover payroll and maintenance, the last thing you want is delayed rent payments. Yet, when tenants pay rent late, you’re down an income source. Luckily, a rent payments app helps you gain more predictability in cash flow. With an app-based setup and automation, your tenants no longer have to do tedious checks on banking details, set up standing orders, or make trips to the property management office to pay rent. With tools like Flex, renters also get payment due reminders. These features make on-time payments more likely. Avoiding late rent payments also helps your business dodge those pricey evictions, leaving more cash in your company’s pocket.
From intentionally bouncing checks and falsified documents to staff siphoning resources, fraud is on the rise on the rise in rental property management. Using solutions with in-built security features is essential to keep your business safe. That’s where the rent payment app comes in. Reputable solutions use security measures like two-factor authentication, security certificates, and firewalls. As a result, you’ll keep sticky fingers away from your rent payments, giving your team and your tenants peace of mind.
Given all the enticing benefits of optimized rent payments, you’re probably keen to start the transformation. So, what move do you need to make? Let’s find out.
Controversial take: Those paper filing systems, spreadsheets, online rental payment portals, and long processes hinder progress. Even if you let tenants pay rent online now, this setup only creates more issues. We’re talking disbursement mistakes, rent payment delays, and compromised security, just to name a few.
To correct these issues, look for comprehensive solutions that can manage rent collection from start to finish without your team needing to intervene. These automated features could look like:
Top tip: Integrate data from other solutions in your business (e.g., HR, ERP, property management, and accounting software) to keep data clean and synced and drive data-driven decision-making
Continuously improving the customer experience should be high on your priorities when changing how tenants pay rent. But there’s a condition: you’ve got to know your tenants’ current wants and needs to ensure your tweaks always hit the mark. For example, instead of cutting out rent payment options and changing the process for staff to pay rent cold turkey, find out which ones the tenants would like to keep. You can get tenants’ opinions on rent payment processes and solutions through:
When modernizing rent payments, the way staff work will inevitably change. So, it’s essential to build a culture that supports these shifts. Here are some steps you can take:
To increase adoption, you’ve got to pick the right technology. This means solutions that help staff and tenants. Your rent payment solution should also be:
Learn more with our flexible payments ebook.
Now for the questions, you’re probably “Why should I consider Flex for securing rent?”. We’re glad you asked! Some perks your business stands to gain by partnering with Flex include:
Whether it’s due to sluggish rent payments or wanting a competitive edge, upgrading how tenants pay and how you process them is always a good shout. But don’t be tempted by shiny objects in the rent payment technology space. Select solutions that offer digital and flexible rent payments in a format that makes managing them easy for all. Test the solution before going all in, and tweak your approach as you gather more data with the tools. For many, that solution is Flex, and our partners are thriving. So, if you’re curious how you can hit reset on your rent collection. Book a demo today.
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]]>The post Personalization in rental property management: A simple guide appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Do you remember when adding renters’ names to a mass email or text message was the go-to way to add a personal touch? Personalization in rental property management has come a long way since then. These days, personalization goes beyond surface-level tactics; it extends into the tenant experience, from the amenities you offer to the customer support you provide.
The best part? Personalization can have game-changing effects on your business. 86% of people say personalization impacts their buying decisions. Also, customizing experiences can increase your return on investment by 5X to 8X.
But to get the most out of this trend, you’ve got to know where to invest and what to expect. In this article, we’ll explore some opportunities and roadblocks to look out for. We’ll also unveil how personalization can look in different areas of rental property management to inspire your execution.
Personalizing experiences and services for your tenants can pay huge dividends. But such actions can also come with flaws and pitfalls you’ve got to prepare for. Let’s zoom in on a few.
You’ve probably seen examples of personalization in your daily life through things like marketing and comms campaigns. But how can you apply this trend to rental property management tasks? Let’s explore some areas to customize your tenant experience for the biggest gains.
Did you know over 80% of top-performing property managers get feedback from renters? So, before you start any personalization initiatives, ask your tenants for some pointers. Get to know their interests and use this information as your northern star. Check in at regular intervals to stay informed of current tenant sentiments and tweak your approach.
While collecting information, it’s important not to pry. Frame survey questions to gather insights without being intrusive. For instance, you can use open questions and text boxes and ask about lifestyle preferences indirectly, allowing tenants to decide what information they want to share.
Top tip: Be transparent about how you use the data you collect. 76% of people say they want companies to be more upfront about how brands use their personal information. Also, 40% say they would be open to sharing their data if they knew who was using it and why.
Creating a smooth move-in process from start to finish is essential for tenant satisfaction and retention. Using personalization is a great way to do it. Here are a few ways:
Cookie-cutter annual leases won’t be the right fit for every tenant, even if you add a break clause. Some may want longer leases to save money and time. Others may need shorter leases due to demands in their personal lives, like work or education. So, discuss future plans and expectations with potential tenants. Then, come to a compromise on lease lengths that will work for your company and them before signing on the dotted line.
Many property managers provide generic directories to their tenants. Step this up a notch by tailoring the information in your welcome packs to include relevant local amenities and services. Also, include specific benefits the resident will receive and useful information based on their specific needs and preferences. For example, if a family is moving in with children, you could highlight nearby schools and family-friendly activities.
Believe the hype. Digital property management is where the party is at. It can help you create an unforgettable tenant experience that keeps renters engaged. So, provide an onboarding portal that shows tenants where they are in their move-in journey and what’s coming next. Also, allow tenants to set preferences. This move will ensure resources and communications always align with the tenant’s requirements.
Whether it was for a gym or school, you’ve probably been on a bog-standard facilities tour. Chances are it wasn’t fun or memorable. Go against the grain by offering individualized orientation tours. For example, if the tenant is health-conscious, the tour can highlight fitness amenities, local exercise classes, health food stores, and personal trainers. If a tenant is short on time, you could offer a pre-recorded or virtual reality orientation tour and a virtual assistant to answer basic questions. This approach helps tenants settle in and feel more connected to their new living environment.
Having amenities is great, but what’s even better is having benefit packages that cater to different tenant profiles. These perks should make the tenants’ stay more enjoyable and their lives better. Create a handful of packages according to the most common tenant profiles for cost-effectiveness. Then, diversify as you get more data on your tenant base and their expectations. For instance, if your tenant base is predominantly students, personalization could look like a study room and collaborating with local businesses to offer discounts and deals.
Another way to personalize your tenant experience is to implement solutions that give each renter more control over their unit. Think smart home devices like keyless entry systems, thermostat controls, smart lighting, and video-enabled security doorbells. 
Also, personalize communications and automate routine tasks to make life easier for tenants. For instance, you could send rent reminders for things like HOA fees, garbage pickups, and community updates via the tenant’s preferred communications channel. This approach simplifies tenants’ lives and shows tenants you care and are looking out for them.
Have you ever had to take a day off work to sit at home and wait for maintenance work? Large visitation windows add salt to the wound, especially when the contractor gets rescheduled at the last minute. Such scenarios aren’t just irritating; they’re disruptive to tenants and create a poor experience that can cost you renewals. On the flip side, proper maintenance doesn’t just make tenants smile. Residents happy with their property’s maintenance are three times more likely to renew leases. Here are some ways to customize maintenance processes:
Everyone’s financial situation is different, even when they live in the same building or community. So, it’s important to provide payment options that fit your tenants’ needs and preferences. Offering flexible payments through a digital solution like an app is a good idea. Take Flex, our rent payment app, for example. It allows users to split rent into two affordable portions.
Flex is also versatile, allowing you to cater to different housing types and tenant profiles. For instance, tenants in need of a financial break can split rent to make the cost more manageable. Wealthier tenants can also use Flex to stay liquid. Users can also build their credit scores, contributing to their financial health [Link to resident financial health blog post]. So, it’s no surprise Flex is one of the top 200 apps in the US App Store, with 83,000+ resident reviews and 4.6 app store ratings.
In today’s competitive market, staying top of mind, building connections, and driving revenue is key to getting ahead in rental property management. Customizing your approach to each tenant is an effective way to do it.
Personalizing your rental experience shows prospective and current tenants that you see them as individuals, not another name on your list. Also, being proactive in how you tailor tenancies ensures a smoother renting experience. Tenants aren’t the only ones that benefit from personalization. Your company can expect higher NOI, ROI, tenant satisfaction, and retention rates, to name a few perks.
But personalization in rental property management isn’t just about greeting tenants by name or offering tailored amenities. It extends into the financial aspects of the tenant experience, too. So, as you find ways to customize tenants’ renting experiences, don’t forget about finances. Invest in tools and processes that cater to the tenants’ individual financial circumstances, including their rent payment preferences.
By implementing personalized touches, you can create a memorable tenant experience that exceeds expectations and keeps pipelines and pockets full.
Flexible payments are putting rental property management businesses on the map. Book a demo to learn how Flex can get your company noticed.
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]]>From chaotic rent weeks to increasing competition in rental property management, many issues can crop up when your payment stack is out of whack. The result? Sluggish rent payments and unsatisfied tenants. Late and non-payment are some of the top issues property managers face, and 40% of tenants say flexible rent is important.
Adopting flexible payments to fix these problems could make sense. So, you’re probably thinking it’s time to upgrade your rent payment technology and scoped out a few solutions. Now, you’ve come across Flex and wonder how it could transform your rent payments. You’re in the right place. In this article, we’ll highlight some Flex features that’ll help your business get ahead. We’ll also share when to give Flex the green light or red light for specific scenarios, tenant profiles, and business types.
Whether it’s an online rental payment portal or a generic Buy Now Pay Later solution, you’ve probably seen many tools claiming to transform rent payments. You may have even tested a few. Now, you found Flex and want to know why you should try it. We get it. Here are a few solid reasons why Flex is the best choice for rent payments:
Procrastination is inevitable when tenants have to jump through hoops to pay rent. Clear the way for speedy rent payments with our UX-optimized app, which allows tenants to pay rent in just a few taps. Tenant satisfaction, here we come!
Sometimes, all it takes to increase on-time payments is letting tenants spread rent costs. That’s where Flex comes in. Users can slice rent payments into two affordable portions and adjust the second pay to fit them. (Subject to terms and conditions). Plus, Flex is free for the landlord and has low tenant user fees.
No more wondering if or when your business will get paid. We pay rent to landlords on the 1st of the month every month. So, even if a tenant doesn’t pay up, you’ll still have incoming cash, giving you peace of mind.
Flex secures rent payments without your team’s manual effort, from reminders to pay rent to issuing compliant receipts. Taking a load off your team’s back also releases more time for other value-added tasks. As a result, you’ll enhance employee satisfaction and engagement.
Tenants aren’t the only ones who enjoy Flex. Staff who live on properties that onboard Flex can use our solution gratis. That’s right; your business and staff who live on-site pay zilch. This perk can be a great selling point in your talent acquisition policy. It can also boost employee happiness and financial health.
Only the best solutions will do with something as mission-critical as rent payments. Flex is vigorously tested and continuously improved, which has allowed it to become a trusted property manager favorite. 5.5 million units across the US use Flex. Flex is also among the top 200 in the US Google App Store. It’s got 83K resident reviews and a 4.6 rating. Also, 84% of current partners see Flex as a strategic solution for growth.
Create a property management tech stack that drives cashflow mastery, operational excellence and larger profits with our seamless integrations. For example, you can link Flex to popular property management solutions like Zego, Entrata, Rent Manager, Real Page, and Yardi.
Get your business noticed by fulfilling a growing ask: using on-time rent payments to build credit scores. Flex does precisely that. As a result, your business can help tenants improve their finances while creating more monetary stability for itself.
Picking the right rent payment solutions is essential for continued success in rental property management. So, before you sign the dotted line, you’ve got to make sure the solution is a great match. To decide whether Flex will work for your business, let’s zoom in on some instances when Flex could be a hit or miss.
Flex is an excellent fit for businesses:
Serving low-income to mid-income residents: If your resident base primarily consists of tenants receiving Section 8 or other housing subsidies, students, and working professionals, onboarding Flex could be a good shout. You’ll help tenants stretch cash further, relieving money stresses and increasing the odds of on-time payments.
Overseeing luxury residences: With costs like large rent payments to cover, many high-income tenants want to preserve cash. Offering Flex can help them stay liquid throughout the month, increasing their satisfaction
Looking to end the manual mayhem: Whether it’s chasing payments, filing paper receipts, or verifying details, manual work holds your team back. Onboarding Flex will create space in your staff’s workday to tackle growth-boosting tasks like marketing and sales 
Needing more consistent cash injections: Do late payments and delinquent accounts keep you up at night? Onboard Flex and sleep better knowing you’ll get rent payments every month guaranteed
With small teams wanting to improve productivity: Your team’s size doesn’t need to impact hitting goals. Flex will act as your trusted assistant, securing rent payments and completing the associated admin to maximize your team’s efficiency
Receiving requests for better payment options and more flexible terms: If the current tools you offer to pay rent are less than stellar, don’t sweat it. Turn over a new leaf with Flex. Our modern and flexible solution will allow you to keep up with tenants’ latest rent payment preferences easily
Wanting to diversify or digitize their payment options: Need a powerful rent payments solution to complement your existing payment stack? Flex can help. Our solution is a solid option for renters who want a quick, easy, and digital way to pay
Flex won’t be the right fit for companies:
Whose tenants don’t use or want mobile payments: Say most of your renters shriek at completing rent payments via an app because they prefer checks and standing orders. In such instances, adoption rates may be too low to see significant results
That reject technology and aren’t open to digital transformation: Does the Rolodex, fax machine, checks, and paper invoices still have a grip on your business? And you can’t convince your team to go digital? This resistance could mean implementing Flex won’t be as fruitful as it could be 
Businesses with very small-scale operations: If your business is just getting started (e.g., one unit, two tenants) or has unique payment arrangements that Flex can’t accommodate, passing on Flex temporarily could be the right call
How do you get started with Flex?During the demo, we’ll take you through how the Flex app works, plus its fees and timelines. Feel free to ask questions to understand how our solution could work for your business.
We understand that picking a solution for rent payments isn’t a small decision. So, before we join forces, we’ll arrange a trial for your company. Our clients typically test Flex first in 1-2 business areas or property types.
Next up is taking Flex company-wide. Choose from a phased rollout or implementation in one big swoop.
As you prepare to go live, you’ll need to market our rent payments app to staff and tenants. You’ll also need to share our educational resources and support. We’ll sort out the technical side of launching Flex and offer ongoing, expert support for a smooth transition. Once you go live, we’ll work with you to assess your results and adjust for bigger wins.
Sage Ventures is a Maryland-based property management company overseeing more than 4,000 units. The team kept receiving requests from residents for flexible payments and noticed a spike in delinquent payments. So, Sage decided to test out our rent payments app.
After a successful trial, Sage launched Flex across its portfolio. And it was a hit! Sage saw a steep drop in delinquencies and non-payments. Sage now also saves 5 hours every month on admin per assistant manager, which they’ve redirected to strategic tasks. Sage has processed over $2.2 million in rent payments since July 2023 using Flex. (Check out Sage’s awesome journey with Flex here).
If your business is ready to embark on the rent payment transformation journey, don’t go it alone. Flex can be your trusted partner for the ride. So, don’t settle for an online rental payment portal or blanket payment tools. Tap into our purpose-built solution and expert support to build a rent payments stack that wows tenants, boosts profits, and relieves staff. So, don’t wait. Book a demo today to discover how Flex can revolutionize your business.
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]]>The post Entrata Partners with Flex to Offer Flexible Rent Payments for the Modern Renter appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Property management companies using Entrata can now offer residents the ability to split rent into smaller payments while ensuring on-time payments
LEHI, Utah – September 17, 2024 – Entrata, a leading AI-enabled multifamily industry operating system, today announced its partnership with Flex, a leader in financial wellness solutions. This collaboration provides residents with unprecedented payment flexibility and simplicity and will be integrated in ResidentPortal via API.
The integration allows residents to split their monthly rent into smaller, more manageable payments while delivering property managers the same single rent payment they expect at the beginning of the month. Residents can easily discover and sign up for the payment option directly within ResidentPortal. Once registered, Flex pays the full rent amount to property managers at the start of the month, ensuring consistent cash flow without any additional effort from onsite teams.
“It’s important to Entrata that we provide the most seamless, flexible services possible to both residents and the property management companies we serve, so partnering with Flex was a great fit,” said Stephanie Fuhrman, Head of Corporate Development at Entrata. “Not only are residents given more control of their financial wellness, which we’re constantly striving to improve, but our customers can rest easy knowing they’ll receive participating residents’ full rent on time.”
There are clear benefits for all parties: Residents enjoy flexibility through a customizable payment schedule which reduces financial stress and improves resident satisfaction, ultimately leading to increased retention. Property managers, on the other hand, experience cash flow stability and stronger resident relationships through predictable rent, paid by Flex in full at the beginning of each month.
Now, through direct API integration, Entrata-powered properties can benefit from more on-time payments, increased resident satisfaction, retention, and operational efficiency without any extra work or cost for onsite teams.
“At Flex, we are committed to simplifying the rent payment process for residents and property managers alike,” said Shragie Lichtenstein, CEO and Co-founder at Flex. “Our partnership with Entrata allows us to deliver an intuitive, integrated experience that not only enhances resident satisfaction and financial well-being, but also improves operational efficiency for property managers.”
Entrata will be hosting Flex at Summit 2024, where they will join Entrata experts to discuss how the partnership will contribute to creating a functional vendor ecosystem that benefits both property managers and residents.
Learn more about Flex at www.getflex.com/entrata. For more information about Entrata, please visit www.entrata.com.
About Entrata
Entrata is the leading operating system for multifamily communities worldwide. Setting the bar for innovation in property management software since 2003, Entrata offers solutions for every step of the leasing lifecycle and empowers owners, property managers, and renters to create stronger communities. Entrata currently serves over three million residents across more than 20 thousand multifamily communities around the globe. Learn more at www.entrata.com.
About Flex
Flex is a leading financial services company that allows residents to split their rent and build their credit. Trusted by over 1,600 property management companies and offered in more than 6 million units nationwide, Flex has paid more than $8 billion in on-time rent. By integrating seamlessly with major property management systems, Flex offers a simple solution that supports operational efficiency and creates a superior resident experience. Learn more about Flex at www.getflex.com/properties.
Media Contact
Gianna Fornesi
[email protected]
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]]>LOFT from RealPage enhances the resident experience and optimizes property management operations with flexible, efficient and reliable rental payment options.
RICHARDSON, Texas & NEW YORK–(BUSINESS WIRE)–RealPage®, the leading global provider of AI-enabled software platforms to the real estate industry, today announced Flex as its preferred technology provider for flexible rent payments. This strategic partnership expands on the company’s existing integration, providing RealPage customers with the capability to enable Flex as a payment option for residents within LOFT
, RealPage’s next-generation resident portal and app.
High demand for payment flexibility was confirmed in a June 2024 national survey* of more than 2,000 renters, revealing that 93% are interested in flexible payment schedules instead of paying in full once a month. Flex’s mobile application will allow residents to split their rent bill into smaller, more manageable payments while ensuring property managers receive their full rent payment due on time. With over $8 billion in annual rent payments processed, Flex has become a trusted partner to property managers who offer the solution across more than 6 million rental units.
For property managers, offering flexible rent payments has proven an effective way to boost NOI (net operating income), improve resident retention and stand out in a competitive rental market. Through this technology partnership, RealPage multifamily customers can offer their residents a convenient alternative to traditional payment methods. With Flex, residents can better align their rent payments with their pay cycles, introducing flexibility that makes paying rent easier to manage and less financially stressful.
“Partnering with Flex allows us to offer a new level of financial flexibility for residents while simultaneously optimizing rent collection processes for property managers,” said Dana Jones, RealPage CEO and President. “This partnership exemplifies our commitment to delivering a unified, streamlined experience for residents and property teams within the RealPage ecosystem.”
For RealPage property managers, offering Flex payment options means:
Timely rent collection: Flex ensures simplified on-time payments, freeing staff from the administrative burden of chasing down rent and enabling them to focus on high-value activities like resident relations and property improvements.
Enhanced resident experience: By offering greater financial flexibility to fit each resident’s needs and lifestyle, Flex helps improve resident satisfaction and retention in a competitive market.
Improved operational efficiency: Fully integrated with the RealPage platform, Flex operates without additional costs or extra work for onsite teams, providing hassle-free implementation, reducing turnover costs and stabilizing revenue streams.
“This partnership enables us to expand payment options for millions more renters across the U.S.,” said Shragie Lichtenstein, CEO and Co-founder of Flex. “By partnering with RealPage, we’re taking the complexity out of rent, offering residents greater control over their finances and empowering property managers with more predictability in their business.”
Flex integration is available today and will be significantly enhanced with LOFT in the months ahead. Property managers can enable this amenity for their residents in less than 24 hours with no implementation work or additional cost. More details about the partnership are available at getflex.com/realpage.
* RealPage conducted a study in June 2024; full research results will be available August 13.
About RealPage, Inc.:
RealPage is the leading global provider of AI-enabled software platforms to the real estate industry. By using RealPage solutions for operational excellence in the front office and throughout property operations, many leading property owners, operators and investors gain transparency into asset performance with data insights, enhancing experiences with customized tools and improving efficiencies to generate incremental yield. In 2021, 2022, 2023 and 2024, RealPage was recognized as ENERGY STAR® Partner of the Year for Sustained Excellence from the Environmental Protection Agency (EPA) and the U.S. Department of Energy. In 2024, RealPage was recognized in America’s Best Employers and America’s Best Employers for Women by Forbes as well as in America’s Greatest Workplaces for Women by Newsweek. Founded in 1998 and headquartered in Richardson, Texas, RealPage joined the Thoma Bravo portfolio of market-leading enterprise software firms in 2021 to realize faster growth and innovation in serving more than 24 million rental units from offices in North America, Europe and Asia. RealPage has been certified as a Great Place to Work in India, the Philippines, the UK and the U.S. For more information, visit https://www.realpage.com/.
About Flex:
Flex is a leading financial wellness company that allows residents to split their rent and build credit. Trusted by over 1,600 property management companies and offered in more than 6 million units nationwide, Flex has paid more than $8 billion in on-time rent. By integrating seamlessly with major property management systems, Flex offers a simple solution that supports operational efficiency and creates a superior resident experience. Learn more about Flex at getflex.com/realpage.
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]]>The post Flex and Yardi unveil seamless rent payment integration in RentCafe appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Partnership offers Yardi clients a fully integrated rent payment solution, empowering residents with financial flexibility.
NEW YORK, June 18, 2024 — Flex, a leader in financial wellness solutions, is proud to announce a new strategic partnership with Yardi, a leading property management software provider. This collaboration provides residents with unprecedented payment flexibility and simplicity, embedded in RentCafe.
“At Flex, we are committed to simplifying the rent payment process for residents and property managers alike,” said Shragie Lichtenstein, CEO and Co-founder at Flex. “Our partnership with Yardi allows us to deliver a seamless, integrated experience that not only enhances resident satisfaction but also improves operational efficiency for property managers.”
The integration allows residents to split their monthly rent into smaller, more manageable payments, ensuring property managers receive the full amount, when it’s due. Residents can discover and sign up for the payment option directly within their RentCafe portal. Once registered, the Flex service is immediately available to residents, with no additional work or cost for onsite teams.
“Integrating Flex’s innovative payment solutions within RentCafe helps our clients provide a modern, digital-first approach to rent payments,” added Patrick Hennessey, Vice President and General Manager at Yardi. “This is a crucial step towards enhancing our overall customer experience and meeting the financial needs of today’s renters.”
“Flex is the only company to work directly with both property management companies and their underlying management software to offer the best possible flexible rent payment experience,” continued Lichtenstein. “Now, by embedding Flex directly into RentCafe, we are setting a new standard for accessibility and convenience.”
Flex has facilitated more than $8 billion in on-time rent payments for thousands of property management companies across the U.S. By implementing Flex’s solutions, property managers can increase resident retention and boost NOI, while residents benefit from improved cash flow. This dual advantage strengthens the financial stability of both property management companies and the communities they serve.
About Flex
Flex is a leading financial services company that allows residents to split their rent and build their credit. Trusted by over 1,600 property management companies and offered in more than 6 million units nationwide, Flex has paid more than $8 billion in on-time rent. By integrating seamlessly with major property management systems, Flex offers a simple solution that supports operational efficiency and creates a superior resident experience. Learn more about Flex at www.getflex.com/properties.
About Yardi
Yardi® develops industry-leading software for all types and sizes of real estate companies across the world. With over 9,000 employees, Yardi is working with our clients to drive significant innovation in the real estate industry. For more information on how Yardi is Energized for Tomorrow, visit yardi.com.
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]]>The post Navigating rental property management in the new digital economy appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Handling resident requests. Arranging viewings. Sprucing up properties. Analyzing portfolio revenue performance.
These tasks are part and parcel of being a property manager. But with a seemingly endless task list, it’s tough to work out which tasks will get your business ahead. Too much on your plate can have huge knock-on effects, from burnout and mass resignations to resident dissatisfaction and churn.
Yet, 56% of property managers feel their work schedule is either on the busy side (43%) or hectic (13%). Also, 36% of those not in leadership spend around 36% of their time on “busy work,” and 1 out of 4 plan to exit the industry within the next five years.
With such concerning stats, one thing is clear. You’ll need a laser-focused plan to succeed in property management for rentals, which is what we’ll break down in this blog post. Let’s dive in.
Noticed a decline in on-time payments? Get paid faster with Flex.
Want to execute property management for rentals without hustling backward or overextending your team? It’s time to streamline your task list. The responsibilities to concentrate on fall into two categories. Let’s break these down.
“Cash is king!” as the saying goes. Capital is every business’ lifeblood, so prioritizing financial health is vital. Here are some money management tasks to master.
Cash flow management
Did you know cash flow issues kill 82% of businesses? Maintaining positive cash flow is essential to thriving as a landlord or property manager. This includes ensuring adequate liquidity to cover operating expenses for six months and planning for emergencies and investment opportunities.
Overseeing expenses
From staff wages to maintenance costs, expenses eat away at your profits. Limiting expenses to necessary bills and monitoring spending is crucial for financial health. It’s also important to leave room in the budget for unexpected bills to avoid disruption.
Optimizing for profitability
Balancing spending, investing, and saving is crucial for making gains in rental property management. Financial analysis is an essential task that will help you know when to cut projects and invest resources.
Accounting and tax management
Balancing the books and understanding your tax obligations is not only a legal requirement; it determines your company’s bottom line. Understanding how to reduce your tax burden through depreciation, government initiatives, expenses, and grants is a must.
Managing payments
Getting paid on time is a surefire way to keep your company’s financial health in order. An efficient payment stack that makes it a breeze for residents to pay rent, plus your team to manage collections and track spending, will do the trick. For rent, this could look like using a solution like Flex to offer flexible payments and automate collections (more on this later).
Another essential responsibility is optimizing workflows. Some areas to focus on include:
Managing payments
Maintenance is a mission-critical task for rental property management. It can help you avoid major repairs and rushed orders, reducing overall costs. Staying on top of maintenance also avoids unsightly buildings and increases renters’ enjoyment of the property, aiding retention.
Revenue optimization
resident acquisition, retention, pricing strategies, and community engagement are just a few of the tasks you’ll need to manage consistently. But don’t worry; your efforts can create larger income and profits to boost your business’s financial health.
Staff engagement
Employee happiness not only affects staff well-being but also impacts your company’s effectiveness in rental property management. Yet only 33% of staff are engaged at work. Investing in staff will do wonders for your property management company. Businesses with highly engaged teams are 23% more profitable, 18% more productive, and have 43% less staff turnover.
Now we’ve got an idea of the tasks you’ll be overseeing, it’s time to create a plan to execute them. Let’s look at some strategic moves for less stress and more takings.
Technology will be your greatest asset in streamlining property management tasks. To begin, itemize and group the jobs your team carries out in their roles. Then, find solutions to make completion easier, faster, and more efficient. This could look like software for:
Managing rentals is a demanding role that has many moving parts. As a result, some staff can struggle to keep up, leading to stress and disengagement. 53% of property managers struggle with their mental health and switching off after work. Tackle this issue head-on by letting technology do the heavy lifting. You can automate many repetitive and administrative tasks that have a hold on your team’s time. For example, you could:
Whether you offer luxury or budget accommodations, commit to keeping properties in tip-top condition. You can achieve this by creating a preventive maintenance plan in line with each property’s requirements and standards. Define what work each building needs. Then, schedule the tasks in a calendar with a supporting checklist and notifications. This approach will ensure your team never has to guess what work to prioritize and can plan to secure the necessary resources to avoid expensive, rushed orders.
Some key maintenance areas include:
Top tip: Before diving into maintenance work, investigate and execute upgrades to enhance property value, safety, and perceived value. Then, start work where residents will see or feel the biggest improvements.
Whether it’s confrontations with unruly residents or jam-packed schedules, property managers battle challenging work environments. To make matters worse, some employers don’t equip their staff with the training and tools they need to thrive in their roles. 24.3% of property managers say managing aggressive and abusive renters is the most stressful part of their job, and just 34% of property managers believe they’ve had the necessary to execute their role successfully. Since property managers bear the brunt of the workload and resident frustrations, laying a solid foundation to build skills and seek assistance is essential. Here are a few ways to do it:
Customer support isn’t just another admin task to check off. It can significantly impact resident acquisition and retention rates. residents talk, and people will know about it if they have a positive or negative experience. 79% of renters who have used social media or review sites say that bad reviews have prevented them from visiting a property while searching for an apartment. So, make your customer support an unforgettable experience:
Like the property market, consumer preferences and marketing trends change often. Staying informed about your customer base is a must to keep your renter pipeline full. So, uncover who your residents are now and the core personas your rental property management company would like to serve (these might not be the same people). Lay out each persona’s expectations, then tailor your marketing strategy to ensure resonance at each touchpoint. Some questions to ask to diversify and improve your sales and marketing strategies include:
Also, invest in building a strong reputation and positive reviews. This move will help you increase returns and inquiries. 64% of renters of renters are ready to pay extra for properties with good reviews. Also, 74% of prospective residents read between one and ten reviews before deciding on a property. To start building a solid reputation, you could:
It’s never too late to find more ways to increase the capital in your business. It’s best to take a multi-pronged approach, combining revenue-generating activities and a contingency plan for accessing liquid capital. Some key steps to take are to:
Want to make your rental property management company the go-to? Upgrade your payment stack. Go beyond clunky rent portals by offering digital and self-service solutions that cater to resident preferences.
Ensure each tool has automated payment management features. These details will reduce your administrative burden for things like reminding residents of rent due, collecting payments, and tracking disbursements.
Managing rent payments is easy with Flex
Flex is a great option if you’re looking for a painless, modern, and cost-effective solution for managing rent payments. Flex is a rent payment app that takes the hassle out of the process. It offers flexible payments handled by a DIY app for renters and automation.
Renters can split rent payments into two affordable chunks and adjust the second installment date to avoid paying late (depending on credit checks and terms and conditions).
And here’s the grand finale. Offering Flex’s purpose-built features as an amenity means less admin and risk, plus more time for growth-boosting activities. The result? More on-time payments, revenue, profits, operational efficiency, and satisfied residents. Here are just a few of Flex’s standout features:
On your rental property management quest, it’s essential not to let busywork win. Streamline workflows, leverage automation, and consistently get the word out about your company. Also, prioritize jobs like customer support and maintenance that will boost the quality of the experience residents have at your property to turn them into brand advocates.
While you’re making things look good and tick over smoothly, keep a close eye on the numbers. Make payments so easy residents no longer have to stress about it each month and dust away frivolous expenses. Soon, you’ll be waving goodbye to late payments and long nights and saying hello to a thriving business.
Ready to take the rental property management market by storm? Learn how Flex can help.
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]]>The post The property manager’s guide to sustainability appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Sustainability measures are no longer just “nice to haves” or admin tasks to check off. How you approach going green can now make or break your business. Even renters are taking note of your company’s commitments. A staggering 80% of landlords and property managers say their sustainability practices are directly influencing their residents’ leasing decisions.
Yet, most property owners don’t have a sustainability strategy. Perhaps you don’t know where to start, and everything seems alien. Or maybe you gave sustainability a go in the past, but things didn’t work out. We’ve got you covered. In this article, we’ll explore why sustainability matters, plus some moves to go green successfully, including how flexible payments can help.
Noticed a decline in on-time payments? Get paid faster with Flex.
There was a time when sustainability was treated like just another fad by many companies. But times have changed. The reason for this shift is multifaceted, from consumers waking up to the harm emissions cause to our planet to governments needing all hands on deck to achieve their net-zero targets.
Then there are the gains sustainability brings. Think tax write-offs, rebates, and subsidies, which make going green an attractive feat. Many governments now offer incentives for adopting initiatives that take care of our environment. For example, money back for recycling in Germany and tax credits and rebates for investing in renewable energy technologies in the US.
We’re in a challenging era for property management, where operational costs are high, obligations are plentiful, and renters are picky. So, the sustainability leap should be a top priority. Let’s zoom in on some reasons why.
As the segment of sustainability-conscious consumers continues to grow, so does their impact on your company. As we mentioned earlier, renters are keeping a close eye on landlords’ sustainability measures. So, whether you manage one unit or 10,000, it’s a good idea to invest in ESG initiatives if you want to secure more sign-ons and renewals. 77% of businesses say their green practices spike customer loyalty. Also, 63% have experienced a jump in sales growth.
If you’ve managed employees for any length of time in property management, you know just how challenging finding and keeping staff can be. But there’s hope. Around 70% of workers are enticed by companies that are environmentally sustainable and/or socially responsible. And here’s the best part. 56% of workers are more likely to stay with companies that have a strong sustainability record. In short, getting on board the sustainability train will help ease your hiring load and costs.
Not only are ESG initiatives great for reducing your company’s waste, but they can temper property management spending, too. With sustainability growing in popularity you can now use it to boost takings and profits, making going green a great way to future-proof investments. Check this out: 8 out of 10 consumers are willing to pay more for sustainable goods. Also, after paying certification costs, Leadership in Energy and Environmental Design (LEED) buildings can increase in value by 4%.
Like it or loathe it, regulatory compliance is a huge driving force behind sustainability in property management. Many countries now have laws and regulations on going green that apply whether you manage one unit or 10,000. The US is no exception. Your business is subject to responsibilities in sustainability laws and treaties like the:
Now you know why sustainability deserves closer attention, the question becomes what are some effective ways to go green in property management? Let’s cover a few.
Did you know that while 57% of companies have begun some kind of energy-efficient practices, machinery, or tech, many are stuck on where to start? If you fall into the latter category, don’t fret. Here are some clean ways to generate electricity:
Once you’ve picked your clean energy source(s), connect buildings, units, and equipment. This switch will allow you to power machinery and appliances like lights, boilers, air conditioners, fridges, and ovens without harming the environment. If you can’t invest in green energy solutions just yet, look for an energy-efficient solution in the meantime. For example, a heat pump to keep units warm.
Top tip: Keep a green or hybrid generator on site to assist in a successful transition and act as a clean power backup.
After a successful first run, Sage adopted Flex across its portfolio. Following this move, Sage saw a decline in delinquencies. Sage now also saves 5 hours each month on admin per assistant manager, which they now use on strategic tasks. Plus, Sage has processed $2.2 million in rent payments since July 2023 using Flex.(Read more about Sage’s inspiring journey with Flex here).
When it comes to sustainability, SMEs are focusing on three areas: minimizing waste, conserving energy, and saving materials. Take their lead and clean up your operations in these areas. Here are some moves to make for quick wins:
Sustainability is still a new concept for many, so it’s not surprising that 22% of SMEs don’t understand terms like “net zero”. “Knowledge is power,” as the saying goes. So, two great ways to increase adherence to your eco-friendly practices are education and advocacy. Let everyone know why you’re implementing green initiatives and what’s in it for them. For example, you could:
Water is an integral part of property management, whether it’s used to mop floors or fill tanks. Knowing this, upgrading your water conservation is always a good shout.
Needing to get staff and materials from property to property is inevitable. So, why not take the opportunity to make your transportation more sustainable? Switch to electric scooters or electric vehicles (EV) and biofuel for your staff and (residents if you offer rental cars). This move will reduce reliance on traditional, fossil fuel-powered vehicles. Plus, take the leap, and you could be in line for a cash windfall. Americans may be eligible for a tax credit of up to $7,500 for the purchase of an eligible EV purchased in or after 2023.
Flexible payments may not be the first solution that comes to mind when brainstorming green measures, but they are an effective piece of the sustainability puzzle. For instance, tools like Flex’s rent payments app reduces waste in many ways, from eliminating paper usage for paying and managing rent to streamlining payment processes to save energy and reducing everyone’s admin load. These small wins can rack up over time to huge gains, making your business more effective and profitable.
It’s official. ESG initiatives aren’t just for the mega-corps and environmental campaigners among us. Sustainability is now a growing obligation in property management, and your tenants are watching how you execute it.
Carrying out such eco-friendly practices can take many forms, from implementing energy-efficient solutions like LED lighting to offering digital flexible payments.
It takes time and effort to see success, so get everyone on the same page. Create a sustainability plan, allocate resources and responsibilities among staff and residents, and start small. Once you see gains increase your investments. Complete these steps, and your company’s future won’t only be bright, it’ll be green. 
Learn how flexible payments can support your ESG and sustainability initiatives. Book a personalized demo.
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]]>If you want to scale, there’s one key step to attracting and retaining modern residents. You’ve got to step up your technology. 
So, where do you start? Join us as we uncover what solutions the new school of renters expects, why, and what this means for your business. Next, we’ll get your creative juices flowing. We’ll zoom in on some companies that have harnessed the power of technology in property management to get into residents’ good graces and grow.
Yes, we made up a word.
But the demand for tech-driven experiences in the house-hunting phase is very real. Let’s cover some of the growing expectations from renters and popular technology in property management:
Flexible, digital payments
Most modern residents have never waited in line at the Post Office to pay rent or used checks and postal orders to clear bills. We now live in a fast-paced, tech-driven world. Digital and flexible payment options are the norm. We’re talking Buy Now Pay Later (BNPL), one-click purchases, and contactless payments. So much so, Global BNPL transactions are expected to increase by nearly $450 billion between 2021 and 2026.
Expectations for online and flexible payments have now reached the renter’s market. So, mimicking the payment options residents encounter daily as consumers is essential to keep them around. This trend also means fuss-free payment experiences are critical. No more figuring out bank transfer details or having to speak with a clerk to pay over the phone each month.
It’s what makes solutions like Flex so appealing; it’s like BNPL for rent payments, but without carrying over revolving debt. Using the Flex app, users get credit to front their rent and can split rent into two affordable payments. Flex guarantees full rent to property managers on the 1st of each month, then collects payment from renters via the app.
Property management tools
Modern residents are time-strapped. So, whether you’ve got one resident or a thousand, empowering them is vital for their financial health, enjoyment, and safety. So, make it easy for residents to run errands and complete admin tasks associated with their lease. For example, jobs like estimating bills, booking maintenance, and reporting a disturbance. You can also create a forum to help residents stay connected and chat with one another. As your portfolio grows, you can transform it into a community hub. Execute these changes through an all-in-one property management app. Just make sure it’s got DIY tools and property management features for residents
Modern support channels
Ask the typical modern-day resident how it feels to leave the house without their phone or when their favorite social media app is down. They’ll likely tell you it’s odd and like a piece of them is missing. It’s unsurprising; 40% of Gen Z spend 4 hours or more on social media daily, and more than half of their waking hours glued to a screen. Millennials spend 2 hours and 38 minutes on average on social media. Most of these actions take place on mobile devices. So, where do modern residents turn to when they need a hand? You guessed it: social media and search engines.
Since it’s natural and efficient for modern residents to conduct affairs online, offering tech-savvy solutions to manage their place digitally is a must. This adjustment will do wonders for your retention rates. Here are some areas to explore:
In-home technology: Forgot to turn off the light. Not 100% sure if the hob is off. Want to return to a snuggly home in the winter and a cool spot in the summer. Expecting a visitor but need to pop out.These are all common challenges residents face. Addressing these issues with smart technology that allows residents to manage their homes remotely is the way to go. Look for solutions to control things like water, heating, lighting, electricity, security, and building access. Think keyless entry doors, video doorbells, storage lockers, and tech-enabled units.
Curious why modern residents are so obsessed with digital tools and why operators should be catering to this? It’s simple. New school residents have too many responsibilities, too little time, and, in some cases, funds. Get this:
Digital solutions offer modern residents space to breathe. They also take the fuss out of managing mundane tasks like paying rent, making life easier. For instance, solutions like Flex help residents get ahead financially by allowing them to sync rent payments with their finances. So, if you’re looking for a way to increase resident retention, invest in your tech stack. Flex makes managing rent easier for residents across 5.5M US units. Learn how your business can be next.
When it comes to winning the hearts and pockets of modern residents, the technology you use determines your success level. But don’t just take our word for it. Check out these encouraging results two property management companies got from digital transformation:
Sage Ventures
Solution adopted: Rent payment app from Flex
Sage’s residents increasingly requested flexible payments, and rogue payments had also risen. In response, Sage trialed Flex’s rent payments app. This solution allows residents to split payments into two manageable portions, making it easier to afford.
Residents weren’t the only ones that benefitted from Flex. After a successful trial, Sage adopted Flex across its portfolio. Following this move, Sage’s delinquent payments dropped. The property management team now also saves 5 hours each month on admin per assistant manager, which they now use on strategic tasks. Plus, Sage has processed $2.2 million in rent payments since July 2023 using Flex.(Read more about Sage’s journey to flexible payments with Flex here).
Presidio Property Management
Solution adopted: Property management software from Buildium, A RealPage company.
Presidio is a 200+ door company consisting of single-family and multi-family units. An ambitious entrepreneur, Leuri Zibetti, spearheads Presidio. After experiencing Buildium’s capabilities in her former role at another property management company, Leuri Zebetti decided to use Buildium in her business.
Presidio now uses Buildium’s tools to streamline many tasks. These jobs include monitoring and documenting maintenance, automating renewals tracking, lease renewal, offer generation, and leasing. For example, Tenants can now submit complaints via Buildium’s Resident Center. Presidio’s team can also add notes to tickets and respond with updates that the tenants can view along with the expected resolution date.
Buildium has even helped Presidio simplify processing application fees to comply with Utah’s laws. As a result, Presidio saves 20 hours per week of staff time previously spent on admin. The team now has full visibility into resident communication, facilitating quicker responses to maintenance requests and happier tenants.
Property management is like a revolving door; residents come and go. However, as the leasing landscape evolves, there are some things you can do to bring in residents and keep them around for longer. Using technology in property management is one of them. But there’s a knack to it. You’ve got to pick the right tools for faultless services and processes that stand out to new school tenants.
A great place to start is your payment journey. Removing the barriers to rent payments will help you stay competitive and appealing to the new generation of residents. So, start putting the feelers out there for solutions to upgrade resident-facing and internal processes. You’ll be well on your way to attracting modern residents and improving retention and satisfaction.
Are your old-school payment options scaring off new-school prospects? Discover how Flex can help you improve resident satisfaction and retention. Book a demo.
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In this article, we’ll explain why many property management companies are taking the digital transformation leap. And, to kickstart your tech makeover, we’ll highlight some key business areas to optimize and tools to use. Finally, we’ll share tips and tricks for making your digital transformation successful. Let’s dive in!
Starting your payment digital transformation journey? Hitch a smooth ride with Flex.
It’s no secret that technology in real estate and property management has lagged behind other industries. For the longest time, manual tools like spreadsheets, checks, and basic accounting software were as high-tech as things got.
But now, you’ve probably noticed a shift to tech-powered solutions and processes. You’re on to something. 61% of real estate companies have embraced technology, with a third adopting one to two solutions. So, what’s caused this switch to digital solutions? Let’s take a closer look:
Gain a competitive advantage and manage crises more effectively: With more than 326,000 property management businesses in the US alone, competition is stiff. More landlords are realizing the need to adopt tech solutions to get and stay ahead of their competition. Then there’s the crisis management aspect. In the past, property managers could get away with basic tools. However, the pandemic provided a wake-up call. Technology in real estate is essential to stay operational and keep rental income coming during disasters. Around 78% of property managers said they had to reconsider their tech strategy or need for new tools following the outbreak.
So, you’ve decided now’s the time to start your digital transformation. Great choice! But how do you do it? And what solutions will you need? Let’s cover some essential steps:
Get your mindset right 
The sobering reality is that 70% of digital transformation journeys fail. But do you know a determining factor in the success of a digital transformation journey? Mindset. Here are some tips to keep your thoughts in top form:
Build a robust strategy
Get this: 61% of property management businesses use technology, and just 28% have adopted multiple products. Also, 35% are still scoping out the market, and 4% haven’t begun strategizing how to apply the technology.
So, what are these property managers missing? A solid game plan to create a well-rounded tech stack. How you design your framework will depend on your business size and needs. But to gain some perspective, let’s say you’re a mom-and-pop style landlord. Your strategy should have five stages:
In practice, this game plan could look like this:
Top tips:For best results, give each phase a timeline. Also, include a buffer to stay on track when unexpected challenges arise.
Identify high-impact areas and solutions to jumpstart your optimization
During the goal-setting and research phase, you’ve got two make-or-break tasks. First, uncover the business areas that’ll benefit most from digital transformation. Then, prioritize finding tools that’ll give you the most bang for your buck. In property management, some top areas to explore include:
We’re on our phones and laptops more than ever, using tech to tackle mundane daily tasks. So much so that 67% of people have paid a bill online via mobile.Combine this fact with the harsh financial climate many face, and it’s easy to see why digital and flexible payment solutions are a must-have. So, offer solutions that embody the tech-driven future, like Flex. Here’s why:
Flex guarantees rental income to landlords on the 1st of every month
Residents get access to a rent payments app for mobile
Residents can split rent payments into two manageable parts
Tenants and property managers can manage payments on the go
Flex has nominal fees for the user and at no extra cost to the landlord
In case of default, Flex takes over the recovery process, making it risk-free for the operator
Even if you’re managing one property, a comprehensive property management solution can pay huge dividends in time and money saved. They’ll allow you to quickly execute tasks like qualifying tenants, managing leases, and arranging inspections. You’ll also be able to automate admin work like form filling, paying bills, and customer support. Check out solutions from companies like Appfolio, Mews, Rentec Direct, Entrata, and Buildium.
Resident experience solutions improve the quality of stay at your property. Various tools fall into this category. We’re talking chatbots, live chat, ticketing tools, and online portals to manage maintenance and concierge. Tailor your choices to your resident profile for the best adoption and satisfaction rates. For instance, say you have millennials and Gen Xers as your primary resident base. You could use tools like Slack and Zoom to communicate and customer support via social media like Instagram, Facebook, and WhatsApp.
Riches lie in your data. So, it’s essential to utilize the insights flowing into your business. Look for tools that store and organize data, analyze trends, and access the latest market research. Combine these solutions with tech that turns manual tasks into hands-free processes. Tools like auto-responders with pre-built scenarios, auto-filling, and automated onboarding sequences are a great place to start. Companies like RealPage, Segment, Propertyware, Innago, Condo Control, CoreLogic, and DoorLoop can help.
Having a constant flow of leads is critical to keep the rental income rolling in. Look for solutions that make marketing your properties a breeze at every stage (the tool gets extra brownie points if it has integration capabilities). For example, advertising to prospective renters, generating qualified leads, and tracking campaigns. This could look like online marketplaces, automated outreach tools, online 3D tours and showrooms, and DIY call booking tools. To start, check out software from ApartmentList, Zumper, Lemlist, Woodpecker, Matterport, Real Tour Vision, Calendly, and Doodle.
Optimize, optimize, optimize
By this point, you’ve handpicked and road-tested some solutions; nice work! Now, it’s time to further up-level operations and processes. This can be using the tools you’ve implemented and integrating new ones. For instance, say you have successfully onboarded a flexible payment solution. Next, consider how to upgrade payments for things like association fees and tax collection. Similarly, if you’ve rolled out a flexible payment solution to 1 business area and it was a hit, think of ways to use the solution elsewhere.
That’s what Sage Ventures did. Using Flex, they successfully gave rent collection a tech makeover in 2 business areas. Sage then expanded Flex across its portfolio and saw delinquencies drop. The company has processed $2.2M in rent payments since July 2023 through Flex alone. Read more about Sage’s inspiring journey with Flex here.
Believe the hype, technology in real estate is here to stay and has gone from a “nice to have” to essential for success. But if the leap into tech-powered property management seems daunting, don’t fret. Your best bet is to find solutions that overhaul rigid payment options, take the fuss out of managing properties, and make life easier for residents.
But remember, the digital transformation journey never ends. So work with reputable providers, use comprehensive solutions, and continuously improve your strategy. From higher customer satisfaction and property management efficiency to operational cost savings and larger profits; there’s so much to gain. So start today, and soon, your business will be a force in property management.
Digital transformation is creating property management winners. Learn how Flex can help you join the ranks.
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The great news is there’s a solution to keep your business on track that few are talking about. Upgrading resident financial health using flexible payment options. This article will explore why aiding residents in improving their financial well-being is a smart move. We’ll also share how some forward-thinking businesses are helping residents get ahead with flexible payments.
Noticed a decline in on-time payments? Get paid faster with Flex.
With so many goals you could be tackling, you may wonder whether it’s worth prioritizing resident financial health. The answer is “absolutely”! In case you’re still on the fence, let’s dive into some reasons why the move is essential:
This shift makes securing deals more challenging, and soon, resident retention and your rental income can take a hit. So, finding ways to make residents feel appreciated and incentivizing them to stick around is a must. A great way to do this is to help upgrade your residents’ finances.Offering residents flexible payments is a surefire way to level up their finances. But residents aren’t the only ones who benefit from flexible payment options; your business will, too. Let’s cover some perks:
Boost resident numbers, tenancy durations, and resident quality
Want to know a key business metric you’ll improve by offering flexible payments? Those almighty retention rates. Providing flexible payments makes contract negotiations easier since residents can stagger rent payments. This feature is a huge deal since rent is many people’s biggest expense. It’s also a revenue driver, encouraging potential renters to sign up and existing residents to extend their leases.
A knock-on effect of facilitating more relaxed payment options is upgrading resident quality. Since you’ll spend less time chasing down rent, you’ll have more time to optimize the business. For example, say you reinvest the time into improving resident screening processes. This adjustment will lead to fewer issues and complaints. So, if you’re looking at retention strategies, flexible payment options should be on the list.
Steadier cash flow and increased net operating income (NOI)
Following the last point, happy residents stay longer, creating a more predictable cash flow for your business. It also reduces the financial and time investment your team has to put in to fill vacant apartments. And here’s the icing on the cake. Digital payment solutions have shorter processing times than traditional options like checks and bank transfers. So you can access the cash sooner.
Get faster rent payments with fuss-free processes
Worried that slow payments are holding you back? 28% of businesses feel the same, identifying sluggish payments as their top challenge. In property management, the issue lies in the payment-related admin renters have to endure. From triple-checking banking information to keying in card details, some payment options are so slow and painful that they’re a chore.
To make matters worse, renters must do the whole thing again the next month, and mistakes are common. These issues have financial consequences. 79% of renters say they’ve received incorrect, delayed, or lost payments from their property management company, which led them to not rent from them again. Making it easier for residents to pay rent with fast and flexible payment options removes these friction points. As a result, operators get rental income sooner and will have satisfied residents.
Slash time and money spent on admin to improve operational efficiency
Notifying residents of upcoming changes. Sending rent payment reminders. Solving collection issues. Updating the resident database. These tasks are all in a day’s work as a property manager. The problem is these to-dos are a huge time suck, and the associated bills rack up fast. For instance, the typical office worker spends 69 days per year cranking out administrative and repetitive tasks and, labor costs account for 50-60% of a business’ spending. So, when you consider the average margin for property management business sits between 10%-15%; one thing is clear. Spending too much time on admin will have negative financial ramifications.
Residents also feel the impact of burdensome admin through slower response times and processes. Worse, lengthy wait times can affect their financial health when problems involve money. For instance, billing residents twice for rent during Rent Week when other bills are due because of a manual payment process. Adopting digital, flexible payment options prevents inefficiency-fueled defaults. It also eliminates many manual processes, like collecting rent and tracking missed payments. So, residents are more likely to pay on time. This change also unlocks more time to scale the business and serve residents.
Upgraded customer experience, satisfaction, and loyalty
Did you know that 78% of residents say having digital payments would improve their view of their property management company? 72% of customers want immediate service too. In short, providing digital and flexible payment options enhances your customer experience. This is especially true when the payment tools are like those residents use daily.
As previously mentioned, flexible payments also make residents more likely to pay on time. But that’s not all; renters paying on time through modern tools can build their credit, further up-leveling their finances.
For example, Flex offers an intuitive, self-serve mobile app for rent payments. Flex extends credit to renters to cover rent and guarantees the full rent payment to landlords on the first of every month. Residents who use the app can then split rent into two manageable parts and pay on the go. As a result, residents get a payment experience that’s as quick and easy as ordering groceries online. Residents also get payment flexibility, allowing them to better align rent costs to their finances and boost their credit while the landlord gets rent on time.
Now you know why improving resident financial health is so important, you might be wondering how to go about it. Let’s get some ideas from some organizations that have successfully made the leap:
Sage Ventures (A property management company)
Sage Ventures is a Maryland-based property management company with 4,000 units and counting. The property management team received increasing requests from residents for flexible payments. They also noticed a spike in delinquent payments. So, Sage decided to trial Flex’s rent payments app. This solution allows residents to split payments into two manageable chunks. This feature makes rent payments easier and increases on-time collections.
After a successful first run, Sage adopted Flex across its portfolio. Following this move, Sage saw a decline in delinquencies. Sage now also saves 5 hours each month on admin per assistant manager, which they now use on strategic tasks. Plus, Sage has processed $2.2 million in rent payments since July 2023 using Flex.(Read more about Sage’s inspiring journey with Flex here).
Key takeaways
Across the pond, the UK government, and its respective public sector organizations have gone digital. In 2015, the government launched GOV.UK Pay. This solution provides flexible payments for things like rent, council tax, and passport applications. Recurring payments are also in the works. These tools place residents and landlords in charge of their finances. The game-changer is allowing users to spread out payments to fit their financial needs. For example, users can make multiple council or income tax payments before the bill is due at no extra cost. The switch to flexible payments has paid off. GOV.UK Pay processed half a million transactions in under 2 years. Now, the UK government uses the service in over 400 services in around 150 organizations.
Key takeaways
Somak (A property management company)
Burdened by their rent collection admin, Somak tackled the issue head-on. The team implemented an online payment solution and automated data entry tasks. These moves drastically uplevelled Somak’s efficiency, saving them 15-20 hours weekly. The team now benefits from better payment attribution to corresponding accounts, happier staff, and improved employee retention.
Key takeaways
Whether you’re flying solo or have a small team, it’s tough out there. Your residents are battling a rough financial climate, too. But it’s not all doom and gloom. Fostering better resident financial health with flexible payment options is a smart way to get ahead.
Flexible payments make negotiating and closing deals easier while taking the fuss out of collecting rent. But remember, not all solutions are made equally. So, create a payment strategy and research providers thoroughly. Opt for a trial, and adjust your strategy continuously. Aim to make payments a highway to success, not a barrier. Before you know it, the deals will be rolling in, and your property management business is thriving.
Is your payment stack costing you business? Learn how Flex can make you a renter’s first choice. Book a demo.
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]]>The post How to beat Rent Week (without losing money or your head) appeared first on Flex | Pay Rent On Your Own Schedule.
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The Rent Week struggle hinders growth and profitability, especially when renters don’t pay after all your effort chasing. Worse still, the odds of late and non-payments increase when you don’t have the right tools. In 2020, 37% of landlords collected less than 90% of their total due rent value for that year (a 51.9% decrease from 2019). That’s a lot of cash and opportunity in the trash. 
Thankfully, there’s a better way to navigate Rent Week to ensure you get paid on time, every time, all while reducing your workload. In this article, we’ll take a quick look at how the Rent Week struggle began and highlight some common property management challenges caused by it. Finally, we’ll explore some technology and strategies you can leverage for a profitable and painless Rent Week.
Are sluggish payments holding your business back? Learn how Flex can help you skyrocket growth.
Rent Week (a.k.a., the week that rent is due from residents for the coming month) was set up to establish consistent cash flow for property businesses. This liquidity allows the property manager or landlord to cover operating expenses for the period and accumulate profits over time. For example, the residents pay you by the 5th of June, allowing you to cover the month’s bills and put some cash in your pocket. It sounds great in theory, but the reality is that the Rent Week system fails a lot with painful consequences. Here are just a few:
You’re then left scrambling to plug the financial hole, often with credit. This situation can be expensive and risky, eating away at your profits. Many landlords have faced this issue. In June 2022 alone, 15% of American households, around 8.4 million people, were behind on rent. Sure, you could evict residents that don’t pay. But when you consider the average eviction costs landlords $3,500 per eviction, it’s a good idea to avoid this problem in the first place.This issue stunts business growth. After all, it’s time and money you could have spent on tasks like sales and marketing.If the thought of tackling another Rent Week keeps you up at night, don’t fret; there’s hope. Thanks to innovative tech solutions, you can swap Rent Week dread for ease. Let’s take a look at some of the latest technologies and their pros:
Collecting payments is one of the most notorious property management challenges. But old-school rent collection tools like direct debits are a key cause of the problem. So, residents are calling for more innovative payment solutions. The response? Flexible rent. Technology now empowers residents to take control of their rent payments and gain a better grip on their finances. This shift is great news for operators as it means you can offer residents payment flexibility without putting rental income on the line. As a result, residents can better align rent payments to their finances, and you’ll still get full rent on time.
It’s why payment options like Flex are a hit, with 1 out of 5 property managers now offering Flex to expedite rent, a.k.a. revenue. Flex guarantees rent on the 1st of each month to housing providers. Using the Flex app, residents can split their rent payments into two manageable chunks. The service has nominal fees for users and no extra cost for the operator. Flex is also a set-and-forget solution. Users can adjust the second payment date as needed (subject to credit checks and terms and conditions).
Some additional benefits of innovative payment solutions include:
Increased on-time payments
Optimized cash flow
Higher net operating income
Tired of the Rent Week busywork? Discover how Flex can put your business in cruise control.
Rent collection reports are among the most viewed data in the property management world. It’s easy to see why. Cash flow is the lifeblood of every company, and you’re not in business unless you’re getting paid. So, previously, trawling Excel sheets, sorting paperwork, and tracking essential dates by hand was the norm.
These days, you can use technology to do rent collection admin. That’s right. Pool data, extract key insights, pinpoint trends, and generate reports hands-free. For example, some solutions allow you to create reports on things like due payments and tenancy expiration dates on autopilot. Using these tools will free up significant time and energy. You can then redirect these resources to revenue-generating activities.
Some more benefits of data and analytics tools include:
Faster data processing
Better data visualization to spot opportunities, risks, and challenges
Centralized insights to fuel data-driven decision-making
Whether you’ve got one resident or a thousand, using automation will let you navigate rent week stress-free. The trick is to let technology do the heavy lifting for you. These include collecting deposits, securing the first and last months’ rent, and completing onboarding administrative tasks like contract signing.
Some extra benefits of automation include:
Streamlined operations
An upgraded customer experience
Improved employee satisfaction and retention
In property management, success or failure hinges on Rent Week. More worryingly, some property managers live the Rent Week struggle every month, resigned to the belief that it’s just the way things go.
The great news is that the battle doesn’t have to be your reality. There are now upgraded ways to manage rent payments and eliminate admin work while keeping your residents and staff happy and pockets lined. To see game-changing wins quickly, begin by optimizing your payment experience. With innovative payment solutions like Flex, you can take the pain out of Rent Week. You’ll have touchless rent collection and management. Plus, you’ll be able to offer residents flexible rent and boost cash flow risk-free.
So, don’t delay. Join the 1,000+ property management companies using Flex to conquer Rent Week today. Book a demo.
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]]>The post What Constitutes a Noise Violation? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>There is no plain and simple definition of what counts as a noise violation. Noise ordinances may have separate rules for sounds from different sources. Noise limits might also change depending on the time of day or day of the week, as well as based on other conditions. These rules are typically managed at the city or county level, leading to a wide array of requirements and limitations across the United States.
Noise ordinances are laws that are designed to outline what’s considered acceptable noise levels within a specific physical area, such as a city or county. The primary goal is to keep excessive noise to a minimum, ensuring those living, working, and visiting in the area can enjoy a reasonably peaceful environment.
In many cases, noise ordinances are multi-faceted. Some are single, comprehensive regulations, while others are sprinkled throughout city codes. With the latter approach, the rules are generally outlined in chapters and sections that address specific situations, such as construction projects or nuisance animals.
Regardless of how they’re published, noise ordinances usually cover the same main points. Here’s an overview of what you’ll find in most noise ordinances.
In most cases, noise ordinances don’t group all sources of sound together. Instead, the codes break them apart to set specific limits for different types of noise.
Typically, you’ll see rules that govern people-based noise, such as shouting, screaming, yelling, or party-based noise. There will also be rules governing the sounds created by pets and animals within the designated area.
Equipment-based noise usually has separate ordinances, and they’re often further divided up based on the source of the sound. For instance, there may be regulations for vehicles, lawn equipment, construction equipment, and power tools. Sound systems and musical instruments are also often addressed on their own.
Finally, many noise ordinances cover unique sources of sound, like fireworks. At times, you’ll also see specific codes addressing public gatherings or noise-generating businesses, such as concerts in local parks, area bars or clubs, and a range of other venues.
However, even if a particular source isn’t explicitly discussed in a noise ordinance, that doesn’t mean that there aren’t volume restrictions. Instead, noise ordinances often have broader clauses that address unspecified sources of sound, allowing local law enforcement or other agencies to tackle excessive noise beyond what’s specifically outlined.
Generally, a noise ordinance will define acceptable noise level ranges for various types of sounds. This helps them determine whether a noise violation is occurring, as it essentially sets a formal threshold where a person, animal, piece of equipment, or other source is failing to comply with the requirements.
You’ll usually see acceptable noise level ranges expressed one of two ways. First, some cities or counties list any limits in decibels (dB), which is a metric for measuring sound levels. With that, it’s possible to determine if a noise level is violating the noise ordinance with a decibel meter.
Second, some noise ordinances use distance-based measurements to determine if a sound is excessively loud. With these, there typically listed as a maximum number of feet from the source. If the sound carries beyond that maximum, it’s deemed in excess of the limits outlined in the noise ordinance.
Most noise ordinances alter the restrictions based on the time of day or day of the week. For example, sound limits are typically stricter during the night and early morning. While the exact timing can vary, it’s common for those tougher requirements to apply starting at 10:00 pm at night and running until 7:00 am in the morning. However, it’s essential to check your local code to confirm times in your area.
Additionally, some noise ordinances have different rules on weekends and weekdays. This can include having later quiet hours in the morning. For example, instead of ending the quiet period at 7:00 am, Saturday and Sunday morning quiet hours may last until 8:00 am. But this isn’t universally true, so it’s best to review your local noise codes to see if the times shift during the week.
Within noise ordinances, there are commonly clauses that address exceptions or variance requests. For example, noise originating from public or community events, such as local sporting events, parades, fairs, approved concerts, public ceremonies, and similar occasions are often exempt.
Sounds from normal construction activity during approved daytime hours isn’t usually subject to noise ordinances. The same is true for emergency street, structure, or utility repairs, as well as required actions by firefighters, police officers, and emergency medical personnel responding to urgent matters.
Street cleaning and garbage services often have noise ordinance exemptions. The same is true of city or county-sponsored snow removal equipment activities relating to clearing roadways. Businesses within industrial zones might have different noise standards than residential areas, too.
However, even if an activity isn’t typically exempt, most noise ordinances include processes for requesting variances. These allow individuals and organizations to secure formal permission to violate the noise rules. The requirements for a variance differ by location, and no request is guaranteed approval, but receiving one can mean a person or company can legally produce sounds outside of the limits outlined in the code.
If a variance is issued, the person or entity that holds the approved variance is bound by the limits within the variance. Most variances are location-specific, so the adjusted permissions don’t apply broadly to all of the person’s or company’s activities if they aren’t conducted in that area. Additionally, they may also only apply to previously identified noise, so additional sources of sound not covered by the variance may still need to follow local noise ordinance rules.
The enforcement or noise ordinances are typically assigned to specific government entities. As a result, the codes may outline which agency is responsible for ensuring various noise ordinances are followed.
In smaller towns, it’s more common for the area to have a single central authority for most complaints. For example, the local police department may have purview over all noise issues, regardless of the sound of the source.
For larger cities, noise ordinance enforcement is often divvied out to a range of agencies or offices. For instance, police departments might handle noise related to parties or shouting people, while animal control oversees pet or animal-related noise issues, and building or development departments might address construction noise.
In many cases, you can find out how handles specific noise complaints by reviewing the ordinances or reviewing frequently asked questions (FAQs) on related government office websites. However, if you can’t find the details, you can typically contact the non-emergency information line at your local police department for insights. If the police don’t handle the type of noise you need to report, they can point you in the right direction.
A wide variety of sounds can lead to noise ordinance violations. One issue that’s commonly encountered is loud music or raucous parties. Most cities have rules that specifically address those situations as they’re highly disruptive to neighborhoods.
Yelling, screaming, or shouting by individuals or groups are other types of common noise violations, regardless of whether they’re associated with a party. Barking dogs or similar animal-related noises are similarly broadly part of noise codes. Again, they can potentially disturb the peace if the sounds are frequent and loud, regardless of the time of day.
Equipment-related and vehicle noise can violate noise ordinances, as well. This includes excessive sound during building construction, using lawn equipment or tools, revving car engines, squealing vehicle tires, not using a muffler, honking car horns, and more.
Musical instruments can also lead to noise violations. Regardless of the type or whether they’re played well, the sound is potentially disruptive. If they’re played at a high enough volume or during quiet hours, the musical instrument player could be in breach of noise ordinances.
Noise ordinances do vary by location. As a result, it’s wise to check your local regulations to see what’s deemed unacceptable in your area.
Here’s a table with links to the noise ordinances and codes for the top 50 cities in the United States based on population:
If you live in a city other than those listed above, you can look up local noise ordinances in your area online. Typically, conducting an online search for “[your city and state] noise ordinances” will point you in the right direction.
For anyone residing in an unincorporated area or outside of city limits, you’ll want to check noise ordinances for your county instead. Simple search for “[your county and state] noise ordinances to find information.
You can also call local agencies for insights about specific noise issues or answers to common questions. For example, contacting an animal control office that serves your area can help you learn more about animal-related noise ordinances. Agencies that issue or manage building permits can typically address questions about construction noise. You can also call the information line at your local police department.
How you report a noise violation varies by location. Some enforcement agencies have simply online forms that allow members of the public to notify them of issues quickly. In other cases, you may need to call the local enforcement agency directly.
If you aren’t sure how to report a noise violation, perform an online search. Enter “[your city and state] noise complaint” and you’ll often see a result that lets you know who to contact and how to reach out. When in doubt, contact your local police department’s non-emergency line.
However, there are other approaches that may work. If it seems safe to do so, you can speak with the person who’s creating excessive noise and request that they tone it down. If you’re a renter and the noise is caused by another tenant, contact your landlord for assistance. That may lead to faster results than turning to an enforcement agency, so it’s worth considering.
Note: The information provided on this website does not, and is not intended to, constitute legal advice; instead, all information, content, and materials available on this site are for general informational purposes only.
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]]>The post How Much Is a Security Deposit? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>However, there are situations where security deposits are more or less than one month’s rent. Generally, the latter isn’t common, but it can occur if a landlord is struggling to find tenants or running a move-in special. Higher security deposits aren’t necessarily the norm, but they occur more often than lower ones.
A security deposit is a form of financial protection for landlords. The exact rules that govern the use of security deposits by landlords vary by state or city. Typically, the funds are set aside for specific costs caused by tenants, such as having to repair damage beyond wear and tear or covering missed rent payments.
Security deposits are primarily refundable unless the lease agreement specifies that it’s non-refundable, if such a clause is allowed based on local landlord-tenant law. Usually, as long as a tenant, their guests, and their pets cause no damage beyond wear and tear, are current on their rent, and clean the unit in accordance with the landlord’s requirements, the money is returned within 20 to 30 days after moving out.
As mentioned above, the average security deposit on a rental is one month’s rent. However, there are situations where landlords can charge more. Here is an overview of times when you might encounter a higher security deposit.
One of the most common reasons tenants encounter higher security deposits is because they have pets. Pets can potentially cause damage that makes extensive cleaning or repairs necessary. As a result, most landlords require separate pet deposits to offset the risk an animal poses to the property.
Pet deposits can fall into one of two categories: refundable and non-refundable. A refundable pet deposit works similarly to a traditional security deposit.
If your pet causes no damage and the property is thoroughly cleaned when you move out, you can potentially get it all back. With non-refundable pet deposits, the landlord keeps the money regardless. However, that doesn’t mean you’re not financially responsible for costs associated with pet-related damage should the required fixes exceed what the pet deposit covers.
In some cases, you may see pet deposits that are partially refundable. With these, a portion is usually kept to address any deep cleaning needs, allowing the landlord to ensure that there are no allergens remaining before a new tenant moves into the unit. If there’s no other damage, then they return the rest of the pet deposit.
Landlords are required to outline any pet deposit requirements in the lease. Additionally, the rental agreement must formally state whether the money is refundable or non-refundable.
It’s important to note that landlords can’t charge pet deposits, higher rent, or any fees for service animals. However, depending on where you live and local laws relating to service animals, the landlord could potentially legally request formal documentation to prove your service animal is eligible for the exception. This might include a self-declaration or a letter from an approved source, such as a doctor.
If you have a service animal of any type – including an emotional support animal – review local landlord-tenant laws regarding what’s permitted. That way, if requesting documentation is allowed, you can prepare it in advance.
When you have bad credit, the landlord may view you as a riskier tenant. As a result, charging a higher security deposit is often a way to offset their increased chances of financial losses.
Generally, a bad credit score is a red flag to landlords, as they might assume it means the prospective tenant struggles with paying bills on time. Since missed rent payments are financially harmful to landlords, a higher deposit gives them some peace of mind.
The reason a higher security deposit makes you seem less risky is that landlords can use those funds toward unpaid rent that occurs during your tenancy. As a result, if you fall behind on rent and then move out, they can keep money from the security deposit to cover any missed payments.
In some cases, landlords can tap funds from a security deposit before you move out, as well. However, whether that’s permitted and in what circumstances varies by location. As a result, you’ll want to review the lease agreement and local landlord-tenant law to see when that’s an option.
For more information, see our article on how to rent an apartment with bad credit.
While the average security deposit is equal to one month’s rent, that doesn’t mean landlords might not require more. Landlord-tenant laws vary by location, and some areas give landlords the ability to charge higher security deposits legally.
If charging more becomes common in a city or region and it’s allowed by law, more and more landlords often follow suit. Landlords view security deposits as protection against financial challenges created by tenants, so having a larger buffer is often viewed as wise.
Many states have laws that allow security deposits to exceed one month’s rent. For instance, Michigan let them get as high as 1.5 months’ rent, while California landlords can charge up to two months’ rent for unfurnished units and up to three months’ rent for furnished units in many situations.
There are also numerous states without statutory limits. In those areas, landlords can charge as much as they want for a security deposit, suggesting the local market supports the amount. As a result, tenants may encounter high security deposits even if they don’t have pets and have excellent credit simply because that’s the norm in the area.
Technically, cleaning fees aren’t a security deposit, as they’re non-refundable. However, they’re often required at the same time as security deposits, making them seem similar to tenants.
Whether a landlord can charge a cleaning fee usually depends on local regulations and landlord-tenant law. Additionally, specifying the fee in the rental agreement, including the amount and any terms and conditions relating to its use or refundability, is required.
If a cleaning fee isn’t permitted by law in your state or city, the request for a cleaning fee is illegal. If a landlord requests a cleaning fee, but it isn’t listed in the lease agreement, then it’s best to think twice. It’s possible the landlord is attempting to trick or scam you out of extra money, so don’t provide funds for a cleaning fee until it’s formally outlined in the lease.
If you want to ensure that you’ll get your security deposit back, make sure you pay your rent on time every month. Landlords can take funds from a security deposit to cover missed payments, so this is a critical step.
Additionally, during your initial move-in walkthrough, document everything. Note any pre-existing issues on the list and take pictures of damage or areas of concern. Keep copies in your own records, ensuring your landlord isn’t the only one in possession of the notes or photos.
Before moving out, provide your landlord with the required amount of notice, ensuring you don’t trigger any penalties that they’ll take from your security deposit. When you prepare to move out, review the requirements list outlined by the landlord. You might get a separate checklist, or it could be outlined in your lease, so check both options. Repair any damage that’s your responsibility, and make sure that the unit is thoroughly cleaned.
Once your unit is in the best possible shape, do a move-out checklist and photograph the entire rental. That gives you proof that any damage was repaired and that the unit was in the requested condition. Then, if the landlord tries to keep any of your deposit, you have evidence that shows their request is inappropriate, allowing you to increase your odds of getting your security deposit back.
For more information, see our complete guide on how to get your security deposit back.
Because landlord/tenant laws vary by jurisdiction, consult with a local attorney if you need legal advice. The information provided on this website does not, and is not intended to, constitute legal advice; instead, all information, content, and materials available on this site are for general informational purposes only.
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]]>The post Proof of Income: What It Is & How to Show It appeared first on Flex | Pay Rent On Your Own Schedule.
]]>These documents can also be used as proof of income in other contexts, such as when applying for a mortgage or other financing. In this article, we’ll focus on how you can prove you have enough money to rent an apartment.
Landlords use your proof of income in collaboration with a credit check and a background check to determine whether you can afford the rental you’re applying for.
In some cases, landlords may specify that applicants must demonstrate income equal to a minimum of three or four times the monthly rent. A common budgeting rule of thumb is to spend at most 30% of your income on rent, which is why landlords look for this number. However, with the cost of living rising throughout the United States, the 30% rule isn’t necessarily realistic anymore, especially in markets like San Francisco or New York City, where rents are notoriously high.
You should never attempt to rent an apartment that you can’t realistically afford, but you may need to go out of your way to prove to a prospective landlord that it is within your budget. If you know the monthly rent exceeds the typical 30% rule, providing proof that you have several months’ worth of rent payments in savings may provide sufficient peace of mind for a landlord to rent to you.
The documents you use to prove your income to a prospective landlord will depend on your primary sources of income, how you typically get paid, and how you manage your finances. Ultimately, you should provide the documents that make it most straightforward for your landlord to see that your income is sufficient to cover your rent and expenses.
You can use many different documents to illustrate your monthly income and prove your ability to pay the rent. We’ll discuss them in detail below.
Pay stubs are a common way for prospective landlords to verify how much money you earn each month. However, unless your job is salaried or you work the same number of hours each week, your pay stubs may not provide an accurate overview of your monthly income.
If your earnings tend to fluctuate from one pay period to the next, providing two or three months’ worth of pay stubs will give a potential landlord more insight into your overall income.
Tax returns can be a helpful way to showcase your overall income. However, since they only reflect the previous year, a prospective landlord may request additional documents to show that you continue earning a sufficient salary to cover your rent.
But since tax returns also include information like your social security number, birth date, and full name, they can help verify your identity.
It’s wise to keep your most recent tax returns on hand so you can use them for rentals and other loan applications. A prospective landlord may wish to see your 1040 tax form, which shows a snapshot of all your income sources. You could also provide W-2s, which showcase income from employers, or 1099 forms, which show miscellaneous income.
If you’re a freelancer or self-employed individual, you may have several 1099 forms. Since 1099s don’t account for your business expenses, your landlord may want to see more detailed documentation of your finances to ensure you’re solvent. If 1099 income is your only type, check out this article for more advice on demonstrating proof of income when self-employed.
If you’re self-employed, providing a profit and loss statement for your business will give landlords a clear picture of how much you earn and what portion of your income goes toward business expenses. If you use an accounting program such as Quickbooks for your business, you can likely generate one of these statements to provide to a prospective landlord. If you work with an accountant or bookkeeper, ask them to provide one.
A profit and loss statement isn’t an official document, but it can help contextualize your income when provided in addition to other documentation.
Bank statements can be a great way to prove your financial solvency, especially if your pay fluctuates weekly, as they reflect your income, expenses, and cash reserves. Having a decent amount of savings in the bank can offset the fact that your monthly earnings may fluctuate from time to time.
Share several months’ worth of bank statements with your prospective landlord to provide an accurate picture of your financial circumstances. If you have several different accounts, provide statements from each of them.
Some landlords may request proof of employment later as part of the income verification process. This can be a really helpful document if you’ve just started a new job and haven’t received enough paychecks to prove your long-term income. If your new role pays significantly more than your former one, the proof of employment letter will be especially helpful.
Basically, this is a letter from your employer that verifies your employment status and salary. Your landlord may request permission to contact your employer to verify the information in the letter, and this is a common way for landlords to verify your documents.
You can use your unemployment documentation to showcase your monthly income if you’re currently unemployed and receiving unemployment benefits. A landlord may be skeptical of unemployment income if you are nearing the end of your unemployment benefits. If you can provide proof of cash savings, that may be sufficient to give your landlord peace of mind that you can cover your monthly rent.
If you’re retired, you can use your social security or pension distribution statements as proof of income for a prospective landlord. Social security offers benefit verification through its online portal, making it easy to secure your records for income verification in just a few clicks.
If you receive pension distributions, you can use those records to demonstrate your monthly income. The 1099-R tax form is a good piece of documentation to use.
Alimony and child support payments also count as monthly income. If you receive either of these payments, keep detailed records to make it easy for a prospective landlord to verify your income.
If you don’t already have records of alimony or child support payments, you can request an award letter from the court.
You can use your disability insurance benefits as proof of income. You should be prepared to provide official documentation for the payments in the form of an award letter from the court or an insurance company.
If your workers’ compensation payments end before your lease ends, your landlord may require additional income documentation to ensure you can pay your rent for the duration of the lease.
There are many ways to document and demonstrate your monthly income for a potential landlord. Ultimately, landlords want to see that you have a steady income and that it’s sufficient to cover your rent for the duration of your lease. The easier you can make it for the landlord to see that you’re financially equipped to pay the rent, the easier it will be to secure a rental.
If your income is inconsistent or comes from a source, such as unemployment insurance, that may end before your lease term is up, you may need to plan further ahead than usual. Setting aside a few months of expenses in cash may help ease a prospective landlord’s apprehension in scenarios like this.
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]]>The post Lease vs. Rent: Understand the Difference appeared first on Flex | Pay Rent On Your Own Schedule.
]]>A lease is a long-term contractual agreement for a rental unit.
The most common duration for a lease agreement is 12 months, but leases may last anywhere from 6 to 18 months. When a lease agreement ends, a tenant usually has the option to renew or transition to a month-to-month rental agreement.
The terms of a lease agreement remain the same for the duration of the specified period. In other words, a landlord cannot raise the rent or alter any of the other terms of the lease agreement. Tenants are also legally required to uphold the terms of the lease for the duration of the contract. If you wish to move out early, you will still be responsible for making monthly rental payments until the end of the lease term.
Rental agreements are similar to lease agreements but apply to short-term rentals. A rental agreement is a formal contract outlining the responsibilities of the landlord and tenant of a rental. Rental agreements typically span a 30-day term, but they may be longer or shorter, depending on what you negotiate with your prospective landlord.
Since most rental agreements are 30 days, the terms can technically change on a month-to-month basis.
There are benefits and disadvantages to both lease agreements and rental agreements. Consider these points as you work to decide which type of arrangement makes the most sense for your lifestyle.
Lease agreements offer a few advantages for those looking for long-term housing.
The primary disadvantage of a lease is that they are not very flexible. When you sign a lease, you’re responsible for paying rent for the duration of the lease term.
If you want (or need) to move out early, you’ll likely be faced with high fees to break your lease. Though in some cases, you may be permitted to sublet your rental until the end of your lease term. If there’s a chance that you may need to move out early, ask your prospective landlord about their policy on subletting, so you’re aware of what your options are.
Before signing a lease, ensure that the rental will continue to suit your lifestyle for the duration of the lease term. If you’re unsure about the neighborhood, the commute to work, or the unit itself, keep in mind that it will likely be expensive to break the lease.
If there’s a chance you’ll buy a home, move in with a significant other, or relocate for work before your lease term is over, consider opting for a unit with a month-to-month rental agreement.
A rental agreement can be a great option if you’re looking for a more flexible housing arrangement.
With a monthly rental agreement, you have the flexibility to move out without waiting for your lease to expire — though you should be mindful that there are state laws regarding how much notice you must provide to your landlord. This makes rental agreements advantageous for anyone who is still determining their long-term plans.
Perhaps you’ve just moved to the city and are trying to get a feel for the area before committing to living in a particular neighborhood, in the process of buying a home, or facing the possibility of relocating for work or school. A month-to-month rental agreement offers you the flexibility to move without breaking a long-term lease agreement (and face fees for doing so).
Unfortunately, flexibility comes with a price. Here are some of the potential disadvantages of opting for a rental agreement.
Lease agreements and rental agreements are very similar, but lease agreements apply to long-term rentals, while rental agreements typically apply to short-term or month-to-month rentals.
Lease agreements offer long-term stability, while rental agreements give you the flexibility to move out at any point. Before signing any housing agreement, consider your lifestyle and goals to determine which type of contract makes the most sense for you.
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]]>The post 35 Insightful Landlord Statistics – 2023 appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Approximately 10.6 million American tax filers declared rental income when they filed their taxes. That means about 7.1% of 1040 filers could potentially be landlords.
Additionally, they noted income earned from about 17.7 million properties.
[Source: Internal Revenue Service]
While landlords might bring in cash from several sources, their income levels tend to be solid. While the real median household income is just shy of $62,000, landlords bring in closer to $97,000 annually through all of their income sources.
[Source: US Census & Landlordology]
Of the approximately 50 million rental housing units in the United States, around 41% of the rental units are owned by mom and pop landlords, also known as individual investor landlords. That means approximately 20.5 million units are overseen by mom and pop landlords.
[Source: JP Morgan Chase]
On average, landlords have three properties to their name. The value of those properties isn’t necessarily through the roof: 40% of landlords own less than $200,000 worth of property, and an additional 30% fall in the $200,000-$400,000 range. Only 30% of landlords own properties worth $400,000 or more, with 7% at the top owning properties worth $1 million or more.
[Source: MySmartMove]
45% of landlords manage their own properties – just north of the 44% that don’t manage the properties they own, instead hiring someone or outsourcing property management to a third party. The remaining 11% consists of landlords that manage, but don’t own their properties.
On average, landlords have three properties to their name. Of those who own the units, it’s about a 50/50 split when it comes to just being the owner and handing management over to someone else, or owning while also managing the properties.
[Source: MySmartMove]
Many rental properties aren’t owned by individuals or families. Instead, businesses, collectives, and similar entities control the units.
In total, approximately 25.8 rental units are owned by some kind of business entity. Usually, the units are in multi-family properties, like apartment buildings.
[Source: US Census]
Real estate investment trusts (REITs) make it possible to invest in a wide range of properties to earn a profit. Typically, the REITs aren’t just owners of the properties; the trust manages them, too. As a result, the trust can become a mega-landlord, overseeing hundreds or thousands of properties.
One such trust – Starwood Capital, a REIT headquartered in Miami, Florida – is the largest REIT in the United States. In total, it had 115,000 units to its name in 2022.
[Source: Statista]
Post-pandemic, investors were scooping up available properties at a shockingly high rate. In Q4 2021, investors purchased 18.4% of the available inventory, representing around 80,000 properties with a cumulative value of $50 billion.
However, 2022 has been marred with uncertainty. Inflation, rising interest rates, and a potential recession on the horizon are slowing interest. During Q3 2022, there was a year-over-year decline in investor home purchases of 30.2%. They purchased approximately 65,000 properties or around 17.5% of all home purchases.
When it comes to single property landlords, 50% of them didn’t initially buy it as an investment property. Instead, the unit began as their primary residence, later transitioning into a rental property.
[Source: Foremost Insurance Group]
Rent prices have risen dramatically since the pandemic. On average, the cost of renting one- and two-bedroom apartments increased by 24.2% between 2021 and 2022.
[Source: Credit Karma]
Since 2010, rental rates have gone up dramatically. The average increase comes in at 31%, a rise that would give a property that was rented out for $1,000 a month in 2010 a cost of $1,310 a month today. That’s an additional $3,720 in rent a year.
[Source: iPropertyManagement]
Pay rates have risen over time, but not at a rate that compensates for many cost increases. When it comes to rent, the average yearly increase has outpaced the average annual wage inflation by a shocking 270%. Rent inflation has also exceeded currency inflation by a startling 40.7%.
[Source: iPropertyManagement]
A tenant’s lease usually dictates how long a tenant has a right to stay in a property, suggesting they don’t break the rules. However, 48.7% of landlords have actually requested that a tenant break their lease and head for the door sooner.
[Source: Porch]
When tenants don’t pay rent, landlords are down a source of income. At times, they may even be losing more money if they have to handle costs associated with the occupied property without getting rent in return. As a result, when non-payment is an issue, many landlords start eviction proceedings in hopes of getting the non-paying tenant out and a paying tenant in.
However, choosing to evict a tenant can be a costly move. Eviction filings and proceedings can cost landlords up to $10,000. Even the least expensive eviction can run $3,500.
[Source: SmartMove]
During the pandemic, eviction moratoriums prevented landlords from evicting tenants that fell behind on rent, leading to a start rise in rent debt totals. While the number of households behind in rent payments is below peaks of about 19%, approximately 5,843,000 households aren’t current, owing a combined total of around $15.13 billion.
[Source: National Equity Atlas]
The pandemic led to significant financial struggles for many tenants, causing some of them to fall short of paying their rent in full since early 2020. Since January 2020, rent to mom and pop landlords was paid in full no later than the end of the month about 85.4% of the time.
[Source: Urban]
On average, individual landlords reported $34,217 in rental income in 2018. However, they also reported $23,679 in deductible expenses on average, not including depreciation. That leads to a profit of just $10,538 per year, a profit margin of just 30.8%.
[Source: Fortune]
Overall, the average property value of single-family investment properties is below the average value of single-family owner-occupied homes. For rentals, the average value in 2022 was $365,313, while owner-occupied single-family properties had an average value of $413,988.
[Source: Arbor]
While the exact number of vacancies varies over time, approximately 6% of units were considered vacant as of Q3 2022. Generally, the vacancy rate is influenced by a few factors, including existing economic conditions and the strength of the housing market.
This is far less than the most recent peak, which reached 11.1% in Q3 of 2009. It’s actually fairly close to the recorded low point, which was about 5% in the late 1970s and early 1980s.
[Source: FRED St. Louis Fed]
Renting out a property isn’t first-come, first-serve in many cases. Instead, landlords screen an average of two applicants every time they need to fill a vacant property.
[Source: MySmartMove]
Not having to worry about property repairs is one of the biggest draws of being a tenant. However, not all landlords handle that burden.
While the vast majority (89%) of landlords take care of property repairs, 11% don’t. That means tenants get stuck maintaining the house or apartment.
[Source: Porch]
On average, landlords field six calls a year from their tenants about property repairs. This can include anything from major appliance failures to plumbing draining issues.
[Source: Porch]
Replacing a lightbulb might seem like a small cost that most tenants could shoulder. However, 13% of landlords actually handle that burden after being contacted by a tenant.
[Source: Porch]
The cost of operating rental units is often higher than people would expect. For individual landlords with properties with four or fewer units, the average annual per-unit cost typically falls in the $4,600 to $5,400 per year range. Broken out, that’s around $383 to $450 per month.
[Source: Brookings]
Overall, 66% of landlords graduated from college. Additionally, 56% are at least 35 years old.
[Source: MySmartMove]
While there’s no rule saying exactly when a landlord has to collect rent, 75% of landlords say the 1st of the month is when they require payment. While it isn’t clear why in the survey, by having all tenants pay on the same day, it creates consistency. Plus, many kinds of government benefits issues payments on the 1st, so that could also be a factor.
[Source: Landlordology]
Paying by check is increasingly becoming antiquated, falling out of favor for retail shopping, and even paying many bills. However, when it comes to rent, 78% of landlords collect personal checks from tenants.
Only 10% rely on bank-to-bank transfers, and a mere 7% use payment services like PayPal or Zelle. One surprising option is credit cards, a payment method that 5% of landlords use.
[Source: Landlordology]
During a typical year, 41% of properties experience some kind of vacancy. A vacancy could be caused by tenants leaving at the end of a lease, due to an eviction, or by breaking the lease early. Additionally, other incidents that require the unit to be empty, such as catastrophic damage that makes a property unlivable for a time, could also be involved.
[Source: Foremost Insurance Group]
While it may seem like a standard screening tactic, 16% of landlords never run criminal background checks on their tenants. Possibly more surprising is that 10.3% don’t check a tenant’s credit as part of the process.
Only 37.6% and 38.7% of landlords always check a tenant’s criminal background and credit history, respectively.
[Source: Porch]
Among individual investor landlords, approximately 30% fall in the low-to-moderate income brackets. In total, their households earn less than $90,000 per year.
[Source: Brookings]
With lower-income landlords, rental income is often a significant percentage of their household earnings. Among landlords with household earnings under $50,000 annually, around 20% of their income comes from rent payments. In comparison, among households earning more than $200,000, rental income typically represents just 5% of their total household earnings.
[Source: Brookings]
When it comes to affordable housing, landlords operating 2-to-50 unit buildings are the most likely to fill that niche, providing most of the affordable housing stock in the country.
[Source: JP Morgan Chase]
A loan-to-value rate compares the amount borrowed versus the value of a property. For single family rentals, loan-to-value rates have been dropping, indicating that landlords have far more equity than in years past.
Overall, loan-to-value rates on single family rentals declined to 65.5% in Q3 2021. That’s just slightly below the Q2 2021 figure, though it’s notably above Q1 2021 and Q4 2020.
[Source: Arbor]
A cap rate is an annual metric that divides the operating income of a unit against its assessed value. For instance, if a property was worth $400,000 and it generated an annual income of $20,000, the cap rate calculates to 5%.
As of Q3 2022, the average cap rate on a single-family rental was 5.3%. Generally, anything above 4% is considered good in high-demand areas, which are considered lower risk. For low-demand areas, which represent higher risk, 8% or above is usually viewed as safer, though most prefer a cap rate above 10% in low-demand areas.
[Source: Arbor]
Many property owners choose not to manage their rental properties personally. Instead, they turn to property managers to handle day-to-day operations, including screening applicants, collecting payments, and addressing tenant-related issues.
While landlords have an average income of $97,000, property managers typically earn far less. The median annual salary is closer to $59,230. The lowest-earning 10% make less than $30,740, while the highest-earning 10% make over $124,680.
[Source: Bureau of Labor Statistics]
The world of landlords is always changing. Economic conditions influence the success of landlords, as well as the general public’s interest in becoming homeowners or remaining renters.
The statistics above showcase some of the most intriguing tidbits about the landlord landscape, including how many people didn’t buy a property with the intent of being a landlord, the typical demographics of a landlord, and more. It’s a diverse area – one that features a mix of people and businesses – and one that’s important for understanding both the housing market and the economy in as a whole.
The post 35 Insightful Landlord Statistics – 2023 appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post 24 Insightful Apartment Statistics – 2023 appeared first on Flex | Pay Rent On Your Own Schedule.
]]>In the United States, 38% of renters live in in apartment buildings (with five or more units). That’s approximately 38.9 million people. An additional 17.4 million renters live in buildings comprising two to four units, making up an additional 17% of renters. As for the rest? 41% of all renters live in single-family residences, and another 5% of renters live in mobile homes.
(Source: National Multifamily Housing Council)
In the United States (as of November 2022), one-bedroom apartments come with an average price tag of $1,163. If you look at two-bedroom properties instead, the cost goes up, coming in at $1,333.
(Source: Apartment List)
In many cases, there are rules that limit how much a landlord can increase the rental price for an apartment on existing tenants renewing leases. As a result, during the first half of 2022, the average lease renewal price increase for existing tenants was 3.5%.
New renters typically lack these protections to shield them from rising rent prices. As a result, renters transitioning to a different apartment with a new landlord faced 12.2% rent increases during the first half of 2022.
(Source: Bureau of Labor Statistics)
When it comes to household incomes, apartment renters come in last at just over $45,151 a year. That’s more than $37,000 less than the average household income for household owners in the United States, which comes in above $82,210.
(Source: National Multifamily Housing Council)
Many renters use more than the recommended percentage of their income to cover rent and related housing costs. Between 2017 and 2021, more than 40% of renters (approximately 19 million renters) were considered rent-burdened, spending more than 30% of their income on housing expenses.
(Source: United States Census Bureau)
When people look for new apartments, they commonly focus on the total square footage. However, the amount of space per person does impact comfort. On average, the amount of space per resident in a rental unit is a mere 526 square feet.
(Source: Rent Cafe)
As micro-apartment development continues, the average size of apartments is shrinking. The average new apartment is just 941 square feet, which is 5% smaller than the average just ten years ago.
One bedroom units are 4% less spacious, while studios are a shocking 10% tinier. But the shrinkage isn’t just occurring in studios or one-bedroom units. Every size apartment is compressing on average. For two-bedroom apartments, floor plans shrank less, but still got 0.5% smaller.
(Source: Rent Café)
When it comes to amenities, renters want air conditioning above all else. In second and third, you have laundry in-unit and a dishwasher, respectively, showing just how valuable convenience appliances are in the eyes of tenants. On-site laundry comes in fourth, suggesting that renters might be willing to compromise. Rounding out the top five is assigned parking.
(Source: Zumper)
The biggest motivator for moving in the eyes of renters is cheaper rent. About 47% of renters cited that looking for a lower price was their primary reason for switching apartment communities.
Issues with the quality of a property’s management came in second place, with 31% of renters saying that is what motivated them. Plus, they use renter satisfaction to determine where to go next, with 72% of prospective renters exploring a property’s website and 79% of them admitting that bad ratings or reviews led them to look elsewhere.
(Source: Appfolio)
Real estate investment trusts (REITs) invest in multiple rental properties as a means of pooling funds for purchases and earning profits. Typically, the REITs don’t only own the properties; the trust also handles daily property operations. As a result, trusts can functionally become mega-landlords, overseeing hundreds or thousands of rentals.
In the United States, there are more than 200 REITs, representing a market capitalization of approximately $1.7 trillion. One REIT – Starwood Capital, a REIT headquartered in Miami, Florida – is the largest in the United States. In total, the trust had 115,000 units to its name in 2022.
(Source: Statista)
Among apartment rentals, 12-month leases are by far the most common. Overall, 59.6% of leases have a 12-month term. Another 31.8% are month-to-month
The rest of the lease terms can vary. Some are just six months, and a small portion may be shorter. However, some go as long as two years or more, and a 24-month lease is the most common among all of the atypical terms.
(Source: Bureau of Labor Statistics)
Out of the 50 most populous US metro areas, Oklahoma City, OK, is seeing rent prices rise the fastest. Rent asking prices rose 24.1% from September 2021 to September 2022.
Pittsburgh, PA, came in second with a 20% rise in prices, while Indianapolis, IN, was third with a 17.9% increase. Rounding out the top five are Louisville, KY, and Nashville, TN, with 17.5% and 17% increases, respectively.
(Source: New York Post)
The Big Apple has a substantially higher percentage of apartment renters than any other state. About 24% of New York’s population call an apartment home. That’s more than 4.6 million New York state residents.
(Source: National Multifamily Housing Council)
While California has a lower percentage of apartment renters than New York, that doesn’t mean it has fewer people living in apartments. The Golden State only has around 17% of its population in apartments, but that represents more than 6.7 million people or 2.1 million more than New York.
(Source: National Multifamily Housing Council)
While 89% is a pretty high number, that means 11% of renters don’t get property repairs handled by their landlord. In fact, 8.2% said they take care of it personally, while 2.3% pay professionals out of their own pocket to get the work handled.
(Source: Porch)
Most landlords don’t put all of their eggs in one basket. Instead, they screen an average of two prospective renters for each property, giving them choices about who ultimately moves into the unit.
(Source: MySmartMove)
About 5.2 million single women live in apartments. Since there are a little more than 19.5 million rental apartment households, single women make up around 27% of that market.
That’s a little more than one-quarter of all apartment rental households in the country. As a result, single women are actually the largest individual demographic, coming out ahead of men, married couples, single parents, and married couples with children.
(Source: National Multifamily Housing Council and National Multifamily Housing Council)
For one-bedroom properties, the District of Columbia (Washington DC) actually beat out California for the highest rates, coming in at $1,503 (as of May 2020). In California, a one-bedroom rings up at $1,435 a month, putting the state in second place. Hawaii came in third with $1,447.
(Source: Apartment List)
When it comes to the highest two-bedroom apartment rents, Hawaii’s average wins. It comes in at $1,899 (as of May 2020), beating California and the District of Columbia, which came in second and third, respectively.
(Source: Apartment List)
Seattle – the city which reigns supreme when it comes to having the tiniest apartments – has an average size of just 711 square feet. That’s 22 feet larger than the averages in Manhattan and Chicago.
On the other side of the spectrum is Tallahassee. There, the average apartment size comes in at a spacious 1,038 square feet. That’s over 300 square feet larger than Seattle’s average.
(Source: Rent Café)
When it comes to the average amount of space per person in a rental apartment, Santa Ana, CA, apartments offer the least amount of room. On average, Santa Ana apartments provide a mere 292 sq. ft. per resident, partially due to its higher average number of household members living in the units, coming in at 2.9.
On the other side of the equation is Louisville, KY, which provides an average of 731 sq. ft. per household member. One reason the amount of room is larger in Louisville is that the city averages just 1.3 residents in a unit.[Source: Rent Cafe]
Sometimes it’s a buyer’s market, sometimes it’s a renter’s. Right now, renters seem to believe they are in the better position. 84% of renters thought they chose the more affordable approach to housing. That’s an increase of 17 points since 2018, and is considered an all-time high.
(Source: Freddie Mac
Property insurance is touted as critical for everyone. It provides a degree of protection against a variety of events, including theft and fire. While 97% of owners have homeowners insurance, only 37% of renters have renters insurance.
On average, renters insurance only costs $187 a year, or less than $16 a month. However, renters insurance isn’t usually mandatory. For many homeowners who are still dealing with a mortgage, insurance isn’t optional; it’s wrapped into their monthly mortgage payment. This could potentially account for some of the disparity.
(Source: Insurance.com and Value Penguin)
In total, the United States rental market size is an astonishing $182.9 billion. But that’s a far cry from the $201.1 billion soft drink segment. While it may be an odd comparison, it gives a unique perspective, allowing you to better ascertain the industries size.
(Source: IBISWorld and Statista)
Ultimately, the rental market is vast, and a decent amount of it is apartments. Renters are a diverse bunch, representing people from a variety of walks of life and spread all across the country. The statistics above showcase how intriguing the landscape is, as well as what people may encounter if they are in the market for a rental apartment.
The post 24 Insightful Apartment Statistics – 2023 appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post How to File a Noise Complaint About a Barking Dog appeared first on Flex | Pay Rent On Your Own Schedule.
]]>In this article, we’ll go over all the ways you can file a noise complaint about a barking dog.
In many cases, dogs bark or howl excessively when their owners aren’t home. As a result, your neighbor may not know that their dog is disruptive, so speaking with them about the problem is typically a wise first step.
When you speak with your neighbor, avoid being accusatory or aggressive. Instead, focus on how the situation is hindering your daily activities, such as your ability to work or sleep. Next, let them know you’d appreciate it if they’d work to address the issue. That way, you’re positioning the conversation as a request for help, which is often better received.
If the neighbor gets combative, defensive, or otherwise is clearly reluctant to take action, don’t engage in an argument. Instead, thank them for hearing you out. Then, document what occurred, including the day, time, and what you and they said during the conversation.
In some cases, the owner has a change of heart after they absorb what you shared. Since that’s the case, the situation may resolve even if they didn’t seem receptive initially. However, by documenting what occurred, you’re ready for any next steps if they’re necessary. Make sure to jot down any subsequent barking instances, too, allowing you to show that the problem is disruptive and ongoing.
Renters are typically subject to a variety of clauses in their lease, and noise restrictions are typically part of the equation. If the neighbor is part of your apartment complex and has the same landlord, speaking with your landlord is the next best step.
When you talk to your landlord, describe the nature of the issue. Reference any incidents you’ve documented and let them know you tried to handle the problem directly. It’s also wise to mention any noise clauses in the lease the other tenant is violating, as that shows the landlord that you’re aware of the rules.
During the discussion, request a timeline for when the landlord is going to take action and document what you learn. Then, track if the barking dog remains a problem over the coming weeks.
Having some patience is wise, as it allows the landlord to approach the situation correctly. For example, they might have to notify the other tenant of a noise violation in writing. If that document is mailed, it can take several days to reach the dog’s owner, so keep that in mind.
If the barking dog is still a problem after one to two weeks, contact your landlord in writing. Submitting your complaint via email or a certified letter gives you evidence that you’re trying to get the issue resolved in the proper manner, which is helpful if you need to take additional action should the problem continue occurring.
In most areas, there are noise ordinances or nuisance laws relating to barking dogs. As a result, if you and your landlord are unable to get the situation resolved, you can contact local animal control or law enforcement to file a formal complaint.
The exact process for filing a complaint can vary by municipality. Since that’s the case, it’s wise to research noise ordinances and nuisance laws in your area. Along with letting you see if the barking dog is a violation, it could let you know the best point of contact for problems of this nature.
Often, you’ll need to submit your complaint in writing or through a designated online form. When you do, make sure to refer to your documentation to outline when and how often barking is happening and the steps you’ve taken to try to resolve the matter.
In most cases, your neighbor will either receive a formal letter from the appropriate agency or a visit from an animal control or police officer about the problem. They’ll inform the neighbor that their dog is violating noise or nuisance laws and let them know what may occur if they don’t get the situation under control.
After that, wait two weeks to see if the barking stops. If not, submit another written request to the appropriate agency. That typically escalates the matter and could result in a variety of penalties for the dog owner.
In some cases, a barking dog problem that isn’t going away makes moving a smart idea. If you’re near the end of your lease and you have the means to find a new place, start your search right away. By doing so, you can potentially secure a property, provide your landlord with appropriate notice, and seamlessly transition into a quieter home.
Even if your lease isn’t getting close to ending, you might have the option to move if you and the neighbor have the same landlord. If the landlord fails to address the barking dog and that noise is a clear violation of the lease, you might be able to break your lease without facing any penalties.
Whether breaking your lease is plausible can depend on local landlord-tenant law or clauses in your lease that outline tenant rights to “quiet enjoyment.” While quiet enjoyment is typically directed at landlords, ensuring their activities don’t disrupt their tenants excessively, some interpretations also cover landlords failing to address noise issues involving their other renters.
With proper documentation about your attempts to remedy the problem and the landlord’s failure to fix the issue, that could give you enough to break your lease without penalty.
If landlord, local animal control, or law enforcement agency intervention doesn’t resolve the problem and moving isn’t a solid option, you can potentially file a lawsuit over the barking dog being a nuisance. The steps you’ll need to take or the evidence you need to acquire before filing can vary by jurisdiction, so review local requirements.
Typically, it’s best to consider a lawsuit a last resort. Along with being time-consuming, a suit is often expensive. As a result, moving is usually a better choice, but this is technically a path that’s on the table.
Note: The information provided on this website does not, and is not intended to, constitute legal advice; instead, all information, content, and materials available on this site are for general informational purposes only.
The post How to File a Noise Complaint About a Barking Dog appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post How to Make a Monthly Budget: 8 Easy Steps appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Essentially, a budget lets you outline where your money needs to go every month. Along with helping you assess your financial state, it can reduce missteps like late bill payments or overspending. If you’re wondering about how to make a monthly budget, here’s how to tackle it in eight easy steps.
When you’re ready to put together your monthly budget, the first step is to total up your monthly household income. Create a list of every income source, including traditional jobs, side gigs, support payments, disability payments, retirement payments, or anything else you’re receiving each month.
For income sources that aren’t the same amount every month, you have two choices. First, you can use the lowest amount you’ll receive in a month, essentially giving you a cushion during higher-income months. Second, you can average out how much you usually receive.
With the latter approach, you will need a plan for handling lower-income months. One option is to set aside money during higher-income months to cover those periods. That way, you have a buffer.
After you total up your income, it’s time to list all of your bills. This includes any monthly obligation, including rent or mortgage payments, insurance, utilities, car payments, and similar expenses.
For fixed bills – those that are the same amount every month – list the cost associated with the expense. For variable bills – such as credit card payments or usage-based utility bills – you can handle these in one of two ways.
In many cases, the best option is to list the highest amount you’ll owe, as it ensures you don’t accidentally fall short during high-cost months. Alternatively, you can calculate an average using data from the past year, though you’ll need a cushion to tackle higher cost bills when they occur.
As you create the list, also write down the due date for the bills. That way, your budget can serve as a payment guide, reducing the odds that you’ll accidentally pay late.
Once your bills are listed, it’s time to estimate your spending in variable categories like groceries, dining out, fuel, and entertainment. Begin by averaging out how much you spend in each of those areas per month, using data from the last year, if possible, or the previous three months if you don’t have access to 12 months of information.
When you calculate your average spending, don’t forget to include any purchases in these categories made with credit cards. That ensures you’re tracking all of your related activity when creating the average.
Everyone has expenses that occur regularly outside of a monthly schedule. Vehicle maintenance, like oil changes, is a prime example, as well as certain home maintenance costs. Some other common periodic expenses are holiday gift shopping and back-to-school shopping. Seasonal wardrobe spending can also qualify, as well as tuition for college or private K-12 schools and sports or activity fees.
Think about every periodic expense you need to tackle during the year, as well as how many times you have to pay it annually. Then, add up the yearly cost and divide it by 12. That lets you know how much you’d need to set aside each month to make these costs manageable.
You can also factor in periodic expenses that are handled every few years (or even decades). Large home maintenance projects like roof replacements are a solid example, but they aren’t the only ones. By estimating these costs and dividing them by the number of months until you’ll need to pay them, you can determine how much you should save monthly to cover these expenses in your budget.
Most people have a few savings goals they’d like to hit. Having a robust emergency fund is something everyone needs, so it makes a solid goal. You might also need to set money aside for retirement, a down payment on a home, replacing a vehicle, taking a vacation, and more.
Consider what financial savings goals you’d like to hit. Additionally, estimate how much you’ll need to save to reach the target. Finally, list them in order from most to least important.
If a goal is time-sensitive – such as needing to achieve it by a specific target – you can divide the required amount by the number of months before that date arrives. That lets you know precisely what you’ll need to include in your budget. If a goal isn’t time-sensitive, you can choose an amount to set aside later based on the remaining room in your budget after your expenses and spending are addressed.
Once you have all of the information above, you can start writing your monthly budget. Using a spreadsheet is an easy option, particularly since it can perform calculations. However, you can also use a budgeting app if you prefer.
If you go with a spreadsheet, begin by listing your income at the top. Next, put your bills onto it in order, based on their due dates. Put the date in the first column, the name of the company in the second column, and the amount owed in the third column.
In the fourth column for your first bill, subtract the amount owed from your income and write the remaining income amount in the fourth column. For the second bill, deduct the amount owed from the remaining income listed alongside the bill above it. Continue that process until every bill is accounted for and you know how much money you have left for other types of spending.
After that, you’ll write in your variable categories, as outlined in step three. Use the same four-column approach as you did with your bills, though you can forgo the due date if you prefer. Next, add your periodic expenses and savings goals using the same format.
As you do the calculations for the fourth column on your monthly budget spreadsheet, you can see if your income will cover everything based on the data you collected. If it does, then you can simply follow that framework, or if you have money left over, allocate those extra funds until you assign all of your income to a purpose.
If your income falls short, you’ll need to determine where you can cut back. Examine your variable spending and savings goals first, as those are often the most flexible.
If you cut those down as low as possible and are still coming up short, it could be time for more drastic cuts. Consider how you can reduce or eliminate any expense.
For example, can you get a better rate by changing internet providers or home, renter, or auto insurance carriers? Would canceling an entertainment source – such as extra streaming services – cover the deficit? Could you take public transit to reduce your costs?
You could also determine whether boosting your income is possible. Could you get more hours at work or secure a raise? Would adding a side gig or second job be plausible?
Continue working on the problem until you develop a budget that meets your needs. Just make sure you don’t unrealistically reduce a spending category to the point where sticking with the budget isn’t possible. The numbers only help if they’re realistic, so keep that in mind.
Once you have your budget in place, you’ll want to review it regularly. Along with using it to ensure you’re staying on target, you need to track your actual expenses and spending. That way, if the allocated amount proves unrealistic, you can make adjustments based on any new information you collect for the following month.
Continue tweaking your budget every month until you reach a point where it works. After that, you can still use your budget to stay focused but forgo making adjustments until the need arises.
Ultimately, your budget is a living document, so it’s never completely finished. Even if your budget is working, plan to thoroughly review it every six months at a minimum. That way, if your needs, goals, or priorities change, you can alter your strategy to ensure your monthly budget keeps working for you.
The post How to Make a Monthly Budget: 8 Easy Steps appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post Why Budget? 5 Key Benefits appeared first on Flex | Pay Rent On Your Own Schedule.
]]>A budget is a tool that can help you maintain financial stability by giving every dollar a specific purpose. Plus, budgets let you outline when you need to handle paying various expenses, reducing the odds that a payment is late. Here’s a closer look at the five key benefits of having a budget.
Without a budget, making financial mistakes is more likely. For example, you might look at your bank balance and assume you have enough cash for a splurge because you’re overlooking an upcoming expense. If that happens, you could fall short when it’s time to pay a critical bill, landing you in financial hot water.
By referring to a budget before making big spending decisions, missteps become less common. The main purpose of a budget is to create a framework for your financial life. It allows you to outline your bills, account for living expenses, and allocate money to each spending category.
A budget also forces you to take an honest look at your financial picture. Since you have to outline all of your expenses and formally allocate your incoming, it’s harder to maintain any illusions about your current financial state. Plus, a budget is a platform for tracking your spending activities, which reduces the odds that you’ll forget to pay an essential bill.
As a result, your finances are easier to keep under control. You know how much you need to cover your upcoming costs and how much you can spend in flexible categories like groceries, entertainment, and more. It also tells you when those expenses need addressing, keeping you on time.
If you’re having a hard time managing your money month-to-month, a budget could help you see where your money is actually going. You have to list every one of your bills. Plus, for variable categories like food and entertainment, you have to look at your spending to set reasonable limits in your budget.
In some cases, this process allows the purpose of a budget to extend beyond income allocation; it can help you see why you’re having money struggles. You might realize that your spending in a particular variable category is far more than you thought. Additionally, it may reveal that small everyday spending – like the cup of coffee from a café every workday – is actually derailing your budget.
It isn’t uncommon to underestimate your spending if you’ve never had a budget or formally tracked where your money goes. At times, the reason for the disconnect is that spending happens in fits and spurts. You aren’t handling all of your expenses on a single day. Instead, it’s small amounts heading out the door here and there, and that can make it seem like you’re spending less than you are in many cases.
With a budget, you have to outline and monitor your spending closely. This gives you a clear picture of where your money is going. At times, those insights are powerful, and they create opportunities to make adjustments to improve your financial situation.
Debt – particularly high-interest debt like credit cards, payday loans, and similar accounts – can cost you a bundle. Interest owed increases the amount of money you have to send out of the door, and it can be a large enough sum to derail your financial life.
When you create a budget, it’s easier to see how monthly debt-related payments are impacting you financially. In some cases, this revelation makes prioritizing debt repayment easier, essentially serving as a source of motivation. At times, it may discourage you from turning to debt to cover costs, as the penalty for doing so is clearer.
Many people have a variety of short- and long-term savings goals. However, working toward them without a roadmap can lead to a haphazard approach. Additionally, without a budget, you may spread out your efforts instead of concentrating on your priorities, which isn’t ideal.
A budget creates opportunities to work toward financial goals in a logical manner. You can list each target on your budget and allocate a specific amount of income to each one. The amount you dedicate is then planned, and it makes it easier to align these efforts with your priorities.
For example, imagine you’re trying to create an emergency fund, put money aside for an upcoming vacation, and save up for a down payment on a house. With your budget, you can determine precisely how much income you want to dedicate to each of those goals, using your needs, priorities, and the preferred timeline for hitting the targets as a guide.
Financial stress is incredibly common, regardless of your income bracket. In some cases, worries about money make the idea of budgeting scary. That’s usually based on the assumption that knowing the truth about your situation would make things seem worse. However, the reality is quite different.
Even if your financial situation is challenging, having a budget can bring you some peace of mind. There’s no more wondering about the nature of your financial struggles, whether you paid bills on time, or if you can afford food for the next week.
Instead, you have the ability to make conscientious choices about what you’ll do with your money moving forward. Even if you’re in dire straits, it gives you a sense of control you didn’t have previously. You can make plans to recover your financial house, allowing you to move toward a better tomorrow.
The post Why Budget? 5 Key Benefits appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post The 10 Most Affordable Places to Live in Arizona appeared first on Flex | Pay Rent On Your Own Schedule.
]]>When it comes to affordable cities in Arizona, Douglas generally qualifies as the cheapest place to live in Arizona. You can get a one-bedroom apartment for around $575 per month, which is far below the state’s average fair market value. Plus, the average sale price for a home is a mere $152,000, which is incredibly low.
While housing prices alone make Douglas worth considering, you’ll save in other areas, too. The overall cost of living is 8 percent below the national average, so you can save on groceries, gasoline, home goods, and more. In most cases, the only categories that outpace the national average are healthcare and utilities, the latter of which mainly has to do with battling the desert sun and high temps. Still, since you’re saving in other areas, it’s worth considering.
Bullhead City is nestled along the banks of the Colorado River, giving the town a picturesque quality when coupled with the desert landscape. When it comes to rental prices, Bullhead City sits a bit below the state average fair market value, coming in at $975 per month for a one-bedroom. Housing sale prices also declined during the past year, sitting near $300,000 as of September 2022.
The general cost of living is also below the average for the state. Like many cities in the area, healthcare can be a little spendy. However, utility costs are actually below the national average, which can be a surprise based on cooling needs in the area.
When people start looking for the cheapest places to live in Arizona, they may wonder if they’ll have to sacrifice safety. Fortunately, that isn’t always the case. The North Mountain neighborhood in Phoenix isn’t just well-priced; it’s an excellent family area with great schools and a community feel.
While a typical one-bedroom in Phoenix runs $1,399 per month, you can find comparable options in North Mountain for about $1,126 per month. If you were looking to buy, the average home sale price in North Mountain is $397,125, while Phoenix as a whole averages closer to $430,000.
When it comes to the general cost of living, North Mountain also sits below the national average and many other Phoenix neighborhoods by a little bit. As a result, it can be a solid choice for anyone looking to save.
If you want to be close to Phoenix without living in it, El Mirage could be a solid choice. The average rent for a one-bedroom comes in closer to $1,000, which isn’t bad if you’re within commuting distance of Phoenix. Plus, home sale prices average closer to $380,000. While that isn’t cheap, it’s far less than you might pay on Phoenix.
Plus, El Mirage offers a close-knit feel, making it seem more like a community than a traditional suburb. The overall cost of living is also pretty close to the national average, barring transportation, which is high. While Phoenix is a bit better when it comes to utility prices, the difference is small. Plus, with what you save on housing, it could be worth paying.
When it comes to affordability, Flowing Wells is a standout option. A one-bedroom may run you as little as $472 per month, while a two-bedroom comes in closer to $994 per month. Plus, the neighborhood is a very safe place, which can give you peace of mind.
For prospective home buyers, the median sale price in Flowing Wells is $240,000. Compare that to Tucson’s average – which sits at $325,000 – and you can see why Flowing Wells isn’t just one of the most affordable neighborhoods in Tucson; it’s one of the cheapest places to live in Arizona when it comes to housing.
The overall cost of living is also well under the state average and Phoenix as a whole. While utilities outpace the national average, the rest are far below.
Oracle is about 35 miles northeast of Tucson and sits in the Catalina Mountains foothills. It’s one of the more affordable cities in the area, with the average one-bedroom apartment costing around $950 per month. Home prices are also lower, sitting closer to $315,000.
But where Oracle really shines is the overall cost of living, which is notably below the state average. You’ll spend less on utilities and transportation, and grocery costs are comparable. Couple that with a bit of elevation – which can lead to cooler temps – and it’s a pretty solid choice. As a result, it’s easier to live well in Oracle, all while getting the benefits of an amazing foothills location.
For an affordable, family-oriented neighborhood in Mesa, Central is a popular choice. The downtown area is coming into its own, making it a fun option for those who appreciate historic touches. Plus, there are shopping centers, sports stadiums, and much more in this part of the city, which makes it convenient.
Overall, a one-bedroom apartment in Central Mesa typically runs $1,071 per month, while the average for Mesa as a whole is closer to $1,241 per month. Plus, the cost of living in Mesa isn’t too far above the state average, and it actually does better in areas like healthcare and utilities.
If you prefer to live in the mountains, Bisbee is an excellent choice if affordability is also a priority. It sits in the Mule Mountains and is referred to as the “Mile High City” by locals due to its elevation. It’s also brimming with historic charm, which is one of the reasons it’s a popular tourist destination.
You can rent a one-bedroom apartment for around $845 per month in many cases, and home sale prices average near $163,000. Plus, the cost of living is well below the state average in every category aside from healthcare. You’re also close to the Coronado National Forest and the Mexico border, as well as less than two hours from Tucson.
For those looking for a small town near the Grand Canyon, Williams could be a winner. In town, the average rent price is about $927 per month, which is a little below the state average. Housing prices are a little higher, though, coming in near $425,000.
When it comes to the broader cost of living, you do come out a bit ahead of the state average, particularly when it comes to utilities and transportation. Groceries are comparable, too, which may be surprising in a town that’s as small as Williams.
One fun part of choosing Williams is that it’s on Historic Route 66. Since that’s the case, many restaurants and attractions have a quirky retro vibe. Plus, there’s plenty of Old West styling, too, making Williams incredibly unique.
If you want to head to the Verde Valley but prefer to avoid the higher prices you find in cities like Sedona, consider Clarkdale. It’s a historic small town, giving it plenty of charm. Plus, it’s near a slew of outdoor recreation attractions, making it an excellent choice for active types.
On the cost side, you could spend about $628 per month on a one-bedroom apartment. However, home sale prices are closer to $475,000, so buying could be a challenge. While the cost of living also leans slightly above the state average, it’s well below what you find in Sedona. Plus, Sedona is a reasonable drive away, so you can usually visit with relative ease.
Overall, Arizona has a cost of living that’s generally close to the national average. However, by choosing the right cities, towns, or neighborhoods, you can potentially do a bit better, particularly when it comes to rental prices. Just make sure you factor in all of your possible costs, especially if you’ll be commuting from one town to a bigger city. That way, you can make the best financial decision based on your unique circumstances.
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]]>The post How Long Does It Take to Process a Rental Application? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>A lot goes on behind the scenes after you submit a rental application. The landlord or property manager doesn’t just read the information you provide; they also run background and credit checks, contact references, verify income, and more. Each of those steps takes time.
While most rental applications are processed within one to three business days, there are circumstances that can extend the timeline. First, if you’re dealing directly with a landlord and not a property manager, the timeline may be longer.
Individual landlords don’t have the resources – like additional staff members – to move forward as fast as some property managers can. As a result, they may need more time to complete the various steps, particularly if they’re juggling other responsibilities.
Missing information in your application can also cause delays. While landlords or property managers will usually reach out promptly if that occurs, they might not notice that details aren’t present until they get to that specific phase of processing your application. Depending on when that happens, that could lead to a longer decision timeline.
If the landlord or property manager wants to contact your references and isn’t getting a response, that can delay your application, as well. By contacting your references in advance and letting them know a landlord or property manager may reach out, you can reduce the risk of this happening.
You may also see delays if there is anything unconventional about your application. For instance, verifying the income of a self-employed individual may be trickier than a traditionally employed person.
If you’re moving in with a roommate or there’s a cosigner on your application, then any verification steps the landlord or property manager take have to be done twice. Therefore, the overall timeline may be lengthened to accommodate these extra checks.
Finally, if you’re applying for a rental that won’t be available for several weeks, the timeline may be longer if the landlord or property manager has other pressing matters to handle. For example, if they’re also filling a unit that’s available much sooner, they may focus on those applications before getting to yours. Still, in this case, any delay is usually minimal.
Precisely when you should follow up on a rental application depends on several factors. First, if you requested a decision timeline when you submitted the paperwork and one was provided, you should wait until that period passes before following up. Otherwise, you may come across as pushy or aggressive, which isn’t ideal.
If you weren’t given a timeline, give larger property management companies at least three business days. For smaller outfits or individual landlords, waiting five business days may be more appropriate. Since fewer people are available to complete the checks, the extra two days gives them a bit of wiggle room for the unexpected.
Once that period passes, it’s time to follow up. You generally have two choices for reaching out. First, you can call the landlord or property manager. Second, you can send an email.
In most cases, you’ll get information quicker with a phone call. If you go this route, make sure you take notes regarding who you spoke to and any provided timeline information. With emails, you might need to wait longer for a reply, but you’ll automatically get a paper trail, which can be helpful.
When you reach out, don’t demand an update. Instead, let them know you’re following up on an application and ask them if they need more information from you. This allows you to come across as helpful but still creates opportunities to get insights into the timeline.
If they don’t volunteer information about the status of your application, ask about it in a reply email or at the end of the phone call. At that point, you’ve already approached them politely, so a simple request for a time estimate isn’t going to strike the wrong note.
While many rental applicants do have some time before they need to get into a new place, others are dealing with a tight timeframe. If you need to get into a new rental quickly, it’s best not to wait for a response on an application.
Instead, once you submit the paperwork, continue looking for other rentals in your area. If you find one with potential, consider applying there, too. This allows you to functionally hedge your bets, ensuring an unexpected delay with one landlord or property manager doesn’t derail your move.
If you do apply for other rentals and get approved at one that meets your needs, contact the property manager or landlord for the other properties and let them know you’re no longer in the market. That allows them to focus on other tenants. Plus, it’s a polite move on your part, and that can make a positive impression. Then, if you happen to be in the market again, they may remember you handled things professionally, which may work in your favor.
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]]>The post How to Budget for Holiday Shopping appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Once the holidays start approaching, many people start dreaming of everything they’ll get for their loved ones, how they’ll transform their homes, or what their perfect holiday vacation will involve. However, it’s easy to get caught up in the holiday fervor, and that can lead to overspending.
Before the holiday season arrives, sit down to review your budget. Be realistic about what you can and can’t spend. If it helps, outline your spending capabilities. Assign a dollar amount to each gift recipient, outline what you can afford to shell out for holiday meals, and see what you can potentially pay for travel. While it takes a little time, it can keep you from overextending, reducing the odds that you’ll need to turn to debt.
Whether you’re worried about travel costs, food expenses, or gift buying, setting a small amount of money aside from every paycheck makes holiday budgeting easier. You can build up your savings over the course of a few months or an entire year, so you don’t have to pull it all from just one or two checks.
Before you start, estimate what you’ll need to spend. Set price limits for gifts as a starting point, outlining how much you’ll spend on each person. Then, factor in other expenses, such as travel and meals. Divide that figure by the number of paychecks you’ll have between now and when you need to shop, then stash that amount of cash.
If you’re worried about gifts, another excellent option is to divide up your gift purchases between your remaining paychecks. This allows you to spread out your holiday spending, which can make it more manageable. Plus, it could create opportunities to score some deals if you happen to catch a sale.
While you can use this strategy over the course of a few months, it’s also possible to stretch it out over an entire year. With that option, you can capitalize on discounts that don’t happen during the holidays, allowing you to save even more.
The hype around Black Friday and Cyber Monday makes it seem like those are the two days with the best deals. In reality, holiday season discounts on other days can be just as good, if not better.
Review sales flyers or online advertisements before these events to see if there is a deal on the exact items you want. If there are, then you can try to scoop them up. But if not, keep your eyes open, as there’s a chance the gift you’re after will go on sale before the holidays happen.
Last-minute travel bookings often cost more than if you plan ahead. If you know where you want to go, try to book your flights and accommodations in early to mid-October. You’ll have more options available than if you wait, and the prices are usually better. Plus, it’ll knock one more thing off of your holiday to-do list, which can be a relief.
Some discount airlines advertise very attractive prices. The issue is that once you start to move forward, you encounter a ton of fees and extra costs, driving the total up.
While you can certainly look at discount airlines, make sure you account for the fees. Then, compare the cost to a more traditional airline to see if you genuinely come out ahead. If not, then you may want to choose an airline with more straightforward pricing.
If buying for all of your family members or friends might be a budget buster, reach out to everyone and see if they’d be interested in a Secret Santa exchange instead. With those, all participants only purchase and receive one gift, which makes it budget-friendly. Plus, the mystery can make it a little fun.
Another nice feature of a Secret Santa is that everyone usually has the same purchase limit. In some cases, since you’re only buying for one person each, that may allow you to spend more on a single gift while still keeping everyone’s budget on target.
Even if you think the price for a gift or meal item is reasonable, don’t be afraid to price check while you’re on the go. Use your phone to see if other area stores or online retailers are selling it for less. If so, you can see if the store you’re at has a price-matching program. If they don’t – and the savings is significant enough – then you can always head elsewhere to complete the purchase.
If you’re worried about holiday expenses, don’t focus solely on budgeting for those costs. Instead, take a look at your regular household budget and typical spending patterns. Find opportunities to reduce your expenses, at least temporarily. Scale back on dining out, cancel a streaming service or two, and make other small adjustments to give yourself some breathing room. In the end, you can always start things back up after the holidays if you want, so treat it like a holiday pause and use the cash to handle your travel, gifts, and more.
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]]>The post The 7 Most Affordable Places to Live in Colorado appeared first on Flex | Pay Rent On Your Own Schedule.
]]>While popular cities like Denver and Boulder have a high cost of living by the state’s standards, you can find a wide range of rent prices in Colorado. Here are some of the most affordable places to live in Colorado.
Located just south of Colorado Springs, Fountain offers the most affordable cost of living in Colorado. Rent in Fountain averages $1382 per month, while the average home is valued at around $494,000. Renters occupy only about 35% of the homes in Fountain, perhaps due to the affordability of real estate in the area.
Fountain’s population is just 30,000, but its proximity to the much larger Colorado Springs means you don’t miss out on any big city amenities by moving there. Fountain is mainly suburban and rural, meaning it’s not very walkable. Unfortunately, public transportation in Fountain isn’t very prolific, so you will likely need a vehicle to get around — so forget to factor that expense into your cost of living.
Those drawn to outdoor recreation will find no lack of opportunities in Fountain. The city is surrounded by parks and nature preserves where you can enjoy hiking, mountain biking, fishing, birding, and more.
Greeley is a city of 108,795 residents located southeast of Fort Collins, Colorado, where the average rental goes for about $1407 per month. For those looking to buy, the average home in Greeley is priced around $457,500, making it one of the cheapest cities in Colorado to buy a house.
Greeley was founded in the 1800s as an experimental agricultural utopia, and it continues to have a robust agricultural industry. The largest employer in Greeley is the food processing company JBS USA. Education and healthcare are two other significant components of Greeley’s economy.
Residents of Greeley enjoy taking advantage of the area’s outdoor recreation options. The city is home to 57 parks, where you can enjoy everything from jogging and cycling to hiking, ice skating, and more. The city has a growing craft beer scene and a thriving arts community, and it plays host to all kinds of fun events throughout the year. The Greeley Stampede is a two-week rodeo that takes place every July. The Union Colony Civic Center attracts all kinds of touring acts, including musicians and broadway productions, throughout the year.
Located just over one hour from Denver, Colorado Springs offers a much more affordable cost of living without sacrificing culture or opportunities for outdoor recreation. Where the average rent in Denver runs about $1994 per month, rents average just $1553 in Colorado Springs. Not bad, considering it’s the state’s second-largest city. The average cost of a home in the city is about $485,000.
Colorado Springs has a population of approximately 480,000. The city is home to several military bases, including the Peterson Space Force Base, and much of the economy is supported by this sector. Other significant industries in Colorado Springs include tourism and high-tech.
The city has a largely suburban feel, but there is no shortage of community events, festivals, and activities to participate in Farmer’s Markets, theatre performances, concerts, and more. There are several craft breweries and excellent bars and restaurants throughout the city. Many residents are drawn to Colorado for its stunning nature, and Colorado Springs offers plenty of opportunities to enjoy the outdoors. The city offers many parks and paths for jogging and cycling, and the surrounding mountains make it easy to access areas to hike or ski.
Glendale is a small suburb of Denver, Colorado, with approximately 4,500 residents. Over 80% of Glendale’s population consists of renters, and they pay an average of $1652 per month. Considering Denver’s average rent is $1994, living in Glendale represents reasonable savings, especially given that it’s located just 5 miles from downtown Denver. The average price of a home in Glendale is $375,965, and most of the housing is apartments and condos rather than single-family homes.
Glendale is largely a commercial area with many office buildings, shopping malls, and small businesses. It is home to Infinity Park, a sports and entertainment complex that hosts rugby games and other events. There are also a few parks within Glendale where residents can exercise, picnic, or participate in community activities and events.
The affordable cost of living and the convenient location makes Glendale a popular neighborhood among young professionals in the Denver area. Glendale is largely urban, and residents can walk to a variety of coffee shops, restaurants, and bars.
Located approximately 5 miles west of downtown Denver, Edgewater is a suburb with a population of 5,000. Rent prices in Edgewater are higher than the national average of $1450 but lower than average for Denver, making it an attractive place to live, especially for those looking for proximity to downtown Denver. The average price of rent in Edgewater is $1664, and the average cost of a home is $665,538.
Edgwater offers a mix of urban and suburban environments. It’s a trendy neighborhood and offers a collection of excellent dining options, breweries, coffee shops, and boutiques. The Edgewater Public Market is a popular dining hall packed with different eateries, cafes, and bars. Sloan’s Lake is a popular attraction in Edgewater, and there are many restaurants right along the shore. The lake is surrounded by green space and multi-use paths popular for walking, cycling, and jogging. It’s also a great place to watch the sunset.
While Edgewater is located very close to downtown Denver, the city is self-contained, which only adds to its affordability. Within Edgewater, you can walk or cycle to all kinds of amenities, including grocery stores, box stores, and more, which limits your dependence on a vehicle. Unfortunately, Edgewater’s public transportation is lacking, so you may need a vehicle for commuting.
Wheat Ridge is a city located on the western edge of Denver. It was originally established as a farming community in the 1800s but now it is largely residential and is known for its collection of antique shops, consignment stores, and an abundance of parks. Thanks to its agricultural roots, Wheat Ridge also has several farmer’s markets and produce stands where residents can purchase fresh, locally-grown produce and other products.
Wheat Ridge has a population of approximately 30,000 and with an average rent price of $1685, making it one of the most affordable places to live in Colorado. The average cost of purchasing a home in Wheat Ridge is $664,558, and approximately 55% of residents own their homes. Likely due to its suburban feel, Wheat Ridge is a popular community for families. The median age of residents is 41 years, and the area has excellent public schools.
This friendly city is known for its cultural diversity, community feel, and relaxed atmosphere. It has everything you could need, from shopping and restaurants to recreation and entertainment opportunities. Unlike many suburbs, Wheat Ridge has great public transportation, making it easy to limit your driving. Plus, you are close enough to downtown Denver to reap the rewards of a much larger city.
Aurora is Colorado’s third largest city and has a population of approximately 325,000. It is known for its abundance of parks and its proximity to the Rocky Mountains, which is reflected in the town motto, “The Gateway to the Rockies.”
Living in Aurora is incredibly affordable for a city of its size in such a desirable location. The average cost of rent is $1737 per month while purchasing a home costs approximately $514,449. Aurora is about 9 miles east of Denver, making it easy to take advantage of all the city’s amenities.
Residents of Aurora enjoy making the most of the area’s many outdoor recreation opportunities. From hiking to fishing, mountain biking, horseback riding, and beyond, there are many ways to enjoy the great outdoors. Aurora also has a vibrant culinary scene featuring cuisines from around the world, including Morrocco, the Mediterranean, and beyond.
Colorado is a beautiful state with a healthy economy and offers an excellent quality of life for its residents. While the cost of living in the state is typically a little above the national average, there are still plenty of affordable places to live in Colorado. It’s worth noting that the cost of rent and the price of real estate has been rising steadily within the state over the last several years. Purchasing real estate in Colorado could be a smart investment.
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]]>The post Living in Las Vegas: Pros, Cons, & Facts of Life appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Las Vegas is a world-renowned entertainment destination. Aside from gambling at casinos, there’s a myriad of shows, attractions, and events that would keep anyone busy. Plus, many of today’s leading acts do stints in Las Vegas, either cruising through as part of a larger tour or settling in for a while at one of the casinos.
Ultimately, Las Vegas has standup comedy, magic shows, concerts, musical theatre, circuses, and more, including both adult-oriented and family-friendly options. Additionally, many conventions cross through the city, giving you even more options.
If you’re a foodie, Las Vegas is an excellent place to live. The number of restaurants in the city is staggering, and nearly any kind of cuisine imaginable is represented in some shape or form. Whether you prefer a formal French dining experience or an informal burger joint, there’s something for you.
Plus, some Las Vegas restaurants were previously awarded Michelin Stars. That means some of the dining options are exceptional in a global sense, offering experiences you won’t typically find elsewhere.
While it would be easy to assume that living in Las Vegas comes with an incredibly high cost of living, that isn’t necessarily the case. Instead, it comes out to about 4% above the national average. When you consider that Seattle is 53% above the national average and Miami is 17% higher, it shows just how affordable Las Vegas can be by comparison.
When it comes to renting apartments, the prices in Las Vegas aren’t outlandish. Usually, a one-bedroom runs $1,005 per month, while a two-bedroom costs $1,216. Considering that the national averages are closer to $1,129 and $1,295 per month, respectively, that makes Las Vegas competitive.
In a similar vein to the point above, taxes in Las Vegas are typically low. First, Nevada doesn’t have a state income tax, which can result in a significant savings. There also aren’t any state business or corporate income taxes, something current or aspiring business owners often appreciate.
When it comes to sales taxes, the rate in Las Vegas – which is located in Clark County – is 8.375%. Generally, that’s considered a moderate rate even when compared to states with state income taxes, let alone one without them.
Even property taxes are fairly low in Las Vegas. However, they are higher than some other parts of the state, so keep that in mind.
Sitting in the Mojave Desert in southern Nevada, Las Vegas is often a city that’s perpetually experiencing summer weather. The average highs dip below 60°F just two months out of the year and are only under 70°F four months out of the year. Plus, the city gets a ton of bright, sunny days, with more than 300 days of sunshine typically.
While Las Vegas is a bustling city, it’s also positioned in the middle of the desert. As a result, there are plenty of wide-open spaces to explore just a bit beyond the city limits. Plus, it’s close to Lake Mead, the Colorado River, Mount Charleston, the Valley of Fire, and the Grand Canyon.
Whether you like hiking, swimming, bouldering, dirt biking, horseback riding, or nearly anything else, you can do it without having to venture far from Las Vegas. Plus, the landscape is absolutely breathtaking, making every trip out feel special.
As an incredibly popular tourist destination, Las Vegas makes arriving in the city easier thanks to McCarran International Airport. It’s actually the seventh busiest airport in the country and features plenty of domestic and international flight options.
While it may seem like the nearby airport mainly benefits tourists, it’s a boon for locals, too. Whether you want to head out of the state or country for a vacation, to visit family, or for work, finding a suitable flight is usually a breeze. Plus, flights in and out of Las Vegas are often incredibly affordable since nearly every airline heads there, creating ample competition, which often translates into lower prices.
While Las Vegas has its fair share of traffic, it benefits from the fact that the city is newer overall. The roadways were designed with a high number of visitors in mind, so traffic flows through Las Vegas better than in many other larger cities that are far older.
Overall, when compared to other major cities in the United States, Las Vegas is 26th when it comes to having the worst traffic. While that isn’t great, it means Las Vegas is far easier to navigate than many people would expect, particularly when you consider the impact of tourists.
If you’re thinking about retiring in Las Vegas, you won’t have any trouble finding 55+ communities. Those are a solid option for ensuring you’re close to critical amenities and part of a community that shares a similar mindset. Plus, there are options at nearly any price point, and housing in many of them is less expensive than a comparable home outside of a 55+ community.
Generally speaking, golfing and sunny weather go hand in hand. Since Las Vegas gets so much sunshine and a constant flow of tourists, there are dozens of golf courses in the immediate area. Whether you’re new to the game and want an easy course or want to try something championship-level, there’s an option for you.
Tourists are often viewed as a catch-22 by locals in Las Vegas. While the influx of spending and tourist-related industries play a big role in the economy, tourists can also bring some drawbacks. Slews of visitors may clog up roads or make your favorite restaurants and entertainment venues harder to access. Additionally, Las Vegas isn’t necessarily a family-oriented destination. Instead, it attracts many visitors who want to gamble and party, some of which can get quite rowdy.
Along the Las Vegas Strip, tourists are also on the move day and night. Essentially, the city doesn’t sleep, and if you’re near to the noise, it’s possible you’ll have trouble getting enough shuteye, too.
While the bright lights of Las Vegas are fun for nearly anyone, the party atmosphere can wear a bit thin after a while. You can only spend so much time gambling, heading to clubs, or perusing attractions on the strip before it starts to lose its luster.
Plus, some of the events and activities are disruptive to daily life. Conventions can make traffic even harder to manage, for example, which is a major burden to those living in the area.
While the overall cost of living in Las Vegas isn’t far above the national average and rent prices are manageable, buying a house can get spendy. The average home value in Las Vegas is $447,597, which is more than $90,000 above the national average of $355,852.
Now, that’s still far below what you’d find in some other major cities. However, if you aren’t prepared for the prices, it can be a shock.
Overall, the biggest industry in Las Vegas is tourism and hospitality. While that sector creates ample opportunities in that niche, finding a job in Las Vegas can be surprisingly tricky overall.
In Las Vegas, the unemployment rate (as of June 2022) sat at 5.7%. While that isn’t overwhelmingly high, during that same month, the national average was a mere 3.6%, which shows that the job market in Las Vegas is tighter.
Additionally, if you aren’t interested in one of the booming sectors – such as hospitality, food service, tourism, and construction – there are potentially more job seekers than available positions. As a result, you may hit an unexpected obstacle when looking for work.
While Nevada doesn’t have the worst public schools in the nation, it definitively ranks in the bottom half and has for quite some time. As of 2022, Nevada was in 39th place overall. Additionally, the state was 48th when it came to student-teacher ratios, 47th for safety, and 47th for spending.
It is important to note that individual districts and schools may perform better in those categories than the overall state score reflects. Still, if you have children and are worried about education quality, it’s wise to research the local schools to ensure you live in an area with the best available performance.
While long-lasting sunny, warm weather is appealing to many, Las Vegas’ desert climate means the summers can get scorching. During July – the hottest month of the year usually – high temps average out at 105°F, and the average low is 81°F. Plus, high temperatures average at or above 100°F in June and August, too, and it isn’t uncommon to high three digits in May or September on occasion.
Plus, there isn’t much rain or cloud cover during the year. While some may appreciate hotter temps and nearly perpetual blue skies, it isn’t going to resonate with everyone.
While Las Vegas indisputably has its own vibe, it isn’t generally conducive to a sense of community. In some cases, this is because most of the people in the area don’t actually stay for long, giving relationships an inherent temporary or transient nature.
Plus, a significant number of people you encounter near the strip aren’t locals but tourists. Often, that leads locals to keep to themselves more often than not, even if they aren’t in a distinctly touristy area. For some people, that can make it hard to forge new friendships or maintain long-term connections.
While Las Vegas does have a large public transit system, its quality is questionable at best. In most cases, relying on it to get around isn’t the smartest move. The routes aren’t always particularly efficient, which leads to longer commute times. Plus, during the height of tourist season, you can’t guarantee that there’s enough space to board or, at least, feel comfortable while in transit.
As a result, nearly everyone who lives in the area has their own vehicle. For some, this may not be a problem. However, since Nevada gas prices can exceed the national average by more than $1 per gallon, it may not be cost-effective for everyone.
When a city is bright like Las Vegas, the light makes seeing the stars at night practically impossible. Las Vegas is considered the brightest city on Earth due to all of the lights emanating from casinos, businesses, street lamps, and more. With all of that light, starlight doesn’t stand a chance. If stargazing is one of your favorite activities, you have to get some distance between you and the city to make that an option.
Depending on where you’re from, the never-ending beige and tan landscape near Las Vegas might be off-putting. While there are palm trees and other desert-friendly plants, you aren’t going to see swaths of green grass, towering cedars, lush oaks, or similar types of greenery often.
Now, you can head out of the city and get to greener landscapes, so it is possible to get a reprieve. However, if you prefer your green escapes a bit closer, Las Vegas might not be for you.
Ultimately, whether Las Vegas is a good fit for you depends on your priorities, needs, and preferred lifestyle. The low cost of living, easy access to entertainment, exceptional dining options, and similar benefits may make it worthwhile. However, if you don’t like the heat, prefer greener landscapes, or want a tight-knit community with excellent schools, you may be better off heading elsewhere.
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]]>The post 9 Reasons Why California Is So Expensive appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Rent prices are notoriously high in California, but the elevated living expenses don’t end there. High taxes, costly vehicle expenses, and health care premiums are also to blame. If you’re considering a move to the Golden State, make sure you’re aware of all the contributing factors to the state’s expensive cost of living so you don’t face any surprises when you arrive.
California’s desirable climate and wealth of opportunities attract people from all over the world. Whether you’re hoping to pursue a career in entertainment, work for a big tech company, or just enjoy a slower pace of life by the beach, California is a land of opportunity.
Predictably, the state’s desirability means many people are competing for a limited number of places to live, especially in major cities like Los Angeles, San Francisco, and San Diego, where job opportunities abound.
Unfortunately, these cities don’t have enough housing to support the vast numbers of people who want to live there, which ultimately drives prices up. Those who can’t afford to live in these cities head for the surrounding areas, causing prices to go up in those communities too.
The demand for housing certainly contributes to the high cost of housing, but it isn’t the only factor driving prices up within the housing market or the state in general.
For many people, rent or a mortgage makes up the largest portion of their monthly expenses. This is especially common in California, where housing costs are up to 80% higher than the national average.
It’s no secret that there are many wealthy residents in California and plenty of multi-million dollar properties to match. Unfortunately, California has a significant lack of affordable housing. This is partially due to challenging zoning laws which make it difficult to build multi-family dwellings, including duplexes and apartment buildings.
The high cost of land and elevated prices for labor and building materials also make it challenging to construct affordable housing. These costs are then passed onto renters, via some of the toughest housing markets in the United States.
California’s high tax rates contribute to a higher cost of living overall. Both property taxes and state income taxes are high in the state. Plus, some counties have implemented a luxury tax on properties valued over a certain amount. Because of the high taxes, rental prices must be higher in the state to compensate for the cost of owning a property.
Additionally, California’s high poverty rates (which are linked to the exorbitant cost of living) mean there is a big demand for social systems within the state. This drives taxes higher as the government strives to ensure social programs have the necessary funding.
California offers the opportunity for individuals to earn higher wages than they would at the same job in other parts of the country. Part of this is because many major companies are headquartered in California, including Google, Amazon, Apple, Disney, and many more Fortune 500 companies.
These high-profile employers attract top-tier talent from across the country and are forced to meet them with higher than average salaries to entice them to live in such an expensive state.
While the cost of living in California is high, many people still have disposable income, meaning they reinject money back into the economy, which further elevates prices.
The cost of electricity in California is up to three times higher than in other states. These prices are partly due to the state’s substantial size and diverse geography. This increases the cost of distributing electricity and operating and maintaining the electrical grid.
On top of that, California has made a big push to get residents to adopt the use of solar power and other renewable energy sources. While this can save individuals a significant amount of money, it drives up electricity prices for those not using solar. These folks are often lower-income individuals who can’t afford the up-front costs associated with upgrading to renewable energy or renters who don’t have the option.
Individuals who rely on solar energy still draw most of their power directly from California’s electrical grid, but they offset the expense of doing so by selling their solar power back to the electrical company. In doing this, they are saving themselves money, but they’re no longer paying their fair share for the use of the electrical grid. Thus, it’s left to the customers who don’t have renewable energy to shoulder the burden of increased maintenance fees.
As droughts become more and more commonplace in California, water prices continue to rise. This means not only do state residents pay higher rates for their water utility bills, but other costs are inflated due to water expenses as well.
California has a large agriculture industry, and the high water prices make growing crops expensive, leading to increased food prices.
According to the EPI’s Family Budget Counter, food prices in California are the 10th highest in all of the United States. Part of the reason food costs more in California is that, overall, vendors can get away with selling it for higher prices thanks to the state’s higher-than-average salaries.
However, factors like high production and transportation costs, expensive rates on retail space, and the higher cost of labor also factor into the high prices. Again, a lot of food is grown in California, and the high water costs contribute to inflated prices. Not to mention, California is a large state, so transporting products costs more due to long distances.
If you’re living in California and commuting, fuel, and vehicle-related expenses will quickly become a big part of your budget.
The traffic in the Golden State is legendary, and so are the fuel prices. Thanks to taxes and regulatory programs, California has the highest fuel prices in the entire country at over $5 per gallon. A recent New York Times article explains that this is partly due to a hefty tax on gasoline (51.1 cents per gallon) and additional fees related to regulatory programs aimed at reducing greenhouse gas emissions. Altogether, these taxes and fees add over $1.27 to every gallon of fuel.
And fuel prices are just the beginning; the cost of auto insurance is extremely high in California, too. Factors like densely populated areas, high health care costs, a high percentage of uninsured drivers, and expensive car repair costs all contribute to elevated insurance premiums.
Another factor contributing to high vehicle expenses is taxes, and Californians pay nearly double the national average in vehicle taxes compared to the rest of the country.
California’s healthcare system is notoriously inaccessible and costly. The provider networks are narrow, making it challenging to find local doctors who will see you, and prices for insurance premiums are very high. The state imposes complex taxes and regulations on healthcare providers, making it challenging to keep costs low. Additionally, there are a limited number of insurance providers and hospital groups within the state, meaning there is little competition, and providers can get away with charging higher rates.
To make matters worse, money deposited into Health Savings Accounts (HSAs) isn’t tax-exempt in California, unlike most other states. This means there’s less incentive for residents to save money to put toward health care expenses.
There’s no way around the fact that California is an expensive place to live. But, with higher than average salaries, a wealth of desirable communities, and a diverse range of attractions, it may be well worth facing the high cost of living. Ultimately, many of the taxes and fees you’re forced to pay in California contribute to progressive state-wide initiatives, such as greenhouse gas reduction, that make it such a wonderful place to live.
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]]>The post Can You Apply for the Same Apartment Twice? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>For example, if your income fell below the required minimum, but you’ve since secured a raise and now earn enough to cross the threshold, submitting a new application could work. Similarly, if your credit score was too low, but it’s gone up since you applied initially, you could consider reapplying.
If you didn’t meet the landlord’s requirements before, but you do now, the landlord will likely reconsider you as a tenant. However, if the reason for the rejection remains, then reapplying will typically result in another rejected application.
Another reason why you may want to reapply is if you were simply beaten out by another qualified tenant. For instance, some landlords process applications in the order they’re received, giving those who apply earlier the ability to secure the apartment before any subsequent applicants. In this case, your application wasn’t the issue; it was merely timing. As a result, applying again as soon as a unit is available could secure you the apartment.
Finally, it’s possible another applicant’s application was simply more appealing. For example, maybe your references were good, but theirs were excellent, setting them apart. In that case, you might want to work to make your rental application more appealing. Then, if you apply again, you increase your odds of getting selected.
If you want to make sure your rental application is as appealing as possible, you’ll want to tackle a few steps.
First, check your credit report and score before you apply. That lets you know if there are any errors that need correcting, as well as if you meet any minimum requirements. If there are issues, then you can focus on fixing them before you look for a new rental, making you a stronger applicant.
Second, have all of your documents ready. If you can provide proof of identity, proof of employment or income, a list of references, and similar items right away, you’ll come across as organized and prepared, which works in your favor.
Third, make sure you have high-quality references. Choose only people who will speak well of you, particularly in regard to how you are as a tenant. Additionally, chat with people you want to list before you provide their details to the landlord. Confirm they’re willing to act as a reference, and let them know to expect a call.
Finally, consider including a cover letter with your application. It’s a chance to showcase your enthusiasm for the apartment and why you’re an excellent tenant. In some cases, that’s enough to set you apart, allowing you to land the apartment of your dreams.
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]]>The post The 8 Most Affordable Places to Live in California appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Located in California’s San Joaquin Valley, Merced takes the prize for the cheapest place to live in California, with an average rent price of $1,262. For those interested in buying a home, real estate prices are also lower than in other cities in California, with the average home being valued at $402,601.
Housing prices aren’t the only factor in making Merced an affordable place to live. Groceries, utilities, and meals in restaurants or gym memberships are also less costly than in most of California’s larger cities. In fact, according to the website Numbeo, the overall cost of living in Merced is estimated to be 70% lower than in San Francisco.
Merced has a population of approximately 84,000, and two of the main fields of employment in the city are education and library science, as well as office and administrative support. This comes as no surprise, given that Merced is home to UC Merced, part of the renowned University of California school system.
Merced may not be located on the coast, but it still offers a wonderful, outdoor-oriented lifestyle. The city is known for its proximity to Yosemite National Park and is just two hours from both San Francisco and Sacramento. Within Merced, you’ll find many parks and green spaces, walking and cycling trails, and community activities and events to participate in. There are several museums, a Multicultural Arts Center, local sports leagues, farmer’s markets, and cultural events such as live theatre and music to enjoy.
Fresno is an agricultural city in the San Joaquin Valley, surrounded by farms growing everything from almonds and pistachios to grapes, tomatoes, and more. The city offers an affordable cost of living, with an average rent price of $1480 and a median home value of $375,000.
Located near the geographical center of California, Fresno isn’t particularly close to any of California’s other major cities. However, it does offer easy access to some of the state’s most stunning natural attractions, including Kings Canyon and Sequoia National Park, the Sierra National Forest, and Yosemite National Park,
Fresno itself offers a mix of suburban and rural living. The downtown core features beautiful, revitalized historic buildings from the late 1800s. On the outskirts of town, you’ll find acres of farms punctuated with fruit stands selling delicious, fresh produce. The city hosts various festivals and events throughout the year, including a Taco Truck Throwdown and Greek Fest. Many residents enjoy cheering on local college sports teams, particularly the Fresno State Bulldogs football team.
While Fresno offers an affordable cost of living and outstanding recreational opportunities, you need to be able to handle the heat. During the summer, temperatures average in the high 90s, meaning air conditioning is essential. If you opt to live here, don’t forget to factor the cost of A/C into your monthly expenses.
The real estate prices in most of California’s famous beach towns are not for the faint of heart, but you might be surprised to learn that coastal living is still within reach in some areas. Sandwiched between Malibu and Santa Barbara, Oxnard is a coastal town in Southern California with about 200,000 residents and an average monthly rent of $2,525. Homes in the area sell for an average price of $750,000.
Oxnard is known for its strawberry fields, as the home of Port Hueneme, its wide, sandy beaches, and as an access point for Channel Islands National Park. You can also access miles of gorgeous hiking trails within a short drive of the city. Those looking for an active, outdoorsy SoCal lifestyle will surely find it in Oxnard.
One challenge of living in Oxnard is that the city is not very walkable, so you will likely need a vehicle. Although, the excellent weather means you can likely ride your bike all year long. Don’t forget to consider the logistics of your commute when looking for a place to live in Oxnard.
Vermont Vista is a neighborhood in South Los Angeles with approximately 27,000 residents. The average cost of rent here is $1,522, which is higher than the national average but significantly less than LA’s average rent, which falls around $2,700 per month.
For those interested in buying a home, the average home price in this area is around $600,000 putting it well below the $795,000 median price for homes in Los Angeles County.
Located near the intersection of the I-105 and I-110 freeways, Vermont Vista is a practical base for commuting to many other areas of Los Angeles, including downtown LA, Inglewood, Westchester, and Norwalk. Like most neighborhoods in LA, Vermont Vista’s public transportation is lacking, meaning you’ll most likely need a car to live in this area. Depending on where you work, the lower rent prices may not be enough to compensate for commuting time and expenses.
Vermont Vista is largely residential, but the area is home to a few small commercial areas where you can find grocery stores, independent eateries, hair salons, and more. The neighborhood has several schools and facilities like the Algin Sutton Recreation Center, a large park with an aquatic facility, and the Weingart YMCA Wellness & Aquatic Center, which offer opportunities to exercise or participate in community programs.
Located in LA’s South Bay, near the intersection of the 105 and 405 freeways, Hawthorne is a well-connected city with monthly rents averaging $1,753. Home prices in this city average around $900,000.
The city’s freeway proximity makes it a fantastic base for commuting almost anywhere within the LA area, including the beach. El Segundo Beach is less than 5 miles from the center of Hawthorne.
Hawthorne has a population of about 88,000, and most of the residents are renters. While the city is well-positioned for commuters, there are many employment opportunities within Hawthorne. The top employers in the area include SpaceX, Amazon, the Hawthorne School District, and many other aerospace engineering companies.
The city is home to several box stores, supermarket chains, and independent shops and eateries for residents to frequent. There are also many parks and playgrounds where you can enjoy time outside. Ultimately, the city offers a competitive cost of living and easy access to all LA offers.
Living in the San Fernando Valley is a common strategy for securing affordable rent close to Los Angeles. Of all the different areas in the Valley, Winnetka offers the cheapest cost of living, with rents averaging $1,697 per month. The average purchase of a home in this neighborhood hovers around $850,000.
Winnetka has a population of approximately 52,000 and offers a mix of residential areas and commercial zones. You’ll find plenty of restaurants, coffee shops, grocery stores, and shopping centers in this area. There are also several recreation centers and green spaces for residents to enjoy. Winnetka is home to several public and private schools, making it a great place for families to live.
Winnetka is located reasonably close to the 101 Freeway, and its central location within the Valley makes it a good base for commuting to other cities within the Valley, such as Studio City, Burbank, or even Thousand Oaks.
With an average rent price of $2,681, Van Ness – Civic Center is the cheapest neighborhood in San Francisco (where the overall average rent price is $3,397). The median home price in this neighborhood is around $895,000, but most of the neighborhood’s residents are renters.
Van Ness – Civic Center is a great option for anyone looking for an urban lifestyle. Situated around City Hall in downtown San Francisco, the area is packed with bars, eateries, historic landmarks, and many other attractions. Being right downtown provides easy access to San Francisco’s transit options, including BART and Muni, plus the area is very walkable. There are also extensive bike paths through the neighborhood. You definitely don’t need a vehicle to live in this area.
Situated just north of San Francisco, in Solano County, Vallejo is a city of about 126,000. Known as a port city and home to Six Flags Discovery Kingdom, Vallejo has become a popular escape for Bay Area artists looking for more space and a more affordable cost of living. With average rent prices around $2,160 per month and median home prices of $560,000, Vallejo is one of the cheapest cities in the Bay Area.
Vallejo has a population of approximately 127,000 and offers a suburban lifestyle. Many Vallejo residents commute to San Francisco for work, but there are also many employment opportunities in the surrounding towns of Fairfield and Vacaville. Commuters can reach San Francisco by ferry or via the I-80 freeway.
The city of Vallejo is known for its cultural diversity, and its growing arts community. Local artists hold an Art Walk on the second Friday of every month. The city also hosts many festivals and cultural events, including the Northern California Pirate Festival, the Solano County Fair, and live theatre and musical performances.
Vallejo also offers many opportunities for outdoor recreation, including cycling and hiking. The Bay Area Ridge Trail, Waterfront Park, and Blue Rock Springs Park are all great places to spend time soaking up nature in Vallejo.
While California is one of the most costly states to live in, there are still plenty of affordable areas to live in. Opting to live away from the coast is sure to reduce your rent prices dramatically, and California’s inland cities still have plenty of wonderful qualities. But your rent isn’t the only factor to consider when looking for a place to live in California; consider your vehicle and commuting expenses as well. A long commute may not always be worth it for the sake of lower rent payments.
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]]>The post Month-to-Month Leases: Pros & Cons appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Read on to learn more about the pros and cons of month-to-month leases.
As mentioned above, month-to-month leases don’t require a long-term commitment. Instead, the lease agreement is limited to a single month, but it automatically renews for each subsequent month until you or the landlord take action.
As a result, you are usually free to move out at your leisure, so long as you give the landlord an appropriate amount of notice. The amount of notice you need to provide can vary by landlord and location. In some cases, state laws set the maximum amount required, though that isn’t universally the case. However, most fall in the 20-to-30-day range, though there are some that may make 60 or 90 days’ notice mandatory.
Still, as long as you abide by the terms, you can leave whenever you want without facing penalties. That can make month-to-month leases a solid choice for anyone who isn’t sure how long they’ll remain in a unit, providing they’re prepared to give the needed notice.
If you’re splitting the cost of an apartment with a roommate, month-to-month leases can make that less daunting from a financial perspective. For example, if you can’t afford the unit on your own and a roommate unexpectedly bails, you don’t have to figure out how you’ll cover it until the lease expires.
Plus, you aren’t stuck breaking a 12-month lease, which can come with financial penalties. Rushing to find a new roommate – which can be challenging in some cases – also isn’t a necessity.
Instead, you can simply provide the landlord with notice and prepare to move out. That allows you to leave behind a monthly expense that you can’t cover alone by finding another rental that fits into your budget.
Similarly, if you have a sudden need to move out of the unit, you aren’t leaving a roommate stuck with a monthly housing payment they can’t cover. While you want to give ample notice, they would then have the option of staying or leaving after the required time passes, ensuring they aren’t chained to a financial obligation because you chose to move out.
Generally speaking, units that have month-to-month leases are more likely to be fully furnished than those that come with longer terms. In this case, the apartment is essentially designed with short-term renters in mind. For example, they may target business travelers who are staying in the area long enough to make paying for a hotel too cumbersome, serving as an alternative.
However, that means that apartments with month-to-month leases can also work well for many other people. For instance, if you’re moving out of your family home for the first time, you can start living on your own and still have all of the furniture you need.
Whatever your circumstances, do make sure to take care of any provided furnishings while you’re there. Otherwise, damage beyond wear and tear could result in some additional costs.
Some landlords are open to both month-to-month leases and longer-term agreements. In this case, starting with a month-to-month lease allows you to try the unit before you commit to a full 12 months in the apartment. It lets you learn the things you can’t find out from a simple tour before moving into the unit. For example, you can gauge the landlord’s responsiveness to issues, the quality of the neighborhood, whether a commute is convenient enough, and more.
After trying out the apartment, you can speak to your landlord about transitioning from a month-to-month lease to a longer-term option. Not only will you be confident about your choice of apartments, but it also allows you to set certain aspects of the agreement in stone for longer, allowing you to predict your rent for the next year and other features of the arrangement.
Dealing with a difficult neighbor is challenging for anyone. However, if you’re in a building that relies on month-to-month leases, it might not be as much of an issue overall.
Getting a troublesome tenant out of a unit covered by a long-term lease can be difficult. Even if the landlord has just cause, it can lead to a surprisingly lengthy legal battle if the tenants don’t agree to leave at the landlord’s request. In some cases, tenants that are being evicted may also become hostile, which can be difficult for you if their resulting actions impact your quality of life or peace of mind while in your unit.
However, if your landlord uses month-to-month leases for the units in your building, that could mean that troublesome neighbors won’t stick around for long. Since there isn’t a long-term commitment on the part of the tenant or landlord, landlords have the ability to ask tenants they have issues with to move out reasonably quickly. As long as they provide ample notice, that’s all that’s required in most cases, allowing them to restore peace to the building with surprising speed.
While month-to-month leases give you more flexibility, it also gives landlords the ability to terminate the leases at their discretion. While they do have to provide notice – the amount of which varies by state or per your agreement – you may get as little as 30 days to find a new place and move out.
Additionally, since the lease technically renews every month, it gives the landlord to change the terms before each renewal occurs. That could cause a once affordable unit to become cumbersome to handle. While you would have the option of moving out should that become the case, it similarly results in very little time to make that happen.
While not universally true, month-to-month leases can cost more than rental agreements that come with a longer term. In many cases, 12-month leases provide landlords with a sense of financial stability, as they know the unit will remain occupied or that an early exit can trigger fees that offset some of their losses.
With a month-to-month lease, landlords never know if a tenant is going to remain from one month to the next. As a result, they often increase the price to compensate for potential financial inconveniences that can result from a quick exit. For example, they may have to find a new tenant without much prior notice, as well as shoulder advertising costs related to marketing the unit more often.
As mentioned above, some units with month-to-month leases come fully furnished. While this is a boon if you’re staying short-term and don’t have a need to purchase your own furniture, it can also mean being stuck with what’s provided.
Depending on what’s there, that may limit the amount of space you have for belongings of your own, especially when it comes to big furniture pieces. As a result, you might not be able to buy furniture for your next apartment, suggesting you plan on finding something unfurnished the next time around.
While some landlords may remove pieces they provide at your request, not all will. Additionally, even if putting the items in storage is an option for the landlord, some landlords may charge tenants if doing so leads to an additional cost for them.
In some cases, sticking with month-to-month leases leads to feelings of instability. Even if your landlord doesn’t take any actions that make you think they’ll ask you to move out, the fact that they can may hang over your head.
Additionally, since the terms can change quickly and frequently, that can make financial planning difficult. For some, that sense of instability may make month-to-month leases a poor choice for their mental and emotional health, even if the landlord doesn’t take advantage of any of their available options.
At times, landlords that use month-to-month leases aren’t as stringent about tenant screening as landlords that rely on longer-term agreements. Primarily, this is because there’s less perceived risk, as tenants can be asked to move out at any time.
While this does mean landlords may take a chance on a down-on-their-luck person who deserves another shot, it can also increase the likelihood of troublesome neighbors. Less screening means that some tenants who would typically get screened out due to past poor behavior make it into a unit. Even if they don’t stay long, it’s disruptive, and if it occurs repeatedly, it can make life miserable for you.
Whether month-to-month leases are right for you depend on your needs and preferences. They’re excellent options if you need flexibility, as you aren’t stuck with a long-term commitment. However, you do need to be comfortable with the potential drawbacks, too, so make sure you take them into consideration before you sign on the dotted line.
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]]>The post How to Show Proof of Income When Self-Employed appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Consumers may need to show proof of income in a variety of situations. Two of the most common relate specifically to housing. Whether you’re looking for a new rental or want to get a mortgage, there’s a good chance that you’ll need to showcase your earnings during the screening process. The same can be true when you’re attempting to get other kinds of financing, such as when purchasing a new vehicle using a loan.
Proof of income is critical in these situations because it shows the lender, landlord, or property manager that you have the means to pay what’s owed. By providing the proper evidence, they’ll see what you bring in financially, giving them peace of mind regarding you becoming a borrower or a tenant.
One of the simplest ways to show your earnings potential is with past tax returns. These will include your earnings for a year, as well as your adjusted income after various deductions relating to your self-employment. Additionally, it contains enough personally identifiable information for landlords, property managers, and lenders to know that it’s a reflection of your or your household’s earnings specifically.
In some cases, past tax returns are mandatory proof of income forms in some situations. For instance, mortgage companies typically won’t consider your application without them.
However, tax returns don’t accurately reflect your current financial situation. Instead, they only show your earnings from a previous year. Depending on when you’re applying for a new rental or financial product, you might need to provide supplementary proof of income that clearly demonstrates your earnings now.
Another option that can work well for self-employed individuals as proof of income is 1099s. These are essentially the self-employment alternative to the W-2, outlining how much you earned from a particular source as a contractor or freelancer.
A 1099 contains all of the critical, official information landlords, property managers, or lenders usually want. It will list your full name, address, and Social Security Number, along with details about your earnings.
But 1099s do provide less comprehensive information than a tax return, as it doesn’t account for any business expense-related deductions. Still, it can show landlords, property managers, or lenders how much you typically bring in annually.
Also, like tax returns, 1099s don’t necessarily show how much you’re earning today. As a result, you may need to supplement this information with other types of proof of income.
Bank statements can provide another form of proof of income, showing both income and cash reserves. In many cases, you’ll want to provide several months of statements from every deposit account relating to your self-employment activities. That way, all of your income is properly captured, ensuring it’s factored in during the screening process.
If you want to separate your personal activity from your self-employment income, then you’ll need to have individual accounts for each aspect of your life. Otherwise, you’ll need to provide unaltered bank statements that contain everything.
If your self-employment involves operating a business instead of working as a sole proprietor, then you may be able to use profit and loss statements as proof of income. These reports track revenue, costs, and relevant business expenses, typically on an annual or quarterly basis, and they’re often mandatory for companies.
If you’re working as a freelancer, you could still create profit and loss statements. It’s possible to tackle the task with a simple spreadsheet, but there’s also software that can make them with relative ease.
However, since profit and loss statements are typically self-generated, some landlords, property managers, or lenders may consider them insufficient. Still, it’s a potential option on the table, so keep that in mind.
Using an accountant to create your profit and loss statements could also give them more credence. Since there’s an outside party that specializes in the field asserting it’s accurate, landlords, property managers, and lenders may be more accepting. But that isn’t always the case, so you’ll want to find out if it will work before investing in an accountant.
For self-employed individuals who issue invoices and receive electronic payments from clients, copies of those invoicing records could serve as proof of income. It shows how much you’re earning from the work you handle.
Plus, with electronic payments through a third-party processor, the records are usually deemed accurate representations of your activity, as the reports aren’t self-generated. Instead, they’re viewed in a similar vein as bank statements.
Just be aware that this option is cumbersome, particularly if your income comes from several clients and in small amounts throughout the month. But even if that’s the case, it’s an approach worth considering, particularly if you want to separate your self-employment earnings from personal financial activities.
Additionally, this works best if you can relate invoices to received payments. Invoices alone only show what you were owed, not how much you made. Without payment records, the landlord, property manager, or lender has no way of knowing whether you’re receiving that money, making the information insufficient for their screening needs.
Technically, self-employed individuals can create their own pay stubs as records of their earnings. However, the process can be a little complex. Along with gross pay, you’ll need to record certain deductions, like Social Security and Medicare taxes. That can require some calculations, as they aren’t actually deducted from your earnings.
Recording your net pay is also a must. Additionally, you’ll need to have the data range listed, showing when the money was earned.
In some cases, you may want to find a paystub generator to simplify this process. It will help you use the proper format and ensure you capture the right information. Some may even include built-in calculators, allowing you to make sure you record the correct amounts for the deductions and net earnings.
At times, you may be able to use work contracts or client statements as proof of income. These essentially outline the nature of your professional relationship, including how much you’ll earn for handling the tasks.
While these may not be enough for a mortgage, they can potentially work if you’re looking for a rental. If you’re only financing a small amount, this may also work, though you’ll likely need to supplement it with more proof.
If part of your self-employment venture includes rental properties, proof of rent payments can showcase your income. You may be able to use rent receipts or current leases to outline your earnings. Deposit records from your bank account or reports from electronic payment processors could also suffice.
In most cases, you’ll need to couple the proof of income with documents that show you’re the official owner of the rental property in question. That could include deeds, insurance policies, or similar documents. If you aren’t sure what to provide, ask the landlord, property manager, or lender about their preferences. That way, you can make sure to collect the proof they need to feel confident moving forward.
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]]>The post How to Check Your Rental History Report appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Several companies offer rental history reports. While the information they contain is typically similar, if not identical, there’s always a chance that one will have erroneous information. You may want to ask the landlord or property manager which rental history reporting agency they’ll use. That way, you can request a copy of your report from the same organization.
Otherwise, you may want to stick with one of the major companies. Those include:
In most cases, the process of requesting your report is simple. You’ll usually need to either fill out and submit a form or contact the agency by phone, depending on the company.
The procedure may change if you’re requesting a copy of a report after a landlord or property manager ran one. Often, if a report results in an adverse action, you have the right to view it for free. In those cases, you may need details about the landlord or property manager to get a report using that approach.
When landlords or property managers check your rental history report, they’re typically looking for a few things. First, they want to see that you’ve successfully rented other properties. That shows you can handle the responsibility of paying rent and can give them peace of mind.
Second, they’re hoping not to find any adverse actions or notes. Most landlords and property managers prefer applicants without any missed payments, damage, or evictions on their records. However, some may be willing to overlook issues in those areas if enough time has passed.
Finally, the landlord or property manager wants to see how the rental history report relates to the results of other screening steps. Unless your rental history is particularly poor, that alone won’t typically cause a landlord or property manager to make a decision about your application. Instead, it’s just one of several factors.
In most cases, landlords and property managers will also look at your employment, income, background check, and credit report. By examining each of those areas, they can get a holistic view of you as an applicant. At times, an issue in one area may be offset by success in another, so keep that in mind along the way.
It’s important to note that a lack of a rental history doesn’t necessarily mean a landlord or property manager will automatically pass you over. In that case, they’ll simply use other screening techniques to assess you as a potential tenant, such as those outlined above. As a result, if you have reliable employment, a solid income, a clean background check, and a reasonable credit history, that may be enough to get a new place.
Generally, the best way to improve your rental report history is by paying rent on time, avoiding causing damage, and ensuring you aren’t evicted. Having longer relationships with landlords can also work in your favor, as it shows potential landlords that you are likely to stick around, making you seem like a sounder investment.
However, if you already have an issue on your rental history report, that doesn’t mean there aren’t steps you can take to move things in the right direction. For example, be honest when you submit applications to new landlords and property managers, and offer something extra that may put their minds at ease. That could include a larger security deposit or multiple months’ rent upfront, making you less of a financial risk.
Once you’re in a place, focus on being the best possible tenant. By having a new, positive record on your rental history report, landlords and property managers will have an easier time overlooking an issue from the past. It can make a problem seem like an innocuous blip, particularly if you’re a model tenant after the misstep.
Finally, if you see an error on your rental history report, you’ll need to take action. Erroneous information could cause a landlord or property manager to deny you a rental, particularly if it’s negative. Since that’s the case, you’ll want to reach out to the reporting agency quickly to get the mistake corrected.
Agencies that offer consumer-oriented reports – including rental histories – are generally required to have a formal process for disputing errors or contesting details. As with requesting reports, the steps you’ll need to take may vary by organization. However, what you need to do is typically clearly outlined in your report.
In a general sense, error disputes often need to be initiated in writing. In some cases, an online form is an option. If that isn’t available, then you’ll want to send the request via certified mile with a delivery receipt. That way, you know precisely when your error report reaches the company.
When you dispute the information, you’ll need to clearly state what you’re contesting and why. If possible, you’ll want to provide evidence supporting your position, as that can lead to a faster decision and increase your odds of getting inaccurate details removed.
Once a dispute is filed, the company has a limited amount of time to review your request and make a judgment. Typically, they’re required to complete the investigation within 30 days, though there are situations where the company may get 45 days to make a determination. But it’s pretty common to get answers quicker than that.
If the company needs more information, they’ll typically contact you to request it. That can extend the initial timeline for a decision, as they may be unable to move forward with the investigation until you respond to them. Since that’s the case, you’ll want to reply as quickly as possible. By doing so, you’ll keep the investigation moving forward, increasing the odds that a mistake won’t hurt your chances of landing a new rental.
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]]>The post 12 Creative Ways to Pay Off Student Loans appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Since student loans can derail your budget, finding ways to tackle them quickly is wise. Here’s a look at 12 creative ways to pay off student loans.
Generally speaking, the easiest way to pay off student loans fast is by boosting your income to make larger payments manageable. If you can’t do that through your current job, then a side hustle could be your best bet.
Side hustles can take many shapes and forms. You could freelance in a niche that aligns with your career or do something completely different, depending on your preference. Dog walking, rideshare driving, craft selling, and Airbnb hosting are all solid choices. You could also sell stock photography, work as a social media manager, or get a part-time gig as a virtual assistant.
Consider where your interests and passions lie. Then, see if you can turn that into a side hustle.
Rebate apps and websites let you get money back on purchases. As long as you’re buying items you’d need otherwise, that extra cash can be a great way to speed up your student loan repayment.
Some rebate apps and sites will issue checks or make deposits into PayPal or bank accounts, allowing you to send the money to your loan servicer after you cash out. Others may only offer gift cards. However, you can always send an extra payment that equals that amount. Then, apply the gift card to a regular shopping trip to even things out.
There are several kinds of work that allow you to eliminate one of the most expensive parts of any budget: housing costs. For example, you could become a professional house sitter and line up gigs to happen one right after another. Some hotels and resorts will give you a free room as part of your employment. The same can be true if you work as an apartment building superintendent.
Cruise ship jobs also commonly come with room and board, allowing you to save on housing and food. Plus, you’ll get to travel, which can be a nice perk.
When it comes to food costs, meat and dairy can be surprisingly expensive. Since that’s the case, going vegan could be a way to free up some extra cash that you can put toward your student loan.
Just make sure that you speak with a medical professional first, particularly if you have dietary restrictions or any health conditions. They’ll be able to help you ensure that all of your nutritional needs are met.
Many plasma centers pay a pretty penny, particularly for repeat donors. In some cases, it can help you bring in an extra few hundred dollars a month, depending on your location.
Selling plasma is typically a low-key activity, too. You’ll simply sit in a chair while the machine does the work, and you get your red blood cells back when you’re done, preventing much of the wooziness that can come from blood donations.
While there, you could tackle another activity. For example, you could read or nap. If you prefer, you could bring in a laptop and tackle a work assignment or handle a freelance project. Essentially, any activity you might do while seated at a coffee shop is potentially fair game, so keep that in mind.
If you get a sizeable tax refund, sending all of the money to your student loan could let you take hundreds or thousands of dollars off of the balance in one quick move. Along with reducing your balance, it will limit the total amount of interest you pay over the life of the loan.
One benefit of this approach is it doesn’t necessarily require much ongoing discipline, as you don’t have to alter your budget during the year to use the strategy. As long as you commit to making that payment, that’s all of the willpower you’ll need.
Tracking your spending is a great way to stay on target with your budget. However, if you take an extra step and round up every time you log a transaction, it also gives you a chance to make more headway on your student loans.
With this approach, you use the excess created when you round up to save money for extra student loan payments. You can let the excess collect in your account and send it as a payment at the end of the month or pay period. If you’re worried that you’ll lose track of what you set aside, shuttle the rounded-up amount to a separate account for safekeeping until it’s time to send it to your loan servicer.
Similar to the strategy above, switching to cash and setting aside the change to make extra student loan payments can work well. In most cases, it won’t feel like you’re making a major sacrifice because the amount of change you collect each time feels small. However, it can add up surprisingly fast.
Plus, by going with a cash-only approach for all of your day-to-day spending, you may be less inclined to overspend. Many people perceive cash and cards differently, with the latter feeling more detached and ambiguous. As a result, the move to cash can make you more aware of how much you’re spending.
With this option, you’ll want a set place to collect your change, such as a jar. Then, when the container gets full, you can get it deposited and send that exact amount to your student loan.
Some states, counties, and cities have offered incentives to get younger people to move to the area. Usually, this happens in the form of student loan repayment assistance.
For example, the Kansas Rural Opportunity Zones program has several options that could help you reduce your student debt. For qualifying healthcare professionals, the Michigan State Loan Repayment Program could be a solid option for tackling up to $300,000 in student loan debt.
While these programs are a bit rare, and many come and go, it’s an option worth exploring if you’re open to relocating. Just make sure you read all of the details carefully before committing to a move, allowing you to confirm that you’ll qualify first.
If you get paid biweekly, one easy way to get a little ahead on your student loans is to set half of the payment aside from every paycheck. By doing that, you can potentially capture a few benefits.
First, if your lender supports biweekly payments, you can send the money to your loan right away. That slightly reduces the amount of interest you’ll pay, making it easier to chip away at your balance faster.
Second, you end up collecting a total of 13 loan payments over the course of a year this way. That allows you to send an extra payment every year, potentially knocking a significant amount of time and interest off of your loan.
While this approach can take time, it’s a solid option for recent graduates who want to reduce how long they’ll have to worry about student loans. With many of the programs, you simply need to make a certain number of qualifying payments while employed in a particular field, industry, or role.
There are several kinds of employers that can help you qualify for loan forgiveness. One of the most common options people pursue is public service. Through the Public Service Loan Forgiveness program, individuals working for eligible government agencies and qualified not-for-profit organizations can get the remaining balance of their loans forgiven after making 120 qualifying monthly payments while working full-time for an eligible employer.
Another commonly pursued option is the Teacher Loan Forgiveness program. With that, you’d need to work for a qualifying low-income school or educational service agency for at least five consecutive academic years. If you do, you may get up to $17,500 of a qualifying loan forgiven.
For borrowers that prefer traditional employers, seeking out an opportunity with a company that offers student loan assistance as a perk could help you pay off your student loans faster. With this, the business may send a certain amount to your loan servicer each month or might provide a lump sum payment to knock your balance down.
While this benefit is relatively rare, it is offered by some companies. Additionally, it’s something you could potentially negotiate for, so keep that in mind.
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]]>The post Living in Alaska: Pros, Cons, & Facts of Life appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Regardless of why you’re considering the move, living in Alaska can be challenging as well as rewarding. If you’re wondering what it’s like, here’s a look at the pros and cons of living in Alaska.
One thing that sets Alaska apart from every other state is that residents often get paid because they live there. The Alaska Permanent Fund Dividend gives eligible residents money based on investment earnings relating to oil revenue.
Every year, those who qualify get a payment. Most of the criteria are fairly straightforward. For example, you have to be a resident of the state for a minimum of one calendar year – January 1 through December 31 – before you’ll be eligible. Additionally, you have to establish a domicile, maintain a physical presence, and plan to stay in Alaska indefinitely.
There are also some disqualifiers, such as incarceration or a felony conviction during the calendar year the payment is based on, or being absent from the state for over 180 days without an allowable reason. Otherwise, residents of any age can receive the payment, including children, adults, and seniors.
Saying that Alaska exhibits a unique natural beauty simply doesn’t do the state justice. In reality, Alaska is home to 14 mountain ranges, each with its own standout features. Plus, there are more than 22 million acres of national forest land, 3 million lakes greater than 5 acres, and more coastline than you’ll find across the rest of the United States combined.
Plus, so much of the state is largely unexplored, and a significant amount is also considered uninhabitable. That means much of the state is completely untouched by people, allowing the natural world to reign supreme in those areas.
Just as Alaska is known for its natural beauty, it’s also widely recognized for its biodiversity. In Alaska, almost 1,100 vertebrate species are regularly found in the state. Plus, there are thousands of invertebrates – including aquatic, marine, and terrestrial – that also call Alaska home.
For nature lovers, this can create ample chances to observe animals in their natural habitats, often while also being undisturbed by the challenges that come with modern life. However, it also means your odds of chance encounters are also fairly high, as some species do come into towns, approach homes, or cross through private properties.
With extensive national parks and swaths of untouched landscape, outdoor recreation is incredibly popular in Alaska, and with good reason. Alaska is often considered a go-to destination for hunting and fishing, both due to the species present and the fact that you can usually participate without crossing paths with many other hunters or fishers.
Plus, it’s a favorite for various snow sports. Whether you want to snowshoe, ski, ice skate, or snowmobile, there are plenty of places to go and explore that hobby. Plus, hockey is highly accessible, with youth and adult leagues being incredibly plentiful.
During warmer months, hiking, biking, and boating are also enjoyed by locals and visitors alike. Pristine waters and miles of trails are all accessible throughout much of the state.
Camping is also incredibly popular. Along with allowing people to spend more time outdoors, there are plenty of private areas in the state that can provide a degree of solitude. For those looking to escape the hustle-and-bustle of city life or that want to disconnect, Alaska camping can be a dream come true.
Mountain climbing and rock climbing are also common reasons people come to Alaska. Seventeen of the top 20 highest mountain peaks in the United States are in Alaska, with Denali rising above them all at 20,320 feet above sea level.
For professionals in certain fields, Alaska is the land of opportunity. If you have a career in the oil and gas sector, you may have a far easier time finding an exceptional position if you head to Alaska. The same can go for timber and wood products professionals, as well as those focused on metal mining.
Seafood collection and processing is also big business in Alaska. Since the state is also a popular tourist destination, hospitality can be a surprisingly stable career, particularly in the more popular cities. The same goes for tourism-related entertainment, such as cruises, wildlife viewing tours, and fishing excursions.
If you’re interested in off-grid or greener living, Alaska could be your perfect destination. For one, many people are highly environmentally conscious, working diligently to avoid the unnecessary tapping of resources or polluting the magnificent landscape.
For another, many areas in Alaska don’t have much infrastructure. As a result, people often use a homesteading approach when designing their properties or cultivating their personal lifestyles. Since that’s the case, it’s reasonably easy to find what you need – or connect with people with the proper expertise – if you’d like to do the same.
While prices in cities like Anchorage and Juneau can be pricy, there’s affordable real estate to be had in Alaska. Many of the smaller towns or rural areas come with much smaller price tags, mainly because they aren’t near many amenities or may be harder to access when winter weather rolls into the region.
Even in cities, Alaska real estate isn’t always as costly as in other major cities. For instance, Juneau comes in with an average home value (as of July 2022) near $459,000, while Anchorage is at $389,000. Compare that to Seattle at $985,000 and Boston at $744,000, and the pricing doesn’t seem so bad.
Overall, the tax rates in Alaska are incredibly low. First, Alaska does not have a personal income tax. While you’d still need to handle any federal taxes, that one point can make Alaska far more affordable than some other states.
Additionally, sales taxes usually fall in the 2-5% range, which is far lower than many states. That’s especially true among the other states that don’t have personal income taxes.
Four of the 19 boroughs also don’t have property taxes. Plus, seniors and disabled veterans have an exemption for the first $150,000 of assessed property value. Even if you’re in an area with property taxes, that can help you save a bundle.
When it comes to a unique cultural heritage, Alaska certainly delivers. Many indigenous tribes have thrived in the cold tundra for thousands upon thousands of years, each with a unique way of navigating the challenging landscape.
Plus, art and music are part of many of the cultures. While in Alaska, you can explore creations both new and old, allowing you to learn more about how life flourished in one of the most challenging environments on the planet.
In total, there are five Alaskan Native groups based on the broader regions, though there are 20 distinct cultures and around 300 dialects represented by the natives in the state. If you also move to Alaska, you can find out more about their ways of life, culture, and communities often with great ease.
While it might seem like a fair isn’t a solid enough reason to live in any particular state, the Alaska State Fair is different. It’s been a tradition since 1936 and calling it a major annual event really is an understatement.
Every year, more than 100,000 people come to the state fair for some fun in the August sun, making it the largest event in Alaska. It features 14 days of music, food, arts, crafts, exhibits, rides, and so much more. Plus, there’s the world-famous giant cabbage weigh-off, where often record-breaking cabbages are there for everyone to see.
Even in the cities, Alaska often offers a slower-paced lifestyle. People simply don’t fall into some of the chaos, possibly because they’re used to the delays. The weather can change unexpectedly, dumping feet of snow with little warning. Additionally, while Alaskan cities are well-equipped, rural areas can come with challenges that make rushing impractical.
Additionally, even larger cities in Alaska maintain a small-town feel. Possibly, it’s because most of the cities – aside from Anchorage, which is home to more than 300,00 residents – aren’t as large as you’d see further south.
Plus, many people that live in Alaska are there to pursue a dream. They aren’t focused on punching a clock or running from one errand to the next. Instead, they aim to enjoy their lives, causing them to have a more relaxed attitude in most cases.
While housing prices aren’t always that far outside of ordinary and can be pretty affordable in some areas, the overall cost of living in Alaska is relatively high. One of the main reasons is that transporting goods into the state can be both time-consuming and expensive. As a result, most products cost a bit more in Alaska.
When it comes to groceries, prices in Alaska can cost some people off-guard. That’s particularly true in smaller towns that are hard to access, especially those that get effectively cut off due to snow and ice. Additionally, if the items are perishable, making them more difficult to move, the costs can be astronomical. For example, people may spend $18.29 for a carton of milk or $24.99 for a block of cheese in some rural areas in Alaska.
Healthcare costs are also pretty high in Alaska. In many cases, accessibility is a factor. Many smaller towns may have limited – if any – medical facilities. Plus, getting medical supplies into the state is costly, and the higher expense translates into higher costs for patients.
Finally, utility costs can be incredibly high in Alaska. One reason is that keeping a home at a comfortable temperature can be harder, as winters are cold and long. Plus, installing and maintaining infrastructure in hash conditions is difficult, which can translate into higher prices.
While Alaska is beautiful, getting around the state can make a road trip far less enjoyable. The climate and geography make building and maintaining roads incredibly difficult, so there aren’t many major highways. Plus, some of them become impassable depending on the weather, so you can’t always use them even if they’re otherwise in good condition.
Similarly, while Alaska does have several major airports, the weather can cause trouble for air travel. That’s particularly true for smaller towns in rural areas where airports may not be manned full-time or maintained often or where the runways are little more than a stretch of pavement in an unattended field.
Train service is also limited, with most of the lines serving more as opportunities to enjoy the scenery than a way to regularly cross between cities. Plus, during the winter, many of the lines don’t run as often, and some may cease to carry passengers for weeks or months at a time.
While most people don’t mind the occasional bout of cold, most of Alaska would at least qualify as chilly all year-round. Some people joke that Alaska has four seasons, winter, June, July, and August. Even during the peak of summer, daytime temperatures may only hit 55°F and may hit 70°F just a handful of times.
In the winter, it’s an entirely different story. Lows in the single digits are common, and negative temperatures can even be the norm in some parts of the state. You can stay below freezing for days – or even weeks – depending on where you’re located.
While long summer days can make cooler temperatures in the summer more tolerable, the amount of time you spend in colder weather is more than some people can bear. That’s particularly true when snow and ice are part of the landscape for months on end, making it seem like spring is never going to arrive.
In a similar vein to the point above, the dark winters can take a toll on people who aren’t used to them. In Barrow, one of Alaska’s northernmost cities, the town spends essentially two months in darkness. While that’s an extreme example, even Anchorage, one of the sunnier cities during the winter, only gets just 5.5 hours of daylight on the winter solstice.
For some people, a lack of sunlight can trigger seasonal affective disorder (SAD), particularly among those who aren’t fully acclimated to how the seasons change that far north. For others, it may simply be frustrating or disheartening, potentially to the point of making Alaska a less attractive home.
With cold weather and ample snow comes more time spent indoors. While some may find it cozy, others may long to get away from the house, something that can be incredibly hard to do if you’re in a smaller town or rural area without snow-worthy transportation.
Cabin fever isn’t technically a medical condition, but feelings of confinement and isolation can take a toll. Some may experience depression or anxiety, for example. Irritability, restlessness, declining motivation, and hopelessness can also come with it.
Many people think that freshly fallen snow is a beautiful sight. However, if it doesn’t go away for months on end and, worse, more of it keeps falling day-in and day-out, it becomes a bit less enchanting.
For many Alaskans, shoveling snow isn’t just a winter activity; it’s part of daily life for one-third, one-half, or even more of the year. Just keeping vehicles, driveways, and walkways clear can be a challenge. Plus, if you have to commute or head into town for anything, you have to deal with driving on it, too, which isn’t always fun.
In the end, while beautiful, the snow can be a time-consuming, physically-demanding beast. Unless you’re okay with that, Alaska might not be your ideal home.
Ultimately, whether Alaska is the right place for you will depend on your needs, priorities, and preferences. For outdoor enthusiasts who appreciate a slower pace of life and want to explore one of the remaining wild areas in the country, it could be a great fit. Just make sure you are comfortable with the higher prices, transportation challenges, and various other drawbacks.
If you’d struggle with the cold temperatures, dark winters, higher prices, or all of the snow, then Alaska may not be right for you. Instead, if you’re aching for expansive forests, you may be better off exploring the northern contiguous United States, allowing you to capture a similar feel without some of the challenges.
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]]>The post Rent Collection Made Easy appeared first on Flex | Pay Rent On Your Own Schedule.
]]>It’s no secret that monthly rent collection can be a time-consuming and complicated task, especially when managing multiple properties.
Being a property manager shouldn’t mean spending all your time chasing down late rent payments. Using a rent payment portal has the potential to turn your monthly collections into a seamless experience for your staff and residents.
Meet Zego, an online payment portal that has partnered with Flex to ensure timely payments to properties, while offering renters access to flexible payment options that work with their budgets and cash flow.
Flex works seamlessly with Zego’s rent payment portal, allowing you to manage your tenant payments from the palm of your hand.
We confirm rent is paid on time every month on the day it’s due, avoiding late or partial payments from residents, and leaving you with more time to focus on renter satisfaction.
Not only can Zego improve your workflow, but studies show that providing renters with an accessible way to pay rent can also improve tenant retention.
First, register your property with Zego to support online and flexible rent payments to your residents.
Then, renters set their own rent payment plan in just three easy steps.
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]]>The post Paying Your Rent: The Ultimate Guide appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The most common guidance is that you should spend 30% of your income on rent. As a rule of thumb, you should aim to make 40 times the monthly rent in your annual income. But there’s no one-size-fits-all answer to how much you should pay in rent.
Depending on your income level and location, dedicating 30% of your pre-tax income could mean committing far more money than is necessary to get a comfortable, safe apartment or house. For others, 30% might not be nearly enough to afford a reasonable rental in their city.
In some cases, alternative strategies like the 50/30/20 rule may work better. With that, you limit your “needs” – such as housing, utilities, insurance, and other critical bills – to 50% of your pre-tax income. Then, 30% goes to “wants,” and 20% goes into savings. With that approach, if your other bills are low, you could potentially commit more to rent.
But in some cases, you might also need to use a customized approach. For many people, taking a moment to review their budget, consider their long-term goals, and plan for potential financial shifts down the line is a better option. You can personalize your spending more effectively this way, ensuring you can cover rent without sacrificing in too many areas.
Keep in mind that many landlords have income-related requirements. For example, some landlords won’t consider a tenant if their monthly income isn’t at or above three times the monthly rent.
If you’re worried that your income isn’t high enough to qualify for a reasonable rental, then you have a few options. First, you can explore options for how to save money on rent, which is discussed in greater detail later in the article. Second, you can save enough money to prepay several months’ worth of rent, which may give a landlord sufficient peace of mind, allowing them to overlook a lower income.
While it might not seem like you have a slew of options when it comes to how to pay your rent, that isn’t the case. Most landlords will accept a few forms of payment, each with its own benefits and drawbacks. If you’re wondering which approaches are best, here’s what you need to know.
These days, it is increasingly common to pay your rent online via a rent portal. If your landlord uses an online portal, you can typically submit a payment using your bank account information or, potentially, a debit or credit card with just a few clicks.
The benefit of paying your rent online using a portal is that you can typically handle your payment at the last minute and still qualify as being on time. Plus, you don’t have to worry about mailing anything or meeting your landlord to handle the payment over.
Another classic payment method is to write a check. It gives you a written record that you made a payment and is easy for your landlord to deposit. Plus, you can either drop one off or mail it to your landlord, though the latter only works if you can send it out a few days in advance to ensure it’ll arrive.
Additionally, most online bill-paying services technically just send checks. This option isn’t just convenient, but you can also set it up to recur automatically, making it easier to ensure that you don’t accidentally forget to put the check in the mail.
While this isn’t as common, some landlords will allow tenants to pay rent in cash. Out of all of the possible approaches, this one is usually the riskiest. Since that’s the case, you’ll want to exercise caution.
For example, never put cash rent payments in the mail. Instead, bring it directly to your landlord and make sure you get a receipt. That way, you have proof of payment.
Additionally, be wary of any landlord that makes a cash payment mandatory without reasonable justification, such as you having a history of bounced checks. If they’re demanding cash, it could mean that they have ill intentions or are doing something illegal, so it may be better to assert that you’d rather use another method just to be safe.
Some landlords also accept payment via platforms such as Paypal, Venmo, or Zelle. These platforms may give you the option to pay via credit card, which might work in your favor, and you’ll also have a record of the transaction, which can serve as proof of payment.
However, there are also drawbacks. With PayPal, you can incur fees if you use debit or credit cards. Plus, if you try using the free option that’s designed for family and friends, you’re technically violating the terms and conditions, which could cause your account to get shut down.
Venmo also has fees for using a credit card, and the terms and conditions do give the company the option to limit the number of transfers you perform, which could cause problems. With Zelle, there aren’t fees, but if your bank doesn’t have Zelle built-in, the sending limit might be too small to cover your rent. Zelle also doesn’t allow you to cancel payments, even if you send them to the wrong person by mistake.
Rent is usually one of the biggest expenses a household shoulders each month. Since that’s the case, finding ways to save money on rent can have a significant impact on your budget. Fortunately, there are a lot of options available.
One of the most common ways to save money on rent is to split a house apartment with roommates. That way, you aren’t the only one shouldering the cost. As a result, you can spend less every month. Plus, your roommates also get the benefit of paying less than if they covered rent alone, making it a win-win.
You can also sublet a room of your apartment, effectively creating a ‘sublease’ secondary to the lease on your apartment. Where your lease is between you and your landlord, the sublease is between you and the tenant who’s renting a room from you.
Just keep in mind that subletting isn’t legal in all areas. Additionally, you’re still fully responsible for ensuring your landlord gets the rent payment, regardless of whether the sublessee is on time.
While it won’t result in a large savings and isn’t something you can do often, you may be able to take advantage of prorated rent in some situations. If you’re moving into or out of a rental in the middle of the traditional rental period, you might be able to pay less than the full rental period amount.
For example, if your landlord considers the first of the month the start of a rent period, but you aren’t moving in until the 16th, you may be able to get them to prorate the rent since you’ll only be there for half of the month. If they agree, you could save about 50% off of the cost during that particular month.
It’s important to note that not all landlords will prorate rent, as it isn’t always required by law. Additionally, there are multiple formulas for prorating rent, which could lead to slight price fluctuations.
Many tenants don’t realize that rent is technically negotiable if you address the matter before signing a lease. If you’re a particularly well-qualified renter or have a long history in the property and always pay on time, you may be able to leverage that to secure a better price. Similarly, you may be able to secure a rent reduction in exchange for performing a particular service, such as serving as a point of contact for issues for other tenants in the building.
Whether a landlord will negotiate depends on several factors. Along with what you bring to the table, local market conditions typically play a big role. If rentals are in demand and the supply is short, the odds that a landlord will negotiate go down. However, if there is ample supply or something undesirable about the unit, building, or location, you may be able to pull it off.
Along with your traditional monthly rent, many tenants face a range of other costs that can increase how much they need to pay a landlord during a given month. One prime example is late fees, which can add a surprising sum even if you’re just one day late, depending on where you live.
Now, if you know you’ll be paying your rent late but have a long history of on-time payments, you may be able to convince the landlord to waive the fee one time. However, other costs aren’t easy to avoid.
For example, pet rent might be mandatory with some units. Security deposits are also almost always required, and you may have to kick in a little more if your rent goes up when you have to sign a new lease. Charges for damages and cleaning can also happen.
In most cases, you can find out about any potential cost by reviewing your lease carefully. That way, you’re prepared for what’s possible.
When you rent a home or apartment, you usually believe you’ll be able to handle the cost long-term. However, if the unexpected happens, you might find yourself suddenly short, leaving you scrambling to figure out what to do.
Fortunately, you can get help with rent. If you have a long-standing relationship with your landlord, you may be able to negotiate with them. Otherwise, there are charitable organizations and government agencies that may be able to offer assistance.
If you’re worried you’ll need help paying rent, it’s wise to explore your options as soon as possible. Even if you qualify for aid and funds are available, it can take time to process an application and issue payment. By starting sooner rather than later, you ensure you either aren’t late or are as close to on time as possible, limiting your late fees and potentially allowing you to avoid eviction.
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]]>The post Living in Hawaii: Pros, Cons, & Facts of Life appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Below, we’ll dig into everything you need to know about living in Hawaii. Let’s start with the good stuff.
You can’t talk about the benefits of living in Hawaii without talking about the ocean and beaches. While the state is smaller, it’s got plenty of coastline. Plus, barring some federal areas, every beach is open to the public, regardless of ownership.
Part of what makes the ocean near Hawaii so amazing is the clean, clear waters in many areas. With high visibility, it’s easier to enjoy activities like scuba diving and snorkeling.
Plus, the water temperature is incredibly comfortable. Depending on the area, it typically ranges from about 72°F to about 83°F across the state, though most individual beaches fluctuate within a 5°F range in most cases.
All in all, that makes for exceptional swimming. Couple that with some of the most famous surf spots in the world, and it’s easy to see why the ocean in Hawaii draws so many people to the state.
When it comes to the natural beauty of Hawaii, it stretches far beyond the oceans. When it comes to the flora, there’s so much to appreciate. The Painted Forest on Maui is particularly breathtaking, allowing you to enjoy rainbow eucalyptus trees up close.
When the hibiscus, hinahina, plumeria, and many other flowers bloom, the state lights up with even more color. Couple that with the majesty of dense rainforests, and it’s easy to see why people become enamored with Hawaii.
On the fauna side, being able to swim with sea turtles is hard to beat. Seals, manta rays, chameleons, whales, and so many more amazing creatures also call the area home. Plus, the birdsong is something that simply has to be experienced firsthand.
Finally, you have amazing sunrises and sunsets. The colors reflecting off the water are unlike anything you’ll see elsewhere, making Hawaii feel incredibly magical.
When it comes to weather, Hawaii offers those reliable, warm average temperatures that many people crave. Usually, the high temperatures throughout the year stay in the 80s. August and September typically come in with the highest average highs, coming in at 89°F, while January and February sit at the low point with averages of 80°F.
On the low side, temperatures rarely dip below the 60s. Even in January and February, the average is 66°F. During the hotter months, it’s still temperate, with August lows coming in at 75°F.
Plus, the sun shines for at least a little while almost every single day. When rains do come in – with most of that happening between November and March – it tends to be small pockets that don’t last overly long. Since that’s the case, most people find little to complain about when it comes to the weather.
When it comes to diversity, Hawaii is far ahead of the average. In fact, it’s the most ethnically and racially diverse state in the nation and the third most diverse state when it comes to cultural diversity. It also qualifies as the least white state in the country.
Between the Native Hawaiians, Asian population, and other groups, Hawaii is essentially a melting pot. Plus, tourists come in from all around the world, imbuing their unique perspective on the state during their stay and after making connections.
If you’re a fan of fresh fruits and seafood, Hawaii can easily seem like the perfect place to live. From succulent mahi-mahi to juicy pineapple, you’ll be hard-pressed to find anything better.
Hawaiian cuisine is also heavily influenced by Asian and other Polynesian flavors. Every bite is a journey, one that you’ll happily take again and again.
For many, the biggest drawback of living in Hawaii is the cost of living. Nearly everything is far more expensive in the state, including food, healthcare, transportation, and more. With a price index nearly double the national average, Hawaii has the highest cost of living of any U.S. state.
Housing, for instance, is incredibly expensive. While the median national home sale price was $430,311 (as of May 2022), Hawaii came in at $716,100.
Food can also get expensive in Hawaii if you aren’t buying local. Many products have to be brought in from the mainland, a process that’s incredibly expensive. As a result, the prices of common items are significantly higher to offset that cost.
For example, when fuel prices are stable, a gallon of milk in Hawaii often costs more than a gallon of gasoline. A loaf of white bread costs $3.24 on average, far above the national average of $2.50. On average, a family of four in the United States would expect to spend around $9,835 on food annually. In Hawaii, that same family would need to pay $14,042.
Fuel is also expensive in Hawaii. Intermittently, Hawaii has the second-highest gasoline prices in the nation. However, even if other states push it down the list from time to time, the state generally remains in the top five.
A challenge of living in Hawaii is that the state is incredibly remote. In most cases, you’ll need to fly if you want to leave the islands, and that isn’t always cheap. If you want to head back to the continental United States, you usually need to spend a minimum of five and a half hours in the air to reach the mainland. If you’re heading to the East Coast, your air time could come in at 11 or 12 hours.
While Hawaii’s location can make it a good jumping-off point for parts of Asia, those trips generally take at least eight hours. Plus, they’ll require a passport and can get quite spendy. If you want to head to Europe, expect to fly for at least 16 hours.
Since flying can be costly, many people that live in Hawaii choose to remain on the islands most of the time. In some cases, this can lead to an unofficial condition known as “island fever.” It happens when transplants from the mainland or natives struggle mentally with feelings of isolation after moving to the Hawaiian Islands.
In many ways, island fever isn’t unlike claustrophobia. It’s a sense of being trapped or boxed in since leaving the islands isn’t easy. It can also resemble homesickness, particularly for transplants that have family back on the mainland that they can’t see as often as they’d like.
In some cases, Hawaii has a far tighter job market than many people expect. This is particularly true since the unemployment rate – which sat at 4.2% as of May 2022 – seems very reasonable.
Usually, the big challenge is that specific kinds of jobs aren’t necessarily plentiful. In most cases, you can typically do incredibly well if you focus on the hospitality sector. Similarly, healthcare jobs are reasonably widespread, as well as basic retail and broadly needed services.
However, other career paths aren’t as easy to maintain in Hawaii, particularly if you can’t work remotely. This is particularly true if you head to Maui, Molokai, or other islands that aren’t traditional business centers.
In April 2022, the average number of visitors in Hawaii each day came in at 236,835. Considering that the total population in Hawaii – not including tourists – is about 1.44 million, that means around one in every six people in the state in April didn’t actually live there.
In some cases, the number of tourists can be off-putting. This is particularly true if you choose to live in a city or near an area that’s incredibly popular with visitors. In some cases, it may feel as if the tourists take over your favorite spots, making it seem like locals get the short end of the stick.
It may be surprising, but many transplants don’t stay in Hawaii forever. Instead, they head to Hawaii to pursue a dream, only later discovering that it isn’t a great fit. Sometimes it’s the financial side of the equation that leads to that determination. In others, it’s succumbing to island fever.
For transplants, that can make it hard to build lasting relationships. Many long-time locals aren’t a fan of transplants, and with good reason. Since that’s the case, transplants typically befriend other transplants – making it all the more likely that the friends you make will one day move on from Hawaii.
This can be particularly true if you are near the military bases. Military members are limited in regards to how long they’ll stay in an area, as their job requires relocations every few years. If you connect with military members and their families, the odds of them remaining in Hawaii long-term are inherently slim.
For some, the lack of long-term connections makes it hard for Hawaii to feel like home. As a result, some transplants ultimately decide to leave instead of sticking it out in a place where they can’t build a community.
Ultimately, whether living in Hawaii is a good fit depends on your needs and priorities. If you’re comfortable with the high cost of living, have a career that you can easily pursue after moving, don’t mind the tourists, and are okay with people coming and going, you may find it’s a great choice. In the end, Hawaii is a paradise that has a lot to offer. For the right transplant, it’s undoubtedly a dream come true.
However, if your job opportunities are slim, you’re worried about affordability, or you’re at your best when you have a strong sense of community, you may want to explore other options. Remember, while moving to Hawaii is an option, you can always embrace being a tourist and regularly visit instead. Then, you can enjoy the magic that is Hawaii without the drawbacks of being a transplant.
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]]>The post What to Do When Your Neighbors Play Loud Music, Day or Night appeared first on Flex | Pay Rent On Your Own Schedule.
]]>While it can certainly be frustrating and disruptive, they may be within their rights as a tenant. Before complaining, ensure you’re clear on your building’s noise ordinances and the local by-laws.
If the noise falls outside of reasonable limits, there are several steps you can take to address the situation, including contacting your neighbors, filing a noise complaint with your landlord, and potentially involving the authorities. Here’s what you need to know.
Instances of loud music during the day may be treated differently than loud music that occurs throughout the night. Most cities have noise ordinances, and the guidelines around noise during the day are usually more lenient than those for noise created during the night when people are thought to be sleeping. Usually, 7 AM to 10 PM is considered daytime, and anything outside of those hours is subject to stricter rules.
That said, there are still rules about how much noise is reasonable during the daytime. Your local laws will outline the allowable limits for noises related to specific activities (such as construction, refuse collection, street vendors, power tools, etc.). There may also be rules around the amount of noise allowable within residential areas and multi-family dwellings. Google “[your city] + noise ordinances” to find the laws in your local area.
The noise limits are usually stipulated in decibels (Db), but unless you have a decibel level machine to gauge the volume for you, it may be impossible to tell if the loud music you’re dealing with is genuinely outside the allowable limit or simply beyond your personal tolerance threshold.
Many apartment buildings have their own noise ordinances in addition to the local laws. Your building’s guidelines around noise should be clearly stated in your lease agreement. Before making any formal complaints, study your contract to see if the noise in question is going against the terms of your lease.
Beyond that, it is within your rights as a tenant to be able to enjoy living in your rental without the disturbance of music or other loud noises. If you’re feeling bothered by regular loud music from your neighbors, you have a right to seek a resolution for the issue.
Keeping track of noise violations is the best way to exemplify an ongoing issue. This is especially key in case you need to involve your landlord or the police. Note the date and time of any instance of excessive noise. Also note the source of the noise and describe it (is it loud music from a stereo or someone playing the guitar?). Having detailed notes will help anyone investigating the issue corroborate your complaint with those of other tenants.
If you live in an apartment building, there’s a good chance that other tenants are struggling with the loud neighbors too. Before you confront the noisy neighbors or escalate your noise complaint, speak with other tenants to see whether they’ve taken action on the issue.
The steps they have or haven’t taken will help you decide what to do next. If other tenants have already spoken to your neighbors and had no success, it might make sense to go directly to your landlord. If nobody has confronted the noisy neighbors yet, it might make sense to do so in one consolidated effort, rather than each confronting them individually. Depending on the situation, you may feel safer confronting your neighbors if you don’t have to do it alone.
So, speak with other tenants and compare notes on your experiences and the steps each of you has taken so far. Then, consider moving forward with the suggestions below.
The offending neighbors may be blissfully unaware that you can hear the soundtrack to their lives through your walls. Before you escalate your noise complaint to your landlord, try speaking with your neighbors about the issue (unless, for some reason, you don’t feel safe doing so).
Knock on their door and politely request that they turn their music down. With any luck, they’ll be apologetic and happy to accommodate your request. If not, there may still be room for negotiation.
Similarly, the neighbors might not realize that you’re working from home or trying to rest after working a long night shift. You may have success convincing them to turn the music down if you share your situation.
Depending on how your neighbors respond to your request, you might want to mention that you’ll be taking your complaint to the landlord if the noise doesn’t decrease. The prospect of getting in trouble with the landlord might be enough to quash the issue, even if your neighbors are initially resistant to your request.
If you’re unable or unwilling to resolve a noise issue with your neighbors direct, contact your landlord. As a tenant, you have a right to “quiet enjoyment,” and your landlord is responsible for ensuring that noise remains within acceptable levels.
Depending on your relationship with your landlord, you might be able to mention the noise issue in a casual email or phone conversation, or it may make sense to make a formal noise complaint. If you opt for the latter, use these templates to craft your noise complaint letter.
It’s always wise to submit complaints in writing (via letter or email) to create a paper trail in case the issue remains unresolved.
Again, your landlord is responsible for resolving noise complaints in order to maintain a pleasing ambiance for all tenants. Failing to do so is a lease violation, and you and any other tenants affected would have grounds to break your leases without penalty due to unsuitable living conditions. Reminding your landlord of this possibility might help resolve the noise issue more quickly.
Contacting the police should be used as a last resort when filing a noise complaint about loud music. Most noise complaints are your landlord’s responsibility, and unless the noise issue suggests illegal activity (such as violence), the police probably won’t prioritize your complaint. Even if the noise is technically breaking a local noise ordinance, police likely have more pressing issues to deal with.
Beyond that, it’s worth considering how involving the police might impact your relationship with your neighbors. While their loud music is unacceptable, involving the authorities will likely permanently tarnish any potential for a relationship with them and may create uncomfortable tension.
Remember that while police presence may make you feel safer, that may not be true for everyone in your building. Ask yourself if it seems necessary to escalate your complaint this far, especially if you’re new to the building and still getting a feel for the community.
All that said, if you believe there is a party going on with illegal activity such as underage drinking, or a potentially violent situation, contacting the police may be the best way to keep things from getting out of control.
Legally, every tenant has a right to enjoy their apartment without experiencing excessive noise. If your neighbors are playing loud music day and night, there’s a strong possibility that they’re violating the terms of their lease. Ultimately it’s up to your landlord to ensure that all tenants can enjoy their units without this type of nuisance, but that doesn’t mean you can’t attempt to address the issue on your own by speaking with your neighbors directly.
If your efforts prove unsuccessful and your landlord fails to resolve the issue, it may make sense to contact the police. But, before you do, make sure the noise complaints are well documented and truly fall outside the allowable limits. Remember, if your landlord fails to resolve an ongoing noise issue, you likely have grounds to terminate your lease without penalty.
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]]>The post The Ultimate Checklist for Moving Out appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Before you start planning your move, you need to review your lease. Inside that document, you’ll usually find details about how much notice you’ll have to provide. Since following those requirements will make the transition more seamless, it’s critical to know what’s expected in that arena.
If you want to use professional movers to assist with your move, start researching them now. It can take time to find companies that offer the right mix of services at a price that aligns with your budget. Additionally, you want to be able to figure out who has the best reputation, ensuring they’ll treat your property right.
In a similar vein, if you want to hire cleaners to get your rental sparkling clean as part of your move, it’s best to begin researching them, as well. Find out who has a reputation for exceptional customer service and top-notch results. Additionally, check out any price information that’s available, allowing you to see what fits into your budget.
At this point, you likely know which movers or cleaners best meet your needs. Make a list of the top three options in each category. Then, reach out and request a quote.
In some cases, they can give you a ballpark figure based on you answering some questions. However, others may want to come by your rental and see it first-hand, making it easier to provide an accurate number.
With the latter, make sure to schedule an appointment within the next few days. Partially, that’s because it could take the service provider a few days to generate a formal quote. By handling it now, you won’t be short on time when it comes to making a decision.
If you aren’t using full-service movers, then you’re probably packing up your own belongings. If so, begin getting boxes and packing supplies right away. By doing so, you’ll have more time to pack, allowing you to fit that into your daily life with greater ease. Plus, you may be able to take advantage of free ways to get boxes, keeping your costs down.
For example, you could start keeping any boxes from packages you receive, asking neighbors, family members, or friends to do the same. You can also contact local retailers to see if you can get any boxes from them, as many receive shipments regularly and may have sturdy boxes to spare.
Otherwise, this approach lets you spread out the cost of boxes. Do keep in mind that buying them can add up fast, so research local stores to find the most competitive price in your area before making any purchases.
In many cases, the cost of your move is tied to the amount of stuff you have, so it’s wise to declutter before you start packing up. Consider using the four-box method. You’ll have a box for items you’ll keep, one for donations, one for sales, and one for trash. Then, work through each part of your rental, separating your belongings into those categories.
By starting now, you can give yourself one or two weeks to handle it all. That ensures you don’t have to rush.
At this point, you should have quotes back from any movers you’re considering. Since the best movers may run out of appointments fast, particularly if it’s near peak moving season, call for an appointment now. That increases your odds of getting your preferred mover and the dates you want.
However, you may want to set your pickup date for a few days before you formally need to vacate the unit. While it doesn’t always happen, movers may need to reschedule. If they have to push your pickup date back, that could spell trouble if the original date was the last day you’d have access to the unit. As a result, it’s usually better to build in a buffer whenever possible.
If you aren’t using movers to get your belongings out of your rental, it’s best to start calling friends and family members now. That gives them enough notice to potentially adjust their schedules or to ensure they don’t book your days with another activity.
Another step you’ll want to take now if you’re not using movers is reserving a truck. Usually, you can get quotes online, allowing you to compare options quickly. Then, choose the one you prefer, and schedule a truck for your dates.
If you finished decluttering and have items in boxes designated for sales or donations, handle them now. Take donations to a local thrift store or similar outfit. For sales, host a garage sale, go to a consignment shop, or list items online.
If you don’t want to take donations to a thrift store, you could try sites like Freecycle instead. With those, you don’t charge for the items, but you can ask interested parties to pick them up, saving you a delivery trip.
During this week, you’ll want to lock in your cleaners. Choose the quote that best meets your needs and schedule the appointment.
If you aren’t hiring a cleaning service, make sure you have cleaning supplies on hand now. That way, you can do some of the cleaning over the next couple of weeks and have everything you need for a deep clean once the unit is empty.
In most cases, you need to give your landlord one month’s notice before you move out. As long as your lease doesn’t require a different timeframe, handle that now. Use an online notification form, send an email, or use another written process that’s outlined in the lease.
Once you notify your landlord of your intention to move out, you’ll typically get a move-out cleaning list. That outlines the landlord’s expectations regarding the final condition of the unit, giving you a roadmap that increases your chance of getting your security deposit back.
Review the list carefully. If you have any questions about the requirements, ask right away. That ensures you’ll get an answer well before you have to tackle those tasks.
If you’re moving out on a workday, request time off now. By submitting the request at least a month before you move, your odds of getting approved are likely higher. You’re ensuring your employer has enough time to adjust for your planned absence.
If you have to arrange for your own coverage, it’s also best to start that now. That gives you time to speak with colleagues and confirm with your employer that someone has it handled.
At this point, you can usually start updating your address on non-banking accounts. As you receive mail from sources that you regularly get letters from, head online and update your address information. That way, when the next letter goes out, it’ll head to your new address.
At this point, you likely have your new address. Since that’s the case, you can set up mail forwarding to begin on the day you plan to move out. That ensures you won’t have to handle it when things get more hectic.
For regular mail, the USPS website is the best way to set up mail forwarding. For UPS and FedEx, you’ll need to create accounts to get access to package management tools, allowing you to adjust the destination for incoming mail.
Once you’re three weeks away from moving out, you’ll want to start packing. Focus on rarely used items, like seasonal clothing, holiday décor, or specialized kitchen gear.
With your moving day approaching, it’s best to take a moment to confirm your appointments with any service providers you’re hiring. Start with movers, as their schedules are usually the most likely to get disrupted. After that, check with cleaning services, followed by truck rentals if you’re using them.
Ideally, you want to get confirmations in writing, particularly if your agreements involve any kind of guarantees. However, phone confirmation may be sufficient if you have the original date in a contract or email from when you set the appointment.
With your rarely used items packed, it’s time to move on to non-essentials. Generally, you want to back up anything you know you can live without for the next two weeks, giving you less to handle during the week before you move.
Start pairing down your kitchen items, leaving just enough plates, dishes, and pans to handle your short-term needs. Also, box up clothing you can do without, as well as most of your home décor items.
It may also be wise to pack up hobby gear, particularly if it’s hard to find time to do it while you’re preparing for a move. That way, you’re down to actual daily essentials, streamlining the next week’s activities.
Moving food is inconvenient, particularly perishables or frozen items. Since that’s the case, avoid food purchases as much as possible. Instead, try to create meals with what you have on hand. That way, there’s less to deal with on moving day.
Since you don’t want to pay for utilities in a rental that’s no longer yours, reach out to the providers and schedule the disconnections. If you get to choose a time, you could opt for late on your move-out day. If you don’t, you may want to schedule the disconnects for the day after. That way, your odds of waking up to a home without electricity or water are slim, making your moving day more comfortable.
While your non-essentials are already packed, now’s the time to box up anything you’re not using on a daily basis. The goal is to limit what you’ll need to pack on moving day, so be aggressive about what you start putting in boxes.
Now that you’re only a few days out from your move-out day, reconfirm any appointments you’ve set. Usually, the most likely one to get pushed back is your movers. Mainly, it’s because they may encounter unexpected situations on other jobs, putting them behind schedule. Since that’s a possibility, you want to know now if it may happen.
While house cleaning services and rental trucks may also run into scheduling challenges, that isn’t as likely as issues with movers. Still, you’ll want to reconfirm your appointments at this time, just to be safe. That way, if something is awry, you can come up with another plan if it’s necessary.
Now that you’re only a couple of days away from moving out, you can usually update your address with any banking-related accounts. The reason for waiting is that your address is usually part of the purchase verification process. Since you don’t want any accidental confusion, it’s always better to do this as close to your move as possible.
Along with your bank or credit union, update credit card companies, brokerages, and similar institutions. Essentially, if it has to do with your money, make sure you get the address handled now.
Ideally, you want to wake up on moving day well before your appointment with movers or a truck rental company. That gives you a chance to have a meal, get cleaned up and dressed, and pack any remaining essentials.
As you do, put critical items in a bag that will stay with you. Examples of such belongings include a change of clothes, medications, wallets, smartphone charges, work laptops, and other things that would cause you to struggle if you had to go without.
After all of your belongings are out of the unit, it’s time to clean. That could include simply waiting for the team you hired to arrive or doing it yourself, depending on the approach you chose.
In either case, make sure the cleaning list provided by your landlord acts as a guide. Those are the areas they’ll check during the walkthrough, so they play a big role in whether you get your deposit back. By making sure everything on the list is handled, you’re far more likely to come out with some cash in hand.
When you move out of a rental, you’ll usually accompany the landlord on a final walkthrough. During this process, the landlord assesses the condition of the property, determining if you’ll be held responsible for any damage.
By going with them, you can learn about issues they spot. If there’s a cleanliness problem, you may even be able to correct it, ensuring you aren’t charged for something you could easily solve.
Plus, you can document the experience, making it less likely they’ll try to improperly hold you responsible for something after the fact. While that isn’t common, not all landlords are scrupulous, so it’s usually best to be safe instead of sorry.
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]]>The post How to Tell Your Landlord About Mice, Roaches, and Other Pests appeared first on Flex | Pay Rent On Your Own Schedule.
]]>While a phone call or text might seem like the quickest option – and isn’t necessarily a bad place to start – it’s usually best to supplement those approaches with something more formal, like a letter or an email. Written requests create a paper trail, and letters and emails come across as more official than a text.
The message doesn’t have to be long to be effective. Primarily, it simply needs to outline what the nature of the issue is and what you’re requesting as far as a remedy. If possible, you’ll want to include some details about when and where you noticed the pest, as that gives them critical context that may make planning a solution easier.
Below, we’ve included a simple template that tenants can use to tell their landlord about mice, roaches, or other pests.
Dear [Landlord’s Name]:
I, [Your First and Last Name], am writing on [Date You Intend to Send the Letter] to inform you of a pest issue with my rental at [Rental Address].
On [Date You Saw the Pest], I saw [Description of the Pest You Saw] in the [Part of the Rental You Noticed the Pest]. Upon further investigation, I believe the problem is [Name of Pest You Believe is Present]. I also noticed [Any Other Details Regarding Pest Activity].
I’m reaching out in an attempt to resolve this pest issue. I’m requesting that you please contact a pest control specialist to assess the situation and devise a solution.
If you’d like to discuss this matter in greater detail, I can be reached by phone at [Your Phone Number] or by email at [Your Email Address].
Thank you for your time and consideration.
Sincerely,
[Your Name]
Ultimately, the template above is customizable, allowing you to address the specifics of your issue. Additionally, it’s modifiable. For example, if you are sure about what pest is involved, you can modify the second paragraph to simply read:
On [Date You Saw the Pest], I saw [Name of Pest] in the [Part of the Rental You Noticed the Pest]. Upon further inspection, I noticed [Any Other Details Regarding Pest Activity].
Ideally, you want to provide as much detail as you can. Information like potential entry points into your rental, signs you see beyond a sighting of the pest, or an overview of how many mice, roaches, or other pests you think are present is helpful.
Once you create the letter, you can send it on its way. For email, you’ll have a copy for your records automatically. If you opt for the mail, consider sending it as a certified letter, allowing you to get a mailing receipt and verification of delivery. That way, you have the proof you need should issues arise.
The post How to Tell Your Landlord About Mice, Roaches, and Other Pests appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post Renewing a Lease: What You Need to Know appeared first on Flex | Pay Rent On Your Own Schedule.
]]>But before renewing your lease, you should consider whether your current rental is compatible with your lifestyle and how your life might change over the next year.
Below, we’ll go over how to decide whether it’s worth it to renew your lease and offer additional options for when a renewal doesn’t make sense.
If you wish to stay in your current apartment after your lease ends, you will be faced with three options: renewing your lease, extending it, or switching to a month-to-month lease. While the endgame of each of these arrangements is the same, there are significant differences between them, and the option that is best for you will depend on your long-term plans.
A lease extension means that you add time to your existing lease. The terms of your lease, including the cost of rent, remain the same; you simply move the expiry date of your lease forward. It’s up to you and your landlord to agree on the length of the lease extension, but typically they are just a few months long. Anything longer than that would likely require a lease renewal, but it depends on your landlord. A lease extension is a fantastic option if you think you’d like to move soon or want to buy yourself some additional time to decide.
Many landlords will offer the option to switch to a month-to-month rental agreement after your initial lease ends. This type of lease agreement provides the most flexibility, but it also gives the landlord freedom to increase your rent, change the terms, or terminate the lease every 30 days. Though it’s unlikely that a landlord would hike the rent every month, it’s wise to be aware of the possibility.
Month-to-month leases are a great option if you’re planning to move in the short term but aren’t exactly sure when. For instance, if you’re in the process of buying a home, a month-to-month lease affords you the flexibility to move out as soon as you close without paying a penalty to break your lease.
Renewing a lease means signing on for another full lease term (usually a year). The terms of your new lease will likely remain identical to the first one, but there is a chance your landlord could change them. For instance, if rents have increased significantly in your area, your landlord might increase yours under the new lease terms. However, if you have a good relationship with your landlord, you may be in a position to renegotiate the terms of your lease to be more favorable.
Renewing your lease is a long-term commitment, so it’s essential to consider all the pros and cons before signing. If your current rental meets your needs, renewing your lease probably makes sense. Since breaking a lease can be so costly, it may not make sense to renew if there are potential life changes on the horizon or aspects of your living arrangement that you hope to change.
Considering the following points will help you determine whether it makes sense to renew your lease or opt for a different arrangement.
Think carefully about whether or not your apartment still fits your lifestyle. Do you have sufficient space? Does the building offer amenities that you appreciate, or is there something more you wish you had, such as on-site laundry or a fitness center? Alternatively, are you paying an inflated rent price for a building with amenities you rarely use?
Create a pro and con list with everything you like and dislike about your current apartment. Then, spend some time perusing rental listings in your price range. This will help you determine whether there’s a possibility of finding something even better, or it may become apparent that you’ve got a great deal and should stay put!
Also consider whether your apartment’s location is ideal. Do you like your neighborhood? Is your commute manageable? If you’ve changed jobs since moving into this apartment, does the area still work well? Where are your friends based? If you’re traveling long distances to your job, your social obligations, or both, moving might enable you to reduce the time you spend commuting each week.
Your apartment might be meeting your needs now, but a lot can change over a year. Before you sign on to renew your lease for another 12 months, think through what you have on the horizon.
Are you working toward any significant life changes that might not be compatible with your current apartment? Perhaps you’re facing the possibility of moving to a new city, working toward buying a house, contemplating moving in with your significant other, or expanding your family.
If a major life change happens within the next year, it could require breaking your lease. In this case, a month-to-month agreement or a lease extension would offer you more flexibility and save you the expenses that come with breaking your lease.
Because a lease renewal is actually just a brand new lease agreement, they are legally subject to rent increases. The amount of the increase depends on where you live. If you live in an area, the market rate for rentals may have increased significantly over the past year since you signed your original lease agreement. You must ask yourself whether you’re willing (or able) to cover the rent increase.
In some cases, you may be able to find a less expensive apartment by downsizing or switching neighborhoods. But, it’s also possible that rents have increased throughout your city. If you anticipate that prices will continue to rise, renewing your lease will insulate you from significant rent increases for the next 12 months.
Before signing on to renew your lease, review the terms carefully. Is there anything you wish you could change? This is an excellent opportunity to renegotiate.
Remember, if you’ve been a respectful tenant and have always paid your rent on time, you have more bargaining power than you may realize. Renewing your lease is ideal for your landlord because they will not have to spend time marketing your vacant unit and vetting new tenants. They will likely be willing to accommodate your requests (within reason) if it means you’ll renew the lease.
You could negotiate anything from the rent price to items like pet rent, parking fees, or even the utilities included with your unit. Even if the market rent prices have increased in your area, you may be able to convince your landlord to continue renting to you at your current rate. It never hurts to try– don’t underestimate the value of being a great tenant!
Ultimately, if you’re happy with your landlord and content with your rental, renewing your lease offers stability. You won’t face major hikes, and you may even be able to negotiate more favorable terms, which could ultimately save you money.
However, if you’re planning to make major lifestyle changes such as expanding your family or purchasing your first home, you might benefit from the flexibility of a lease extension or a month-to-month rental agreement. If you’re not sure what’s best, talk it over with your landlord. You might be surprised how willing they will be to accommodate such a good tenant!
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]]>The post The Ultimate Apartment Moving Checklist appeared first on Flex | Pay Rent On Your Own Schedule.
]]>If you’re currently in a rental, the first thing you need to do is review your existing lease. That document contains critical information. You’ll usually find details about when and how you need to give notice. Additionally, there may be other move-out guidelines, information about security deposit returns, and more.
Often, your biggest expense when moving is hiring movers or securing a rental truck. Since that’s the case, it’s best to start collecting cost information as early as possible. Additionally, by starting now, the odds that your first-choice company is available go up.
Finally, movers may need to come to your current apartment to give you an estimate. Since there may be a few days between your request and when they can arrive, setting this up in advance is a must.
While most people get the bulk of their critical statements digitally, there’s a good chance that at least some of the mail you receive needs to get redirected to your new address. Get a file folder and start collecting any important mail that’ll need address updates. By beginning now, you’ll have a bit more than a full month before you need to make any changes, reducing the odds that something critical is missed.
After you get your quotes, it’s time to do a little more digging. While you likely took a quick look at online reviews or similar information before requesting estimates, it’s wise to take a deep dive before formalizing any reservations.
Additionally, check out any contract terms that were presented. Read each line to make sure you’re comfortable with what’s there. By combining that information with a bit of extra research, you’re far more likely to end up with a reputable company you can trust.
If you would prefer to hire a cleaning service than scrub your current apartment, start getting quotes now. Usually, this process is easier than arranging for estimates from movers, but it still needs to happen, especially if you have a tighter budget.
When you reach out, ask about move-out cleaning services. Typically, those involve more than what you get with a regular cleaning, ensuring your apartment will meet the landlord’s expectations.
Often, reservations with the best movers or rental truck companies fill up fast, especially if you’re moving during peak season. That’s why you want to schedule those services now, ensuring you can get your top choice.
If you’re forgoing movers and will need help from friends and family, discuss your move with them now. That gives them ample notice, increasing the odds that they can offer assistance.
While most moves don’t require permits, some do. For example, if you’re heading to a downtown apartment in a big city, you might need to apply for curb use to ensure the space in front of the building is available.
If your mover is experienced in your new apartment’s area, they can often clue you in about what’s needed. Otherwise, speak with the manager at your new building or the city for details.
Paying to move items you don’t want or spending time packing them up is a waste of time, energy, and money. Spend this week identifying belongings you prefer not to take with you and arrange to sell or donate them.
After reviewing any quotes, it’s time to schedule your cleaning services. As with movers, you should typically read some reviews and the contract terms to make sure you’re getting the best option. After that, make the call and set the date.
If you aren’t going with a full-service mover, you’ll want to start gathering up boxes and other moving supplies, such as tape, markers, and padding. Often, the price tag for getting what you need is surprisingly high. By starting now, you can spread out the cost a bit if the need arises.
In some cases, you can actually get your hands on free boxes. Along with keeping any boxes from deliveries you receive, talk to neighbors, friends, and family members to see if you can have their boxes. Also, talk with nearby retail stores, as some will let you take empty boxes if you ask.
When you’re buying tape, consider getting some in different colors. That can help you stay organized, as you can assign a unique color to every room. If that isn’t an option, go with different colored thick-tip markers, as that can accomplish a similar goal.
With move rentals, you need to give your landlord around 30 days’ notice before moving out. Use the process that’s outlined in your lease, or if there isn’t a procedure in your agreement, contact your landlord using multiple approaches.
For example, send an email to ensure your request is in writing and follow that up with a quick phone call. If you’re renting through a large company, you can also check the website for a move-out request contact form.
Ultimately, you want to make sure that you have a paper trail and that word reaches your landlord in a timely manner. That streamlines your exit, allowing you both to coordinate any last steps.
When you give your landlord notice, request a move-out checklist. That outlines the landlord’s expectations regarding your apartment and lets you know what they’ll be checking when assessing the unit’s condition.
If you’re hiring a cleaning service, you can also forward the move-out checklist to them. That way, if you need to make adjustments to your contract or appointment, that can be handled in advance.
At this point, it’s wise to schedule any mailing forwarding with USPS. You can choose a future date for the forwarding to begin, allowing you to handle this must-do task well in advance of your move.
For UPS and FedEx, you usually have to redirect packages on an as-needed basis. Fortunately, both have a relatively simple process. With UPS, you’ll need a profile and to enable UPS My Choice. With FedEx, you can use FedEx Delivery Manager to make changes to the delivery.
If you’re not moving on a day that you typically have off from work, you’ll need to request time off no later than one month out. That gives most employers a chance to adjust to your upcoming absence, increasing the odds that your request will get approved quickly.
Similarly, if you’re responsible for handling your own coverage, speaking to colleagues about your upcoming move now can make it easier to get the days you need off. If you freelance, discuss your relocation with clients, ensuring they know if you won’t be immediately available for a period.
At this point, it’s time to start filing change of address requests. Use your folder as a reference, placing the requests with any companies that you’ve received letters from twice since you began keeping your mail. Once you file the request, move that mail into a separate folder, allowing you to separate companies you’ve contacted from ones you haven’t updated yet.
Then, as you get new mail, continue that process. That way, you’ll continue receiving critical mail at your current apartment while ensuring the next month’s letters will arrive at your new address.
The only exception to this process is banks and credit card companies. For those, you’ll wait until closer to your moving day.
At this point, it’s also time to start packing. Begin with items you rarely use. For example, out-of-season clothing, holiday décor, and specialty kitchen items can be great places to start.
By beginning now, you’re spreading out the work significantly. That makes it easier to fit packing into the rest of your life, all while reducing the odds that you’ll end up scrambling as your moving day draws near.
If you have a pet and are headed to a new city, there are a few things you’ll want to check before you move. Licensing requirements can vary by location. Since that’s the case, research what’s needed in your new area. That way, you can plan for handling those activities based on local law.
As with mail forwarding, you can usually schedule insurance updates in advance. Reach out to your renter’s insurance company to inform them of the upcoming move, giving them the date of the transition. That allows them to schedule the change in their system, seamlessly shifting the coverage.
Additionally, if you need moving insurance, get that handled now. It ensures that it doesn’t fall through the cracks once things start getting a bit more hectic.
At this point, your moving day is coming up quickly. Take a moment to reach out and confirm your appointment with the mover or truck rental company. Also, make sure that you have any of the needed permits and, if necessary, provide copies to the movers if they don’t have them already.
Last week, you handled your rarely-used items. Now, it’s time to focus on non-essentials. Ultimately, this means packing up belongings you don’t legitimately need between now and your move. For example, you could pack extra dishes and cookware, keeping just enough out to get you by. Home décor can get packed away, too.
The goal is to tackle anything you can live without, at least for a little while. That way, there’s less to handle during the week before your move.
At this point, it’s time to limit the purchase of any perishable food items. Often, those are harder to transport and store during a move. Since that’s the case, it’s usually better to go without for a little while or, at least, limit your purchase amount to what you can use up before moving.
Additionally, start working through any non-perishables that you have in cabinets and pantries. That reduces how much you’ll need to move, making the transition easier.
Having your utilities connected when you arrive at your new apartment is essential. Since that’s the case, schedule the connection now. While most utility companies don’t require this much notice to start up an account, it’s better to be safe. After all, going without power or water makes the transition far more difficult.
If your current utility provider also services the apartment you’re in now, you can also coordinate any disconnections. Let the company know you’re moving, and they’ll usually be able to transition your account between the service addresses with ease.
Just keep in mind that you may want connections to occur the day before you arrive, not the day of your move. That way, they’re working when you move in, not simply scheduled to turn on at some point that day.
Once you’re one week out, it’s time to pack up items you aren’t using daily. Tackle any clothing that you won’t need as the week progresses. Wrap up as many kitchen items as possible. Pack work documents and equipment you can go without. In the end, you want only things you legitimately have to use daily to get left right before your move.
At this point, it’s time to contact your existing utilities and schedule any shutoffs if you didn’t handle that when setting up the connections. Just make sure that you don’t set up the shutoff on your moving day. Otherwise, you could wake up only to discover that you don’t have power or water, which isn’t ideal.
A few days before the move, contact the movers and truck rental company once more. Again, you simply want to confirm your appointment, ensuring there aren’t any nasty surprises that could derail your move.
Once you’re a day or two out from moving, you usually aren’t getting anything delivered to your current address. Since that’s the case, you can update the addresses on your bank accounts without causing potential headaches. Plus, by doing it now, it won’t fall through the cracks.
Few things can make a new place feel like home like being able to cook a nice meal. Since that’s the case, set up a grocery delivery in advance to ensure you’re restocked once you reach your new apartment. Choose a time on your move-in day when you know you’ll be there, preferably after the movers have finished unloading. If that might be challenging, set it up for the day after.
If there are any items left unpacked that you don’t need over the next few days, now’s the time to get them boxed up. Ideally, you want everything left to fit into one or two bags or boxes. That way, you can quickly handle the remaining items on moving day.
Whether you have movers coming or are getting help from friends and family, make sure you have some drinks and snacks available. That makes the experience more pleasant for everyone, which matters with something as demanding as a move.
Stick with single-serving packages for convenience, and opt for shelf-stable options whenever possible. If you want to offer cold drinks, get a cooler and some ice. That way, you can toss that into your car as you head out.
While tips aren’t mandatory when you hire movers, it’s not a bad idea to plan for some. By going the extra mile to treat movers right, they’ll do right by you.
Generally, you should tip each mover around $10 per every four hours worked. Additionally, it’s wise to provide a tip as they finish packing up and again near the end of the unloading process. That way, if two different sets of movers are involved, everyone gets their fair share.
If you have the ability to get the keys to your new apartment before your move-in day, do so. That gives you one less thing to handle during what will be a hectic day. Plus, it may give you a chance to manage some setup steps, suggesting the unit is currently empty.
Most rentals require a walkthrough to go over the condition of the apartment. Ideally, that should occur a day or two before you move into the unit, allowing it to get handled when the apartment is empty.
Speak with the landlord to get details about when this can occur. Then, attend with a notebook in hand and a camera with video capabilities. That way, you can take notes and capture photos or footage of issues.
If you have access to the unit at least a day in advance and there’s power available, make sure the fridge is plugged in. That gives it time to cool down before you need to use it, protecting any perishables you may buy right away.
Plan to wake up early on moving day, giving you a chance to pack any last items before movers arrive or you grab your truck. For critical belongings, consider putting them in a go-bag that stays with you, ensuring you don’t lose track of essentials like medications, a change of clothes, a phone charger, and similar must-haves.
As the movers arrive, let them know you’re recording your move and ask that they introduce themselves on camera. Keep the tone upbeat, treating it more like you’re documenting everything for posterity. Then, record more snippets (with narration) throughout the day, especially when the movers are handling high-value items. That lets the movers know they’re being observed, increasing the odds that they’ll be cautious.
Once your place is empty, it’s time to tackle any cleaning. That could include managing it yourself or giving the move-out cleaning company access.
Conducting a walkthrough when you’re leaving the apartment is just as critical as doing one when you move into a new place. Make sure you and the landlord both accurately assess the condition and take notes, photos, and video along the way for your records.
After packing up, it’s time to unload. That may involve simply giving the movers access to the unit or doing it yourself, depending on how you approached moving.
Once you’re done, if you rented a truck, top off the tank and handle the return immediately. That ensures time doesn’t get away from you or that an unexpected event – like traffic – doesn’t make you late.
Now that you’re unloaded, unpack some essentials right away. Start with your go-bag and move on to other critical items, especially bedding, bathroom items, and basic kitchen equipment. That lets you live more comfortably now, making the rest of your unpacking seem easier to manage.
The post The Ultimate Apartment Moving Checklist appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post 19 Intriguing Roommate Statistics – 2022 appeared first on Flex | Pay Rent On Your Own Schedule.
]]>In the United States, 31.9% of households are “doubled up,” meaning the space is shared with at least one adult who isn’t a spouse, romantic partner, or college student. That leaves almost 79 million adults living in a housemate-style situation.
[Source: Pew Research Center]
Most shared households still keep it within the family: parents living with their adult children comprise the biggest bucket, with 47% of all shared household situations. Another 18% of all shared households involve non-family members – that works out to 14.4 million Americans living with non-family roommates.
[Source: Pew Research Center]
The pandemic put a unique strain on living situations, causing households to spend far more time together than usual. While some may assume that would lead to dissatisfaction with roommates, that isn’t necessarily the case. Overall, 44.8% of renters with one roommate are extremely satisfied with the arrangement. A mere 1.1% list themselves as extremely dissatisfied.
[Source: National Apartment Association]
When it comes to the types of roommate arrangements that bring the highest satisfaction, classmates outperform the rest. Overall, 90.9% were satisfied with the arrangement, and 81.8% considered themselves extremely satisfied
[Source: National Apartment Association]
While around half of renters with roommates have only one roommate, many others have multiple. Approximately one-quarter have two roommates, and 15% have three. A startling 10.5% actually have four or more roommates.
Surprisingly, the latter group has the highest level of satisfaction and the second-highest number of reports of being extremely satisfied.
[Source: National Apartment Association]
Pandemic-related lockdowns and restrictions meant many people spent far more time at home than usual. For renters, around 40% spend all of their time with their roommates. Around one-third spent a few hours a day with their roommates, with a bit more than a fifth spent around half the day together.
[Source: National Apartment Association]
The pandemic spurred a unique kind of homebuying movement, allowing those who found their rentals insufficient during lockdowns to find more suitable properties. While the majority of buyers were either married couples or single individuals, 3% of homebuyers were essentially roommates, listing no familial or romantic relationship.
Another 11% were actually unmarried couples. While not roommates in the classic sense, they aren’t legally family either in many cases.
[Source: Source: Wall Street Journal]
As a means of dealing with skyrocketing housing prices, Millennials are teaming up with non-family members to purchase property. Between 2014 and 2021, the number of co-buyers where the involved parties had different last names increased by 771%.
[Source: Wall Street Journal]
All told, 77.7% of roommates aged 25 to 34 are employed. Even with a steady income, living with roommates can be a great way to save money or live in a desirable neighborhood that might otherwise stress your budget.
[Source: Colorado News Online]
Similarly, many may guess that adults with roommates aren’t particularly educated. However, 60% have at least some college under their belt.
[Source: Colorado News Online]
By and large, most roommates know each other before they decide to cohabitate. However, 5% didn’t meet until they connected on Craigslist through an ad seeking out a roommate.
[Source: Apartment Guide]
When it comes to disagreements among roommates, differing cleaning habits was cited as the main pet peeve by 37% of renters with roommates. Poor communication came in next, listed as a primary concern among 12.2% of roommates.
[Source: National Apartment Association]
Even in the digital age, discussing issues in person is the go-to approach for roommates. Overall, 71.5% of roommates use that approach. However, 26.2% are also open to texting, while 9.4% believe notes left around the house are acceptable.
[Source: Apartment Guide]
While most roommates feel that communicating about issues using various methods is appropriate, 13.9% also state that their housemates chose not to discuss points of tension with them at all. The reasons could vary, from thinking the problem wasn’t worth the argument to simply wanting to avoid conflict to not feeling they were in a position to express disproval.
[Source: Apartment Guide]
Overall, the generally positive experience leaves most people open to having roommates in the future. 80% say they would do it again, and 40% assert that they’ll likely have a roommate in the future.
[Source: National Apartment Association]
Among adults aged 25 to 34, men are far more likely to have a roommate than women. While 8.2% of men in that age group have at least one roommate, only 4.6% of women in that age group do.
[Source: Statista]
New York City is a notoriously expensive place to live. For those looking to cut costs, having a roommate is a clear way to go about it. Based on an average two-bedroom rent of $2,781 a month and an average one-bedroom rent of $2,538, roommates each stand to save $1,148 monthly by splitting a larger place (and the monthly rent) with another person.
[Source: Smart Asset]
When it comes to the gender of roommates, most adults stick with the same gender. Overall, 78.6% of men live with male roommates, and 70.4% of women live with female roommates.
When it comes to opposite-gender roommates, 10.5% of men and 17.1% of women have that arrangement. The remaining 10.9% of men and 12.5% of women have mix-gendered roommates.
[Source: Apartment Guide]
When comparing satisfaction rates among adults with one roommate, strangers outperform acquaintances. While having a stranger as a roommate comes in at 24.7%, an acquaintance only rates at 23.4%.
If you have multiple roommates, strangers far outperform acquaintances. Here, strangers have a satisfaction rate of 22.4%, while acquaintances only have a 13.3%.
[Source: Apartment Guide]
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]]>The post Too Many Bills, Not Enough Income: What to Do appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Fortunately, that isn’t the case. If you have too many bills relative to your income, here are some potential solutions.
Typically, the first step you should take is to review your spending. That way, you can get a clear view of your expenses and compare them against your income.
Examine all of your spending over the past month or two. Identify each line item to determine how much you spent and on what, creating a running list for each month. Then, total up your spending categories, allowing you to see how much of your income is going where.
A budget might be all you need to get back on track: simply being aware of where your money is going will make you more conscientious about what you spend your money on. However, if your income literally can’t cover what you owe, a budget alone might not do the trick. In that case, you’ll want to incorporate other strategies, allowing you to make changes that will help you move in the right direction.
Nonprofit credit counseling agencies can be an exceptional resource when you can’t afford to pay your bills. Often, they can help you examine your income and budget, allowing you to work together to come up with a viable plan. That alone can make the services valuable.
However, if you genuinely don’t have enough income to cover your obligations, credit counseling agencies can work with your lenders to find a solution. Often, they can get interest rate reductions and create a simplified debt repayment plan.
In many cases, there are fees for using a debt repayment plan. Mainly, this is because the agency will oversee the process. You’ll send a payment to them each month, and they’ll distribute the funds to your lenders.
Even with the fee, credit counseling agencies can save you a bundle while making repayment less stressful. Just make sure you vet the organization thoroughly to avoid potential scams.
Many creditors have programs designed to offer people some protection if unexpected financial situations arise. For instance, there are low-income programs at many utility companies and hospitals. Lenders may also have forbearance options for consumer debt accounts.
You won’t know what’s available if you don’t ask. So, if you’re about to miss a payment, call those companies and see if there are programs available that may be able to help.
Oftentimes, people have trouble paying their bills due to a one-off event, and not an ongoing issue. For example, an unexpected medical bill might mean you don’t have enough money to cover rent, food, and debt payments.
In these cases, you may be able to get help from local charitable organizations. This is especially true if your financial troubles mean you might miss rent, lose utility services, or be unable to buy food.
Community service organizations, religious institutions, and similar nonprofits are all worth contacting. You can also check for emergency funds through local or state government agencies.
If you’re not sure where to begin, consider calling 211. That service can help you learn more about programs in your area.
Low-income households may qualify for an array of government benefits. Some classic options are food programs like WIC and EBT. With those, you get money that you can use at most grocery stores, allowing you to reduce how much you have to spend out-of-pocket.
There are also options that can reduce other expenses. You may qualify for housing stipends, free or low-cost medical insurance, and more.
In most cases, the easiest way to learn about programs is directly through the associated government agency. Usually, health and human services departments are your best starting point, though you may want to reach out to housing and child services organizations, too, depending on your situation.
Many people have multiple subscriptions and memberships that they pay for monthly. Cable television, gym memberships, and streaming services are all prime examples.
If you’re struggling with your finances, cut every unnecessary subscription or membership that doesn’t come with an early termination fee. For those with fees, determine if it costs less overall to cover than cost than to remain signed up and if so, consider canceling them, too.
Remember, you can always sign up again if your situation changes. But until then, you may have to get a bit ruthless while you get your budget under control.
In many cases, housing is the biggest expense a person shoulders. Since that’s the case, downsizing could be a way to dramatically reduce your spending in fairly short order.
If you rent, check your lease to see if you’re obligated to stay or what conditions need to occur for you to move out without a penalty. Then, explore your local market to see if there are lower-cost options available. Even if you have to move into a smaller place for a time, you can always move again once you’re back on track financially.
For homeowners, you’ll want to consider your current equity to determine if you can move without incurring an extra cost when you sell. After that, explore your local market to see if lower-cost options – either renting or buying – are available. If so, consider listing your home.
Alternatively, homeowners could explore renting out their house. If the amount you could earn in rent would easily cover your mortgage, then you could potentially keep the property. Just factor in the cost of property management if you won’t want to serve as a landlord before you decide. If the math makes sense, you could move into a smaller property for a while to reduce your costs, use the rent to cover the mortgage, and move back in at a later time.
If your monthly bills are too high, but you have good credit, a debt consolidation loan may let you get back on track. With these, the loan pays off the debts you’re consolidating. Then, you make payments on the loan.
The benefit of this option is that you may end up with a lower average interest rate and smaller monthly payments. Additionally, it simplifies your budget by rolling several debts into one payment.
If you own a home and have equity, you could consider a cash-out refinance loan instead. Essentially, you’ll refinance your mortgage and request additional money above your current mortgage balance. Then, you can apply that cash to your debts, rolling them into your mortgage payment.
Just be aware that cash-out refinances do involve your home as collateral. If you have issues repaying that debt, the lender may move forward with foreclosure. Since that’s the case, if you’re concerned that you won’t be able to make that payment, it’s not always the best choice.
If reducing your expenses isn’t an option, then your next best bet is to boost your income. With a side hustle, you can potentially bring in more cash, giving you extra room in your budget.
If you’re already working full-time, look for flexible options. Gig work like app-based delivery driving could be a suitable choice, and you can also consider various kinds of freelance positions.
If you’re working part-time and could support more hours with ease, you could see if you can transition to full-time at your job. If that isn’t possible, you can either seek out another full-time role or get a second part-time job to cover the gap.
If you’ve explored the options above and can’t find a solution, focus on the right kind of bills. Generally, you want to make sure that four basics are always covered – shelter, utilities, food, and transportation. If you have money left, then what comes next may depend on your situation.
For anyone with ongoing medical needs, continuing healthcare costs are also a necessity. Beyond that, you may want to focus on any collateralized debts associated with must-have items before moving on to non-essential collateralized or unsecured debts. That way, you’re preserving what’s critical first, ensuring any missed payments are strategic instead of haphazard.
Once you know what payment you’ll miss, contact the creditor directly. That way, if any arrangements are possible, you can work with them from the beginning. While not all creditors will have much to offer, it could allow you to minimize the harm or learn about programs that can help. Since that’s the case, it’s always best to be proactive, increasing the odds that you’ll find a solution.
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]]>The post 20 Ways to Save Money on a Tight Budget appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Many people subscribe to several television and movie-based entertainment options at once. By cutting back the number of subscriptions, you can potentially free up quite a bit of your space in your budget.
Begin by re-examining your cable television line-up. Cut the cord, if possible, or cancel add-ons (like extra channels or premium movie services) to save money.
Even if you only use streaming services, focus on the one you use the most and cut the rest. Alternatively, since you can cancel and resubscribe at any time, you could rotate through the services throughout the year, only paying for one or two at any given time.
For a painless way to set money aside, round every purchase up to the nearest dollar and shuttle the change to your savings account. The benefit of this approach is that it can add up surprisingly quickly. Plus, since you’re only sending a little bit of money after every transaction, it doesn’t have a dramatic impact on your day-to-day budget.
Even if your homeowners, renters, or auto insurance was the most affordable option when you originally signed up, that might not be the case today. That’s why it’s wise to get fresh quotes from other insurers regularly. You might find that a competitor offers similar coverage for less, allowing you to reduce your outgoing expenses and make saving easier.
There are plenty of options for reducing your grocery bills. By combining sales, coupons, and rebate apps, you can potentially save a bundle every time you shop.
Usually, this requires a bit of flexibility, ensuring you can create reasonable and nutritious meals while limiting your costs. Additionally, you’ll want to make sure that any discount represents a real bargain by calculating the per-unit cost. In some cases, generics or lower-cost brands still come out ahead, so you need to do the math to make sure you’re not spending more than you have to by mistake.
Many issues with appliances, clothing, and other items are fixable with a bit of know-how. Since that’s the case, you may be able to save by repairing instead of replacing.
With this, you have two choices. First, you could try a DIY. Check YouTube or similar resources for walk-throughs to see if that’s plausible and, if so, it could save you a bundle.
Alternatively, you could hire a professional. Get a quote to see if it represents a savings in comparison to a replacement. If it does, go that route instead.
If you have a spare bedroom, you could potentially use it to save money. Whether it’s finding a long-term roommate, giving you someone to split costs with, or short-term options like Airbnb, that extra space can boost your income.
Just be aware that this approach may not work if you’re a renter. You’ll need to check your lease and local regulations to ensure it’s allowed.
If you’re not under contract, finding a new smartphone plan could free up money in your budget quickly. Many prepaid options – such as Mint Mobile – offer comparable coverage to the major carriers but cost a fraction of the price. Similarly, Xfinity internet customers can use Xfinity Mobile, which costs far less while still being post-paid.
Even if you can’t switch carriers, a new plan might help you save. For example, if you mainly use Wi-Fi, you might be able to ditch an unlimited plan for something more affordable.
If you’re dealing with monthly fees on your savings or checking account, switching to a new bank or credit union is a great way to free up some cash. Many financial institutions offer fee-free accounts. In some cases, you can even earn interest on your balances.
Just make sure you review any rules regarding fees. Some banks and credit unions have certain requirements, like having a direct deposit or a minimum number of debit card transactions. By learning the rules, you’ll know whether you’ll be able to avoid the fees without having to change your habits.
When you’re considering a purchase that isn’t strictly a necessity, follow the 72-hour rule. Essentially, instead of buying it right away, you wait 72 hours. In many cases, you’ll find that the prospective purchase isn’t actually a good idea or doesn’t align with your priorities, so the break saves you money.
If you have a higher interest credit card with a balance and the lender is advertising lower rates than were originally available when you opened the account, you can ask for a rate reduction. Usually, this works best if you have a better credit profile than you did initially, and you’re a long-time customer in good standing.
In some cases, the lender will review your account and simply agree. In others, they might need to pull your credit before deciding. However, you won’t know unless you ask, so it doesn’t hurt to try.
Whether it’s your local grocery store or through an app, delivery almost always costs extra. When you add in a tip, the difference can be in the $5 to $10 range.
Save yourself money by choosing a free option instead, such as same-day pickup. While you’ll need to spend a little time and gas, it’s often far cheaper than having someone bring it to you.
Many people have items around the house that they don’t need that are otherwise in good shape. If you need some cash, go on a decluttering spree, gathering up anything you aren’t using. Then, find a way to sell it.
For higher-value items, you may want to try consignment shops or online selling apps and websites. For low-cost items, a yard sale might be a better fit.
For most Americans, housing is expense #1. If rent is eating up more than 30% of your total budget, you should at least consider looking for someplace that better fits your budget. You might even find additional savings: by downsizing, you will likely save money on heating, electric bills, and other major expenses.
Becoming a one-car household can save you money in several ways. You’ll pay for less maintenance and lower your insurance bill. Plus, if you plan your routes effectively, you can reduce your overall need for gas. It may also let you sell the second vehicle, giving your savings account a quick boost.
When it comes to protein sources, meat can get pricey. Reduce your grocery bills by going with an alternative a few days a week. Beans are a solid option, particularly when bought dried and in bulk. Eggs are another alternative worth exploring.
If you usually turn to bottled water or soda at home, break that habit. Instead, get a water filter system or pitcher for crisp water at home. Coffee and tea – made from grounds or tea bags – are also both affordable, giving you a flavorful option at a lower price.
Many attractions don’t cost a dime, making them a great source of entertainment. Look for local parks, free days at museums, and similar options for some fun.
If you or family members need to refresh their wardrobes, talk to family members and friends of similar sizes to arrange for a clothing swap. That way, everyone gets something new without having to shop.
If you’re pinching every penny until it screams, you’ll end up feeling incredibly deprived relatively quickly. If that happens, you may struggle to maintain the willpower to stay on target, leading to splurges you can’t afford.
Instead, give yourself a little bit of fun money every month. That way, you can have a small treat on occasion, making it easier to stick with the rest of your plan.
If you’re lower-income, there are plenty of places where you may qualify for financial assistance or support. These programs are there to support the community, including you. Whether it’s food banks, clothing closets, discount healthcare clinics, or anything else, use the programs you’re eligible for whenever possible. That way, you have more room in your budget.
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]]>The post 26 Insightful Real Estate Agent Statistics – 2022 appeared first on Flex | Pay Rent On Your Own Schedule.
]]>On average, real estate agents bring in $61,480 annually. However, those in the top 10% of earners typically earn around $102,170 per year, while those in the bottom 10% may earn $28,270 or less.
[Source: Bureau of Labor Statistics]
In the United States, there are over 3 million professionals with active real estate licenses. Now, this doesn’t mean that all of them are actively working as agents, just that they are licensed to do so.
[Source: National Association of Realtors]
While all realtors are real estate professionals, not all real estate pros are realtors. A person can’t call themselves a realtor unless they are a member of the National Association of Realtors, a professional organization that maintains strict operating standards.
Overall, the National Association of Realtors has just over 1.56 million members.
[Source: Statista]
Overall, 65% of realtors are female. That means only 45% are male.
[Source: National Association of Realtors]
The median age of a realtor is 52 years old. However, the median age of an American is just 38.6 years old. That’s a 13.4-year difference.
[Source: National Association of Realtors and Statista]
On average, real estate commissions for a home sale total about 5 to 6% of the sale price. The buyer’s agent may receive 2.5 to 3% of the sale price, and the seller’s agent gets the same amount, depending on exactly what has been negotiated.
If one real estate pro happens to handle both sides of the sale, they get the entire commission to themselves. That approach – called a dual agency – isn’t legal in all states. And, even if it is allowed, many consider it a conflict of interest. But, when it does occur, that agent gets all of the commission.
(Source: Redfin)
When it’s time to purchase a home, using a real estate agent or broker is by far the most popular choice. Overall, 87% of buyers go that route.
[Source: National Association of Realtors]
While you might assume that realtors working for a real estate firm are employees, that isn’t typically the case. In fact, 88% of realtors are independent contractors, not employees.
[Source: National Association of Realtors]
The average income for a self-employed real estate agent came in at $106,280. In comparison, average salaries come in at $82,535 for national franchise agents and $69,933 for independently-owned brokerages.
(Source: Real Estate Express)
If the real estate agent works for a brokerage, there’s a decent chance they aren’t keeping all of the commission. The brokerage firm may get 1 to 1.5%, depending on the arrangement.
Usually, this is because, when an agent works for a brokerage, the firm spends money in a way that benefits the agent, such as through advertising. Additionally, the agent may seem more reputable by associating with a well-known company, allowing the firm to essentially charge a premium for that association.
(Source: Redfin)
In the United States alone, you can find 106,548 real estate brokerage firms in operation.
(Source: Census Bureau)
In California, there are more than 193,171 active realtors. Coming in second is Florida, which has 186,055. In third-place is Texas, with 126,216.
(Source: National Association of Realtors)
On the other end of the spectrum is Vermont, with only 1.686 realtors. There are actually more realtors in Alaska (which has 1,747) and North Dakota (1,999). Even Washington D.C., which isn’t a state but a district, has more, coming in with 2,786.
(Source: National Association of Realtors)
If you want to focus on states with the highest average salaries for real estate agents, then Virginia could be the ideal location. In Virginia, real estate agents earn an average of $122,813 a year. That’s $21,623 more than second-place Ohio, which came in at $101,190, and $28,813 more than third-place Washington, which came in at $94,000.
(Source: Real Estate Express)
Working in a major urban area general pays off if you are a real estate agent. Those who focus on urban areas earn an average of $83,227 annually. Agents who work in rural regions only make $52,446 a year on average. Coming in between the two are suburban agents, who earn $71,187 on average annually.
(Source: Real Estate Express)
When it comes to communication, calls and emails aren’t the preferred approaches. Instead, 93% of realtors say text messaging is their go-to option.
[Source: National Association of Realtors]
Generally, it shouldn’t be a surprise that homeownership is the norm among realtors. Overall, 82% own their primary residence. However, 37% also own a second property, such as a vacation home or an investment property.
[Source: National Association of Realtors]
Realtors classically spend a lot of time in their vehicles. They head to showings, jet over to open houses, and meet clients at properties, in coffee shops, and more. Since that’s the case, vehicle expenses add up. At $1,200 per year, it’s the highest cost category most realtors face.
[Source: National Association of Realtors]
Aerial photography is a boon in the real estate industry, as prospective buyers prefer listings that feature images from above. As a result, real estate came in second on the top five industries using small unmanned aircrafts systems (sUAS), only coming in behind the industrial inspection market.
(Source: Federal Aviation Administration)
About 7% of home sales were for sale by owner (FSBO) in 2017. The “typical” sale price for a FSBO property came in at $174,900. For an agent-assisted sale, the figure was $215,000.
(Source: Las Vegas Real Estate)
For real estate professionals, open houses are a popular marketing strategy. Sixty percnt of agents admit to using them.
While you would assume that open houses are part of the home-selling process, they typically aren’t. 54.6% of real estate pros who use them admit they do it to source prospective future clients and enhance their professional brand. 54.7% said they did it to show the client that they’re working on selling the property.
(Source: The Balance)
Ultimately, even if a real estate agent markets an open house appropriately, only 2 to 3% of open houses actually result in a sale. Often, this has little to do with the agent’s effort. Instead, it’s that not everyone who attends the event is genuinely looking to buy.
It isn’t uncommon for open houses to mainly be attended by noisy neighbors, home sellers exploring a comp, other real estate agents, or even would-be thieves. The majority of attendees aren’t likely to be qualified buyers as a result.
(Source: Rochester Real Estate Blog)
When it comes to social media use, 76% of female realtors and 73% of male realtors use it for professional purposes.
(Source: National Association of Realtors)
Overall, sellers count on real estate agents to guide them through the process. In fact, 84% of sellers rely on their guidance and will follow their agent’s recommendations about how to market or sell the property.
(Source: Zillow)
Customer relationship management (CRM) software may allow an agent to reach greater levels of success. Sixty% of real estate pros who earn at least $100,000 a year take use referral and CRM software. Of those who earn less than $35,000, 65% say they don’t use these technologies at work.
(Source: Refermeiq)
The market crash in 2008 shook the nation. However, the housing market was one of the hardest-hit sectors, causing many real estate agents to rethink their profession.
In total, the number of active realtors tumbled by 16.5% between 2008 and 2012, reaching an annual low of 999,824 before beginning to rise again in 2013.
(Source: National Association of Realtors)
Ultimately, the world of real estate agents is complex and intriguing. If anything, the statistics above prove that this is the case.
The post 26 Insightful Real Estate Agent Statistics – 2022 appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post How Long Does an Eviction Stay on Your Record? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>A prospective landlord will see your past evictions any time they run a credit or background check through a tenant screening service, until the derogatory data falls off your records.
But you may be able to have the eviction removed from your record sooner. Read on to learn more about how evictions can affect your credit report and other public records, as well as what you can do about it.
A history of eviction can affect you in several direct and indirect ways. If your eviction appears as a delinquent account on your credit report, it will negatively impact your credit score. It could be harder to get approved for loans or credit cards in the future, and you may face higher insurance premiums.
An eviction may also make it harder to be hired for jobs that require credit checks. A delinquent account may make employers question whether they can trust you with money or other company assets.
Though evictions will appear on your public record, they are unlikely to appear on your criminal record. If you were evicted through the court system, any judgments against you will appear on your credit report for up to seven years.
Landlords are typically reluctant to rent to tenants with an eviction in their past, so you will have to work extra hard to position yourself as a trustworthy tenant.
Even once the debt is settled, evictions will remain on your credit report for seven years or until the statute of limitations is up. However, there are a few scenarios in which you might be able to have an eviction removed early.
Just because you have an eviction doesn’t mean you’ll be unable to rent for the next seven years, but it will make the process more difficult. Here are some tips for proving to landlords that you can be a reliable tenant, regardless of negative data from your past.
Tell the landlord or property manager you have an eviction before they view your application. Explain the circumstances of your eviction and highlight the steps you’ve taken to ensure it won’t happen again. If the eviction occurred several years ago and you can prove that you’ve been a good tenant since the landlord might rent to you.
The term “money talks” is not a popular phrase for nothing. If you can show a landlord you have three to six months’ rent in hand and are willing to pay upfront, you might win over a hesitant landlord.
If you have an eviction on your credit report, work to improve your credit history moving forward. Making on-time debt payments and maintaining a low debt to credit ratio will help you build credit. Circumstances change over time, so your prospective landlord might be willing to overlook a past eviction if you can demonstrate positive information on your credit report.
Having an eviction on your credit report may make your landlord wonder if you’ll be able to pay your rent on time. The more clear you can make it for your landlord that you earn a steady income, the easier it will be for them to overlook your eviction. Offer to show pay stubs or bank statements to prove that you’re solvent and capable of paying your rent. Highlight that you have steady employment and consider asking your manager for a reference letter. If you have multiple sources of income, bring them to your landlord’s attention.
A fantastic letter of reference is a powerful way to gain your prospective landlord’s favor. Landlords are looking for reliable tenants who will pay the rent and respect the property, so if you can provide glowing references, it could be enough to offset the eviction on your record. If you can’t provide positive references from former landlords, ask your boss, a colleague, or someone from your church or volunteer organizations to provide one.
If your eviction was recent, you might need to take some time to build up your savings, positive credit data, and references before you find a landlord who is willing to take a chance on you again. Living with roommates, especially individuals with solid credit and excellent rental references, will take the pressure off your credit and rental history when looking for an apartment. A co-living arrangement is a great stepping stone that offers the opportunity to build a positive relationship with a new landlord while saving on housing expenses and building your credit.
Having a parent, friend, or family member with good credit cosign your lease could make it easier to secure a rental if you have an eviction on your record. Just keep in mind that if you miss a rent payment, your cosigner will be legally liable to pay the landlord what you owe. Both of your credit scores could be negatively impacted if you cannot keep up with your rent payments.
If you know you have an eviction on your record, disclose it to your prospective landlord. Landlords will most likely discover your eviction in their screening process. Letting them know about it ahead of time allows you to illustrate that you are a reliable tenant despite past struggles. Finding a rental with an eviction on your record won’t be easy, but if you are persistent and patient, there’s a good chance you’ll succeed.
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]]>The post How to Rent an Apartment for the First Time appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Searching for an apartment can be overwhelming if you’re not clear on what you need. Figuring out your budget and deciding whether you’ll take on a roommate will help guide your search. From there, you can narrow your parameters further by selecting ideal neighborhoods and creating a wishlist of apartment features.
Before looking for an apartment, you need to determine what you can reasonably afford to spend on rent. One common rule of thumb is never to spend more than 30% of your monthly income on rent. However, the amount you are comfortable spending might vary depending on how much debt you carry, your monthly expenses, and whether or not you’re planning to share costs with a roommate.
Keep in mind that landlords in cities with competitive rental markets sometimes require prospective tenants to demonstrate earnings of up to four times the cost of the rent. Even if you can afford to pay the rent, a landlord may not be comfortable renting to you if it comprises too much of your monthly budget.
Once you establish your budget, begin looking at apartment listings in your city. Are there many rentals available within your budget? If so, that’s fantastic! If not, think about bringing on a roommate.
Living with a roommate is an excellent way to reduce your monthly expenses. Even if you can afford a place on your own, having a roommate can help you qualify for a nicer apartment than you would otherwise. Plus, living with roommates can be fun!
It’s crucial to put a lot of thought into who you choose as a roommate. Not only do you want someone you will get along with, but you also need to trust that they’ll pay their rent on time and follow the rules of the lease.
Ideally, you will choose a roommate before you begin looking for an apartment so the two of you can choose a rental that suits both of your needs.
Clear communication is the foundation of any successful roommate relationship. Have conversations about important topics like how you’ll split the rent and other house rules before you move in together. This way, everyone’s expectations will be clear from the start of your roommate relationship. Drafting a roommate agreement can be an excellent way to hold you accountable to the house rules.
Especially in a competitive rental market, you may have to compromise on your ideal apartment. It’s worth it to discuss up front which of the following you can – and can’t – compromise on: budget, size, location, or general quality of the apartment.
Finding an apartment with a convenient location is arguably more important than finding one with all of your preferred amenities. Living in the right neighborhood can shorten your commute, reduce your need to drive, and make it easy to access the services and amenities you value, such as parks, shopping, or restaurants.
In some cases, it may be tough to find an apartment in your price range within your ideal neighborhood, so it’s wise to have a couple of backup options. Think carefully about where you can realistically see yourself living. Which areas do you feel drawn to? Where do you spend most of your time? Which areas would make it easy to commute to and from work or school?
Once you’ve outlined your budget, chosen a roommate (or not), and established where in the city you want to live, it’s time to hunt for your ideal apartment. Having a list of the features and amenities you’d like to have in a rental is a good idea, but be aware that it could be challenging to find a place with every one of them.
Here are a few amenities you might consider:
This list is just a starting point. Come up with your own based on your lifestyle.
If you’re apartment hunting with a roommate, work together to prioritize your wishlist. With two people involved, finding a place with evenly sized bedrooms or multiple bathrooms might be more of a priority than nice-to-haves like a dishwasher or an on-site gym.
It’s easy to get caught up in the excitement of finding a new rental, and it could cause you to overlook some of the finer details of the unit.
Here are a few things to ask yourself when deciding whether a rental is right for you:
If you can position yourself as an excellent tenant, you may have some bargaining power regarding the terms of a lease.
Depending on the type of rental, you might be able to negotiate for a lower rent price, especially if you offer to help out with building maintenance or yard work on the side. You could also convince a landlord to do things like overturn a pet policy, throw in a parking space, or cover the cost of utilities.
If you find a unit you really like, you may be able to edge out your competition for a rental by offering to pay several months of rent up-front.
Don’t be afraid to get creative when negotiating for a place you love. Keep in mind that this tactic works best with independent landlords who own the property directly. Landlords who work for a large company have less flexibility.
Once you find a suitable rental, it’s time to fill out the application. During the rental application process, you will likely be asked to disclose your age, employment status, proof of income, and whether you have pets, smoke, or require a parking space. They’ll also run a credit and background check.
There’s a good chance your prospective landlord will also ask for references, so think about who you can count on to vouch for you. If you don’t have a past landlord, ask your boss, a coworker, or a family friend to attest to your reliability as an individual. Note that prospective landlords are not legally permitted to ask about your race, religion, gender, or whether you have a disability.
In the rental application process, landlords want to make sure you can pay the rent. That usually means some combination of the right level of income as well as a credit score north of 620. Keep in mind that landlords look at the whole package. And if one element of your rental application is weaker than the others, you may be able to offer to pay more months’ rent up front, or bring on a guarantor to help you qualify for the rental.
Once your landlord has run background checks, spoken with your references, and approved your application, it’s time to sign your lease. The lease is a set of guidelines that both you and your landlord must follow. It will outline the terms of your rental agreement, including the length of your initial tenancy, how much you’ll pay in rent each month, and the amount you must pay for your security deposit.
Other clauses commonly found on lease agreements include:
Read your lease thoroughly before you sign, and ask your landlord to clarify anything you don’t understand.
Once you sign your lease, you will pay the first month’s rent and the security deposit. The security deposit is usually the equivalent of one month’s rent, but it may be more depending on where you live. Look up the security deposit laws in your state to ensure your landlord is charging you fairly.
As long as you keep your rental in good condition (aside from normal wear and tear), your landlord is required to return your security deposit when you move out.
Here are a few things you can do to ensure your move-in goes smoothly.
If you’re responsible for the utilities in the rental, try to set them up in advance. Usually, you can do this online. In some cases (namely internet service providers), a technician may have to come to the rental. If you can’t schedule this for move-in day, plan to go a few days without internet access.
It can take a few weeks for mail forwarding to go into effect, so do this ahead of your moving day, so you don’t miss any essential correspondence. Begin by changing your mailing address on credit cards and bank statements in the days leading up to your move.
Depending on the type of rental you’re moving into, there may be rules to follow regarding move-ins. Some apartment buildings require that new tenants reserve move-in time slots to avoid disturbing existing tenants. There may be rules around which elevators you can use, where you can park, and more. If in doubt, ask your landlord for guidance.
Before you move anything into your new rental, ask your landlord to do a walk-through with you to take note of the current state of the rental and document any existing damage. It might seem like a hassle, but when you move out and request your damage deposit, you won’t be crossing your fingers that your landlord remembers that the scratch on the kitchen hardwood floor was already there.
Additionally, the walk-through is an opportunity to note anything that needs to be repaired imminently, such as a slow drain or a door that doesn’t lock properly. If the turnover between you and the former tenant was quick, there’s a possibility that some maintenance issues went overlooked.
The last thing you want to do is cause property damage while you’re moving into your apartment. Consider what steps you can take to protect your apartment while moving your belongings in. You may need to place protection over the hardwood floors or request that your movers remove their shoes to avoid staining the carpets.
Even well-planned move-in days can feel chaotic and overwhelming. You can make it easier for yourself by preparing ahead of time. Label your boxes clearly so you can find your essential items when you need them. Packing thoughtfully makes unpacking significantly more manageable. If you’re pressed for time on move-in day, hire movers (or enlist your friends) to ensure you get everything from A to B as efficiently as possible.
Moving into your first rental is a huge step, and you’re bound to have questions come up, especially over the first few months; many of them will be answered within your lease agreement, so keep a copy somewhere easy to reference.
Since you’re now juggling rent payments with utility bills, student loans, and other expenses, it can be a lot to stay on top of. Consider automating your payments online, so you don’t risk making a late payment.
The post How to Rent an Apartment for the First Time appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post United States Housing Market Trends & Statistics, 2022 appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Below, we’ll dig into some of these trends in more detail as we present key figures pertaining to residential and commercial real estate.
Since many housing markets in the United States are seeing prices increases, the median home sale price is also rising. Between February 2021 and February 2022, prices rose by 16.1% year-over-year, reaching a median selling price sat at $389,520.
[Source: Redfin]
While prices are steadily moving up, sales numbers declined. Between February 2021 and February 2022, there was a 6.1% year-over-year decrease, with 414,726 homes sold in February 2022 compared to 441,458 in February 2021.
[Source: Redfin]
Monthly supply inventory (MSI) outlines how long it would take for the current housing inventory that’s actively on the market to sell. In most cases, a six-to-seven-month supply represents stability, with prices leveling out as demand and supply achieve balance. If the inventory levels fall below six months, it’s a seller’s market. Figures above seven months signal a buyer’s market.
When viewed nationally, the MSI of homes in the United States is considered stable. As of January 2022, the inventory levels were 6.1 months, putting it broadly in the area of balanced.
However, individual markets can see dramatically different numbers. For example, Los Angeles sits at 1.2 months, and Atlanta is at 0.9 months.
[Source: Realtor.com, Federal Reservice Economic Data St. Louis FED, Norada Real Estate Investments & Norada Real Estate Investments]
While housing prices have primarily trended upward, existing home sales actually grew throughout the pandemic. In some cases, higher price points encouraged sellers while lower interest rates enticed buyers. Couple that with buyers’ changing needs due to working from home or providing more care to children during school closures, and the motivation to move was there for many.
Overall, existing home sales measured in at 5.34 million in 2019. However, in 2020, it actually rose to 5.64 million, further increasing to 6.12 million in 2021. During 2022, estimates suggest a total near 5.95 million, causing all three years to exceed pre-pandemic levels.
In fact, the last time sales exceeded those three years occurred in 2006, well before the Great Recession. That year, sales reached 6.52 million.
[Source: Statista]
While forecasts often shift as the year progresses and experts may announce different figures due to the use of varying data sources, home value increases are almost universally anticipated. Some data suggests that growth rates for 2022 will hit 16.4%.
[Source: MarketWatch]
In the United States, rents have largely risen during 2021 and into 2022. As of March 2022, the year-over-year increase hit a startling 17.6%.
The biggest part of the surge occurred during the Spring of 2021. That was a period when rising vaccine rates and traditional moving windows began causing people to return to cities or seek out larger homes to accommodate working from home long-term.
However, even between November 2021 and February 2022, rents rose by 0.7%. While that’s pretty modest, it’s a higher rate than is typically seen during those months.
[Source: Apartment List]
For those living in bigger cities, rent increases are largely the norm currently. In February 2022, 74 out of the 100 largest cities in the United States saw rents rise.
While increases are impacting 74 cities spread all across the country, specific areas are seeing the fastest growth. Overall, the Sun Belt is outpacing many other regions, particularly in-demand places like Phoenix and Miami.
[Source: Apartment List]
Those looking for single-family homes to rent in 2021 often had a much harder time finding well-priced properties. The demand for larger houses – partially spurred by the increase in remote work – outpaced supply in many areas.
As a result, rental prices for single-family homes skyrocketed, increasing by 7.8% on average in 2021, a figure that may represent an all-time high. Additionally, in highly competitive markets, rents grew far more. For example, year-over-year increases in Miami hit 35.7% in December 2021.
It’s important to note that these figures are lower than the total rent increases, as the metrics separate single-family homes from apartments. Often, apartment rentals are more commonly seen in high-cost downtown areas, potentially positioning them for larger increases than you may find in the outskirts of cities or surrounding suburbs.
[Source: Bloomberg]
Forecasts suggest that rent prices are going to rise broadly across the United States. Annual rent growth in 2022 is expected to reach 3.6% on average across major cities in the United States.
Areas with lower cost-of-living that also qualify as fast-growing markets are likely to see the most significant price surges. Phoenix may see prices rise by 7.6%, while Las Vegas could reach 7.0%.
In contrast, high-cost areas that people left during the pandemic may see more modest increases. For instance, Long Island may be limited to a 2.7% increase, while Central New Jersey may come in closer to 2.3%.
Inflation and demand increases are largely behind the cost movement. With inflation, landlords often raise rates to offset increasing costs. Similarly, when demand outpaces supply, rents typically increase.
[Source: Fox Business]
During the pandemic, shopping online became the go-to method for many households and businesses. As a result, demand for industrial property skyrocketed. With the increased competition for space in 2021, rents rose a historic 8.4%.
Additionally, the increase in demand led to plummeting vacancy rates. Overall, vacancy rates hit record-setting lows, sitting at a mere 4.1%
[Source: National Association of Realtors]
Brick-and-mortar retail was hard hit during the pandemic. In some cases, shelter-in-place orders, stricter occupancy limits, and mask mandates steered people away from physical stores. However, this didn’t lead to a notable change in retail vacancy rates overall.
In 2019, the vacancy rate in the United States was 4.5%. During the pandemic – in 2020 and 2021 – the rate hit 4.9%. As for 2022, it’s estimated at 4.6%, moving it back toward pre-pandemic levels.
[Source: Statista]
The main segment of the commercial real estate industry that’s struggling to regain footing is office space. Many companies that transitioned to work-from-home models during the pandemic don’t intend to return to traditional workplaces, either at all or to the same levels.
The decision to continue supporting remote work means far less leased office space is needed overall. As of early 2022, vacancy rates sat at 12.5%.
[Source: National Association of Realtors]
While the early days of the pandemic led to broad price declines and rising vacancy rates in many areas, the circumstances causing that are predominately gone. Home values and rental prices are rising and will likely continue to do so while demand remains high and inflation stays a factor.
On the commercial side, only office rental space is still feeling the pinch. That may continue well beyond 2022, particularly if working from home becomes a standard part of the paradigm.
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]]>The post The 30-30-30-10 Budget: How to Make It Work for You appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The goal of the 30-30-30-10 budget is to simplify your financial planning. Most expenses clearly fit into specific categories, making it easier to allocate your money. Plus, you get to use part of your earnings on fun purchases or experiences, giving you a bit of flexibility.
No approach to budgeting is perfect for everyone. Since that’s the case, it’s wise to determine if the 30-30-30-10 budget is genuinely the right fit for you before diving into the approach. Here’s how to figure that out.
Generally speaking, the 30-30-30-10 budget is a solid fit for anyone that needs a clear structure to allocate their income effectively. This can include households that struggle with extraneous spending or are having trouble saving for the future or managing debt.
It’s also an excellent choice for anyone new to budgeting. It helps ensure you don’t accidentally over-allocate funds in specific categories, something that’s often easy to do when you’re first learning to manage your own money.
If saving is one of your top priorities, the 30-30-30-10 budget is also an exceptional fit. Unlike other budgeting strategies, it has you direct a significant amount of your income toward financial goals, so it may help you hit your targets faster.
When it comes to income level, it can work well for anyone near the middle of the spectrum. It may also be a solid choice for lower-income households if the local cost of living is low or high-income households in cities where the cost of living is high.
In most cases, the 30-30-30-10 budget isn’t a solid fit for low-income households in moderate to high-cost areas. The same can be true of middle-income households in high-cost areas, especially if the price of housing is far above the national average.
For example, the average rent in San Francisco is around $3,230 per month. That means you’d need to make around $10,766 per month ($129,192 annually) to cover that amount with 30% of your income. Since that’s the case, dedicating more than 30% of your household income to housing might be an outright necessity.
The 30-30-30-10 budget also doesn’t give much room for wants. For middle to high-income households that are financially comfortable, the strategy may be a bit more restrictive than necessary. That’s particularly true if debt isn’t an issue and they’re meeting their savings goals with ease.
You can always modify the system to fit your needs. If your rent costs more than 30% of your budget because you live in an expensive city, you might allocate 35% of your budget towards rent and only 25% towards your financial goals. Or, if 10% isn’t quite enough to cover your discretionary expenses, you could always shift 5% from savings to your wants.
If you believe that the 30-30-30-10 budget system is a solid match for your needs, it’s reasonably easy to get started. Here is a step-by-step approach for setting up a 30-30-30-10 budget.
Since the 30-30-30-10 budget involves allocating specific percentages of your income to various spending categories, your first step is to add up your income. If you earn the same amount every month, that’s relatively simple. You can use your paystubs as a guide and get a solid number fast.
If you’re a freelancer, gig worker, tipped employee, or an hourly employee with fluctuating hours, you may need to adjust your approach. One option is to use your annual income as a guide, dividing that number by 12 to see what you earn monthly on average.
That strategy is best if you typically earn the same amount every year and experience only slight financial fluctuations monthly. Otherwise, you’ll need to set excess money to the side during the high-earning months to cover the ones where your income falls a bit short.
If that isn’t an ideal fit, you might want to use your lowest earning month as the basis for your budget. That way, you can plan for lean times and, if you make more than that in a given month, can allocate more to savings, debt, or wants.
After you know your total monthly income, it’s time for a little math. You’ll need to know what figure represents 30% and 10% of your income. Usually, you can do this with ease with a calculator. However, if you need to do it manually, the simplest approach is to divide your income by 10. Then, you have the 10% figure right away, and if you multiply that amount by 3, you’ll get the 30% one, too.
If your income doesn’t divide evenly, your best bet is to round down to the nearest penny. That way, the total doesn’t exceed your monthly income. Plus, you’re only failing to allocate 4 cents, at most, so you aren’t losing much purchasing power inside your budget.
After you’ve divided your income, it’s time to list your fixed expenses. Typically, this is anything where you pay essentially the same amount every month. For example, rent, mortgage payments, car payments, insurance, streaming services, gym memberships, and similar costs usually qualify.
Don’t worry about the category at this point. What’s important is to capture the activity.
Once you have your fixed expenses, move on to variable ones. These are monthly expenses with costs that can shift based on usage or consumption. For example, utilities may fall in this group if you don’t use bill averaging. Gas, groceries, and some entertainment spending does, too.
Since you’ll need some figures to work with, you can either record the average amount you spend each month or pick the highest cost month as your baseline. That way, you have a number to use when it’s time to move forward in the process.
Most households have costs that happen regularly but not monthly. For example, car maintenance is a prime example. The same goes for college tuition, pet vaccinations, and holiday gifts. These expenses are called periodic expenses.
If you want to plan for these, you need to see how much you spend annually. Then, divide that number by 12 to see how much you should set aside every month to cover those costs in cash.
Once you have a full list of your expenses, it’s time to categorize your spending. Housing is pretty straightforward. The same goes for savings and debt repayment.
However, things can get a little hazy when it comes to necessities and wants. Food and gas may be part one category, part another. Clothing is another tricky one. In some cases, the same can go for telecom services, including internet and smartphone plans.
In the end, you’ll need to decide where everything falls.
After categorizing, you’ll need to add up your spending in each category to see if your totals fall in the 30-30-30-10 budget framework. If so, then your budget is essentially done.
If not, you may need to cut back in some areas to create more room in others. That’ll depend on how the numbers shake out. So, compare the target percentages with the actual ones. Then, decide if adjustments are necessary or if slight modifications to the 30-30-30-10 budget are a better bet. That way, you can find an approach that works for you.
When it comes to managing your money, few tools are as powerful – or widely recommended – as a budget. While picking a budgeting strategy can seem challenging, it doesn’t have to be. The 30-30-30-10 budget provides a simple framework for managing your finances. This percentage-based approach ensures you don’t overlook critical aspects of money management. For example, it reduces the odds that you’ll overspend in areas, all while creating beneficial habits – like saving – along the way.
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]]>The post Los Angeles Housing Market Trends & Statistics, 2022 appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Read on for the trends and statistics that are shaping Los Angeles’s housing market as of 2022.
Home prices in Los Angeles have risen by 11.2% year over year, reaching $945,000. That’s more than twice the national average of $389,520.
Across the United States, housing prices rose an average of 16.1%. While the impact of the increase is smaller when home values are lower, it does show that the growth potential in Los Angeles is a bit more limited.
The average renter in Los Angeles pays $2,563 a month in rent. That figure is up 14.6% year-over-year.
It’s important to note that rent prices initially fell during the start of the pandemic, dropping by about 9.6%. However, the subsequent increases didn’t just recover the losses; they pushed prices past pre-pandemic levels.
[Source: Apartment List, RentCafe]
If a person is looking for an apartment with a budget of less than $1,000 per month, their odds of success are incredibly low. Overall, just 0.7% of apartments in Los Angeles rent for less than $1,000 per month.
Additionally, only 9.7% of apartment rentals fall in the $1,000 to $1,999 per month range. Once you get into the $2,000 to $2,999 per month range, the number of properties increases significantly, coming in at 34. 2% of the market. However, the largest segment is $3,000+ per month, representing 55.4% of apartments in Los Angeles.
[Source: Apartment List & Globe St.]
Monthly supply of inventory (MSI) figures estimate how long it takes for the current inventory on the market to sell. Generally, a six-to-seven-month supply is considered stable, allowing prices to level out and create an even overall market. When a supply exceeds seven months, it’s a buyer’s market. For inventory levels below six months, the market favors sellers.
In the Los Angeles Metro area, the supply sits at 1.2 months. In broader Los Angeles County, it’s 1.3 months, a difference that most would consider negligible. As a result, housing prices may continue to rise, as there simply isn’t enough supply to support demand.
[Source: Realtor.com & Norada Real Estate Investments]
While prices are rising, the number of single-family home sales declined in Los Angeles in 2021. Overall, the number of sales fell by 10.6% when compared to 2020 figures.
The reason for the decline is likely attributed to several factors. Rising prices are part of the equation, as well as remote work. With the latter, some living in Los Angeles decided to head out of the region to find a lower-cost alternative. However, that’s balanced off by individuals who were unwilling to list during the recession, effectively keeping inventory levels incredibly low.
[Source: Norada Real Estate Investments]
While prices are rising for properties of all sizes in Los Angeles, the higher the number of bedrooms, the larger the overall difference. For a one-bedroom property, the increase between February 2021 and February 2022 came in at 9.3%. For three bedrooms, the prices rose by 16.3%. When you get in the 5+ bedroom category, prices skyrocket, increasing by 20.8% year over year.
[Source: Rocket Homes]
In mid-2021, a two-bedroom condo in Los Angeles sold for around $13 million. The property offered 2,681 square feet of space. When the cost is broken down based on the square footage, it calculates out to about $4,848 per square foot, a price that sets a new record in the area.
For the sake of comparison, the previous record was $3,858 per square foot. That’s a difference of $990.
[Source: Los Angeles Times]
Property owners that believe their tax assessments are incorrect have the ability to appeal. However, Los Angeles County has seen an uptick in appeal activity, much of which is spurred by tax agents submitting requests in bulk for numerous clients.
Since every appeal has to be reviewed, assessed, and responded to, Los Angeles County is required to dedicate a significant amount of manpower to the process. Those activities are costing around $2.2 million annually.
[Source: Los Angeles Times]
The top-producing real estate agents in Los Angeles often benefit from high prices in the area. Overall, each of the top five performers in the area crossed the $1 billion threshold when it came to real estate transaction total values during 2021.
The highest total was secured by a Beverly Hills-based agent, coming in with $1.6 billion in total sales. In second, a real estate team secured $1.5 billion in sales, while a husband and wife team tied with an individual agent for third, hitting $1.2 billion.
[Source: Los Angeles Business Journal]
During the early days of the pandemic, shelter-in-place orders lead to widespread workplace closures. Since most office environments didn’t qualify for exemptions, companies set employees home to work remotely, reducing the need for leased office space.
Overall, average annual office leasing was down by 38.5% in 2020 and 2021, compared to the prior 20-year averages, coming in with a total loss of approximately 6.6 million square feet. 2020 actually represented the first occupancy decline in 10 years.
[Source: Avision Young]
At the end of 2021, there was a total office vacancy rate of 15.9%. That’s a 4.7 percentage point increase over 2020 levels, which sat at 11.2%.
Additionally, it broke a record previously set in 2010. During the aftermath of the housing market crash, office vacancy rates hit 13.1% in 2010, a mark that 2021 rates significantly surpassed.
[Source: Avision Young]
While the brick-and-mortar portion of the retail sector was hard hit during the pandemic, the situation largely leveled off in 2021. Overall, vacancy rates sat near 5% at the end of 2021, leaving them level YoY.
[Source: The Registry]
While vacancy rates remained level, prices are starting to rise. Overall, the cost of retail space increased from $2.74 to $2.80 per square foot, leading to a YoY increase of 2.1%.
[Source: The Registry]
Ultimately, the Los Angeles real estate market took its fair share of hits during the pandemic. However, barring office rental spaces, the metro region is largely recovering. Overall, that’s good news for aspiring home sellers and landlords, as prices are trending upward in both areas.
Homebuyers and renters will likely have to pay far more to secure housing than was the case during the pandemic. As prices rise, growth may slow as more people decide to exit the markets. However, any slowing may simply allow inventory levels to reach a reasonable point, creating more stability instead of leading to price drops.
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]]>The post New York City Housing Market Trends & Statistics, 2022 appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Read on for some key figures concerning New York City’s rental market, home prices, and commercial real estate trends going into 2022.
New York City saw median rental prices fall dramatically during the early days of the pandemic as people left the high-cost, high-density city for less expensive suburbs that offered more room.
While the median asking rent was $2,895 in November 2019, it had tumbled to $2,500 by November 2020. As vacancy rates soared – moving from 2.4% April 2020 to 11.6% by April 2021 – landlords offered incentives to attract renters, such as rent-free months and waived fees.
However the situation steadily shifted over the course of 2021. Demand began outweighing supply once vaccine levels rose, prompting an end to the incentives many landlords offered in the early months of the pandemic. Year-over-year, prices rose by 12%, from $2,500 in December 2020 to $2,800 in December 2021. That marked the highest annual gain since the start of the pandemic.
[Source: The Guardian]
Generally speaking, December is a slower month when it comes to new leases. However, in 2021, Manhattan bucked the trend, ultimately setting a new record. The median net-effective rent reached $3,392, a 21% increase over the previous year.
Still, that number is just shy of the pre-pandemic record: the median Manhattan rent was $3,540 in April 2020, before the effects of the pandemic and ensuing lockdowns brought that number low.
[Source: The New York Times]
The New York City rental market has hit a remarkable pace in the early months of 2022. As more people have returned to the city, available housing stock has dropped considerably. Prices have risen to match, and many prospective tenants have even gotten into bidding wars to secure apartments: a one-bedroom apartment on the Upper West Side recently went for $3,625, 17% above the initial asking price.
[Source: Bloomberg]
The number of available residential rentals – such as apartments, townhomes, and houses – is tumbling across much of New York City. In January 2022, the number of residential rental listings in Brooklyn – an area that’s long been popular among renters looking for more space – has declined by 86.4 % YOY. In Northwest Queens, inventory dropped by 90.6 % YOY.
[Source: Bloomberg]
New York City prices are trending upward: as of February 2022, the median sale price across all types of homes in the city was $802,000, up 12.2% over the previous year. That figure is more than double the national average home price of $412,480.
But the New York real estate market is not uniform across the board. Some boroughs are up more than others, and Brooklyn sale prices are even down relative to 2021:
| Borough | Median Sale Price | Trending |
| Manhattan | $1,261,250 | +17.9% |
| Brooklyn | $910,000 | -1.6% |
| Queens | $700,000 | +6.8% |
| The Bronx | $620,000 | +19.2% |
| Staten Island | $650,000 | +16.1% |
[Source: Redfin]
During the early days of the pandemic, the New York City real estate market was hit hard. Prices dropped, and sales numbers fell. In July 2020, the number of condo sales in Manhattan was down 56% from the year prior, while co-ops were down 57%.
By 2021, the landscape had shifted dramatically. Overall, sales activity came back quickly, with condo and co-op sales reaching a 32-year high, effectively doubling the number seen in 2020.
While the pandemic had a significant impact on the New York City housing market, it only stymied price growth temporarily. Overall, all five New York City boroughs say substantial growth between Q4 2019 and Q4 2021.
Queens say the largest overall change, coming in at 17.7%. The median sales price shifted from $610,000 in late 2019 to $668,000 in late 2021.
[Source: The New York Times]
Inventory in New York City has long been challenging, playing a significant role in price increases over time. In December 2021, inventory levels fell to 2.3 months, a 30.4% decline from the 3.4-month supply in December 2020.
As inventory levels dropped, prices have risen to match. This comes down to simple supply and demand, as low inventory means buyers may need to have stronger offers to land a home.
[Source: Norada Real Estate Investments]
With many companies still uncertain about the future of working in-office, 16.3% of Manhattan offices remain vacant – the highest vacancy rate on record. However, there are signs of a rebound. New leases in Q4 2021 amounted to 20.4 million square feet of office space. That’s up 63% over 2020, but still 19% below the five-year average.
[Source: Million Acres & World Property Journal]
While the pandemic impacted various businesses in a variety of ways, commercial real estate in New York City has largely weathered the storm. Overall, commercial properties retained 92.3% of their value compared to January 2020 figures. As recovery efforts continue forward, more progress is undoubtedly possible, potentially leading to a full recovery and then some.
[Source: New York Post]
Ultimately, the housing market in New York City was hit hard by the pandemic, leading to dramatic price declines and rising inventory. For renters, there were even landlord incentives to make signing a lease more attractive.
However, when vaccine rates began rising, people returned to the area in force. Additionally, they began seeking larger homes and rentals, ensuring there was enough space to work from home. While the New York City housing market hasn’t returned to past highs, it may be well on its way. Ultimately, only time will tell.
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]]>The post The 3 Types of Expenses: Fixed, Periodic, and Variable appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Let’s talk about each of these types of expenses in turn.
Fixed expenses don’t change from one month to the next. Along with having a set due date, the amount you have to pay remains stable for a specific period. Mortgage and rent payments are classic examples. These remain stable over the course of one or more years, only varying after leases end or escrow accounts are re-evaluated.
Fixed expenses can also include vehicle payments and any monthly bills that remain stable in price from one month to the next.
Periodic expenses are predictable costs that occur semi-regularly. They can vary a bit in terms of cost, and aren’t due on the same day every month like fixed expenses are.
Annual, biannual, or quarterly expenses that you need to handle on a specific day every year can qualify, regardless of whether what’s owed stays the same or not. Similarly, costs that happen predictably but are tied to a triggering event – like reaching a certain mileage level in your car – instead of a timeframe also qualify.
Some classic examples of periodic expenses are vehicle and home maintenance. Property taxes, holiday gifts, school supplies, pet vaccinations, and similar expenses also fall in this category.
Like their name suggests, variable expenses are less regular than fixed or periodic expenses. Often, this category includes all costs that are use-based, such as groceries or fuel – the more you use, the more you have to pay.
Utilities can also be variable expenses, as those are typically based on monthly usage or consumption. However, if you use bill averaging through your utility provider, that can actually turn this cost into a fixed expense.
Since each type of expense is a bit unique, you’ll need to use a different approach to plan for the corresponding costs. That ensures you have enough set aside to handle what you’ll owe, making it easier to allocate your income and avoid financial hardships.
Here is an overview of how to budget for the three types of expenses.
Budgeting for fixed expenses is typically the easiest part of planning your finances. The due dates are mainly consistent, normally varying by little more than one or two days from month to month. Plus, the cost remains the same for a year or more.
In most cases, you’ll just need to list the bills by their due dates, ensuring you also record how much you’ll owe. Then, match them up to your preferred payment cycle.
For example, if you pay some bills out of each paycheck, you may separate the cost out between multiple paychecks to make them easier to manage. Otherwise, you may simply make sure that you have enough cash at the start of the month to handle them all, essentially performing a clean sweep.
Budgeting for periodic expenses is often one of the hardest parts of creating a reliable financial plan for your household. Some of the costs don’t happen often enough to stay at the forefront of your mind, making it easy to overlook them until their due. Plus, others don’t follow set timing, and many come with shifting costs.
Usually, you’ll need to perform some calculations if you’re going to budget for periodic expenses. First, you’ll need to account for all of the periodic expenses you’ll encounter. Usually, you can do this by reviewing your spending from the past year, though a bit of self-reflection may also be enough if you don’t have many.
After that, you have to estimate the annual cost of those expenses. You can look at bank and credit card statements or contact local providers for quotes. Then, you need to determine how much you spend on each one per year, often by multiplying the cost of a single occurrence by the number of times you encounter that cost annually.
In many cases, it’s wise to add 5 to 10% to those estimates. That way, supply shortages, inflation, and other situations that can cause the cost to rise won’t derail your budget.
Once you have those figures, divide them by 12 to see how much you need to set aside monthly. Then, add the items to your budget either individually or by grouping like expenses to reduce the number of line items in your budget.
Finally, decide where to store the money. You could create separate savings accounts for each cost or category if you prefer. If you like the envelope system, you could take the money out in cash to set it aside. Just make sure you have a fireproof safe to hold the envelopes.
In most cases, you’ll want to review these expenses and update your budget annually. That way, you can adjust for price changes, ensuring your budget stays on target.
While budgeting for variable expenses isn’t as tricky as fitting periodic expenses into your budget, their inconsistent nature can make it a bit challenging. Usually, you’ll want to use one of two approaches to ensure you account for them in a reasonable way.
First, you can average out how much you usually spend on variable expenses each month. Often, this approach works best if the shift in the price is pretty modest. That way, a higher-than-average bill doesn’t derail your budget.
Second, you can budget for the highest possible cost for the expense. For bills that vary substantially – like electric bills in locations with a significant amount of variation during the year – this could be a safer choice. It ensures you can always pay the higher price, making it less likely that you’ll come up short than if you budgeted for an average.
Since some variable expenses can fall into each of those categories, using a combination of averaging and high-cost budgeting may be necessary. Otherwise, for bills with substantial fluctuations, you may want to treat them more like periodic expenses, setting extra money aside during low-cost months to ensure you have enough to tackle high-cost months.
Once you have the right amount, you simply add them to your budget like any other expense. You can assign them to specific paydays if that works better for your finances. Otherwise, make sure you have enough cash at the beginning of the month to cover everything.
In many ways, budgeting is an exercise in organization. Whether you use budgeting software or spreadsheets, color-coding your budget can make it easier to follow.
Consider using a different hue for each of the three types of expenses. That way, when you re-evaluate your budget every year or when something about your financial situation changes, you can tell at a glance which costs are part of which group.
You could even go a step further, using colors to denote which costs are automatically paid and which you have to handle manually. For example, you could assign the color blue to fixed expenses, using light blue for automatic payments and dark blue for those you have to handle personally. Again, this lets you know what you need to do at a glance, reducing your odds of missing a payment.
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]]>The post How Much Does It Cost to Break a Lease? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>There are many factors that can affect the cost to break a lease: why you are leaving, whether there’s an early termination clause in your lease, what local laws may apply, how much time is left on the lease. Often, the cost is explicitly detailed in the rental agreement, typically in an early termination clause or something similar. That section will also cover any steps you need to take to break the lease.
Laws about breaking leases can vary dramatically. In some states, landlords may be limited to charging a specific amount, typically based on how much you pay in rent. If that is the case, you may see a flat-fee you’d have to pay for exiting early. However, you could also see a table or a formula, as what you owe may vary depending on how long is left on your lease.
Let’s go over a three common scenarios regarding the cost to break a lease.
Many leases include a flat fee to break the lease. In these cases, the cost is typically the equivalent of two or three months’ rent. For example, if your rent is $1,000 per month and the early termination penalty is two months’ rent, you’d need to hand over $2,000 to cover that fee. If the fee is three months’ rent, then you’d owe $3,000.
There may be additional costs as well. For instance, if you owe back due or current rent, or have to pay fees to cover any damage beyond wear and tear, you’d owe more than the $2,000 to $3,000 listed above.
You may have to continue paying the full rent until a new tenant is found. If your rent is $1,000, for instance, you’d continue paying $1,000 per month until a new tenant moves in or your lease expires on its own.
Is it the landlord’s responsibility or yours to find a new tenant in this scenario? While some states have laws that require the landlord to look for a new tenant, it’s never a bad idea to look for a new tenant on your own. As long as you’re still paying the rent, the landlord does not have a strong incentive to aggressively search for a new tenant.
To save money, you can even look for a tenant before moving out. If you find a tenant ready to move in as soon as you’re out the door, you might not even have to pay extra at all – more on that shortly.
At other times, the exiting tenant may have to pay for the full remainder of the agreement period up front. In that scenario, you may end up receiving a credit back once a new tenant is found or until the original lease period ends.
For example, if your rent is $1,000 per month, and there are four months left on your lease, you’d owe $4,000. Then, if a new tenant came in after two months, you’d get two months’ rent ($2,000) credited back.
This can be a lot to pay at once, but if you can afford it and are coming up on the end of your lease anyway, it can make sense. Again, it never hurts to find a new tenant ready to go.
Even if your landlord has every legal right to levee a penalty for breaking a lease, that doesn’t mean you might not be able to avoid it. Generally, you’ll have to work out an alternative arrangement with your landlord.
The most common way to exit a lease without paying is to find a new tenant that can move in immediately after you move out. Usually, early termination fees exist to offset losses associated with a unit being unexpectedly empty. If the unit never ends up vacant, the landlord may consider the fee no longer necessary. Keep in mind that the landlord still has to approve the new tenant.
Similarly, subletting the unit to another person may work. However, you should only go this route if subletting is permitted. Most leases bar subletting, so this may not be on the table for you.
Finally, you can always try negotiating. If you have a good relationship with your landlord and the reason for moving out unexpectedly makes them empathetic, they may choose to reduce or eliminate any early termination fees.
If you make a new arrangement, make sure you get it in writing. Even if verbal agreements may be viewed as legally enforceable in your state, it can be hard to prove what was agreed to if it becomes your word against theirs. As a result, it’s always wise to formalize the arrangement.
There are situations where you have the right or ability to break a lease without having to pay a dime, no negotiating required. How they work may vary a bit from one state to the next, while others are essentially universal.
For example, any military member with change of station orders is allowed to break a lease at any time, regardless of the state they live in or how long they’ve resided in the rental. Per the Servicemembers Civil Relief Act (SCRA), landlords are not allowed to penalize active duty military members who are being officially relocated at any time. It doesn’t matter if the military member has been there for months, weeks, or even a single day; they can walk away clean.
Additionally, most states allow tenants to leave without financial penalty if the landlord fails to properly maintain the property. Certain maintenance issues can qualify as habitability standards violations if they have a clear and direct impact on safety or health. In that situation, the tenant may either need to contact a health or housing agency, or the landlord directly, depending on state law.
Certain illegal landlord actions, such as entering the unit without sufficient advanced notice, can also give you the grounds to legally break the lease without paying a financial penalty. Harassment, changing the locks, and not performing maintenance can also be grounds for you to break the lease. However, going this route may require getting a court order, – it’s not exactly the easiest way to get out of your lease agreement.
Victims of domestic violence may be eligible to break a lease without penalty. The exact laws about the timing for leaving can vary. Further, proof of domestic violence, such as a police report, is often required.
If you’re living in an illegal unit, you may be able to get out of the lease without having to pay. State laws in this situation vary dramatically, and sometimes may even require landlords to refund some of the rent the tenant paid during the lease.
In some states, tenants can break a lease in case of a serious health crisis. However, that isn’t the norm. If that is your reason for leaving, then check local law to see if your early termination clauses no longer apply to you.
Even if none of the above scenarios apply to you, you can always negotiate with your landlord. Especially if you find a suitable tenant to replace you, your landlord may be willing to let you out of the lease at no additional cost. It never hurts to ask.
Outside of the scenarios above, nearly every other reason for moving could incur a financial penalty. Relocating for a job, losing a job, getting married, or purchasing a home aren’t legally considered justifications for breaking a lease.
Similarly, no longer liking the unit or neighborhood isn’t enough. Regardless of how the surrounding area or your feelings about the unit may have changed, that won’t get you out of any early termination clauses. The only exception would be if the reason you stopped enjoying the unit qualifies as a violation of habitability standards.
Even if you signed a lease with an early termination clause, if what is contained in that clause doesn’t align with local law, you can’t be held to it. The clause would essentially be considered illegal, so you aren’t obligated to comply.
Now, that doesn’t mean the entire agreement is void. Instead, only the illegal clause unenforceable. Everything else within the document that is legal remains in effect.
However, if your landlord included an illegal early termination clause, it may be wise to review the rest of your lease carefully. Check it against local law to see if other segments may be similarly illegal. Again, it’s important to keep in mind that laws vary from one state to the next, and some cities or counties may have additional rules regarding landlord-tenant relationships and agreements. Research your state and city specifically to ensure the standards you are seeing applying to your situation.
There are usually rules governing what the landlord must do to get a new tenant, also known as re-renting the property. For example, your state may require that the unit be available for rent and in livable condition. In those cases, if your landlord decided to remodel the unit after you left, you at least wouldn’t be responsible for rent while it’s an active construction zone.
However, their re-renting efforts only have to be reasonable, not exceptional. As long as they go forward in a manner similar to how they always handle finding tenants, they are typically doing enough legally. For example, they may need to use the same criteria when vetting possible renters or advertise sufficiently, depending on state law.
It is important to note that some states don’t have any re-renting requirements. In those instances, the landlord doesn’t have to take any action and can essentially charge the previous tenant for the entire period. For example, Fla. Stat. Ann. § 83.595 states that Florida landlords can “stand by and do nothing, holding the lessee liable for the rent as it comes due.”
Ultimately, it’s important to look at both your lease and local law regarding early terminations. That way, you can determine exactly how much breaking your lease could cost you.
The post How Much Does It Cost to Break a Lease? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post Periodic Expenses – And How to Budget for Them appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Here are some examples of common periodic expenses:
All of the costs above are somewhat predictable in nature, but they aren’t expenses you deal with every month. That’s what makes them periodic expenses.
Planning for periodic expenses is far simpler than many people would expect. By using the proper approach, you can incorporate them into your monthly budget, allowing you to remain on top of the costs without having to resort to debt.
Here is a step-by-step approach for budgeting for periodic expenses:
First, you need to determine which periodic expenses apply to you. Consider costs that you deal with during the year that are guaranteed to come up again, either at a specific time or due to a particular triggering event.
If you’re concerned that you’re overlooking a cost, then review your spending over the past year. Look at old bank and credit card statements, examining every line item to determine which ones are associated with periodic expenses.
As you do, create a formal list. This can be as simple as jotting them down on a notepad. However, you could also use a spreadsheet or budgeting software, if you prefer.
Once you’ve identified all of your periodic expenses, you’ll need to estimate the annual cost of each one. Usually, there are two ways to approach this step.
First, you can review your bank and credit card statements to see how much you’ve spent during the past few years. While many periodic costs do fluctuate over time, this strategy can give you a solid ballpark figure to work with initially.
Second, you can find out what the periodic expenses cost today. You could head online to look for pricing information or contact area stores or service providers to see what they’re charging.
Just make sure you check with a few providers in your area along the way, as pricing can vary. Additionally, confirm whether any of the quoted prices include a discount of any time – such as a coupon or sale – ensuring you don’t underestimate the normal amount by mistake.
Once you know what it costs to handle the periodic expense once, you need to estimate how many times per year you need to cover it. Some periodic expenses happen at precise time intervals, such as one a year or every three months. Others are tied to events. For example, you may need to change the oil in your car based on reaching a certain amount of mileage.
After you find out how often you need to handle the expense each year, multiply the price of taking care of it once by the number of annual occurrences. That way, you have the yearly cost estimate.
After getting the average cost of your periodic expenses, you’ll want to add an extra 5 to 10% to that figure. Mainly, this is to ensure you have enough money available should the cost of the good or service you need increase suddenly. Supply shortages and inflation can all alter pricing with surprising speed, so adding the extra amount gives you a workable cushion.
How much you need to add may depend on the products or services involved. In some cases, you can research the average price shift during a year and use that as a guide. However, if that isn’t an option, use your best judgment or err on the side of caution and choose the higher amount.
After you add the extra 5 to 10% to the annual estimate, you’ll divide that figure by 12. That lets you know how much you need to set aside every month to handle that specific expense.
For example, if you spend around $150 per year on oil changes, you divide $150 by 12. That works out to $12.50 per month.
Once you know how much you need to set aside for each periodic expense, you’ll need to add those items to your budget. If you don’t have a lot of periodic expenses, you may want to keep them as separate line items. That helps you track why you’re setting the cash aside with greater ease.
However, if you have numerous periodic expenses, you may want to combine some of the costs into categories together. For example, you may create a vehicle maintenance category and add together how much you need to set aside for oil changes, tire replacements, and all other related expenses.
If you go with the latter approach, you may want to keep your original list as a reminder. That way, you can review it if you can’t recall which expenses you included in that group.
Where you position these items into your budget may depend on how you usually manage your expenses. For instance, if you handle all of your required payments all at once, where you set them may not matter. However, if you tackle specific expenses with particular paychecks, you may need to work them into your budget in a balanced way. Use whatever approach makes sense for your situation.
Now that the items are in your budget, you need to decide where you’ll keep that money. There are several strategies that can work. Some people may prefer to use high-yield savings accounts. Many institutions allow you to open multiple accounts, so you can designate specific ones for different purposes. Plus, it gives you a chance to earn interest.
However, the envelope system can also work. You can take cash out of your account in accordance with your budget and set the individual amounts aside in envelopes labeled for different periodic expenses. If you use this option, just make sure you keep the envelopes in a secure spot, like inside a small fireproof safe.
Just don’t let your periodic expense money mingle with your emergency fund. This can make it hard to track how much you have set aside for planned costs and what’s designated for genuinely unexpected events. As a result, you may end up under-saving for one or both simply because your account balance gave you the wrong impression.
As you go through the year, track how much you spend on each periodic expense. By logging the last price you paid, and when you handled it, you can get more information that lets you refine your budget.
You’ll spot price increases as they occur, allowing you to recalculate how much you need to set aside. Then, you won’t get stuck without enough funds to cover the cost down the line.
If you spend less than expected, you can either recalculate or designate the excess money for another purpose, like funding a retirement account or boosting an emergency fund. Just make sure that you don’t factor in any sales or other discounts – like coupons – if you recalculate. You can’t guarantee those will always be available, so it’s better to only use the full price when calculating how much you should set aside.
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]]>The post 15 Questions to Ask the Landlord Before You Rent appeared first on Flex | Pay Rent On Your Own Schedule.
]]>With that in mind, we’ve put together these fifteen questions that are well worth asking your landlord.
Rent isn’t the only expense that comes with renting an apartment. You also may have to take care of utilities, pet fees, renters’ insurance, and other costs.
Utilities vary by the unit. With single-family homes, renters commonly have to pay all of the utilities personally. With apartments, it’s typical for at least some to get wrapped into the rental price, particularly water, sewer, and garbage.
However, landlords may include all utilities with a rental. Some may even cover extras, like cable or internet. Some landlords may also require you to have renter’s insurance. You’ll want to ask, so you can be clear on your monthly living expenses.
Paying some fees and putting down deposits are standard parts of renting properties, but exactly what you’ll need to cover isn’t always consistent from one landlord to the next. Since what’s required varies, asking about deposits and fees directly is a good idea.
Similarly, whether a fee or deposit is refundable may differ for a variety of reasons. State laws regarding deposits and fees might dictate what is refundable or under what conditions a landlord can keep the money. Landlords may also put clauses in the lease that outline when specific costs are refundable or not.
A leasing term is a specific number of months outlining how long you’ll remain in the unit under the conditions and clauses stated in the lease. While 12 months is a common duration, some landlords may offer term lengths for anywhere between six months and two years for residential properties.
Additionally, what happens when a lease ends can vary. Some landlords require tenants to sign new leases when the current one ends. Others transition renters to a month-to-month arrangement after the original lease term wraps up.
Make sure you ask your landlord about the lease term and what happens when the original lease ends. That way, you’ll know how long you’re committing to the rental and can plan for what happens after the initial agreement wraps up.
While most landlords make rent due on the first, that isn’t always the case. You’ll want to ask about the due date in advance, allowing you to ensure you can pay on time. You may also want to ask about grace periods or, if you’re worried that won’t make a great impression, check local grace period laws in your state, giving you more information about the payment timeline.
After that, dig into your options for paying your rent. Ideally, you want access to a trackable option, allowing you to keep a record of all rent payments during your tenancy. Writing a rent check is a classic approach, as well as using your bank’s bill payment option to send a check. However, some landlords might have other options available, such as online portals that let you pay with a bank transfer or debit card.
Knowing when you need to pay and how you can submit a payment lets you plan more effectively, ensuring you can cover the cost and send over what you owe at the right time. Additionally, it lets you spot potential red flags – like demanding rent payments in cash without a guarantee of a receipt – that you might view as dealbreakers.
Many landlords work to find a new tenant before the current tenant vacates the apartment or home. As a result, there might be a delay before you can move into the unit. If that’s the case, you’ll want to know when the target move-in date is, allowing you to ensure that you can access the rental at the right time.
Similarly, you may be looking for a new rental as your current lease elsewhere comes to an end. In that case, you may want to find a different place where you can move in close to when your other rental term ends. By asking about the target date, you can ensure that the timing works.
While everyone hopes that their rental won’t require any work during their stay, issues can arise. You don’t want to get stuck scrambling when something breaks because you don’t know what to do. By asking this question, you can get an overview of the repair and maintenance request process.
In a similar vein to the question above, asking if the tenant is responsible for any repairs or maintenance is a smart move. It lets you know whether you’re expected to handle specific problems on your own.
If you want, you can ask about specific kinds of maintenance or repairs, such as replacing lightbulbs, dealing with filter replacements, tackling pest control issues, and more. That way, you get additional clarity.
Generally speaking, landlords are required to provide you with advanced notice before entering your rental. Typically, 24 hours is the least amount of time they can provide, though some areas may require more.
Additionally, certain emergency situations – like gas leaks – can alter the requirement. In those cases, the change to the rules may allow the landlord to enter an apartment or home without prior notice specifically to address the qualifying hazard or threat.
It’s also important to understand that there are typically strict laws that outline when a landlord can and can’t enter your apartment or home. However, they can vary by state, so it’s wise to check the regulations in your area.
Pet policies differ significantly from one landlord to the next. Some may ban pets outright, while others limit pets to specific types or sizes. Others may have breed-specific restrictions, while some are incredibly flexible about what’s allowed.
There can also be pet deposit requirements. With some landlords, there’s even a monthly fee (tacked onto the rent) for pets. Since the rules and costs can vary, it’s wise to ask about them specifically.
However, it’s important to note that pet policies don’t inherently apply to service or emotional support animals. With those, landlords can’t deny the tenant the option of having the animal in the unit in the vast majority of cases. But there can be some requirements relating to the service or emotional support animal. For example, you might need to provide documentation showing a medical need, as well as submit a reasonable accommodation letter.
Some landlords do have rules regarding overnight guests. Typically, they are designed to prevent extended stays by non-tenants, often as a means of ensuring no one that isn’t on the lease effectively starts living in the rental. However, some landlords do have other motivations, so the associated rules can vary.
Guest policies are usually outlined in the lease agreements. However, you may also want to ask your landlord in advance, particularly if you want the option to allow visiting family members or friends to stay with you on occasion.
What comes with a rental isn’t always consistent. For example, some rentals come with access to a community fitness center, swimming pool, grilling area, or entertaining spaces, while others don’t. Tenants might get have separate storage areas outside the unit, but that isn’t always the case.
Additionally, a parking spot might or might not be guaranteed. The latter is more common in downtown-style buildings in major cities, though it can technically occur anywhere.
Since the amenities and access rights aren’t consistent between all rental properties, finding out what’s included with the rental in advance is a wise move. That way, you’ll know exactly what you’re getting for the money or if there are any dealbreakers that make the rental a poor fit.
In a similar vein to the question above, it’s important to understand that you may only get certain appliances with a rental. For instance, while ensuring tenants have a stove and fridge is common, providing a washer and dryer isn’t as widespread. Some rentals with in-unit washer and dryer capabilities only come with hookups, leaving tenants to get the appliances. That’s why asking about appliances is also smart.
If your landlord handles the garbage service for the rental, ask about the pickup days. That way, you’ll know when the cans are emptied. Additionally, it lets you find out when you need to get items you need to dispose of out by if you want to make the next pickup.
While it might not seem like a major issue on the surface, making sure that the door locks are being replaced or rekeyed for the new tenant is crucial. Otherwise, a previous tenant with a key could enter the rental after you move in, allowing them to freely access your property.
Even if the landlord says that they collect the keys from past tenants, insist on a rekey or replacement. Even if a key is marked “Do Not Copy,” that doesn’t mean it hasn’t been copied. It’s better to assert the need for a new lock or rekey than risk it.
Also, make sure to discuss the keys for any locks associated with the unit. For example, if the rental comes with an exterior storage area with a lock provided in the door, make sure it’s replaced or rekeyed, too.
The amount of notice that you’ll need to provide to a landlord before vacating a rental can vary. While requiring a 30-day written notice is common, some landlords may only ask for 20 days, while others may require three months. Since there can be dramatic differences, it’s best to ask about it before you sign a lease.
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]]>The post How to Write A Letter or Email to Your Landlord – With 8 Samples appeared first on Flex | Pay Rent On Your Own Schedule.
]]>In this article, we’ll walk you through some tips for writing your landlord and offer a series of sample templates you can use as guidelines for your own correspondence.
Any time you write a letter or email to your landlord, keep your language clear and concise to eliminate any potential for confusion. Include relevant details such as the date of writing, the dates of any instances referenced within the letter, and your contact information and unit number.
Depending on your reason for writing a letter, you may wish to cite the details of your lease or the tenant laws in your state. If your landlord is flaky, reminding him that you know your rights may be enough to spur him into taking action.
Both posted letters and emails can be effective ways to communicate with your landlord, and in many ways they’re interchangeable. Email is faster, and allows you to keep a clear record of your communications. And it’s easy to keep multiple parties in the loop on one email conversation.
Mailing a letter can be a great way to reinforce your request or message, especially if your landlord has been unresponsive. Make sure to include your return address so your landlord has no excuse not to write you back.
Whichever communication method you choose, the sample letters below are designed to serve just as well as for email or a mailed letter.
Did you know? Rent doesn’t have to be paid in full on the first. With Flex, you can split your rent in two instead of paying your rent all at once. Click here to check it out.
The following templates cover various common scenarios in which a letter to your landlord may be helpful or even required. Don’t be afraid to adjust your letter’s tone to best suit your relationship with your landlord.
A well-crafted letter explaining why your rent is late and offering solutions can be a powerful tool for staying on your landlord’s good side and lessening the penalties that typically accompany late payment. Use the following sample to craft a letter to your landlord regarding late rent payment.
For additional tips on managing this situation, check out our article on how to tell your landlord the rent will be late.
[Date]
Dear [Landlord’s Name],
I’m writing to inform you that my rent payment will be late this month.
I was recently laid off from my job and won’t be able to make the payment on time. I have applied for unemployment benefits, but it may take up to 2 weeks before I receive my first payment.
I can pay $500 on the due date, and I will pay the remainder of the rent as soon as I receive my first unemployment check. I’ve also picked up some freelancing gigs and am actively interviewing for new jobs to avoid this problem next month.
Please let me know if this payment plan will work for you.
I understand that my late payment may have negative repercussions on your financial situation, and I’m very sorry for the inconvenience. I’m working diligently to ensure this never happens again.
Best Regards,
[Your Name]
When you decide to move out of your apartment, you must give notice to your landlord. Check your lease agreement to see how many days of advance notice you are obligated to provide. If you have a good relationship with your landlord, you may wish to give early notice so he has plenty of time to find new renters.
In the letter, you should state the date you plan to vacate and remind the landlord that you wish to have your security deposit returned. You can offer to do a walk-through to assess the condition of the unit. Don’t forget to share your forwarding address so your landlord can get in touch with you in the future, if necessary.
You can use the template below to craft your letter.
[Date]
Dear [Landlord’s Name]
I am writing to inform you that I will be vacating my rental at [rental address] on [date you will move out].
I’m confident that you’ll find the unit in excellent condition. As such, please send my refundable security deposit in the amount of $________ to the following address:
[Your forwarding address]
If you wish to discuss this or schedule a walk-through of the unit, you can reach me at XXX-XXX-XXXX.
Best Regards,
[Your Name]
In some states, your landlord isn’t required to return your security deposit unless you request it. Each state has different rules stipulating how long your landlord has to return your deposit.
The following was written in the context of California law. Make sure to adjust the following template to conform to the laws in your state.
[Date]
Dear [Landlord’s Name]
I wish to request that you return my security deposit in the amount of $________, which I paid for the rental at [rental address].
I expect to receive my deposit within 21 days, as stipulated by California state law. I vacated my rental on MM/DD/YYYY and thus expect to have my deposit returned no later than MM/DD/YYYY.
Please send payment to the following address:
[Your forwarding address]
If you have any questions or concerns, you can reach me at XXX-XXX-XXXX.
Best Regards,
[Your Name]
As long as you leave your rental unit in the same condition in which you found it (minus normal wear and tear), you are entitled to have your full security deposit returned. If your landlord determines that you’ve caused property damage that warrants repair, they may deduct from your deposit to cover those expenses. Unfortunately, some landlords may try to pull one over on you by making deductions that are excessive or unfair.
If you disagree with your landlord’s deductions from your security deposit you can dispute them. Do so in writing so there’s a clear paper trail.
Use the following template to craft your letter.
[Date]
Dear [Landlord’s Name]
I am writing to formally contest the deductions you made from my security deposit for the rental at [rental address].
Your deduction of $ _____ based on the claim that I left my rental “excessively dirty” is unjustifiable. I hired a professional cleaning service to clean the unit before I vacated and oversaw the work myself. I am confident the unit was left in impeccable condition. You will find the receipt for the cleaning attached to this letter.
Please send the remainder of my deposit, totaling $_______ to the following address within 7 days.
[Your forwarding address]
If I do not receive the payment by MM/DD/YYYY I will pursue legal action.
If you have any questions or concerns, you can reach me at XXX-XXX-XXXX.
Best Regards,
[Your Name]
When it comes to repairs on your rental, it’s wise to create a paper trail of your requests in case there are ever issues regarding maintenance in the future.
In your letter, state the date the issue began, describe the problem in detail, and outline a timeline for arranging repairs.
If you have already requested maintenance and the issue is ongoing or has yet to be repaired, writing a letter is a great way to follow up and remind your landlord that you are still expecting a resolution. Don’t be afraid to pressure your landlord by referencing state laws or the terms of your lease regarding maintenance.
The following is a template you can use for a standard maintenance request.
[Date]
Dear [Landlord’s Name]
I am writing to inform you that the bathroom sink in my rental unit located at [rental address] has been leaking into the vanity cabinet since [date the issue started]. I have been unable to fix the problem on my own and request that it be evaluated by a professional.
I appreciate your arranging to have this repaired as soon as possible. I can make myself available to let a technician into the rental any day this week after 2 PM. Please let me know when the technician will be arriving.
If you wish to discuss this issue further, you can reach me at XXX-XXX-XXXX.
Best Regards,
[Your Name]
In some instances, you may contact your landlord over the phone to request repairs rather than writing a letter, especially if the issue is urgent. In this case, it’s wise to write a follow-up letter confirming what you discussed to ensure that there is a record of the problem.
Use the following template to craft your own follow-up letter.
[Date]
Dear [Landlord’s Name],
I am writing to follow-up on the repairs we discussed over the phone on [MM/DD/YYY]
As you know, on [MM/DD/YYY], the faucet in the kitchen sink of my unit, #_______, began leaking.
I contacted a plumber and had the faucet replaced. The cost of the repair came to $123.75.
As we agreed, I would appreciate it if you could send a check reimbursing me for that amount within 10 days.
Thanks for your assistance with this issue.
Best Regards,
[Your Name]
When your landlord fails to keep your rental in inhabitable condition, they are violating the terms of your lease. If you find yourself in this situation, you can break your lease agreement and move out early without penalty.
In your letter, detail the issues that render the unit unfit. Collect as much evidence as you can to support your claims in case your landlord disputes the issue. If you can provide photos and documentation as well as a record of communication with your landlord regarding the problems, it will all be helpful if the issue is ever escalated.
Here’s a sample letter you can send to your landlord in this situation. Adjust the tone of the letter to suit your relationship with your landlord.
[Date]
Dear [Landlord’s Name],
I am writing to inform you that I will be vacating my rental at [rental address] on [move out date].
As you are aware, my lease doesn’t expire until [MM/DD/YYYY] but I will be moving out early due to ongoing maintenance issues that render the unit uninhabitable.
I have reported the presence of black mold in the bathroom multiple times, first on [MM/DD/YYYY] and again on [MM/DD/YYYY] and the issue has yet to be addressed.
As you know, pursuant to California Civil Code Section 1942, I am entitled to break my lease and vacate the rental free of penalty because the mold is a health concern.
As such, I expect that you will forward my damage deposit in the amount of $_____ to the following address by [MM/DD/YYYY].
[Your forwarding address]
If you wish to discuss this you can reach me by phone at XXX-XXX-XXXX.
Best Regards,
[Your name]
If noisy neighbors are causing you to lose sleep at night, it may be worthwhile to have your landlord intervene.
Ideally, a civil conversation will be all it takes to come to a resolution, but in extreme cases, having noise complaint letters on file might assist your landlord in building a case for eviction.
Before you draft the letter, review your lease agreement to see what it says about noise issues. It may be helpful to quote the language on your lease in your letter to your landlord.
Below is a noise complaint template letter to help you get started.
[Date]
Dear [Landlord’s Name]
I am writing to make a formal complaint about noise from the tenants in unit #_______.
My lease states that building quiet hours are between 10 PM and 6 AM. However, these neighbors are consistently playing loud music well past midnight. The noise is impeding my ability to sleep and thus my ability to do my job.
I have spoken with these individuals three times this month on [MM/DD/YYYY], [MM/DD/YYYY], and [MM/DD/YYYY], but the issue is still ongoing. I would really appreciate it if you could speak with them regarding the noise. If we cannot resolve this situation I will be forced to begin looking for a new apartment.
Thank you in advance for attending to this matter.
Best Regards,
[Your Name]
There are countless scenarios in which a letter to your landlord can come in handy. Whether you’re making a complaint, seeking assistance, or following-up on a telephone conversation, a clearly written letter can help you resolve issues and advocate for yourself as a tenant.
Remember, letters create a paper trail for both you, your landlord, and others to refer back to time and again. In the off-chance that you ever end up in a formal dispute, you’ll be glad to have this record of correspondence to reference.
The post How to Write A Letter or Email to Your Landlord – With 8 Samples appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post Minimum Credit Score to Rent an Apartment: What You Need appeared first on Flex | Pay Rent On Your Own Schedule.
]]>In competitive a competitive rental market, such as New York City, you’ll likely need a higher credit score than in a less expensive market, such as Indianapolis. Likewise, the landlord of a high-priced luxury rental will likely look for a higher score than one representing a lower-rent unit.
Most landlords use FICO credit scores to determine if an applicant qualifies for an apartment. The typical categories for those scores are:
Generally, a higher credit score indicates a higher probability that you’re financially solvent and will be able to pay the rent on time. But that doesn’t mean renters with lower credit scores need not apply. Landlords also assess your overall credit history, references, employment status, and lifestyle in their decision-making process.
In most cases, landlords are going to look at both your report and credit score. In many ways, your credit score is a summary. It lets landlords see at a glance your overall creditworthiness and may be used to determine if the rest of your application is worth reviewing.
However, if your credit score doesn’t automatically disqualify you from renting the apartment, they will likely review the rest of the credit report. Generally, landlords will look for potential red flags, such as:
Whether any of those details make you ineligible for an apartment may vary from one landlord to the next. Additionally, there may be state laws preventing landlords from considering certain information that appears on your credit report, though this can differ depending on your location.
Before you try to rent an apartment, take a look at your credit report and score (it’s free). Look out for any potential issues, such as late payments or charged-off accounts that could be red flags for landlords.
Having a clear picture of your credit standing will help you be strategic about your apartment rental applications. If your score is on the weaker end, or you have derogatory marks on your credit report, you should be prepared to provide financial documents to demonstrate your solvency.
While a minimum of 620 or 650 may make it seem like individuals with credit scores on the lower end of fair or in the poor range can’t get an apartment, that isn’t the case. Not all landlords have a minimum credit score to rent an apartment from them, and many are willing to look at the big picture before making a decision. Others may have specific options available – like the option to add a cosigner – to help you qualify.
When you’re trying to rent an apartment with bad credit, diligence matters. And setting your sights on the right properties may increase your odds of getting approved.
While you might not be able to secure your dream place, you can likely find an apartment that will do for now. Then, you can boost your credit score by making smart financial choices, allowing you to work your way up to your ideal apartment.
There are also several ways you can make your rental application more appealing to make up for a low credit score. Here are a few approaches you can take:
Not only does this show the landlord that you’re serious about the rental, but it indicates you have the funds on hand and the financial planning capabilities to save money. This may not work with every landlord, but it’s worth a try.
If your credit score isn’t quite high enough to secure a rental in your market, bringing a cosigner onto the lease might be enough to push your application over the finish line, especially in a competitive market. This is a big ask since your cosigner will be on the hook for the rent if you fail to pay, so make sure you can keep up with the payments.
Some landlords may ask you to prove that you earn 3 or 4 times the monthly rent. Even if your other monthly expenses are low, landlords are often wary of a high rent-to-income ratio. If you’ve had rejected applications already, try your luck with rentals in a lower price range. Once you’re approved, act as a model tenant, score an excellent reference, and use that to leverage your way into a nicer place down the road.
Sharing your space might not seem ideal, but splitting expenses with a roommate is a great way to get into a rental you might not qualify for on your own. Ask around your workplace or within your friend group. There’s likely someone else who, like you, is dreaming of a nicer apartment but can’t quite make it work on their own. Shared living arrangements don’t have to be permanent, and they can save you a lot of money. Plus, if your chosen roommate has good credit, it will reflect positively on the entire application.
Ultimately landlords are looking for tenants they can count on to pay the rent and leave the apartment in good condition. If your credit score is on the lower end, providing excellent references could be enough to win you the rental. Ideally, your references are from previous landlords, but if not, character references from employers or co-workers might be sufficient. The goal is to illustrate that you’re an upstanding citizen who will respect the property and follow the rules.
If your credit score isn’t quite where you’d like it to be, try to draw attention to the more favorable aspects of your application. Emphasize your excellent references or the fact that you’ve been at your job for a very long time. You might also highlight aspects of your lifestyle that make you an appealing tenant. For instance, if you work long hours and are rarely home, there’s a low probability that the landlord will receive a noise complaint about you. Or, if the unit is pet-friendly but you don’t have one, you’re automatically less likely to cause property damage. Get creative about what makes you a good tenant and work to highlight those qualities.
While you likely need a credit score of 620 or higher to rent an apartment, many other factors go into your landlord’s decision-making process. Don’t let a low credit score hold you back from applying for rentals. In the same way, you shouldn’t assume your high credit score will be enough to land your ideal rental. Think about your application as a whole and position yourself as an appealing tenant. Remember, you can build your credit score and a collection of positive references over time.
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]]>But the specifics vary quite a bit depending on the landlord. Read on to learn about everything you’ll need to rent an apartment.
The rental application process isn’t as challenging to handle as it may seem. Usually, you’ll need to provide specific kinds of information and give the landlord or property manager certain permissions in regards to your application.
When it comes to the information, you’ll need to provide personally identifiable information, such as your full name, birth date, Social Security number, address, email, and phone number. Additionally, you’ll need to cover your employment history and income sources. That way, they can calculate your rent-to-income ratio and assess whether the apartment is affordable.
Providing a list of past residences is another common step. Usually, this information helps property managers perform certain check, and it may serve as the basis for reference checks.
If references are requested in another part of the application, you’ll need to provide contact information for people that fit the criteria. In most cases, past landlords are preferred. However, other people may also work, including managers or coworkers at your job, long-term friends, and similar individuals. However, family members aren’t usually allowed.
If you have a pet, you’ll likely have to include details on your rental application. You may need to discuss the type of pet, specific breed, pet’s size, and other details, particularly if the landlord has pet-related restrictions or requirements. Some properties don’t allow pets, or only allow certain types of pets.
Many landlords also request details for an emergency contact, ensuring they know who to reach out to if an unexpected event occurs. Exactly what that entails may vary depending on state regulations, so review local law to determine precisely when they can reach out.
It’s also common to see a list of yes/no questions that you’ll need to answer. This could include questions about your financial situation or history, criminal history, or certain habits, like whether you smoke.
Landlords will also check your credit when renting an apartment. As a rule of thumb, landlords look for a minimum credit score of 620 or above. But that number can vary depending on the landlord and the property in question, and a strong application can sometimes help convince a landlord to approve a rental application despite a low credit score.
When you fill out a rental application, you’ll typically need to sign forms giving the landlord or property manager permission to run background and credit checks. That way, they can review your credit history and score, and criminal record.
There are ways to get an apartment even with bad credit, so don’t assume that a poor history means that you’ll never qualify for a place. For example, you may be able to add a cosigner, provide multiple months of rent upfront, to take other steps.
It’s also crucial to note that there are laws that outline how a landlord or property manager can use the information they discover during either of these checks. While the exact regulations may vary by state, some rules are universal. For example, discriminating against tenants when it comes to requiring the checks – such as by only having members of a specific demographic group complete them – is illegal.
Still, it’s best to familiarize yourself with state and federal laws in advance. That way, you’ll know how these checks impact your chances of securing a property.
Landlords also look for proof of sufficient income to afford the apartment. As a rule of thumb, they’ll often look for enough income to cover three times the rent. When comparing your annual income to the apartment’s monthly income, they often use the 40x principle: if your annual income is forty times the monthly rent, you’re good t ogo.
While the rental application usually has a spot for you to list your income, you typically have to back up that figure with formal documentation. That way, the landlord or property manager knows that you can reasonably afford the apartment.
There are many kinds of proof of income that can work in this scenario. While paystubs or W-2s are the most common, bank statements, tax returns, 1099s, Social Security benefits letters, and other options may also work.
In most cases, landlords and property managers can’t reject a rental application based on the type of income you list as long as it’s lawful and reliable. However, there are some exceptions. For instance, while unemployment benefits are legal and consistent, they only last for a short period of time. As a result, unemployment income alone may be insufficient if you’re trying to find a new rental.
During the application process, you’ll need to provide proof of your identity. Typically, this involves providing the landlord or property manager with a picture ID. Your driver’s license, state ID, military ID, or passport is the easiest way to satisfy this requirement, as they’re considered legal forms of identification. However, some landlords may be open to alternatives.
When you provide your identification, the property manager typically makes a copy. That information is kept with your application and, later, your tenant file if you’re approved for the apartment.
If you’re bringing a pet or service animal into a rental unit, the landlord or property owner may request certain information. For example, they might ask for vet records to confirm your pet is in good health and has any mandatory vaccinations. Asking for copies of a license may also be part of the equation if one is required legally in your local area.
With service animals, they may ask for documentation that shows the service animal is “prescribed” by a licensed medical professional. However, the exact kind of information they can request regarding the service animal itself may vary by state, so it’s important to review local laws if you have a service animal.
It’s critical to note that property managers and landlords can’t ask about the nature of a person’s disability when inquiring about a service animal. Medical information is protected by law, so while you might have to show proof that the service animal is legitimate, they can’t dig into your health history, the nature of your condition, or similar details.
If you’re using a parking spot associated with the apartment or the property at large, you may need to provide certain details about your vehicle. Usually, the make, model, year, and license plate number are requested, allowing the landlord or property manager to know what vehicle should be in a particular space. Some may also ask for insurance details, though that isn’t always the case.
When you want to rent an apartment, you’ll need to submit an application, go through an application review, and undergo certain checks, such as the background and credit check mentioned above. Since all of those steps take time and energy for the landlord – and the checks involve paid-for services – aspiring tenants usually have to pay a non-refundable application processing fee.
Typically, application fees are modest, designed specifically to cover any associated costs of processing your application and nothing more. Exactly how much an application fee is depends on several factors, including your location, local law, and the checks involved. However, in most cases, it falls somewhere in the $25 to $100 range.
Along with an application processing fee, you’ll need to prepare for specific upfront costs. Commonly, this involves what’s referred to as “first, last, and deposit.”
In most cases, you’ll need to pay the first month’s rent, as well as provide enough money to cover the last month’s rent and any security deposits. However, some properties may only require the first month’s rent and the security deposits, so keep that in mind.
Usually, all tenants have to deal with a base security deposit. However, you may also need to provide additional funds for circumstantial deposits. For example, if you’re bringing a pet into the property, a pet deposit might be required.
Generally, security deposits are refundable, either in whole or in part. The condition you leave the unit in when moving out plays the biggest role in that equation, though other factors could be involved. Security deposit laws vary by state, so you’ll want to check regulations in your area in advance to estimate what you’ll need to pay.
There are also some additional fees that you might see when renting an apartment. For example, in some states and cities, landlords can charge cleaning fees if they’re outlined in the lease and align with local law. If you opt into supplemental services, like a monthly fee-based parking spot, you may need to pay the first and last months of that, as well.
Depending on local laws in your area, you may need to conduct a move-in inspection along with your landlord before moving in or officially signing a lease. You’ll walk through the property to identify pre-existing issues, ensuring they’re noted on a report before you formally lease the property.
Move-in inspections protect the landlord and tenant from certain issues. It ensures that both parties know the condition of the property before you take residency. That way, you and the landlord are fully aware of any damage that was present prior to your move-in and what changes during your tenancy.
It’s important to note that some states allow this to occur after the fact. In this case, you’ll be given a form to complete where you document any issues you notice as you prepare to move into the property. Typically, it’s best to complete this document when the apartment is empty, ensuring you can review the space without personal property obstructing your visibility.
If no move-in inspection is required, conduct one anyway on your own. Go through the property and document issues, preferably with photographs. Keep a copy for yourself and send another to the landlord, using certified mail if possible. That way, there’s a formal record of the property’s condition.
If the landlord or property manager requires renter’s insurance, you may need to submit proof showing you have a policy that meets the requirement. Usually, this happens after you are approved for the apartment and doesn’t have to take effect until your move-in date.
Most insurance companies can set the policies up in advance and provide you with the necessary documentation either by email or through an app. In either case, the landlord or property owner might need a copy or pertinent details, such as the effective date and policy number.
Once you complete the entire application process and have the funds to handle the upfront costs beyond the processing fee, you’ll need to sign the lease. This is the moment you formally agree to the terms contained therein, pledging to abide by all lawful rules and requirements in the paperwork.
In some cases, you’ll actually be signing multiple documents and initialing some in several places. Exactly what this involves could depend on where you live, the age of the property, and more. For example, you might have to sign a lead paint disclosure if the building is older and might contain lead paint.
Once you complete the paperwork, you’ll either receive your key or arrange to get it once your official move-in date arrives.
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]]>To calculate prorated rent, you can divide the total rent by 30 and then multiply the result by the number of days the tenant will occupy the residence.
But that’s not the only way to calculate prorated rent. Below, we’ll dig into four different ways to crunch the numbers, and offer some tips on how tenants can ask for prorated rent.
There are four methods to determine prorated rent. For example purposes, let’s say that rent is $1,500 a month, you will be moving in on May 10, and the landlord agreed to prorate your rent. Here are the four ways to determine your prorated rent for this scenario. Note that you would tweak the numbers to match your exact situation:
To prorate rent by exact days of the month, you need to determine how many days there are in the month in question. In May, there are 31 days. Here’s how to figure by exact days of the month.
May 10 to May 31 is 22 days – May 10 counts, since you will be moving in that day. You divide $1,500 by 31 days to get $48.39 per day for May. You then multiply $48.39 by 22 days to get $1,064.58. That would be your rent for May, and then you would pay $1,500 every other month moving forward.
Formula:
(monthly rent / # of days in the month) x # of days occupying the unit = prorated rent amount
To prorate rent by exact days of the year, you would use 365 days. You might use 366 in a leap year, but for our example we’ll stick with 365 days. Start by multiplying $1,500 (the monthly rent) by 12 months to get $18,000 (the total rent for the year).
You would then divide $18,000 by 365 to get $49.32 per day for the entire year. From there, multiply that number by 22, the number of days in May you’ll be occupying the unit. You end up with $1,085.04 as your prorated rent for May.
Formula:
(total rent for the year / 365 days in a year) x # of days occupying the unit = prorated rent amount
This method is almost exactly like No. 1 above. The only difference is you would treat all months as having 30 days (since it pretty much evens out that way). So instead of using 31 days in this May example, you would use 30 days even though May has 31 days. The formula for a May 10 move-in would then be based on 21 days instead of 22.
You would then divide $1,500 by 30 days to get $50 per day. You then multiply $50 by 21 to get $1,050. That would be your rent for May, and then you would pay $1,500 every other month moving forward.
Formula:
(monthly rent / 30 days) x # of days occupying the unit = prorated rent amount
Instead of using a 30-day month for every month, you might want to determine the actual average number of days in a month. To do that in a non-leap-year year, you would divide 365 by 12 to get 30.42. You would then divide $1,500 (the rent) by 30.42 to get a daily rate of $49.31.
Similar to No. 2 above, you would then subtract the 9 days in May for a 356-day rental period. You would then multiply 356 by $49.31 to get $17,554.36 to get your yearly rental rate. To determine your monthly rate, you would divide $17,554.36 by 12 to get $1,462.86 per month for the entire year.
Formula:
(monthly rent / 30.42 days) x # of days occupying the unit = prorated rent amount
There really is no best way to prorate rent. There are slight monetary differences with each method but probably not enough of a difference to matter. If the landlord prefers a particular method, or if state law dictates a certain way that must be used, that way would be the best method of getting this done.
I often prorate rent for my tenants, and when I do, I usually use No. 3 above, the 30-day method, because it’s usually the cleanest and simplest method. But all methods are valid and work well for determining a prorated rent.
When to ask for prorated rent
Your landlord will probably be most agreeable to prorating your rent at lease-signing time. Let’s say the rental unit is available April 1, and you want to rent it, but you can’t move in until April 10. This is when you might want to ask your landlord if they’ll prorate your rent so you won’t be stuck paying rent from April 1 to April 9 when you or your belongings aren’t in yet. Rather than risk losing you as a potential tenant, the landlord might agree to prorate your rent. It’s fair, and it starts the relationship off on a good note.
Another time you might want to ask your landlord for prorated rent is if you will be moving out before the end of the month. Let’s say your lease is up on May 31, but you will be moving out May 15. You might want to ask if you can pay from May 1 to May 15 instead of for the whole month.
Landlords typically are not as amenable to this since you have rented the unit until May 31, and most landlords want the full rent you agreed to pay. If you choose to move early, that’s usually on you. The exception is if the landlord already has a tenant ready to move in on when you move out. In this case, most states would require your landlord to prorate your rent – landlords usually are not allowed to double dip by collecting rent from two parties for the same time period.
If there is a lot of competition for rentals in your area, you might want to point out to the landlord that while you like their rental unit a lot, there is a nice rental down the street that offers prorated rent. Note that you should be prepared to take that rental down the street if the landlord will not agree to prorate your rent If you like the first unit that much better, you may have to pay the full rent and live with it. Whatever your decision, it doesn’t hurt to ask if the landlord will be willing to prorate your rent.
Moving out early and asking for prorated rent is different from breaking your lease and moving out months early on a year lease, for example. That is another issue (for another blog topic). But moving out, which includes you and all your belongings, a few days or a couple of weeks early could be a time you might want to ask for prorated rent. You benefit, of course, but so can the landlord, who can market and show the unit easier when vacant. And that is usually worth something to the landlord. Again, it doesn’t hurt to ask.
Depending on how many days you want prorated and the amount of rent you pay, you could save some serious change by having your landlord prorate rent. Prorating rent is a common practice, and one that many landlords are agreeable to doing. Now that you know when and how it’s done, you should not be hesitant to at least inquire if prorated rent is a possibility.
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]]>The post Paying the Rent Late: Everything You Need to Know appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Read on to learn everything you need to know about paying the rent late.
In most leases, rent is due on the first of the month. If that’s the case, your rent becomes late as soon as the second of the month begins. To be sure, check your lease. Technically, your rent is late if it’s not paid in full on or before the due date listed in your lease.
In addition to listing your rent amount and your due date, your lease also describes any potential consequences that you may face for failing to pay your rent or failing to pay on time. Depending on where you live and your specific rental agreement, these can range from a small penalty to eviction.
For example, if your rent is late, you may have to pay a late fee. You may have a grace period after your due date, during which you can pay your rent without any late fees or other penalties.
Many landlords charge late fees to tenants who don’t pay their rent on time. These fees are meant to be an incentive for tenants to pay on time by penalizing them when payments are late.
Generally, late fees are either a flat dollar amount or a certain percentage of the monthly rent amount, and are assessed if rent payments aren’t received within a certain number of days of the rent due date.
It’s completely legal for landlords to charge tenants late fees if they don’t pay their rent on time. However, in order to be enforceable, late fees must be included in the lease agreement signed by tenant and landlord, and they must comply with local law. There are no federal laws regarding late fees for rent, but some states restrict how much tenants can be charged.
More than a dozen states have laws governing how much tenants can be charged in late fees. The states with specific laws restricting late fees include:
In addition to state restrictions, some cities also limit the amount that tenants can be charged in late fees. New York City, for example, limits late fees to the lesser of 5% of the past-due rent or $50.
It’s also important to note that just because your lease includes a provision for late fees doesn’t mean that your landlord will assess the fee if you’re late. Landlords can elect to waive these fees any time—which is just another reason to do everything you can to stay on good terms with them.
For more information on late fees, be sure to check out our article on how late fees work.
While some landlords charge late fees if tenants don’t pay their rent on time, these fees aren’t always assessed right away. Instead, landlords sometimes give tenants a grace period—a period of time after the due date for their rent, during which they can pay their rent without facing a late fee or any other penalty.
A grace period is a number of days after a due date before late fee kicks in. Tenants can pay their rent during this period without getting hit with a late fee or any other penalties.
| State | Required Grace Period |
| Arkansas | 5 days |
| Connecticut | 9 days |
| Maine | 15 days |
| Massachusetts | 30 days |
| New Jersey | 5 days, but only for protected classes |
| North Carolina | 5 days |
| Oregon | 4 days |
| Tennessee | 5 days |
| Texas | 1 day |
If you have a grace period, it’s usually outlined in your lease. This period will give you a few extra days to pay your rent without facing extra charges. Tenants who live in states that have mandated grace periods are entitled to a grace period, whether their lease includes one or not. That’s why it’s essential to read your lease, research state and local laws that govern your lease, and know your rights—you can’t just take your landlord’s word for it.
For more information on grace periods, see our guide on the subject. You can also learn more about state laws around grace periods in our article on late rent laws by state.
Not paying rent in full and on time can open you up to penalties and other consequences. You may face a late fee if you don’t pay past-due rent within your grace period (if you have a grace period). And if rent remains unpaid for too long, your landlord may evict you.
Click here to see a sample eviction notice.
Paying the rent late can even cause you to default on your lease, at which point your landlord may file to start eviction proceedings. They may also be able to take steps other than just eviction. For example, in some cases landlords actually report delinquent tenants to credit bureaus, which can actually cause a long-term impact to your credit—similar to defaulting on a loan.
Technically, landlords are able to do this as soon as your rent is late (and you’ve failed to pay during the grace period, if you have one). In practice, though, most landlords don’t typically report tenants to credit bureaus for non payment of rent. If yours does, though, it may make it harder for you to rent again in the future.
In some cases, landlords can even sue defaulted tenants for past-due rent.
But, if you’re just a few days late on your rent, these steps are still a long way off. More often than not, the penalties for paying rent late can start with a simple late fee.
Sometimes, paying rent late is unavoidable—but there’s a right and wrong way to do it. If you have to pay your rent late, here are some tips to help smooth things over with your landlord:
If you’re going to be late paying your rent one month, it’s a good idea to give your landlord advance warning. They may have mortgage payments or other expenses that they pay with money received from your rent. Telling them that you may be late gives them an opportunity to make adjustments to pay their own bills.
And letting them know ahead of time can help keep them from getting angry if they’re surprised with the news on your due date.
Telling your landlord that your rent will be late can be a tough conversation. The key is to be direct, but polite.
If you know that your rent may be late, try to be accommodating when you tell your landlord. Apologize, show that you understand your obligations under your lease, and make clear that your rent is going to be late. Lastly, tell them how and when you plan to pay them.
Sometimes, it’s just not possible to pay rent on time. People lose their jobs, they have their hours cut, or they get hurt and can’t work. But, you should try not to pay rent late every month. Regularly being late with your rent will frustrate your landlord and make them less inclined to help you in the future—they may even decide not to renew your lease.
Even when you can’t pay all your rent on time, it’s still a good idea to pay as much as you can on or before your due date. This will go a long way toward building goodwill with your landlord. It can also reduce the amount of your late fee since late fees are usually based on the amount of rent that’s past-due.
If your monthly rent is $1,000 and you’re able to pay $500 on time, if you’re charged a late fee, your late fee will usually be based on the remaining $500 that’s late—not the full $1,000.
You’re responsible for the payment under your lease anyway, so you might as well pay what you can on time. Paying nothing will only make things worse.
You might also be able to get help paying the rent. Check out our guide to Programs That Help Pay Rent for more information.
If you have trouble paying your rent all at once on or before the due date, you might want to offer to pay your landlord in installments throughout the month, rather than all at once. This will show your landlord that you’re making an honest effort and demonstrate good faith, which can go a long way.
When you sign a lease, you’re obligated to make certain payments each month. If you can’t pay on-time, you might try offering to mow the lawn or take care of other work at the property you rent. That way, your landlord can save some money on expenses, which can be just as helpful to them as paying your rent—especially when combined with a partial payment. This also helps you to get on their good side and shows that you’re doing what you can.
If you’re regularly having trouble paying your rent on time, it may be a sign that you can’t afford the place you’re renting. At some point, the responsible thing is to find a less costly place to live—somewhere that has lower rent payments each month. Of course, you’ll have to make sure that your rent is current before you move. But when it comes time to renew your lease, you may choose to relocate instead.
Late rent is when you don’t pay your rent in full on or before your due date. There are reasons that it happens, but there are ways to do it and not to do it. It’s important not to pay your rent late every month. But, it’s also critical to know your rights and obligations, especially regarding late fees and grace periods.
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]]>Landlord-tenant laws vary from state to state. Additionally, there may be city, county, or municipality rules that augment state law. What qualifies as illegal in one area might be permissable in another. Below, we’ll dig into some of the common illegal landlord actions across states and counties.
Landlords do have the right to evict tenants for various reasons, such as non-payment, breaking the tenets of the lease, or disturbing other residents. However, they can’t lock tenants out without going through the proper legal channels. A court order is required to prevent a tenant from accessing a dwelling.
To put it simply, if a landlord locks you out of a space you are renting without a court order, that’s illegal.
While the landlord may own the dwelling, you still have a right to privacy. The landlord isn’t allowed to enter your unit without advanced notice in most cases. They also have to have a good reason.
Usually, this means they have to provide you with a written notice stating when they plan to enter and why. Precisely how much notice they need to give varies, though it usually falls between 12 and 48 hours. However, some states don’t specify a number, instead simply stating that “reasonable notice” is a must.
If a landlord fails to give notice or appropriate justification – based on local law – entering your unit is illegal.
It is important to note that landlords can enter a dwelling without notice for emergencies. For example, if a gas leak is suspected in your unit, they can come in immediately. Usually, they legally have to inform you when this occurs, typically by leaving a notice upon exiting.
Whether you file a complaint with the landlord or with a local housing authority, you are legally protected against retaliation. That means your landlord can’t threaten you, raise your rent as punishment, or move forward with eviction proceedings just because you had a grievance.
They also can’t intentionally make the living conditions increasingly uncomfortable in hopes of making you move. For example, if they skip necessary repairs after you file a complaint, that’s retaliation.
Essentially, retaliation in any form is illegal, regardless of the nature of your complaint.
Landlords do have a right to raise your rent. However, they can’t do it on a whim. Instead, they have to give proper notice.
Exactly what that entails varies by state. Usually, 30 to 60 days’ notice is required for tenant-at-will (where you don’t have an active lease) or month-to-month arrangements. If a lease is in place, they may be barred from changing your rent amount until the period in the lease ends. And they may still have to give you 30 or more days’ notice.
In most cases, that notice can’t be verbal. Some states allow it to simply be in writing. Others are more stringent, requiring it to be sent by certified letter.
Without proper notification, the rent increase is illegal, making it unenforceable.
Rent increases can’t be retroactive. As mentioned above, proper notice is required. As a result, any attempt to raise rent retroactively, which would cause a tenant to unjustly owe back rent, is illegal.
Some states limit how much a tenant’s rent can be increased in a certain period. Usually, this only applies to rent-controlled or rent-stabilized properties, where local regulations limit increases. In most cases, there is a percentage maximum that applies.
If you’re in a covered property and the landlord tries to increase your rent beyond the maximum, that’s an illegal landlord action.
As a tenant, you have a legal right to a safe dwelling. Additionally, if a repair is needed to maintain a safe dwelling, the landlord is required to handle it.
Landlords aren’t allowed to turn down repair requests indiscriminately. Additionally, they can’t make tenants handle the work themselves. In many areas, there are rules about who the landlord can hire as well, ensuring that they send a licensed contractor to fix the problem for you.
If a landlord isn’t taking care of needed repairs in a reasonably timely manner, they likely aren’t following the law. However, precisely what that means can vary, so you’ll need to check local rules to see what is required when.
Generally, security deposits have a single purpose; to cover damages caused by tenants. Legally, landlords can’t use the money for any purpose outside of the law.
Now, damages, in this case, can be material or financial in most states. For example, this could include physical harm to the property, like a hole punched in the wall, as well as back-due rent. With the latter, that’s financial damage.
However, landlords can’t use the security deposit to fix normal wear-and-tear. The damage has to be beyond what occurs through standard use. If it isn’t, removing the money is illegal.
Any act that is considered discriminatory in the eyes of the law is illegal. This can include excluding applicants of a certain race, background, gender, or other protected characteristic, as well as treating them differently due to those factors. The same goes for treating tenants differently because of their association with a protected group.
Additionally, landlords can’t discriminate against families. While they can limit the number of tenants in a unit, usually based on the number of bedrooms, they usually can’t deny a tenant solely because one (or more) of the tenants would be a child. Landlords also can’t prevent a person with a disability from living with a service animal, even if the dwelling is traditionally a no-pets property.
While most states do allow landlords to charge late fees if rent isn’t provided in a timely manner, precisely when they can levee that fee and how much they can charge is often dictated by law. Some states require a grace period, preventing the landlord from applying a late fee until that time has passed. Trying to require a fee before that time is, therefore, illegal.
Similarly, many states limit the size of the late fee. This ensures they remain “reasonable.” At times, states require that any potential late fees be discussed in the lease, too.
Usually, you need to review local late rent laws to determine what is and isn’t allowed. That way, you can determine whether a fee assessed by your landlord is or isn’t legal.
Unless a utility shutoff is for the purpose of handling a necessary repair, landlords typically can’t turn off a tenant’s water, electricity, or gas. This is true even if the tenant is late paying rent.
Utility services are usually considered musts for maintaining a livable dwelling. Since landlords are required to do so, shutting off utilities when it isn’t because of repairs is a no-go.
Landlords cannot seize a tenant’s property to make up for late rent. They also can’t hold your property hostage, vowing to return it once you pay what’s owed.
If a landlord takes your property and refuses to return it, their actions are illegal. Often, it’s considered theft. Additionally, you may have the right to file a lawsuit and receive payment for damages.
Certain inspections are required by law. For example, certain states have habitability inspections or new certificate of occupancy approvals whenever a unit is occupied by a new tenant. Fire inspections might be necessary, allowing a state or city official to confirm the rental has the right smoke and carbon monoxide detectors in place.
These inspections help ensure that units are safe and legally rentable. If a landlord doesn’t get these handled, that’s an illegal action.
Landlords have to let you know if any risks come with a property. For example, they have to disclose – usually in writing – if there is lead paint, mold issues, or other potential hazards.
Generally, these disclosures have to be presented at the time you sign a lease. This ensures that you understand any risks before agreeing to move in, giving you a chance to change your mind if you aren’t comfortable with the hazards. If those disclosures aren’t present and there is a qualifying issue, your landlord likely the law.
If you believe your landlord is doing something illegal, the first thing you should do is familiarize yourself with local landlord-tenant law. This gives you a chance to determine if it’s actually an illegal landlord action. Plus, some rules also outline your rights regarding such incidents, providing you with clear direction about next steps.
Next, you should gather proof, if possible and appropriate. This is especially true when it comes to failing to complete repairs, shutting off utilities, or any other action that comes with physical evidence of wrongdoing.
In some cases, you would then contact your landlord in writing about the issue. For example, if there is a necessary repair, you can discuss the matter in writing and mail it as a certified letter.
However, you can also contact your local housing authorities. Depending on the nature of the problem, they may be able to step in, or point you in the proper direction.
At times, you may be within your legal rights to sue your landlord over an illegal action. However, this should rarely be a first step. Instead, you should address the problems through a certified letter or work with your housing authority. By doing so, you are laying the groundwork for further action, such as a lawsuit, if they fail to comply with the law.
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]]>The post Where to Get Help with Security Deposit and First Month’s Rent appeared first on Flex | Pay Rent On Your Own Schedule.
]]>We’ll profile all of these and more below. If you’re looking for help paying move-in fees, read on.
There are a number of nonprofits that provide grants and assistance to low-income individuals, or individuals facing financial hardships. These exist at both a federal and a local level. A quick Google search of “nonprofit” and “housing assistance” plus your city or state will reveal a myriad of options you can explore.
Net Wish and Modest Needs are just two examples of these types of organizations. They are independent nonprofits and offer support to individuals and families under financial duress. There is no guarantee that you will receive funding through any of these organizations, but it never hurts to apply. Many of them allow you to apply for grants for anything you may need, whether it’s help with your security deposit, the cost of hiring movers, funds to buy bed linens, or whatever else you may desperately need.
There are also nonprofits that specialize in preventing homelessness. If you’ve recently been evicted, have been homeless, or are at risk of becoming homeless, you may qualify for assistance through such an organization.
One nonprofit alone may not be able to cover all of your moving expenses, so plan to apply for multiple grants. Remember, every little bit counts.
You may not realize the number of local government organizations that are available to assist you. If you’re not sure where to turn, contact your local city hall and ask where to turn for assistance with housing or move-in expenses.
Additionally, you can contact 2-1-1, which will connect you with the social services providers you need. This is a fantastic service, as you will be paired with a local specialist who is familiar with all of the relevant organizations in your area.
If you’re at a total loss for where to begin, these two options are sure to save you a lot of time by putting you on the right track.
Faith-based charities such as The Salvation Army and the Saint Vincent de Paul Society offer a variety of programs to help families and individuals find safe housing, earn a consistent income, put food on the table, and more.
The programs offered through these types of organizations tend to vary by location, so it’s best to contact your local branch to see how they may be able to help you.
Often these types of organizations have programs that work to prevent homelessness and help families establish long-term housing. This may include rent assistance, as well as help with security deposits. Sometimes they can even help cover your utility expenses.
These charities typically focus on supporting low-income individuals and families, and you may be required to demonstrate need in order to qualify for assistance. You may also qualify if you have been affecting by domestic abuse, a natural disaster, or another special circumstance.
If you have a decent credit score and steady income, you may qualify for a security deposit guarantee. These guarantees are a form of insurance that you can purchase which will cover what you would ordinarily pay for a security deposit.
The advantage of the security deposit guarantee is that you can purchase them for a fraction of the cost of what the security deposit would cost. In the event that you cause damage to your rental, the cost of repairs will likely be covered by your security deposit insurance and will be paid directly to your landlord.
Some landlords may still prefer to receive a security deposit in cash, but many landlords probably prefer to have their unit rented and generating monthly income, rather than sitting empty while they continue looking for tenants. If you qualify, this type of insurance policy enables you to rent a place with less cash out of pocket while still providing the landlord with protection from damages.
There are many different companies offering security deposit guarantees, so be sure to shop around for the best deal.
If you don’t qualify for assistance with your security deposit with any of the organizations we’ve discussed this far, don’t despair. You still have plenty of options.
Odd jobs can be a fantastic way to round up the extra cash to cover your move-in expenses. They may be more time consuming than receiving help through an assistance program, but once you get started, you’re sure to appreciate the additional cash flow.
With the modern gig economy, it’s easier than ever before to earn some extra money through apps like Uber or Lyft, Door Dash, Instacart, Thumbtack, and more.
The great thing about these services is that many of them accept new service providers on an ongoing basis. Additionally, most of them will hire you without the need for a formal interview process, which means you can start earning money in a very short period of time.
Reach out to your friends, family, and colleagues to see if anyone knows of any opportunities to earn a bit of extra money. You could help people with dog walking, lawn maintenance, household chores, and more.
Don’t be afraid to get creative. Many people have tasks they’d love to hand off to someone but just haven’t had the time to make a job posting. Save them the trouble by identifying ways you can help and offering services directly.
You can see by now that there are all kinds of creative ways to find the money to cover your security deposit and first month’s rent.
But before you go handing any cash over, you should keep in mind that some of these fees may be negotiable.
This is more likely to be the case if you’re renting directly from the property owner as they will know exactly how much money they need to make from their rental. They don’t have a boss to answer to the way a leasing agent does.
Remember, finding reliable tenants is hard work and landlords don’t want to risk having their units sit empty. If you can convince them that you’ll be a great, long-term tenant, you might be able to find wiggle room with some of the fees. Providing excellent references from previous landlords and strong character references is a great way to start negotiations.
Even if you can’t negotiate your move-in fees down, just remember that with plenty of research and help from some of the resources covered above, there are all kinds of ways to pull together the extra you need to cover the deposit on your next rental.
For more options, see our full guide to finding help paying the rent.
When it comes to move-in fees, you don’t want to leave any room for confusion. Ask your landlord to outline exactly what expenses you’ll be responsible for and when they are due.
Some move-in fees, such as the security deposit, are refundable, while others may not be. Have your landlord outline which fees are refundable and what the stipulations are. For instance, your security deposit may be withheld if anything in your rental is damaged.
Before you sign a lease agreement it’s imperative that you are completely clear on what you need to pay, by when, and whether you should expect a refund when you move out.
Again, you should also familiarize yourself with your state’s laws around move-in fees to ensure your landlord is charging fairly.
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]]>The post Apartment Noise Complaint Letter: Free Template appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Often, the most effective way to resolve these issues swiftly is to notify your landlord by filing a noise complaint in writing. Not only does your noise complaint letter put pressure on your landlord to address the issue, but it also creates a paper trail that can be helpful down the road if the problem is not resolved.
Chances are you’re not the only tenant having issues with the noise in question, so documenting it may give your landlord the leverage they need to resolve the problem. In the case of noisy neighbors, complaint letters could help the landlord build an eviction case against them. If the noise is coming from an external source, such as a construction site, a written complaint serves as evidence for your landlord to present to the necessary authorities.
Your letter can also help you build a case for terminating your lease without penalty if the situation doesn’t improve.
Your noise complaint letter will be most effective if you include specific examples along with dates and times of noise violations. This way, your landlord can corroborate the instances with other tenants (if necessary). Don’t forget to list the unit number or location where the noise is coming from.
In addition to documenting the noise violations, share the steps you’ve already taken to resolve the issue. If you’ve spoken with the offending parties, list the date(s) this conversation took place. If you’ve contacted the police about the issue, include the dates of those reports as well.
Next, outline your expectations regarding a resolution of the issue and a date by which you expect the problem to be resolved. That way, you can follow up with the landlord if the noise issue continues beyond that date.
Below, we’ve included two sample letters you can personalize as you craft a noise complaint letter to your landlord. One option addresses noise complaints against your neighbors, while the other addresses noise from a source outside your apartment building.
Template #1: Noisy neighbors complaint letter
Dear [Landlord’s name],
I am writing to inform you of ongoing noise issues with my neighbors in [neighbor’s unit number].
As you know, my lease states that this apartment building has quiet hours from 10 pm to 7 am each night. [cite any relevant noise-related clause in your lease]. My neighbors have repeatedly violated this rule.
Here are some examples of instances of excessive noise that I have experienced over the past few weeks:
[continue to detail any additional instances of excessive noise that have occured]
I have attempted to speak with these individuals directly, but the issue remains unresolved. On November 6th, I was forced to contact the police to break up the party. This ongoing noise issue is affecting my ability to sleep and, in turn, my performance at work.
I am now requesting that you speak with the individuals residing in [neighbor’s unit number] to resolve this issue once and for all.
I am hopeful that we can resolve this issue within the next two weeks. If the noise problem continues, I will be forced to request that you terminate my lease.
You can contact me at [phone/email] if you wish to discuss this matter in more detail. I appreciate your assistance with this issue.
Sincerely,
[Your name]
Template #2: External noise issues complaint letter
Dear [Landlord’s name],
I am writing to inform you of an ongoing noise issue that I am experiencing in my rental located at [include address and unit number of your rental].
My unit is on the back of the building facing the basketball courts of the local community center. While I fully support the community center’s services and amenities, I am constantly being disrupted by individuals playing basketball late at night.
Many nights, I struggle to fall asleep because I can hear folks bouncing balls and shouting on the basketball courts well after 11 pm. As you know, local Los Angeles noise ordinance laws state that loud noises are prohibited after 11 pm on weeknights.
I am hopeful that you can assist me in finding a resolution to this problem, as I’m sure I’m not the only tenant on this side of the building that is affected by this noise issue. Perhaps you can bring it up with the community center managers to ensure quiet hours are properly respected?
Alternatively, is there a way to increase the soundproofing in my rental unit?
I am hopeful that we can resolve this issue within the next two weeks. If the noise problem continues, I will be forced to request that you terminate my lease.
You can contact me at [phone/email] if you wish to discuss this matter in more detail. I appreciate your assistance with this issue.
Sincerely,
[Your name]
Your letter may look slightly different depending on the nature of the noise in question and your expectations for how the issue is resolved.
You can send the letter by email, mail, or hand-deliver it, depending on your preference. We recommend email or hand-delivering letters. That way, you can be sure the landlord received your correspondence. If you don’t hear from your landlord promptly, follow up consistently until you do.
Remember, you have a right to quiet enjoyment in your rental unit. If your landlord cannot resolve the noise issue, your lease is in violation, and you have grounds to break it without penalty.
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]]>The post Rent-to-Income Ratio: What You Need to Know appeared first on Flex | Pay Rent On Your Own Schedule.
]]>As a general rule, you want to spend less than 30% of your income on rent. Any more than that, and you qualify as rent-burdened – at that point, it can become hard to cover all of your expenses any given month.
Both landlords and tenants can use rent-to-income ratios for various purposes. Usually, landlords calculate them when deciding whether to let an applicant rent an apartment or house. Renters could use the calculation to determine how much rent they can reasonably afford or if what they’re paying in their current place is reasonable.
However, a rent-to-income ratio only tells part of the story. It doesn’t account for a tenant’s debt burden or the average amount they spend in other cost categories. Instead, it only compares rent rates to gross monthly income levels and nothing more.
As a result, rent-to-income ratios are usually one factor in a broader equation. For example, a landlord may review the metric along with credit scores and reports, giving them a better picture of overall affordability based on other tenant data.
Calculating a rent-to-income ratio is simple. All you need to do is take the monthly rent amount and divide it by monthly gross income. Then, you multiple that result by 100 to get the percentage, as such:
([monthly rent] / [monthly income]) * 100 = debt-to-income ratio
For example, if you’re household earned $5,000 per month in income and you were looking to rent an apartment that cost $1,200 per month, the debt-to-income ratio would be:
($1,200/ $5,000) * 100 = 24%
You can also use rent-to-income percentages to estimate how much rent a person could afford based on their income. By multiplying the monthly income by a target percentage (expressed as a decimal), you get the monthly rent payment amount, as such:
[monthly gross income] * [target percentage expressed as a decimal] = [monthly rent]
For example, if a person with $3,500 in gross monthly income wanted to limit the amount they spend on rent to 25% of gross income, the calculation would be:
$3,500 * .25 = $875
It’s important to note that all income sources should be factored into the equation, not just money earned from traditional employment. That way, it’s a comprehensive picture of a tenant’s financial potential and not just part of it.
Additionally, it’s critical to understand laws regarding income discrimination do vary. Some states have laws that apply across all jurisdictions that ban the practice. Other areas may not have state laws but are covered by local ordinances. Some areas have no regulations at all.
Both tenants and landlords should review income discrimination-related laws in their area. That way, landlords can follow the requirements, and tenants know what to expect.
As mentioned above, rent-to-income ratios are used to assess affordability. It lets both landlords and tenants know how much of the tenant’s gross monthly income would be covering their housing costs.
Rent-to-income ratios matter for both landlords and tenants. Landlords can use it as a quick way to assess whether a tenant can reasonably afford the rental. As a result, most do include it in the applicant assessment process.
For tenants, rent-to-income ratios matter for two reasons. First, there’s a high likelihood that a prospective landlord will check it when reviewing a rental application. It’s a standard metric to assess affordability. Since landlords want to ensure that incoming tenants can afford the rent, they’ll factor the rent-to-income ratio into the process.
Second, it helps tenants determine whether they’re directing too much of their income toward housing expenses. In most cases, rent is one of the largest line items in a tenant’s budget. Additionally, it’s a long-term obligation, lasting several months, a year, or more depending on the length of the lease. As a result, a high rent-to-income ratio can be incredibly limiting for extended periods, potentially leading to financial hardship.
One of the most widespread guidelines is that rent and utilities combined shouldn’t exceed 30% of the household’s adjusted gross income. That number actually aligns with standards set by the Department of Housing and Urban Development (HUD) in regards to its programs. By staying within that amount, the likelihood that the tenants will struggle to pay rent is significantly lower.
When a tenant dedicates more than 30% of their gross monthly income toward housing costs, they’re considered “rent-burdened” and are more likely to have trouble paying rent and handling living expenses with their available funds. Those who spend over 50% of their gross monthly income are “severely rent-burdened” and have an incredibly high likelihood of not being able to cover rent and living expenses with the income they have available.
However, not all landlords use that specific metric when assessing tenants. Instead, they go with a different approach, requiring prospective tenants to provide proof that their income is at least three times the monthly rent.
The principle behind the three-times-rent approach is very similar. If the tenant meets the requirement – which means their rent-to-income ratio would be no higher than 33% before utilities – there’s a good chance that the rental is reasonably affordable.
Some argue that the 30% figure isn’t genuinely a mark of affordability for several reasons. One of the biggest is that it doesn’t take into account differences in income levels.
For low-income households, even 30% could be incredibly burdensome, making it hard to handle basics like food and transportation. However, many high-income households could safely exceed that amount and still have plenty of money to live.
Another reason why the approach might be flawed is that it doesn’t account for a household’s expenses. Incredibly frugal lower-income households may be able to spend more than 30% on housing without an issue, while a high-expense, high-debt, higher-income household may find 30% hard to shoulder.
You can’t genuinely assess affordability based on a single figure alone. Instead, a more holistic picture is usually best.
However, as mentioned above, many landlords draw a line by requesting proof of income showing at least three times the monthly rent, particularly in areas with higher costs of living. In a higher-cost city, exceeding the 33% of income mark may not be possible regardless of the tenant’s broader financial situation. As a result, getting far beyond 30% may not be possible.
There are situations where rent exceeding 30% of income could make sense. It may come down to the state of a tenant’s budget, income, and expenses, as well as their priorities.
For some tenants, having a nice home is what matters most to them. As a result, they’re willing to keep other costs down to ensure they have the house or apartment of their dreams. Essentially, they view their home as being more critical, so exceeding the 30% mark doesn’t necessarily put them at risk because they’re frugal in other areas.
Similarly, higher-income households may be able to exceed the 30% threshold and still cover all of their expenses. If a household earns $100,000 per year, that works out to around $8,333 per month pre-tax. Even if half of that went to rent, they’d still have thousands of dollars to handle other expenses, which could be enough to live comfortably depending on their debt load and overall budget.
However, in any case, going above 30% can be risky. Since housing costs are primarily fixed expenses, you can’t reduce your rent if you experience a sudden financial hardship. That’s one of the big reasons to keep this expense down. A lower rent-to-income ratio could make it easier to navigate the unexpected, ensuring tenants aren’t strained by the cost of their housing.
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]]>The post How to File a Noise Complaint appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Below, we’ll offer tips on each of these ways to file a noise complaint.
Before you lodge a noise complaint, try to think objectively about the situation. While experiencing unwanted noise isn’t ideal, each tenant (including you!) has the right to enjoy their space and conduct their daily lives.
If you happen to live in a building with poor soundproofing, that might lead to more shared experiences than you would hope. But before you make a formal complaint, ask yourself: Is this noise breaking a rule of some kind, or am I just annoyed? Your neighbor practicing the drums for hours on end all night long is a noise violation. Your neighbor using a blender for their morning smoothie probably isn’t.
While your annoyance is warranted in either case, you may not get very far in escalating your complaint unless a rule is being violated.
A standard lease agreement includes a covenant of quiet enjoyment, stating that a tenant has a right “to enjoy his or her property without interference.”
While this statement is vague, it essentially means that you have legal grounds to complain about disruptive noise and that your landlord is obligated to do something about it. Otherwise, your lease will be in violation. If you struggle to sleep, work from home, or simply relax due to excessive racket from outside your apartment, your “right to quiet enjoyment” is undoubtedly affected.
Most cities have local noise ordinances designed to prevent excessive noise outside of certain hours. The restrictions vary from city to city and may differ depending on neighborhood zoning. Generally, these laws stipulate that noisy activities, such as construction, trash collection, or concerts, occur only during certain hours. They often come with specific decibel limits at certain times of day.
Familiarize yourself with the local noise ordinances in your city. If the noise issues you are experiencing occur outside the allowable window, it may be easier to escalate your complaint.
It’s crucial to keep a record of any excessive noise you experience during your tenancy just in case the incidents are not isolated. Note the date, time, type of disturbance, and where you believe the noise is coming from. You could even use your phone to record an audio clip of the noise to include with your notes.
This way, if excessive noise becomes an ongoing issue, you’ll have a trail of evidence to aid you in resolving the problem.
In many cases, you may be able to resolve your noise issue by bringing it to your neighbor’s attention directly. They may be unaware of how loud their music is or how frequently their dog barks when they aren’t home. Letting them know that they’re bothering you might be all it takes to end the problem.
If you feel comfortable, knock on their door and bring up the issue face to face. You could also send an email or leave a note, but speaking face to face is advantageous in a couple of ways:
Depending on the nature of your noise problem, it may make sense to contact the police. Loud parties or sounds that could suggest domestic violence are absolutely grounds for involving law enforcement since someone’s safety may be at risk.
Having a police officer show up at your neighbor’s door might put an end to the disturbance, but it won’t necessarily stop the issue from coming up again. It can also escalate the situation – your neighbor might resent you for calling the police on them, especially if you haven’t tried to communicate with them directly, either in-person or via a note.
Contacting the police can also be effective when the noise issue is coming from outside your apartment complex. If there’s a construction project interfering with your peace and quiet or a bar that is failing to abide by noise ordinances, the police may be able to intervene.
If speaking to your neighbors fails to resolve the noise issue, bring it up with your landlord. You have the right to quiet enjoyment in your rental, and your landlord is obligated to resolve noise issues that are disrupting your lifestyle.
More than likely, a warning from your landlord will be enough to intimidate your noisy neighbors into keeping it down. You may not be the only tenant having noise issues, and your complaint could help bring about a much-needed resolution for the whole building.
Provide your landlord with any documentation you’ve collected regarding the noise, as this may help them in their attempts to resolve the issue.
If you have ongoing issues with a noisy neighbor within your apartment complex, you should file a noise complaint with your landlord in writing.
Written documentation of a noise complaint will make it easier for your landlord to mitigate noise problems, especially if they are ongoing. If necessary, this type of documentation can help your landlord build a case for eviction if a particular tenant continues to cause problems.
Letters are instrumental in helping your landlord resolve complaints about noise coming from outside your apartment building. Whether the issue is noise from a construction site, an event venue, or something else, your landlord can use your noise complaint letter to illustrate the problem and take it up with the appropriate parties.
Below, we’ve included templates for noise complaints addressing both noisy neighbors and external noise, and you can adapt them further to suit your situation.
Use the following sample letters to draft a noise complaint to your landlord.
Dear [Landlord’s name],
I am writing to inform you of ongoing noise issues with my neighbors in [neighbor’s unit number].
As you know, my lease states that this apartment building has quiet hours from 10 pm to 7 am each night. [cite any relevant noise-related clause in your lease]. My neighbors have repeatedly violated this rule.
Here are some examples of instances of excessive noise that I have experienced over the past few weeks:
* Oct 31, 10 pm to 2 am: Loud music from a Halloween party
* Nov 6, 11 pm to 2 am: Loud music from a party
* Nov 9, 8 am to 12 pm: Dog barking incessantly
[continue to detail any additional instances of excessive noise that have occured]
I have attempted to speak with these individuals directly, but the issue remains unresolved. On November 6th, I was forced to contact the police to break up the party. This ongoing noise issue is affecting my ability to sleep and, in turn, my performance at work.
I am now requesting that you speak with the individuals residing in [neighbor’s unit number] to resolve this issue once and for all.
I am hopeful that we can resolve this issue within the next two weeks. If the noise problem continues, I will be forced to request that you terminate my lease.
You can contact me at [phone/email] if you wish to discuss this matter in more detail. I appreciate your assistance with this issue.
Sincerely,
[Your name]
Dear [Landlord’s name],
I am writing to inform you of an ongoing noise issue that I am experiencing in my rental located at [include address and unit number of your rental].
My unit is on the back of the building facing the basketball courts of the local community center. While I fully support the community center’s services and amenities, I am constantly being disrupted by individuals playing basketball late at night.
Many nights, I struggle to fall asleep because I can hear folks bouncing balls and shouting on the basketball courts well after 11 pm. As you know, local Los Angeles noise ordinance laws state that loud noises are prohibited after 11 pm on weeknights.
I am hopeful that you can assist me in finding a resolution to this problem, as I’m sure I’m not the only tenant on this side of the building that is affected by this noise issue. Perhaps you can bring it up with the community center managers to ensure quiet hours are properly respected?
Alternatively, is there a way to increase the soundproofing in my rental unit?
I am hopeful that we can resolve this issue within the next two weeks. If the noise problem continues, I will be forced to request that you terminate my lease.
You can contact me at [phone/email] if you wish to discuss this matter in more detail. I appreciate your assistance with this issue.
Sincerely,
[Your name]
Noise complaints can be challenging for both landlords and tenants to resolve. Ultimately, it is your landlord’s responsibility to ensure all tenants respect the terms of their lease, including abiding by noise restrictions.
If your landlord is unable or unwilling to solve your noise complaint, you can likely break your lease without repercussion. Review your lease document and pay special attention to the language around noise issues. If, after taking steps to address the issue, you are still being disrupted by a noise problem, the terms of your lease are likely being violated. This gives you grounds to terminate your lease because your landlord has failed to uphold their responsibilities.
If you live in an apartment, there’s a good chance you’ll experience a certain level of noise pollution that you would prefer not to deal with. However, if excessive noise prevents you from living comfortably within your rental, you are well within your rights to file a noise complaint.
Providing detailed documentation will help your landlord or the appropriate authorities address your complaint more swiftly. If the noise issues continue, send your landlord your notice to vacate and find yourself a new rental.
The post How to File a Noise Complaint appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post How to Pass a Rental Credit Check – Even with Bad Credit appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Your credit history is more than just your credit score. Generally, a rental credit check contains the same data as any other traditional credit check. After the landlord gathers critical pieces of information about you – such as your name, birth date, Social Security number, and address – and your permission to run the check, they’ll receive details about your credit history. Additionally, they may see details about former addresses and similar data tied to your credit accounts.
Along with your credit history, the landlord can also receive a credit score. That figure represents your creditworthiness, giving the landlord critical insights with just one number.
Technically, there isn’t a formal line in the sand when it comes to rental credit checks. Landlords aren’t required to have the same cutoffs. Instead, they can typically decide what they’re comfortable with and use that to determine criteria.
Essentially, as long as they apply the same criteria to all applicants in accordance with local law, the requirements they set are in their control. As a result, some landlords may set the minimum squarely in the “fair” credit range, while others may aim higher or lower.
Landlords may also have other credit check-related requirements. For example, tenants may be barred from having a late payment within a certain amount of time.
Some landlords may openly advertise their cutoffs and other criteria or might provide that information if a potential applicant asks. As a result, prospective tenants should feel free to request details about the credit check requirements.
In most cases, the best way to prepare for a rental credit check is to review your report before you start applying for apartments. You can check your report at each major bureau for free by using AnnualCreditReport.com, a site that’s sponsored by the government.
While that won’t show you your credit score, it does allow you to review it for accuracy and dispute issues. If you find erroneous information, you want to file a dispute with every bureau that has an inaccurate record. Usually, you can do so online, and they have 30 days to respond.
Additionally, by taking a look at your credit reports, you’ll know what landlords will see. Then, you can prepare to address any potential points of concern, ensuring you aren’t caught off-guard by problems and can discuss them with ease.
There are also other ways to access free credit scores. For example, many credit card issuers give cardholders access to their score for free. Additionally, there are apps that provide credit scores at no cost.
Just be aware that not all free credit scores are the FICO scores landlords typically use. Instead, you may see VantageScore credit scores instead. The difference between your FICO and VantageScore scores can be quite different. However, you can use a VantageScore to gauge your overall financial health and monitor your progress if you’re trying to improve your credit.
If you’re trying to figure out how to pass a rental credit check even with bad credit, you want to use the right approach. In most cases, a conversation with the landlord is essential.
At a minimum, you want to be ready to address any concerns they may have after seeing your report and score. In some cases, you may even want to talk with them about your situation before they run the check, allowing you to take a proactive stance on the matter.
However, a conversation alone may not be sufficient. At times, you may need to take other actions to showcase yourself as a low-risk tenant. If you aren’t sure what to discuss or other steps you can take to increase your odds of securing a new rental, here’s a closer look at what to do if you have bad credit.
As a starting point, highlighting stronger parts of your application could help you overcome a bad credit score. For example, if your income is far above the minimum threshold to qualify for the apartment, that could put the landlord’s mind at ease. The same goes for proof of employment at a single company for an extending period, showcasing your income stability.
Similarly, having an ample amount in savings may make your bad credit less of an issue. It shows that you have a safety net, and that may make the landlord more comfortable.
The right references may help you overcome bad credit when applying for a new apartment. If you previously rented from someone else recently and made your payments on time and in full, your former landlord could become an asset. They could speak with prospective landlords and explain your reliability, potentially making you seem like a safer bet.
Usually, this approach only works if you have an exceptional history with a previous landlord. If there were any issues during your tenancy, providing your former landlord as a reference could work against you instead.
Sometimes, a poor credit score happens for reasons outside of your control. For example, maybe you lost your job due to a coronavirus layoff and fell behind on some bills, leading to derogatory remarks on your credit report.
Individuals who don’t have many records on their credit report may also have a lower score. This isn’t because they made missteps; it’s simply the lack of experience with credit working against them.
If you were genuinely impacted by extenuating circumstances, explaining what occurred could work in your favor. While you don’t want to attempt to make excuses for poor behavior, highlighting incidents that were out of your control and are now resolved could help you overcome hurdles created by your lower credit score.
In most cases, landlords worry about credit scores for financial reasons. The property was a major investment for them, and they want to make sure they find a reliable tenant who will pay what’s owed and treat the unit well. Often, landlords view bad credit as a sign of irresponsibility, something that is quite worrisome in their eyes.
At times, you can alleviate any concerns created by bad credit by offering extra rent upfront. Not only does it show that you were able to save a significant sum, showcasing that you are responsible, it also gives them guaranteed income from the unit for a longer period of time.
Even just one or two months beyond what’s typically required could do the trick, depending on the total lease term. However, the more you can offer, the better.
At times, your best bet for overcoming the impact of a bad credit score is to find a cosigner with good credit who’s willing to put their name on the application. With this approach, the landlord factors in the financial situation of the other person and gets another place to turn if you miss a payment. As a result, it potentially makes you seem like less of a risk overall.
Finding a roommate to add to the lease could work similarly. There’s a second person associated with the lease, making your bad credit less of a risk overall.
However, you may need a larger unit to be comfortable if there’s an extra person, which could push the total cost up. If the roommate reneges, you could be on the hook for a much larger monthly rent amount, creating a financial hardship that wouldn’t have occurred if you rented a smaller place alone.
Whether a landlord is willing to work with you may vary depending on the rental you’re trying to secure. Apartments or houses overseen by large property management companies are usually less flexible. As a result, if your credit report or score doesn’t meet their minimums, they probably won’t rent to you.
If you have bad credit, you may be better off working with individual landlords with fewer properties. Some may be willing to talk to a tenant who looks higher risk on paper and come to an arrangement. Others may bypass credit checks entirely, allowing you to avoid the issue.
The post How to Pass a Rental Credit Check – Even with Bad Credit appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post The Average Cost of Utilities in the United States appeared first on Flex | Pay Rent On Your Own Schedule.
]]>On average, households owe $115 per month for electricity and around $72 a month for natural gas services. Plus, they typically spend about $83 per month on water, but that’s just the tip of the iceberg.
Precisely what a particular household will pay each month in utilities depends on a wide range of factors, including location, home size, household size, the number of utilities present, and more. If you’d like to take a deeper dive, here’s what you need to know about the cost of utilities in the United States.
While the average electric bill is $115 per month, the actual amount a household may spend varies significantly based on factors such as appliance usage and local temperatures. Additionally, utility companies don’t charge the same amount per kilowatt-hour (kWh). That means two identical households may have drastically different bills simply because they live in different areas.
Here is a quick breakdown of the average electric bill by state according to date from the Energy Information Administration (EIA):
| State | Average Electric Bill |
| Alabama | $162.38 |
| Alaska | $131.04 |
| Arizona | $128.37 |
| Arkansas | $126.56 |
| California | $122.95 |
| Colorado | $89.55 |
| Connecticut | $142.97 |
| Delaware | $118.18 |
| Florida | $132.74 |
| Georgia | $152.57 |
| Hawaii | $171.89 |
| Idaho | $94.43 |
| Illinois | $91.39 |
| Indiana | $131.62 |
| Iowa | $121.38 |
| Kansas | $118.24 |
| Kentucky | $127.44 |
| Louisiana | $139.96 |
| Maine | $93.18 |
| Maryland | $127.53 |
| Massachusetts | $127.60 |
| Michigan | $113.64 |
| Minnesota | $106.94 |
| Mississippi | $144.00 |
| Missouri | $140.29 |
| Montana | $98.81 |
| Nebraska | $113.95 |
| Nevada | $99.86 |
| New Hampshire | $115.43 |
| New Jersey | $108.93 |
| New Mexico | $89.47 |
| New York | $112.69 |
| North Carolina | $124.19 |
| North Dakota | $135.41 |
| Ohio | $116.42 |
| Oklahoma | $112.38 |
| Oregon | $104.49 |
| Pennsylvania | $117.35 |
| Rhode Island | $110.60 |
| South Carolina | $147.49 |
| South Dakota | $135.09 |
| Tennessee | $139.22 |
| Texas | $137.26 |
| Utah | $78.73 |
| Vermont | $106.23 |
| Virginia | $141.26 |
| Washington | $98.56 |
| West Virginia | $132.46 |
| Wisconsin | $99.01 |
| Wyoming | $104.28 |
On average, natural gas services cost United States households a little more than $72 per month. However, like electricity, natural gas bills can vary for a number of reasons. How many household appliances or systems use it is a big factor, as well as where a person lives, the number of people in the household, and the home’s size.
As with per kWh charges, each natural gas utility may charge a different amount per cubic foot of natural gas used, which is usually measured in batches of one hundred (CCF). As a result, similar consumption rates can still lead to significant cost differences based on where a person lives.
Here is an overview of the average gas bill by state:
| State | Average Gas Bill |
| Alabama | $90.79 |
| Alaska | $59.02 |
| Arizona | $87.28 |
| Arkansas | $76.18 |
| California | $62.51 |
| Colorado | $50.57 |
| Connecticut | $84.67 |
| Delaware | $83.41 |
| District of Columbia | $71.14 |
| Florida | $117.57 |
| Georgia | $99.33 |
| Hawaii | $223.07 |
| Idaho | $41.76 |
| Illinois | $57.86 |
| Indiana | $60.85 |
| Iowa | $61.28 |
| Kansas | $72.88 |
| Kentucky | $75.11 |
| Louisiana | $69.65 |
| Maine | $95.42 |
| Maryland | $73.95 |
| Massachusetts | $78.86 |
| Michigan | $50.64 |
| Minnesota | $53.91 |
| Mississippi | $66.20 |
| Missouri | $76.55 |
| Montana | $42.60 |
| Nebraska | $57.36 |
| Nevada | $54.31 |
| New Hampshire | $88.83 |
| New Jersey | $51.11 |
| New Mexico | $50.00 |
| New York | $76.60 |
| North Carolina | $67.87 |
| North Dakota | $55.19 |
| Ohio | $76.11 |
| Oklahoma | $76.19 |
| Oregon | $62.42 |
| Pennsylvania | $73.14 |
| Rhode Island | $89.66 |
| South Carolina | $94.32 |
| South Dakota | $51.29 |
| Tennessee | $62.95 |
| Texas | $73.96 |
| Utah | $47.99 |
| Vermont | $81.40 |
| Virginia | $74.32 |
| Washington | $59.20 |
| West Virginia | $64.52 |
| Wisconsin | $49.74 |
| Wyoming | $55.45 |
On average, households in the United States spend a bit more than $1,000 per year on water, which breaks down to about $83 per month. However, water costs are determined by usage. As a result, there can be some significant differences from one household to the next.
Typically, each American uses around 82 gallons of water daily. Consider that there is an average of 2.53 people per household, and larger families may spend far more than $83 per month on their water services.
Additionally, the type of property you have may be a factor. For example, while apartment dwellers don’t typically have to worry about keeping a lawn green, some homeowners do. As a result, homeowner households may spend more than an apartment household even if the number of residents is the same.
The cost of sewer (wastewater) service can vary dramatically by location. While the average price may be as low as $14 per month in some cities, it can reach upward of $135 in others. However, among major metropolitan areas, the average comes in slightly above $66 per month, giving you a general idea of what to expect cost-wise.
Like water, sewer service charges are usually based on volume. As a result, a household with more members usually sees higher bills.
When it comes to the average cost for garbage pickup, most households pay an amount in the $20 to $80 per month range. Pricing is usually based on the size and number of cans, as well as whether a household chooses add-on services like curbside recycling or yard waste pickup.
While high-speed internet isn’t always viewed as a utility, it’s a necessary expense for many households. Usually, the cost varies depending on service speed, delivery type, provider, and whether the household is renting their equipment. However, when it comes to the average price, the monthly bills commonly fall in the $58 to $91 per month range.
Ultimately, while the exact totals can vary, utilities typically cost households hundreds of dollars each month. As a result, they have the ability to make or break budgets.
However, it’s important to realize that utility bills can vary for a number of reasons. Along with location, household and home size play a role in many cases. If you’re trying to estimate your costs, keep that in mind. That way, you can make sure you don’t underestimate what you may need to pay.
The post The Average Cost of Utilities in the United States appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post How Month-to-Month Leases Work: Everything You Need to Know appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Below, we’ll highlight the differences between a year-long lease and a month-to-month agreement, discuss the pros and cons of a monthly arrangement, and help you decide whether this type of lease is right for you.
A year-long lease is the most common type of lease agreement. With a year-long lease, you and your landlord must uphold the terms of the agreement for the entirety of the lease. There are some caveats to this, but generally speaking, the landlord cannot raise the rent, reduce the amenities listed on the lease, or terminate the lease agreement until the specified end date.
With a month-to-month lease, the terms can be adjusted every 30 days. This offers the landlord the chance to raise the rent, eliminate utilities or amenities from the lease, and more. The landlord must still provide notice to the tenant before any of these changes take effect, but there is nothing stopping them from implementing changes. As such, landlords yield a lot of power due to the flexibility of these arrangements. But so do tenants.
Often, after a tenant’s fixed-term lease expires, the agreement becomes a month-to-month lease unless you opt to sign another year-long lease. If you like your apartment and trust your landlord but aren’t ready to commit to another year-long lease, a month-to-month agreement could be a great option.
The main benefit of month-to-month leases is that they are very flexible. They automatically renew at the end of each month, but there are no penalties for moving out.
If you decide to move out in short order, there will be no fees for leaving your rental early. As long as you provide sufficient notice and leave the rental in good condition, your landlord must return your security deposit and you can be on your way.
If you’re in a transitional phase of life such as trying to buy a house, applying for a promotion in another city, or considering moving in with a significant other, a month-to-month lease could be a strategic option. It would enable you to take advantage of those opportunities without worrying about finding a subletter or paying a penalty for breaking your lease.
In the event that you rent a month-to-month apartment and then decide you’d like to stay long-term, there’s a good chance your landlord will be willing to offer you a year-long lease. After all, if you’re a respectful tenant, your landlord has plenty of incentive to keep you around.
Proposing this to your landlord could give you some bargaining power to negotiate a more competitive rate for rent – but don’t get carried away. If you do this, make sure you’re aware of the current market value for comparable rentals and propose a rate in-line with those prices. Ultimately, switching to a year-long lease agreement will likely save you money.
There are a number of potential downsides to month-to-month leases, and it’s up to you to determine whether you can tolerate them. As much as the flexibility is appealing, remember that it applies to the landlord too, meaning you have no recourse if your landlord abruptly changes the terms of your rental agreement.
If you already have a relationship with your landlord, it will be much easier to decide whether you can navigate a month-to-month lease with them. If you’re working with a new landlord, think carefully about these potential challenges and determine how much risk you’re willing to take on.
One of the main issues with month-to-month leases is that they don’t offer any security. The landlord could terminate the lease at any time and you would have no recourse. If they decide they’d prefer to boot you out and rent the unit as an Airbnb or have a family member move in, there’s nothing stopping them.
All the landlord needs to do is provide sufficient notice and you could find yourself without a place to live. Depending on how competitive the rental market is where you live, this could be a serious concern.
Month-to-month leases sometimes come with higher rent prices. This helps the landlord compensate for the fact that there’s no guarantee that a tenant will stay long-term. Ultimately, lower tenant turnover is more cost-effective for a landlord so long-term lease agreements typically offer more competitive rates.
Before opting out of a year-long lease, do the math to ensure it really makes sense to pay more. If there’s a chance you’ll be in your rental for a year, it may be worth sacrificing some flexibility for the stability and a lower rate. That said, month-to-month rental agreements don’t always mean higher prices, especially if they come into effect following a year-long lease.
When there is no long-term lease agreement in place, a landlord can raise the rent as often as they like as long as they provide sufficient notice. Usually landlords must provide 30, 60, or 90 days’ notice before they can increase the rent; the laws vary from state to state so make sure you check what they are where you live.
Additionally, there are no limits on how much the landlord could potentially raise the rent. While they are likely constrained by the market-value of the unit, there’s still a chance that your landlord could raise the rent significantly over the course of a year, especially if you live in a desirable area.
A month-to-month lease is subject to all kinds of changes. As long as the landlord provides the minimum notice, they can add or remove provisions to your month-to-month lease at will. This could mean that utilities that were once covered under your rent could be removed, increasing your monthly cost of living significantly. The landlord could also remove provisions like parking, permissions to have pets, gardening services, and more.
If you have a good relationship with your landlord the chance of them changing the terms abruptly is probably unlikely, but you should keep it in mind.
Even though month-to-month leases have a number of objective disadvantages, they are practical in certain circumstances.
If you know that you’d like to live in an apartment long-term, a yearly lease is preferable because the rent and the terms of the lease will stay the same for the duration of the agreement. You’ll likely save money and you’ll have peace of mind knowing your housings costs will remain stable all year.
For those that need a little flexibility, a month-to-month lease can be a good idea. For instance, if you’re in the process of buying a home, a month-to-month lease would give you the flexibility to move out early without risking a fee for terminating your lease agreement early. Or, if you’re new in town and not sure which neighborhood is the right fit for your lifestyle, a month-to-month rental gives you the option to move if you’re unhappy.
Ultimately, if you’re looking for the freedom to pivot, month-to-month leases are a great way to secure an apartment. As long as you’re informed about the disadvantages of this leasing arrangement you can be prepared to confront any challenges that arise.
The post How Month-to-Month Leases Work: Everything You Need to Know appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post How to Deal with Unreasonable Noise Complaints appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Whether they’ve made unreasonable noise complaints to your landlord, local law enforcement, or you directly, there are steps you can take to diffuse the situation. If you’re being targeted by unreasonable noise complaints, here’s how to deal with the situation.
Before you do anything else, you need to take a moment to make sure that the noise complaints are genuinely unreasonable. There’s a chance that you are violating a rule even if the sounds don’t seem overly loud to you, which makes checking a must.
Begin by researching local noise ordinances in your area. In most cases, noise ordinances are set at the city or county level, so it’s best to start your search there.
You’ll typically find volume limits within a noise ordinance, such as a maximum decibel level or maximum amount of distance a sound emanating from a residential spot can be before being considered a nuisance. Additionally, you may find quiet hours, a period during which the noise-related rules are stricter.
Review the rules and assess your past behavior honestly. That way, you can determine whether you’re violating local laws.
Another step you need to take to see if the noise complaints are unreasonable is reviewing your lease. In close-quarters housing – such as apartment buildings and townhouses – landlords often put disturbance or noise-related clauses in the lease agreements to help keep the peace.
In some cases, disturbance or noise clauses mimic local law. However, some landlords have more stringent policies in place. As a result, you need to review your lease to confirm whether the noise coming from your unit is potentially excessive.
As you prepare for additional actions, it’s important to adopt the right mindset. There is a chance that a volume level you deem reasonable would broadly be considered bothersome by others.
Noise preferences and sensitivities vary from one person to the next. As a result, it’s best to avoid labeling your neighbor as “unreasonable” in your mind. If you do, you may approach the situation from a place of resentment or defiance instead of being solution-oriented, something that can make a challenging issue worse.
Instead, assume that the neighbor isn’t unreasonable and, instead, simply has a different view of the situation. That way, you can handle things with a better mindset.
If the noise complaints focus on one sound source, see if you can make any simple adjustments to limit it. For example, you could try closing your windows to prevent the noise from being audible outside your unit. Moving speakers off of the floor and away from walls may help if they are the noise source.
Consider where the sound originates from, as well as how it may travel through your unit and into the neighbor’s home. That way, you can see if any easy adjustments could resolve the issue.
Have a calm conversation with your neighbor once you determine whether you’ve been violating local noise ordinances or the lease. If it isn’t clear from the complaints that have been levied against you, you need to determine what kind of noise has been bothering them and why the sound led to a complaint.
There’s a chance that your neighbor is in a unique situation that’s made them noise-sensitive. For example, maybe they work nights and have to sleep during the day. Perhaps they have a newborn that is struggling to sleep through errant sounds.
Let your neighbor know that you’re there to help find a solution to the issue. See if they’ll clue you in to the reasoning and motivations behind their noise complaints, giving you a starting point.
If they do, spend a moment discussing why the noise is occurring. Don’t attempt to justify activity they perceive as you being a nuisance. Instead, talk about what was taking place (if it wasn’t clear to them what was causing the sound), as well as why you handle those tasks in your unit at that particular time.
By sharing your side without attempting to excuse actions they perceive as an issue, they may determine that their complaints were unreasonable on their own. For example, if an appliance that came with the unit is responsible, they may see that you’re not trying to be bothersome. Additionally, if you can’t fix the issue or replace the appliance, they may realize that the noise is out of your control.
When in doubt, start this part of the conversation with an apology. For example, if a loud fridge is to blame, you could say, “I’m sorry about the noise. It appears to be coming from the refrigerator when the condenser is running.”
If the noise situation is something you can control, consider compromising with the neighbor. If you can adjust the noise level, talk with them to determine what volume may not be as bothersome. Remember, just because you find a noise level reasonable doesn’t mean others feel the same, so be open to adjusting the volume as a means of keeping the peace.
For sounds that you can’t control the volume of, such as the sound of a vacuum cleaner, figure out if there is a particular time of day when the noise wouldn’t be an issue that also works with your schedule. This may take a little back and forth in some cases, particularly if you work outside of the home and are only in the unit at specific times. But it’s a discussion worth having if you want to resolve the situation.
Having each other’s contact information can help quell the noise complaints. For one, if the neighbor has an issue with the noise, they can reach out to you directly. That way, you can try to resolve the issue without involving other parties.
For another, you can give the neighbor advanced notice if you’re planning a potentially loud activity. Similarly, you can use it to discuss when would be convenient for a noisy task to happen, effectively continuing negotiations on an activity-by-activity basis.
Whether your landlord has been involved up to this point or not, if you’ve spoken with your neighbor and made reasonable adjustments and they still aren’t appeased, you need to get your landlord involved. Let them know the situation that’s been unfolding, as well as any efforts you’ve made to address the issue. Additionally, provide evidence showing that the noise wasn’t unreasonable if you have it available.
In some cases, your landlord will have options for addressing issues that aren’t available to you. For example, they may be able to replace or repair a noisy appliance or add soundproofing to the building.
Plus, if the neighbors repeated unjustified complaints are considered harassment, and that is a violation of the lease, the landlord can handle that. It isn’t uncommon for leases to have behavior-related clauses, particularly for apartment buildings or other close-quarters situations. Often, you can check yours to see if that’s the case and, if the neighbor is violating one of those rules, make the landlord aware of that, too.
If you’ve made every reasonable effort to keep the noise down and local law enforcement and your landlord agree that the sound isn’t out of line, you may need to file a harassment complaint. While this should be used as a last resort and may not alter their behavior, it does create proof that the situation is occurring.
Similarly, you may be able to sue your neighbor for harassment. With this, you’ll want evidence that you’ve taken reasonable steps to address the noise, as well as proof that the landlord and local authorities did not find an issue when responding to noise complaint calls.
Additionally, if you have proof that you spoke with the neighbor and attempted to appease them, that works in your favor. This is especially true if you continuously made adjustments at their request, but that didn’t stop the complaints.
However, a lawsuit should also be considered a last resort. Often, the process can be cumbersome and costly. But if you have no other recourse, it’s worth considering.
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]]>The post The Average Gas Bill: By State, Household, and More appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Location, home size, and time of year might all play a role in natural gas usage, leading to bill variances not just between homes but also from one month to the next. Additionally, two identical houses with different numbers of occupants could see notable differences in what they owe.
One of the biggest factors in a household’s gas bill is where they live. Natural gas utility companies typically charge by the cubic foot, typically charging in batches of one hundred (CCF). There isn’t a set amount that utilities can charge per CCF. As a result, each state and utility company may have different rates for natural gas, causing two households with the same level of usage to have dramatically different bills.
Here is an overview of the average gas bill by state:
| State | Average Gas Bill |
| Alabama | $90.79 |
| Alaska | $59.02 |
| Arizona | $87.28 |
| Arkansas | $76.18 |
| California | $62.51 |
| Colorado | $50.57 |
| Connecticut | $84.67 |
| Delaware | $83.41 |
| District of Columbia | $71.14 |
| Florida | $117.57 |
| Georgia | $99.33 |
| Hawaii | $223.07 |
| Idaho | $41.76 |
| Illinois | $57.86 |
| Indiana | $60.85 |
| Iowa | $61.28 |
| Kansas | $72.88 |
| Kentucky | $75.11 |
| Louisiana | $69.65 |
| Maine | $95.42 |
| Maryland | $73.95 |
| Massachusetts | $78.86 |
| Michigan | $50.64 |
| Minnesota | $53.91 |
| Mississippi | $66.20 |
| Missouri | $76.55 |
| Montana | $42.60 |
| Nebraska | $57.36 |
| Nevada | $54.31 |
| New Hampshire | $88.83 |
| New Jersey | $51.11 |
| New Mexico | $50.00 |
| New York | $76.60 |
| North Carolina | $67.87 |
| North Dakota | $55.19 |
| Ohio | $76.11 |
| Oklahoma | $76.19 |
| Oregon | $62.42 |
| Pennsylvania | $73.14 |
| Rhode Island | $89.66 |
| South Carolina | $94.32 |
| South Dakota | $51.29 |
| Tennessee | $62.95 |
| Texas | $73.96 |
| Utah | $47.99 |
| Vermont | $81.40 |
| Virginia | $74.32 |
| Washington | $59.20 |
| West Virginia | $64.52 |
| Wisconsin | $49.74 |
| Wyoming | $55.45 |
It’s important to note that the cost per CCF isn’t all that can lead to variances in natural gas bills. The number of systems or appliances that typically rely on natural gas may vary between states. For example, natural gas stoves, water heaters, clothes dryers, and heating systems are more common in some regions than others, resulting in increased consumption that in turn causes higher average bills.
Additionally, weather conditions can play a role. Colder areas where natural gas-supported heat systems are common will have higher usage than warm states that don’t rely on gas for heat. As a result, the bills in states with harsher winters may be higher if natural gas is the primary energy source for staying warm.
Another factor that can impact a home’s gas bill is its physical size. While the difference is less pronounced in houses that don’t rely on natural gas for heat, bigger homes can still come with larger gas bills for other reasons.
For example, bigger houses typically have larger hot water heaters. If the water heater uses gas, the bigger the tank, the more energy it takes to keep the water suitably hot.
Similarly, larger homes may have bigger households. That can impact the use of gas stoves and ovens, as well as clothes dryers and water from hot water heaters.
Here is a look at the average gas bill based on an apartment’s size and the number of residents:
| Apartment Type | Number of Residents | Average Gas Bill |
| Studio | 1 | $45.00 |
| One-Bedroom | 1 | $47.00 |
| One-Bedroom | 2 | $51.00 |
| Two-Bedroom | 2 | $56.00 |
| Three-Bedroom | 2 | $60.00 |
| Three-Bedroom | 3 | $65.00 |
As mentioned above, natural gas usage can vary during different times of the year. If natural gas is used as a heat source, the household’s bill will usually rise during the winter. Mainly, this is because they’ll use more gas to stay warm.
However, some areas with fluctuating utility rates may see their natural gas bills rise during the winter even if their usage remains modest. While it isn’t universally the case, some utility companies charge more when demand increases. As a result, natural gas users in colder states might see surge-related bill increases.
As temperatures fall during the spring, gas bills tend to drop. Surge-style pricing may go away, and usage typically declines.
There can be some exceptions, though. For instance, some households may see summer bill increases related to a natural gas barbecue grill. If they end up grilling more often than they’d typically use their oven or stovetop, their monthly gas bill might edge up.
Just as you see with electric appliances and home systems, the efficiency of any natural gas appliances or systems does impact a household’s gas bill. For example, houses that use Energy Star-rated gas furnaces will have lower bills than identical homes and households that use a less efficient model.
Since the appliances and systems themselves can play a significant role in the equation, focusing on energy efficiency when replacing old or broken down ones is usually a smart move. While the exact amount of savings can vary depending on usage and local rates, the monthly savings can be significant.
Additionally, by transitioning from electric to gas appliances, a household may also save a bundle. Typically, electric appliances are more costly to operate than their natural gas brethren. As a result, a household could potentially save up to 30 percent on their utility costs by making the switch.
In the end, the average gas bill in the United States isn’t incredibly high. However, natural gas can get quite expensive in some states for a number of reasons. Some charge higher rates overall, while others may see increased usage due to the weather. Plus, home and household size can have an impact. As a result, it’s essential to keep all of that in mind when you’re estimating what you may pay for your natural gas service.
The post The Average Gas Bill: By State, Household, and More appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post The Average Electric Bill: By State, Household, and More appeared first on Flex | Pay Rent On Your Own Schedule.
]]>If you want to look below the overall average electric bill and see how various factors impact this typical household expense, here’s what you need to know.
Where you live plays a big role when it comes to your electric bill. Different states and utility companies may charge different amounts per kilowatt-hour (kWh). As a result, two identical households residing in comparable homes under the same weather conditions but not in the same state may have dramatically different electric bills.
Here is a look at the average electricity bill by state, based on the most recent report from the Energy Information Administration (EIA):
| State | Average Electric Bill |
| Alabama | $162.38 |
| Alaska | $131.04 |
| Arizona | $128.37 |
| Arkansas | $126.56 |
| California | $122.95 |
| Colorado | $89.55 |
| Connecticut | $142.97 |
| Delaware | $118.18 |
| Florida | $132.74 |
| Georgia | $152.57 |
| Hawaii | $171.89 |
| Idaho | $94.43 |
| Illinois | $91.39 |
| Indiana | $131.62 |
| Iowa | $121.38 |
| Kansas | $118.24 |
| Kentucky | $127.44 |
| Louisiana | $139.96 |
| Maine | $93.18 |
| Maryland | $127.53 |
| Massachusetts | $127.60 |
| Michigan | $113.64 |
| Minnesota | $106.94 |
| Mississippi | $144.00 |
| Missouri | $140.29 |
| Montana | $98.81 |
| Nebraska | $113.95 |
| Nevada | $99.86 |
| New Hampshire | $115.43 |
| New Jersey | $108.93 |
| New Mexico | $89.47 |
| New York | $112.69 |
| North Carolina | $124.19 |
| North Dakota | $135.41 |
| Ohio | $116.42 |
| Oklahoma | $112.38 |
| Oregon | $104.49 |
| Pennsylvania | $117.35 |
| Rhode Island | $110.60 |
| South Carolina | $147.49 |
| South Dakota | $135.09 |
| Tennessee | $139.22 |
| Texas | $137.26 |
| Utah | $78.73 |
| Vermont | $106.23 |
| Virginia | $141.26 |
| Washington | $98.56 |
| West Virginia | $132.46 |
| Wisconsin | $99.01 |
| Wyoming | $104.28 |
It’s critical to point out that per kWh rates aren’t all that’s in play here. For example, Alabama’s per kWh rate is actually fairly low. However, the state often deals with long, hot summers, so residents rely heavily on air conditioning to stay comfortable for much longer than some other states, pushing their average up.
The size of a home can also play a significant role when it comes to the size of an electric bill. When there is more square footage, you usually have more lighting, more outlets (which can mean a larger number of plugged in devices), and a greater strain on HVAC systems.
If you extrapolate based on an average per square foot (sq. ft.) cost of $0.06, you can get a solid estimate of the average electric bill based on home size. Here’s a look at the average electric bill based on a home’s square footage:
| Square Footage | Average Bill |
| 500 | $30.00 |
| 1000 | $60.00 |
| 1500 | $90.00 |
| 2000 | $120.00 |
| 2500 | $150.00 |
| 3000 | $180.00 |
However, it’s important to note that $0.06 per sq. ft. is just an average. Some states may have electric prices that work out as high as $0.13 per sq. ft. or more, while others may come in as low as $0.03 per sq. ft.
Here is a breakdown that more closely reflects the pricing based on fluctuations in the rates in each state based on a data analysis completed by CallMePower.com:
| 500 sq. ft. | 1000 sq. ft. | 1500 sq. ft. | 2000 sq. ft. | 2500 sq. ft. | 3000 sq. ft. | |
| Alabama | $41.79 | $83.58 | $125.38 | $167.17 | $208.96 | $250.75 |
| Alaska | $35.58 | $71.15 | $106.73 | $142.30 | $177.88 | $213.45 |
| Arizona | $34.62 | $69.24 | $103.86 | $138.48 | $173.11 | $207.73 |
| Arkansas | $30.54 | $61.08 | $91.62 | $122.17 | $152.71 | $183.25 |
| California | $31.36 | $62.72 | $94.08 | $125.44 | $156.80 | $188.16 |
| Colorado | $19.54 | $39.07 | $58.61 | $78.15 | $97.68 | $117.22 |
| Connecticut | $41.77 | $83.54 | $125.31 | $167.08 | $208.86 | $250.63 |
| Delaware | $33.10 | $66.20 | $99.30 | $132.40 | $165.50 | $198.60 |
| Florida | $38.27 | $76.53 | $114.80 | $153.07 | $191.34 | $229.60 |
| Georgia | $33.58 | $67.16 | $100.74 | $134.33 | $167.91 | $201.49 |
| Hawaii | $64.25 | $128.50 | $192.75 | $257.01 | $321.26 | $385.51 |
| Idaho | $24.28 | $48.57 | $72.85 | $97.13 | $121.42 | $145.70 |
| Illinois | $28.30 | $56.60 | $84.90 | $113.20 | $141.50 | $169.80 |
| Indiana | $34.66 | $69.31 | $103.97 | $138.62 | $173.28 | $207.93 |
| Iowa | $34.85 | $69.70 | $104.55 | $139.41 | $174.26 | $209.11 |
| Kansas | $31.78 | $63.56 | $95.34 | $127.12 | $158.89 | $190.67 |
| Kentucky | $34.31 | $68.62 | $102.93 | $137.23 | $171.54 | $205.85 |
| Louisiana | $33.79 | $67.58 | $101.37 | $135.16 | $168.95 | $202.74 |
| Maine | $30.23 | $60.45 | $90.68 | $120.90 | $151.13 | $181.35 |
| Maryland | $33.31 | $66.63 | $99.94 | $133.25 | $166.56 | $199.88 |
| Massachusetts | $36.09 | $72.18 | $108.28 | $144.37 | $180.46 | $216.55 |
| Michigan | $32.75 | $65.51 | $98.26 | $131.02 | $163.77 | $196.53 |
| Minnesota | $27.08 | $54.17 | $81.25 | $108.34 | $135.42 | $162.51 |
| Mississippi | $36.15 | $72.31 | $108.46 | $144.62 | $180.77 | $216.93 |
| Missouri | $35.70 | $71.41 | $107.11 | $142.81 | $178.52 | $214.22 |
| Montana | $23.39 | $46.78 | $70.17 | $93.56 | $116.95 | $140.34 |
| Nebraska | $31.53 | $63.06 | $94.59 | $126.11 | $157.64 | $189.17 |
| Nevada | $34.96 | $69.91 | $104.87 | $139.83 | $174.79 | $209.74 |
| New Hampshire | $33.95 | $67.90 | $101.84 | $135.79 | $169.74 | $203.69 |
| New Jersey | $30.19 | $60.39 | $90.58 | $120.77 | $150.96 | $181.16 |
| New Mexico | $21.77 | $43.55 | $65.32 | $87.09 | $108.87 | $130.64 |
| New York | $29.37 | $58.73 | $88.10 | $117.46 | $146.83 | $176.19 |
| North Carolina | $34.24 | $68.47 | $102.71 | $136.94 | $171.18 | $205.42 |
| North Dakota | $31.95 | $63.91 | $95.86 | $127.82 | $159.77 | $191.73 |
| Ohio | $33.38 | $66.76 | $100.14 | $133.52 | $166.90 | $200.28 |
| Oklahoma | $32.63 | $65.25 | $97.88 | $130.50 | $163.13 | $195.76 |
| Oregon | $28.19 | $56.38 | $84.56 | $112.75 | $140.94 | $169.13 |
| Pennsylvania | $33.96 | $67.92 | $101.89 | $135.85 | $169.81 | $203.77 |
| Rhode Island | $36.02 | $72.05 | $108.07 | $144.10 | $180.12 | $216.15 |
| South Carolina | $39.20 | $78.40 | $117.60 | $156.80 | $196.00 | $235.21 |
| South Dakota | $30.39 | $60.79 | $91.18 | $121.57 | $151.97 | $182.36 |
| Tennessee | $35.80 | $71.61 | $107.41 | $143.21 | $179.02 | $214.82 |
| Texas | $33.01 | $66.01 | $99.02 | $132.02 | $165.03 | $198.04 |
| Utah | $16.41 | $32.81 | $49.22 | $65.62 | $82.03 | $98.43 |
| Vermont | $26.77 | $53.54 | $80.31 | $107.09 | $133.86 | $160.63 |
| Virginia | $35.72 | $71.45 | $107.17 | $142.89 | $178.61 | $214.34 |
| Washington | $24.83 | $49.65 | $74.48 | $99.31 | $124.13 | $148.96 |
| West Virginia | $35.56 | $71.12 | $106.68 | $142.24 | $177.80 | $213.36 |
| Wisconsin | $28.62 | $57.23 | $85.85 | $114.46 | $143.08 | $171.70 |
| Wyoming | $23.52 | $47.04 | $70.56 | $94.08 | $117.60 | $141.13 |
While the physical size of a home can alter a household’s electric bill, so does the number of people that reside in the house.
When there are more people present, electricity usage rises. There could be more electric devices running and longer device usage. Hot water might get used more frequently, causing the hot water heater to spend more time heating colder water. Cooking meals for everyone could require more electric stove burners, resulting in extra electricity usage.
Now, how much the electric bill changes usually isn’t as dramatic as you might think. For example, turning a one-person household into a two-person household doesn’t cause the electric bill to double.
Mainly, that’s because two people aren’t using double the devices, lights, hot water, and everything else of a single-person household. Instead, they increase total usage by a smaller percentage.
For example, in a one-bedroom apartment, the electric bill difference going from a one-person to a two-person household is just $6 on average. With a three-bedroom apartment, the difference between two and three occupants averages out to $6, too.
Usually, the increase is relatively small on a per-bill basis. However, over time, it can certainly add up, making it an important point to consider.
Electric bills usually fluctuate during the year. During the heat of summer and cold of winter, usage goes up. People use their HVAC systems, wall heaters, window ACs, or similar devices to remain comfortable. In many cases, temperature-controlling systems require a lot of power to operate, leading to higher electric bills.
During more temperate times of year – usually, in the spring and fall – usage declines. Households may not need to use an AC or heater to stay comfortable, so their power drawn dips significantly, resulting in lower bills.
However, while part of the bill fluctuations is based on shifts in usage, that isn’t the only factor in some cases. Depending on where a person lives, per kWh rates may also change from one season to the next.
During the summer of 2020, around one-third of the country saw their electric bills shift up by at least 10%. While some of that was usage-based, in cities or states with variable electricity rates, many utility companies bump up prices in response to the rise in demand. As a result, even if usage didn’t go up, bills still can.
In some areas, larger increases during the summer aren’t uncommon. For example, in some parts of Iowa, rates are 20% higher between mid-May and mid-September specifically because of the increase in demand.
However, some people do live in areas that have flat-rate per kWh billing. In those cases, shifts are only related to changes in usage and not shifts in local rates.
Another factor in the energy bill equation is the kinds of appliances a household uses. Overall, homes with Energy Star appliances may reduce their electricity usage by 10 to 50%. As a result, two households that are functionally identical except for when it comes to their appliances can have dramatically different electric bills.
The exact difference varies depending on the energy efficiency of the appliances and local utility rates. However, many households save hundreds of dollars a year by switching from old appliances to Energy Star-rated alternatives.
Ultimately, the average electric bill in the U.S. doesn’t seem overly high. However, there are many factors in play that lead people to pay far different rates. While where you live, and the size of your property are usually the biggest influencers, others points matter, too.
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]]>The post 10 Ways to Lower Your Electric Bill appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Luckily, many energy-saving moves aren’t inconvenient. Plus, many are inexpensive – or completely free – to implement. If you want to spend less every month, here are ten ways to lower your electric bill.
Some electronics still draw electricity even when you aren’t actively using them. Nicknamed “energy vampires,” they draw varying amounts of power simply because they are plugged in, even if they are in “standby” or a similar mode. As a result, these devices and appliances can have a significant impact on your electricity bill, especially when you have many of them plugged in all day, every day.
Classic examples of energy vampires include:
Usually, anything with a display that’s always on, such as a clock you can use even when the device isn’t completely on, could be an energy vampire. Additionally, anything that is instant-on with a remote often qualifies.
By unplugging your energy vampires, you can reduce your electricity consumption significantly. The exact amount of savings will depend on the number of devices or appliances, your local utility rates, and how much energy they draw when in standby mode. But you may be able to save up to 10% on your electric bill.
You can also save money by investing in smart power strips. These stop the phantom draw when the device isn’t in use, reducing your energy consumption without having to physically unplug the devices.
Cracks around doors and windows and poor insulation can have a substantial impact on your energy bill. By air sealing your home and bumping up your insulation, you may be able to snag a savings of around 15% on your heating and cooling expenses.
Begin by examining your windows and doors. See if the caulk is damaged and, if so, replace it. Similarly, look for light coming in around your exterior doors. If you see any, you might need new weatherstripping or door sweeps, allowing you to block the gaps.
Insulation can be a bit trickier to assess, depending on the type and location. The standards for blown, batt, rolled, and spray foam insulation are all different. Plus, different versions of each kind of insulation may have different R-values, also altering how much you need.
Before you start adding new insulation, research what’s currently in place. That way, you can determine if you need to add more to meet energy-efficiency standards, as well as whether you need to remove any existing insulation before you put anything new in place.
Electric hot water heaters use quite a bit of energy overall. However, the amount of power they need to heat water is usually higher than is required to maintain the temperature of water in the tank after it’s heated.
By using colder water whenever possible, you can reduce your electricity costs. Wash your laundry with cold water unless warm or hot is genuinely required. If you do dishes by hand, keep the water cooler then, too. Taking colder showers also makes a difference.
Similarly, turning the temperature on your hot water heater down saves electricity. Usually, manufacturers default to 140°F, a temperature that isn’t just higher than necessary but one that could also be a safety hazard.
Shifting down to 120°F isn’t just safer, it’s more energy efficient. You could save up to 22% of its energy cost, depending on the hot water heater you use. The tanks won’t have to reach or maintain the same amount of heat after the change. As a result, it takes less electricity to keep it running.
If you want to lower your electricity bill, rethink how you dry clothing after it’s washed. If you want to use a dryer, choose a lower temperature. When you don’t use high heat, it costs less to run the dryer.
Additionally, only use heat-based drying settings at night. Since the heat radiates off of the dryer, it can put additional strain on your air conditioning system during warm months. By waiting until nighttime when the outside temperature is cooler, it reduces the strain.
During the winter, using heat-based dryer settings warms your home when it’s the coldest outside. As a result, your heating system doesn’t have to work as hard to heat your home.
However, if the weather is nice outside or your home is at a moderate temperature, consider skipping the dryer entirely. By air-drying your clothes on a line outside or a rack in a spare room, you eliminate all of the energy costs of running your dryer. Plus, it may help your clothing last longer, which can save you even more money.
If you want to keep your heating and cooling costs down, a programmable thermostat can make a real difference. You can set different temperatures depending on the time, day, and season, allowing you to reduce your energy use strategically.
One way that people use programmable thermostats to save is to adjust the temperature of their home when they aren’t there. For example, instead of cooling your house to 72°F all day, you could bump it up to 78°F while you’re at work. Then, you can shift it back to a lower temperature right before you’d get back home, allowing you to stay comfortable while saving energy during the middle of the day.
You could also set up the thermostat to keep your house cooler during the winter while you’re sleeping. Then, you can schedule it to bring the temperature up to something more comfortable right before you get up, allowing you to enjoy the start of your day without an unnecessary chill.
Usually, the savings will offset the cost of installing the thermostat fairly quickly. Plus, programmable thermostats have long lifespans, allowing you to continue to capture cost reductions with minimal effort for years, if not decades, to come.
Switching all of your light bulbs to LEDs can result in a significant savings on its own. An LED uses less energy to operate than incandescent versions, so you could see bill reductions just by making that switch.
However, if you go the extra mile and choose smart LEDs, you may have the opportunity for more savings. When you connect the bulbs to your home network, you can typically control them using a convenient smartphone app. With that connection, you can turn the lights on and off remotely, as well as schedule them to come on or turn off in advance.
One of the benefits of the remote connectivity is that you can make sure that all of your lights are off when they aren’t in use. You can check them from work or school, making changes with a simple tap. Plus, you can leave the lights off all day but turn them on before arriving home at night. That way, you don’t have to worry about returning to a dark house.
A dirty HVAC air filter taxes your heating and cooling system, causing it to use far more energy to operate. By replacing your filters more frequently, you ensure greater efficiency, leading to a lower electric bill. In most cases, HVAC air filters are incredibly inexpensive. Plus, you can buy them in bulk, reducing the per-filter cost even more.
How often you should change your HVAC filter could depend on a number of factors, including air conditions in your area, how much you’re using the system, the kind of filter you’re using, and more. However, making a switch every month or two is usually a smart move if operational efficiency is your primary goal.
Blinds on your windows can actually play a big role in lowering your electric bill. By keeping them shut, they can keep cold air out in the winter and hot air out in the summer.
Plus, by adjusting the angle, you can make them more effective. During the summer, you want the tops close to the windows, covering them with the bottom of the piece above. That directs warm air out, helping to keep your home cooler.
In the winter, the opposite position is best. By switching the blind angle, warm air stays inside, helping to keep your home more comfortable while lowering your energy use.
Even if you only leave the blinds fully closed when you aren’t at home, it can make a difference. So, consider shutting them when you’re at work or school, allowing you to use less energy while you’re home is empty.
Many utility companies will actually give you personalized suggestions to help you lower your electricity costs. If you’re a homeowner, your local electricity provider may be able to conduct an energy audit for free. During the appointment, they’ll examine various aspects of your home and look for areas where improvements could be made.
Usually, the energy audit will reveal air leaks or spots where your insulation is low. Along the way, they’ll identify problem areas and give you suggestions about how you can fix the problems. However, you may get a variety of other suggestions beyond air sealing and insulating tips, allowing you to get expert advice at no cost to you.
If you live in a deregulated market, you can usually choose between several electricity providers. By comparing the rate plans available through the various local utility services, you may be able to find a rate that reduces what you owe each month.
As you research your options, review any contract details carefully. Term lengths can vary significantly, ranging from 12 months to three years, usually.
Additionally, how you’re charged can vary. Some contracts involve flat-fee pricing, charging you a set amount to have access to a specific number of kWh. If you use less than your allotment, you still pay for all of the allotted kWh. However, if you go over the allotment, the cost per kWh can go up dramatically.
Others don’t use flat-fee pricing. With those, you’ll pay for each kWh used, ensuring you don’t pay for the electricity you didn’t need. However, there are still limits for the most favorable rates and, if you exceed the contracted kWh total in a given period, the price per kWh also rises significantly.
It’s also important to note that wholesale electricity prices can surge, resulting in shockingly high bills. The most prime example of this occurred in Texas in early 2021, when a winter storm caused electricity prices to spike. Make sure to review your contracts to see how wholesale price changes impact your cost, allowing you to anticipate sudden increases should uncommon weather events occur.
Ultimately, all of the tips above are great ways to lower your electric bill. By using several of them together, you may be able to make a large dent in one of your recurring expenses, freeing up space in your budget for other things.
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]]>The post 10 Reasons Why Your Electric Bill is So High appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Below, we’ll cover some of the most common reasons why your electricity bill is so high, along with actionable tips for reducing your usage. Let’s dig in!
As you know, your lights and appliances all use energy, but you may not realize how much. As a kid, you probably found it irritating when your parents would hiss “turn the lights off when you leave a room!” but now that you’re the one paying the electricity bill, it’s easy to see where they were coming from.
Lights are a fairly obvious power suck, but you may not realize how much energy your appliances consume, even when you’re not using them. Leaving your toaster, coffee maker, microwave, printer, etc., perpetually plugged in may seem inconsequential, but they each add to your power consumption. Most of these appliances don’t have an off switch but rather just sit in standby mode, which still uses energy. Any appliance with a screen or clock is an obvious culprit, but even items without those features leech power when plugged in.
How to Reduce: Make a habit of switching lights off whenever you leave the room and practice unplugging any appliances you don’t use regularly. Sure, it’s handy to leave your printer plugged in, but if you only use it once or twice a month, it’s just slurping power the rest of the time.
If your light fixtures are all sporting traditional incandescent bulbs, they’re consuming far more energy than necessary. There are all kinds of high-efficiency lightbulbs on the market today, and they can save you a surprising amount of money.
Look for halogen incandescents, compact fluorescent lamps (CFLs), and light-emitting diodes (LEDs) to save energy. These bulbs use anywhere from 25 to 80% less energy than traditional incandescent bulbs and last up to 25 times longer.
Be warned: energy-efficient bulbs have a higher price point than the traditional incandescents, but they are worth the investment, given that they last far longer and use far less energy.
How to Reduce: Begin replacing your old lightbulbs with new, energy-efficient ones. If you’re on a budget, start by replacing the bulbs in your most-used fixtures first and replace the bulbs throughout the rest of your home when you can.
It’s tempting to keep your A/C running all summer and your heat running all winter, but being cavalier with your thermostat is a sure way to drive your electricity bill to new heights. While it’s tempting to leave the heat or A/C on while you’re at work all day so you can come home to a comfortable house, it’s sure to cost you.
How to Reduce: Instead of cranking the heat when you’re cold, put a thicker sweater on or invest in a throw blanket. In the summer, use your A/C as minimally as possible. Can you get by with just a ceiling fan? Give it a try!
Consider investing in a programmable thermostat so you can set the system to limit the heat or A/C use when you’re at work and activate it just before you come home. That way you’ll always be comfortable, and you’ll save on electricity!
A poorly insulated home isn’t as efficient when it comes to heating or cooling. Things like gaps around doors, windows that don’t close properly, single-pane windows, or lack of insulation in the walls, floor, or ceiling make it challenging to keep the climate in your home stable. This means your heating and cooling system has to work overtime just to maintain your ideal temperature, all the while driving up your electricity bill.
How to Reduce: If you have single-pane windows, invest in efficient window coverings. Thick curtains or blinds can go a long way in helping maintain the interior temperature. If window and door frames are the issue, look for ways to fill gaps with caulking or tighter framing. If your windows don’t close properly, mention them to your landlord. They might be willing to pay for a fix or replacement in the name of improving efficiency.
It is said that household appliances like washers, dryers, and refrigerators likely account for up to 20% of your electricity bill. While the “if it ain’t broke, don’t fix it” mentality is generally a good way to save money, it could actually cost you when it comes to appliances.
How to Reduce: Consider replacing your older appliances with newer, more efficient ones. Even though it’s a big investment, the savings may be worth it. If your landlord owns the appliances, research the efficiency rates of a newer option and present your findings to them. They may be willing to replace them if you can make a compelling, data-based case for it.
Depending on your utility company, you may pay different rates for electricity at different times throughout the day. This is known as a time-of-use (TOU) pricing model. With this type of plan, you will pay more for energy used at peak times and less for that consumed during off-hours.
According to the Energy Information Administration (EIA), peak hours are typically between 7 am and 11 pm. That means you’ll pay more for the power you consume during the day. If you have a traditional work schedule, it’s likely tough to avoid using energy during these peak hours, but it’s worth trying!
How to Reduce: Study your electricity bill to determine what type of pricing model you are on. Then, if possible, adjust your electricity use, so the bulk of your use is outside of peak hours. You may be able to program appliances like washers, dryers, and dishwashers (all of which use significant amounts of energy) to begin their cycles outside of the peak hours.
House guests can cause surprising increases in your utility bills, especially if you find yourself being a frequent host or have guests who stay for a long time—having one or two extra people in your household results in a significant increase in your electricity use.
You’ll likely be running your dishwasher more frequently, your guests will bathe, requiring an increase in hot water, and they may even use your laundry facilities. On top of that, your guests will probably bring along power-hungry devices that they will plug in during their visit. And, if your visitors have access to their own thermostat controls, there’s no telling what they may do.
How to Reduce: It can be difficult to reduce the amount of electricity your guests consume while still being a conscientious host. A lot of it may be out of your control. However, you can limit your guests’ urge to crank the heat in their bedroom by providing plenty of cozy blankets for them. Or, if you’re hosting summer visitors, put a pedestal fan in the guest room to discourage the use of air conditioning. It will still use electricity, but less than your HVAC system.
Unsurprisingly, your energy use will fluctuate as the seasons change. In the summer, longer daylight hours might mean you don’t turn your lights on until later in the day. But, depending on where you live, you may need to run your air conditioning to keep your home cool. At the same time, you may travel more during summer or spend more time out of the house and use your stove less, which reduces your energy use in other areas.
Similarly, the daylight hours are shorter in the winter, so you’ll turn your lights on more. If you live in a cold climate, you’ll require more heat. You may also spend more time at home, watching television, or baking seasonal goodies, which could lead to an overall increase in your electricity usage.
Extreme weather patterns, such as heatwaves or winter storms, also affect your energy use. Winter storms or summer heatwaves could cause you to rely on your HVAC system more than ever before.
How to reduce: Be aware of seasonal fluctuations in your lifestyle and energy usage habits, so you aren’t surprised when you get your electricity bill. Try to limit your reliance on heating and cooling whenever possible, and seek less costly alternatives for adjusting your temperature. Sweaters and blankets are affordable ways to stay warm, while a pedestal fan can be an effective and inexpensive way to cool down.
The price of electricity is determined by many different factors related to the expense of building, maintaining, and operating power plants and the systems used to distribute the power (also known as the “grid”). These costs fluctuate depending on fuel prices, weather, public service regulations, grid construction and maintenance requirements, and more.
All of these moving parts work together to influence electricity prices. As a result, electricity rates fluctuate month to month.
How to reduce: Unfortunately, there’s not much you can do on an individual level to directly control the overall price of electricity. However, you may have more influence than you think. From time to time, you may have the opportunity to vote on legislation related to energy and utility companies, which could change the way these services are regulated and billed.
Do you ever run your dishwasher with just a few dishes inside or wash a very small load of laundry? Using your appliances before they are full isn’t very efficient. If you need to wash your work clothes in a pinch or you’re low on dishes, running a partial load may be unavoidable, but it’s best to avoid it whenever possible.
But running partial loads isn’t the only way we use our appliances inefficiently. Did you know that 90% of the energy used to clean clothes is spent heating water? Clothes dryers are also a huge energy suck, especially when they aren’t full.
How to reduce: Don’t wash dishes or clothes until the appliance is full. If you only have a few items to clean, it’s probably more efficient to wash them by hand. Reduce energy use further by washing clothes with cold water whenever possible.
While it’s not realistic to wash all of your clothes by hand, you may be able to swap using your dryer for hanging your clothes to dry. Purchase a drying rack and try to reduce your dryer use. As a bonus, hang drying is much gentler on your clothes than going in the dryer!
If you’ve recently received a pricey electrical bill, don’t despair. Study the bill carefully, so you understand what you’re paying for electricity and when it is mostly. Then, take inventory of your energy use habits and make adjustments.
The tips above will certainly help you get started. While you may be saddled with old, inefficient appliances, there are likely other areas where you can make adjustments. Reduce the number of small appliances you use, practice unplugging your electronic devices, and try to focus your energy consumption outside of peak hours whenever possible.
These tips are just the beginning. There are countless additional ways to improve the efficiency of your home, adjust your energy consumption, and thus lower your bill!
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]]>The post How to Get Out of Paying Pet Rent (and other charges) appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Since that money isn’t refundable, you won’t get any of it back—even if your pet is an angel and you leave your apartment in better condition than it was when you moved in. However, everything a landlord presents to you is negotiable.
If you don’t want to pay pet rent, bring it up with the landlord before you sign the lease. With a little discussion, it’s possible to come up with a compromise that works for both of you.
The landlord has their reasons for charging pet rent and they likely weighed several options before deciding to go that route. Before you bring up the issue, make sure you’re just as prepared to talk about the issue as they are.
Look at your budget and figure out how much wiggle room you have. If the addition of pet rent puts the apartment out of your price range entirely, you might want to consider some other options that aren’t cutting it so close.
Figure out the total you’ll have to pay upfront along with estimated moving costs. If you have some money available that you can offer upfront in lieu of pet rent, that might sweeten the pot and convince the landlord to drop the monthly charge.
Even if your ultimate goal is to pay no extra money at all, think of alternatives to pet rent that you’d be okay with. For example, if pet rent would add another $200 to a 12-month lease, maybe you could offer $200 upfront as a refundable deposit. You’d still be out the same amount of money, but there’s a chance you’ll get it back with interest when the lease is up.
Make things even easier for the landlord by showing up with your own pet agreement. You can find templates online then fit them to suit your circumstances.
If you’re thinking about several different options, draft an agreement for each. For example, you might have one with no extra charges that requires you to maintain renter’s insurance to cover pet-related damages. Then, you might have another in which you pay a refundable deposit upfront in lieu of pet rent.
Consider why landlords charge pet rent in the first place. They’re concerned about damage to the unit, certainly—but that’s not the end of it. They’re also worried about the nuisance caused by untrained pets and negligent owners. The more you can show that you and your pet won’t trigger any of those concerns, the more likely you are to get out of pet rent.
If you’re currently renting from a different landlord, see if they’ll write a reference letter specifically describing what a well-trained, clean, and disciplined pet you have and how the two of you are delightful renters who’ve never caused any problems.
Gather vet records to show that your pet has had all the vaccinations required in your city or state and is in good health. Landlords are often worried about flea infestations so if your pet is taking a flea preventative, that can help your case a lot.
For dogs in particular, gather any certificates from obedience training. If you haven’t put your dog through an obedience course, consider doing so! Successfully completing training is strong evidence that your pet is well-behaved and unlikely to cause any trouble.
Look into renter’s insurance that covers pet-related damages. If you have a renter’s insurance policy, it shows that you’re taking financial responsibility for your pet and feel a sense of ownership and responsibility towards the property. A renter’s insurance policy not only gives you peace of mind—it can make your landlord feel more comfortable as well.
Draft a resumé for your pet. Include a picture of your pet looking very mild-mannered and well-behaved and pattern the rest off of a regular resumé you might write for yourself. Under education, include any obedience courses or other training. For experience, you might list the other places where your pet has lived.
Open negotiations by telling the landlord that you’d like to discuss pet rent. If they immediately tell you that it’s not negotiable, ask why. Sometimes, community managers at large apartment complexes don’t have the authority to negotiate the terms of a lease—but you might find out who does.
Assuming the landlord is open to talking to you about pet rent, start by stating your position clearly. Then, present the evidence you’ve gathered to demonstrate why you shouldn’t have to pay pet rent. Each of your pieces of evidence should show that the landlord faces little to no risk if they decide not to charge you pet rent.
For example, you might start by presenting your pet’s resumé, which shows that you have a mild-tempered, medium-sized dog that has been a model tenant for 2 previous landlords. Moreover, he’s neutered, has a Canine Good Citizen certificate, is up to date on all his vaccinations, and is taking a flea preventative.
Keep your tone calm and professional. Getting emotional or defensive won’t help you. If the landlord says they’re not convinced by your evidence, that’s the time to bring up alternatives. For example, you might offer to pay a refundable deposit instead of paying pet rent. But don’t bring up any alternatives unless it’s clear that your landlord isn’t moving from their initial position.
If you’ve brought draft pet agreements, let the landlord know. That can be a little push that will get them to agree with you.
If your pet provides emotional support to you and helps you stay balanced and calm, it might qualify as an emotional support animal (ESA). Landlords are required by law to make reasonable accommodations for ESAs, which often includes waiving pet rent.
If you think your pet might qualify as an ESA, make an appointment with your healthcare provider to discuss the issue. At a minimum, you’ll need a letter from your healthcare provider to the landlord specifying that the animal you own qualifies as an ESA.
If the landlord won’t budge and you still don’t want to pay pet rent, you have basically one option left: rent somewhere else that doesn’t charge pet rent or is more willing to negotiate. What you don’t want to do is pretend you don’t have a pet.
Most landlords have generic leases that they use for all of their tenants. That means there will be a clause in the lease somewhere about the landlord’s pet policy. If you lie and say you don’t have any pets, the landlord will check a box on the lease next to a statement that you don’t have a pet, and then you’ll sign it.
Remember: Your lease is a binding contract. If your lease says you don’t have a pet and you do, your landlord can evict you for violating the lease. They might be nice and let you work something out with them, but you don’t want to take that chance and end up with an eviction on your record.
If you still want to take your chances, consider the amount of stress you’ll put on yourself by trying to hide your pet. This is even more difficult if you leave for work every day and aren’t there to keep your cat out of the window or quiet your dog that wants to bark at every delivery person. It’s just not worth it.
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]]>The post What to Include in a Roommate Agreement appeared first on Flex | Pay Rent On Your Own Schedule.
]]>This document may include everything from the amount of rent and utilities your roomie is responsible for to a schedule for using the kitchen and laundry facilities, quiet hours, how you wish to communicate about issues that may arise, and more. You can customize the document to fit your needs.
You don’t always need a roommate agreement, but it never hurts to have one. If you’re living with someone you met recently, this document may be more detailed than if you’re living with a friend who is already familiar with your lifestyle and personal boundaries.
Ideally, your roommate agreement is a collaborative document that you and your roomie create together based on your needs and expectations.
Outline the amount of rent to be paid, the date the rent is due, and the preferred payment method.
Dividing the rent isn’t always as straightforward as an even split. If one of you has a larger bedroom, an ensuite, or some other massive perk that the other doesn’t, it might make sense for one of you to pay more. Ensure your roommate agreement outlines how much each of you must pay.
Next, establish whether you’ll pay the landlord individually or combine your resources to make a lump sum payment.
Outline the procedure for paying the security deposit and the amount each of you is responsible for paying. If one of you pays more rent than the other, will they pay a proportionate amount of the security deposit? Also include an explanation of when and how the security deposit will be returned when your roommate moves out.
Whether your roommate is on the original lease or not, you should still outline some sort of protocol around moving out on the roommate agreement. Ideally, if you have a shared lease, your roomie will stay until the end of the tenancy agreement, but if they move out early, how will the two of you handle it?
Is your roommate responsible for finding a replacement tenant, or is it up to you? Will it be a joint effort? How much notice do you need them to provide? When and how will you return the security deposit? Ensure you’re both clear on the steps you need to take.
One of the benefits of having a roommate is having someone to split expenses with, but this can become a nightmare if you don’t articulate exactly how it will work.
Detail each monthly bill (water, electricity, internet, etc.) and determine how best to split them up. Since some of these bills may fluctuate monthly, it may be helpful to list the percentage each of you will pay, rather than a fixed number. Will some be in your name and others in your roomie’s name? Will you be responsible for all of them?
Don’t forget to list specific payment procedures. Will one of you transfer money to the other to cover their share? Will you simply tack your roomie’s share of the bills onto the amount they owe in rent each month?
Consult with your roommate to establish a payment protocol that works for both of you.
There’s nothing worse than having your sleep disrupted. Instead of risking the need for angry confrontations in the kitchen over loud music, establish boundaries for noise. Make sure you outline your expectations when it comes to quiet time. This rule could apply to noise before or after a specific time during the week or extend to the weekends.
In some cases, you may wish to establish boundaries around the use of appliances too. For instance, maybe you stipulate that nobody will run the dishwasher or washing machine after midnight. Your home should be somewhere you can both rest and relax, so make sure your roommate agreement sets clear boundaries.
If you don’t outline rules regarding guests and significant others, you might begin to feel like you have multiple roommates. Even if your roommate doesn’t have a significant other at the moment, it’s wise to establish these rules ahead of time, so you don’t have awkward confrontations down the road.
Your roommate agreement should cover how often each of you is permitted to host overnight guests and how long said guests may stay.
You may even include rules to follow while guests are over. One common practice, especially if you don’t know your roommate’s friends very well, is that guests should not be left alone in the home.
If your roomie is a friend of yours and you already know their social circle, your rules may be much more basic.
Creating a plan for handling cleaning and chores is an essential part of maintaining a harmonious household.
There are infinite ways you could split up the responsibilities. Each of you could be responsible for maintaining certain areas. You could agree to do a weekly blitz together; perhaps you take turns doing the weekly clean or pool your resources and hire a cleaning service.
Whatever the solution is, make sure you are both on the same page. Then, create some sort of accountability system, so there’s never any question about whether either of you is holding up your end of the agreement.
Depending on your living arrangement, it might make sense to outline expectations regarding the use of shared parts of the home.
For instance, if you have to leave for work at 7 am, and your roommate doesn’t have to go until 9, maybe you stipulate that they wait to shower until after you have. That way, you never have to harbor resentment toward your roomie for unwittingly usurping your morning shower.
Creating rules around the use of the shared bathroom, kitchen, and laundry facilities ensures you each have access to the facilities you need when you need them. These types of rules may seem tedious to develop, but they will give each of you peace of mind.
Establishing rules around food storage and sharing is another fantastic way to avoid unnecessary conflicts with your roomie.
If the two of you enjoy preparing meals together, it may make sense to share food and the grocery shopping responsibilities.
However, sharing food might not make sense if one of you eats at the office frequently, has a different schedule, or has specific dietary restrictions. If you’re not going to share, make sure you establish an effective food organization system so that neither of you has to worry about reaching for the milk only to find it gone.
Even if your rental is pet-friendly, your household may not be. If you or your roomie is pet-averse, it’s best to be clear about your expectations from the beginning. That way, neither of you will come home to find an unexpected furry roommate!
If you or your roommate has (or is considering adopting) a pet, the roommate agreement should outline the expectations regarding pet care. Who will be responsible for feeding and cleaning up after the pet? How will issues be handled? What should you do in an emergency? In the instance of pet-related damage, how will it be documented and repaired?
Don’t forget to discuss rules the pet must follow within the home. Will the pet be restricted to certain areas? Which parts of the house are off-limits?
Additionally, if there are any animals or breeds that either of you is uncomfortable with, list them on the roommate agreement. After all, adopting a cat is a totally different story than bringing home a pet snake!
If you or your roommate have severe food allergies or environmental allergies, it’s worth addressing them on the roommate agreement. It could be a matter of agreeing to refrain from bringing products containing nuts into your home or something more minor like avoiding scented candles. Either way, it affects your quality of life and should be addressed ahead of time to avoid unnecessary conflicts.
Roommate disputes are a common occurrence, but many of them could be avoided with clear communication. This is why it’s so crucial to develop a formal roommate agreement that you and your roomie will follow.
Even if you’re living with a close friend, it’s still a good idea to outline your boundaries and expectations to avoid unnecessary conflicts. Simple things like running the dishwasher too late at night or neglecting to clean the bathroom eat away at even the strongest friendships over time.
The suggestions above are just the beginning when it comes to what you could include in your roommate agreement. Tailor the document to fit your lifestyle and your relationship with your roommate. If you’re living with a stranger, the document may be much more robust than if you’re sharing a rental with a long-time friend.
For a quick checklist to make sure you’ve got everything, see our roommate agreement checklist.
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]]>The post Roommate Agreement Checklist appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Whether you have food allergies that need to be considered, an alternative schedule your roommate needs to respect, or simply want to ensure the cleaning is done in a timely manner, there are countless items and scenarios your agreement could address.
The following roommate agreement checklist highlights some of the most common items you might include, but you should work with your roomie to develop an agreement that is tailored to your lifestyle. Add or remove any items to customize the checklist to your needs.
For more information, see our complete guide to writing a roommate agreement.
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]]>The post The Average Electric Bill for 3 & 4 Bedroom Houses appeared first on Flex | Pay Rent On Your Own Schedule.
]]>As you can tell, there’s more to it than just the number of bedrooms. Read on for more information on the factors that can affect your electricity costs.
When it comes to electricity costs, your location plays a big role. Electricity consumption varies by region. Additionally, utility rates are set at the local level, ranging from about 10.12 cents/kilowatt-hour (kWh) in Utah to around 32.81 cents/kWh in Hawaii.
As a result, where you live has a major impact on your potential cost. Here’s a quick overview of the average monthly electric bill in every United States region:
Those averages can actually give you a solid understanding of what an electricity bill for a three- to four-bedroom looks like. Overall, about 39.1% of all households have three bedrooms, while 17% have four bedrooms. That means, in total, around 56.1% of all homes are represented within the three- to four-bedroom range, so those averages can be good starting points for estimating your energy needs.
Heating and cooling a home have a significant impact on your electric bill. HVAC systems are often expensive to operate, even if they are reasonably energy efficient. As a result, if you live in a region with frigid winters, scorching summers, or both, your energy use may exceed what you’d pay in more temperate areas.
For example, a typical central AC system uses around 3.5 kW per hour. For a single 12,000 BTU window AC, the usage rate is about 1.2 kW per hour. If you run three similarly sized window units, your total consumption could come up to 3.6 kW per hour.
That amount of usage adds up fast. Even if your per kWh cost is on the low-end, such as the 10.12 cents/kWh rate in Utah, simply cooling a house could add up to around $2.90 to $8.74 in electricity expenses per day if your AC runs the full 24 hours daily.
Energy bills are based on usage, not flat rates. As a result, using an appliance has a direct impact on your costs.
Every appliance draws a different amount of power when in use. For example, using an electric clothes dryer may use 2.5 to 4.0 kWh per load, while running a load through the washing machine on hot with a warm rinse comes in at 6.3 kWh per load. If you do more laundry than an average household, your bill will be higher than local averages.
The kind of appliances you have also matter. If you only have Energy Star-rated appliances, devices, and electronics, you can save up to 30% on your electric bills in comparison to using only non-Energy Star-rated products.
As mentioned above, some of the information about average electric bills is based on households that also have other sources of energy in their home. Gas stoves and gas water heaters are the most common examples of using the alternatives. However, many homes have propane fireplaces as sources of heat, creating another point where their energy use may change.
If your home also uses natural gas or propane, then your electric bill will be lower than a household that’s entirely electric. Usually, natural gas and propane prices are lower than the electricity costs associated with similar operations or tasks. In homes with all gas appliances, the total savings can be up to 30%.
However, as with electricity rates, natural gas and propane rates also vary. If you’re considering switching to an alternative energy resource to save money, you’ll want to explore local costs in-depth to determine if you’d come out ahead.
The number of people in the property, the amount of time a resident spends at home, and the activities they do while there all alter your electric bills. In a three-bedroom house, the price difference for having three instead of two occupants comes in at $6 per month, based on national averages. That difference is simply based on more people being active in the space.
However, how a person spends their time in the house and the number of hours they are there also play a role in the total electric costs. For example, during the pandemic, many professionals began working from home instead of going to the office each day. As a result, their energy bills rose, in some cases, by $40 to $50 a month.
One reason for the cost increase was being in the house more often. They may interact with more appliances or systems, or might change their thermostat to a more comfortable temperature, putting extra strain on their HVAC system.
But that wasn’t the only factor. In many cases, working from home meant introducing a company computer to the home environment. Additionally, that device would be used heavily throughout the workday and, when not in use, would be on standby, drawing small amounts of power even when idle.
Even one device that’s on consistently can impact power consumption significantly. Couple that with more activity in the house, and it shouldn’t be a surprise that bills rose.
Ultimately, the average electric bills for three- to four-bedroom homes are only one part of a larger picture. While you can use them as a baseline, you also need to consider the other factors. That way, you can fully prepare for the costs of running your home, ensuring there aren’t any unnecessary surprises.
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]]>The post The Average Electric Bill for 1 & 2 Bedroom Apartments appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Of course, the average isn’t the whole story. Read on for more information on the factors that can make a difference on your electricity costs.
Often, the biggest factor that impacts your bill is location. Electricity consumption and utility rates vary by city and state. As a result, some people end up spending significantly less than the average, while others pay far more.
When it comes to rates, electricity utilities charge a certain number of cents per kilowatt-hour (kWh). The differences in those rates can be stark, varying more than 20 cents per kWh in some cases.
For example, in Utah, the rate is near 10.12 cents/kWh. In Hawaii, it’s closer to 32.81 cents/kWh.
As a result, average utility costs are impacted by location. Here’s a look at the average monthly electric bill in each region:
While those averages don’t account for the property’s size, they do show how electric bill costs vary from one area to the next.
Weather conditions in your area may also have a major impact on your energy bills. If you live in a region with sweltering summers, freezing winters, or both, you may end up using more electricity than someone who lives in a temperate climate.
The difference in utility usage during specific seasons can be dramatic. In one part of Alaska, the average usage rate goes up by 200 kWh in the winter (when compared to summer usage). As a result, winter electricity bills can be much larger than what customers pay during the summer.
Additionally, market rates for electricity may change when demand rises. This causes the per kWh cost to increase, resulting in higher bills even if a household’s usage level stays consistent.
How much you use your appliances has a major impact on your energy bills. Running appliances like ovens, dishwashers, washing machines, and dryers can draw a lot of electricity, pushing your bill up significantly.
Air conditioning units are notorious for driving energy bills up due to the high amount of power they need to operate. A typical central AC unit can use 3.5 kW per hour. A single 12,000 BTU window unit can use 1.2 kW per hour. If you need multiple window units, the energy usage adds up quickly.
Your appliances themselves also play a role. You can save up to 30% on your energy bills by choosing appliances with the Energy Star label for energy efficiency, certified by the Environmental Protection Agency and the Department of Energy.
Whether you have certain other utilities in your apartment can have a substantial impact on your utility bills. Usually, the most significant utility in this regard is natural gas.
Natural gas is used as an alternative to electricity in a number of situations. For example, you may have a gas stove or a gas water heater instead of electric ones. If you do, then your electricity bill will be lower than a person who doesn’t have natural gas appliances.
Similarly, if any of your heating comes from fuel or oil-based sources, your electricity bill may not spike as much during the winter. You’re using an alternate resource for your heating needs, limiting the seasonal impact on your electricity usage.
However, any savings you experience on your electricity bill may be offset by rising costs for your other utilities. Whether that results in a higher or lower total cost may depend on the utility rates for those services.
Generally speaking, using all gas appliances lowers your total utility bill costs by up to 30%. However, you’d need to check rates in your area to see if you’d experience a savings.
A final major factor that impacts your utility bills is how many people are using the property and for how long. For example, the average utility price for a one-bedroom varies by $6 per month depending on whether there are one or two occupants.
However, how much time any residents spend at home also matters. For example, professionals who used to report to an office but began working remotely during the pandemic may have seen their energy bills rise by $40 to $50 per month.
Part of the increase was related to simply being home more, as the person interacts with more home systems, uses more lights, and may alter the temperature during the day to stay more comfortable. But part of it was related to introducing new electronics to the property, such as a separate work computer.
Computers draw more power when actively in use, but they also use electricity when in standby mode. By bringing an extra one into a home, using it heavily during a typical eight-hour workday, and leaving it on standby the rest of the time, that single device can have a surprising impact on energy consumption.
Ultimately, all of the factors above play a role, altering how much you pay each month. Use the information about the average electricity bill for one- and two-bedroom apartments as a baseline. However, also explore how where you live, the number of occupants, appliance usage, seasonality, and other points may impact your costs. That way, you’re fully prepared.
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]]>The post Pet Deposit on an Apartment – And Other Pet Fees appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Alongside pet deposits, landlords often charge pet fees or pet rent — and those aren’t refundable.
When a landlord charges a separate pet deposit, that money can only be used to pay for damages made by your pet. This could include scratch marks, urine or feces stains, or fleas. Did your cat break the blinds so it could look out the window? Unless you replace the broken blinds before you leave, your landlord can take money out of the pet deposit to replace them.
The same laws that cover security deposits cover pet deposits. Although these vary among cities and states, generally, your landlord has to keep the deposit money in an escrow account that earns interest. If any portion of the deposit is nonrefundable, the landlord typically has to include this information explicitly in the lease.
In practice, most landlords use a lease addendum that specifically covers pets. Once you sign that document, it becomes a part of your lease. Read it carefully! It includes specific information about your landlord’s pet policy as well as details about the types of damages your pet deposit covers.
When you move out, the landlord inspects your unit and sends you a statement of the damages. If any of your deposit is left after paying for those damages, they cut you a check for the difference, plus any interest that accrued. You do have the right to dispute their assessment of damages if you think what they’re claiming is unfair.
In addition to (or instead of) a pet deposit, landlords might charge a pet fee, which is similar to a pet deposit in that it’s a one-time payment you make when you first sign the lease. However, unlike a deposit, a pet fee isn’t refundable.
You might see landlords advertise a “nonrefundable pet deposit.” A deposit is refundable by definition, so a “nonrefundable deposit” is nonsense. It’s just a pet fee with a fancy name. When you pay a pet fee, you’re essentially paying the landlord to allow you to have a pet. That’s it. Pet fees aren’t legal in a few states, notably California, Hawaii, and Montana, but everywhere else they’re fair game.
A landlord can technically use pet fee money for whatever they want and they don’t have to account for it in any way. They might use it for damages your pet makes to the unit you rent, but they don’t have to! They can take those damages out of your security deposit when you move out or send you a bill.
Some landlords also charge pet rent. This is a monthly charge added to your rent, typically around $20, and it’s just like your rent. It’s not refundable—it’s what you pay for your pet to live there each month. Some landlords charge flat pet rent, while others charge a specific amount per animal.
Typically, a refundable deposit is a better deal overall than a nonrefundable fee or another monthly charge. However, this depends on your circumstances. The best way to decide which option will be the best for your budget is to look at the total charges over the term of the lease. A brief example can show you how this works.
Suppose you’re looking at 3 different complexes that are equally appealing. Complex A charges a $300 nonrefundable pet fee plus $15 a month in pet rent. Complex B charges a $500 pet deposit and no pet rent. Complex C requires nothing upfront, but charges $25 a month in pet rent.
So which is a better deal? Assuming everything else is equal, over the course of a 12-month lease you’ll pay $480 to Complex A with no chance of getting a dime of it back. At Complex B, you’ll be out $500 initially, but you might get some (or even all) of it back when you move out. At Complex C, you’ll pay $300 over the course of the same year.
Even though it’s more money upfront, the refundable deposit at Complex B is probably a better deal because you’ll probably get most of it back, plus interest. At both Complex A and C, on the other hand, you run the risk of the complex charging you for damages when you move out. If that’s a risk you’re willing to take, or if you simply don’t have the money upfront, Complex C would be the best option.
If the deposit is a little more than you’d like to pay upfront, you might be able to talk the landlord into lowering it. The deposit gives the landlord security against any damage your pet might do to their property while you’re living there. If you can convince them that your pet is a model citizen that would never damage property or cause trouble, they might be willing to lower the deposit.
The National Apartment Association recommends the following:
You might also bring your pet over for the landlord to meet. Maybe take it to the groomer just before so it’s looking its best. If your pet is lovable and friendly with other people, this can be a real game-changer.
You’ll have a lot more luck with this if you’re renting from an individual landlord. With large apartment management companies, the manager of a single community might not have much leeway. If you’re truly going to be strapped or have a hard time coming up with the total deposit upfront, ask if they’re willing to take installments.
If your pet deposit is refundable, it works basically the same way your security deposit does. After you move out, your landlord will inspect your unit and deduct any damages from the total. A pet deposit can only be used for damages your pet caused—not anything you did. That means the landlord could claim you still owe them money for damages, even though you got your full pet deposit back.
Let’s look at how this works. Suppose that, when you first rented your apartment, you paid a $500 pet deposit and a $1,000 security deposit. When you move out, your landlord doesn’t find any damages caused by your very well-behaved dog. But there are damages to the stovetop, the sliding glass door, and the sink in the bathroom.
Your landlord claims fixing these problems will cost $1,500. They’ll apply your security deposit to the damages and send you a bill for the remainder. Your landlord can’t take money from the pet deposit to cover damages not made by your pet, so you’ll get that money back, plus interest. You could then use the refunded pet deposit to pay back the landlord for the damages in excess of your security deposit.
Your lease says the pet deposit is refundable—but that certainly isn’t a guarantee. And the typical landlord is going to hold you responsible for every possible damage they can. The best way to prevent this from happening to you is to perform a detailed inspection of your unit before you move in. Take photos of everything and document every little nick, scratch, ding, and dent you see. Submit all of this to your landlord and keep copies for your records.
After you move in, keep your eye out for anything that gets damaged and have it fixed immediately. To get your pet deposit back, watch your pet closely—especially in the first month or so after you move in—so you can quickly break it of any bad habits.
If there’s nothing you can do to keep your pet from damaging the unit in some way, do what you can to mitigate the damages. For example, if your cat seems intent on trying to climb the blinds, you might want to pull them up during the day so the cat doesn’t have the option.
When you get ready to move out, compare the place to the pictures you took when you first moved in. If you take a picture of the same room from the same angle, it should look about the same as the move-in picture.
You don’t have to pay for normal wear and tear. For example, suppose the bedroom is carpeted. If part of the carpet is worn down where you’ve walked more, that’s normal wear and tear. If your dog has pulled up the carpet from the doorway, leaving a ragged edge, that’s not. Some damages you can fix on your own before you move out and it’ll probably be cheaper than the amount your landlord assesses.
Take pictures when you’ve moved all of your stuff out. Try to take the same pictures from the same angle that you took when you moved in—they’ll be easier to compare. Now if your landlord tries to claim something was damaged, you have proof that it wasn’t your pet that did it.
For more information, see our full article on getting your security deposit back.
A service or emotional support animal is not a pet, so landlords can’t charge you anything for them. They’re also legally required to provide reasonable accommodations, which means in most cases whatever pet policy they have in effect won’t apply to your service animal.
This doesn’t mean your service or emotional support animal gets off scot-free, though. If they cause any damage to your apartment while you live there, you’ll have to pay your landlord for that. Since you didn’t pay a pet deposit, it would come out of whatever security deposit you paid.
The post Pet Deposit on an Apartment – And Other Pet Fees appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post Landlord vs. Property Manager: What’s the Difference? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Read on to learn more about the distinction between landlords and property managers.
A landlord is a property owner that rents a the home, apartment, mobile home lot, condo, or other of property. Some landlords manage their own properties and work directly with tenants, while others hire property management companies to run the rental property on their behalf.
In some cases, a landlord may be a single person, a couple, or a family that owns a property. However, it can also be a company, partnership, or other entity. The key is ownership: as long as the business owns the property it’s renting out, it technically qualifies as a landlord.
A property manager is a third party that manages a rental property for an owner. The property manager doesn’t own the properties they oversee. However, they are usually fully responsible for all issues relating to the rental, including communicating with tenants, handling maintenance, and more.
Property managers may be part of management firms. There are many property management companies that oversee the operation of buildings owned by many different clients.
However, it can also be an employee of the property owner. An employee technically qualifies as a third-party, as they don’t have any ownership stake.
The biggest difference between landlords and property managers is property ownership. While landlords own the property they rent out, property managers oversee properties on an owner’s behalf.
However, there can be other distinctions. For example, landlords usually run a smaller portfolio of rental properties. This could be a few homes, a smaller multi-family building, or something similar.
Property managers may oversee a broad portfolio of properties. This might include large multi-family complexes, numerous rental homes owned by a variety of people, several smaller multi-family buildings, or a combination.
In some cases, the property manager is associated with a property management firm. With this, owners contract with the company to have their homes or other units rented out to qualified tenants. Usually, they pay the firm based on the rent collected, agreeing that the property management company gets to keep a percentage of the income.
In other cases, a property manager may be the employee of the owner, receiving a salary for handling tenant issues, building maintenance, and other operational needs. This is more common for owners with a large portfolio of properties or that have bigger multi-family complexes that need running, as it may be more cost-effective than contracting with a company for that number of units.
With a property manager arrangement, the property’s owner is pretty hands-off. While they may have to approve certain tasks, repairs, or maintenance requests, they typically don’t have any more involvement than that. In many cases, the tenant will never meet or have any contact with the owner of their rental unit and might not even know who the owner is at all.
If you want to figure out which is better, working with a landlord or a property manager, it’s best to look at some pros and cons. Here’s what you need to know.
When you work with a landlord, you’re dealing directly with the property owner that is usually managing a smaller portfolio of housing units or even a single rental home. The landlord may care more about keeping the property in good shape and ensuring tenants are happy. That way, their investment remains sound, and their source of income is reliable.
Another plus is that a landlord may be more inclined to give you some leeway if the need arises. The connection between a tenant and landlord tends to be more personal, so they may be open to giving you more time to pay your rent if you experience an emergency. But it’s important to note that it isn’t universal, so keep that in mind.
A customized lease is another potential benefit. Landlords can work with tenants one-on-one, and they may be open to non-traditional rental terms, like shorter or longer than average lease agreements, adjusted timelines for providing deposits, and more.
However, it may be more likely that a landlord will become overwhelmed by their responsibilities, especially if overseeing their properties isn’t their only job. Maintenance requests may not be addressed as fast, for instance. Additionally, they may be harder to contact quickly in an emergency, especially outside of daytime hours, during holidays, or if they head out of the area for a vacation or other purpose.
In some cases, landlords may have less cash immediately available for substantial repairs, as well. This could cause delays or may cause them to seek out a cheaper contractor, leading to subpar repairs.
With a property manager, things tend to be all business. The relationship between a property manager and tenant is often more formal, something that comes with its own benefits and drawbacks.
Property managers tend to adhere more strictly to the lease. As a tenant, this can be helpful, as you know exactly what to expect. The rules are spelled out clearly, and you can be certain that they’ll be followed.
Additionally, there are usually official processes for all kinds of tenant needs. Maintenance requests may go into a ticket system, allowing you to know when it’s viewed and monitor the progress easily. In some cases, larger complexes or properties managed by a firm may even have maintenance personnel on staff or on-call, allowing them to handle problems faster.
However, the formality also means you may not be able to get any leeway to deal with the unexpected. For example, if an emergency means you’ll be late with the rent payment, you may not have the ability to negotiate for more time.
In some cases, monthly rent costs, application fees, or deposits will also be higher on rentals that use a property manager. Usually, this is because the rent is offsetting some of the costs of paying the property manager’s salary or the managing firm’s fees.
Property managers may have higher availability than you’d get with a landlord. It may be easier to reach them during an emergency, especially if they are associated with a larger firm or an on-site office with multiple staff members. In some cases, 24/7 assistance may be part of the package, so you’ll know you can get help whenever the need arises.
Ultimately, whether a landlord or property manager is best for you depends on your unique situation. Landlords may be able to offer a level of customization. Additionally, they may be more personally vested in keeping you happy and the property well-maintained.
However, with a landlord, you may sacrifice accessibility and timeliness for repairs. Additionally, a landlord may become overwhelmed with their responsibilities, especially if overseeing properties isn’t all they do.
Property managers clearly outline what you can expect. While that means the arrangement tends to be more rigid, you can benefit from some of the formality. Faster repairs may be possible, and 24/7 support is more likely.
But if you run into a difficult situation, a property manager might not work with you. Similarly, customized lease terms might not be an option.
In the end, you’ll have to decide what’s more important to you. Once you do that, you’ll be able to head in the right direction based on your needs and preferences.
The post Landlord vs. Property Manager: What’s the Difference? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post 26 Insightful Homeowner Statistics appeared first on Flex | Pay Rent On Your Own Schedule.
]]>As of late 2020, there were approximately 82.8 million owner-occupied households in the country. That is an increase of 2.1 million over the prior year.
[Source: Pew Research Center]
Out of all of the households in the United States, 65.8% own their homes. This includes households that own the property outright, as well as those currently paying a mortgage.
[Source: Pew Research Center]
Chalk one up for the American dream. The highest reported reason – with 29% of buyers saying it’s the main motivation – for purchasing a house was the desire to become a homeowner.
[Source: National Association of Realtors]
For American homeowners, the average annual salary is $72,615. That makes 82% of homes in the country affordable to the median homeowner.
[Source: Joint Center for Housing Studies at Harvard University]
On average, homebuyers have a FICO credit score of 731. That’s 20 points above the national average of 711.
[Source: Value Penguin]
When it came to single homebuyers in 2020, women greatly outnumbered men. Out of all home buyers, 17% were single women, while only 9% were single men.
[Source: National Association of Realtors]
Homeownership rates tend to increase with age. For households headed by someone age 65 years old and up, the rate is 79.3%. Fifty-five to 64-year-olds come in next with 75.7%, while 45 to 54-year-olds sit at 69.4%. Thirty-five to 44 years olds aren’t too far behind, with a rate of 62.0%.
However, there is a large dip for those under the age of 35. In that age group, the homeownership rate is just 38.1%.
[Source: United States Census Bureau]
When you look at non-mixed-ethnicity homeowners, Black Americans have the lowest ownership rate, coming in at 45.1%. Hispanic households are the second lowest, coming in with a homeownership rate of 49.3%.
[Source: United States Census Bureau]
Homeownership rates are highest among non-Hispanic white-alone households. In that group, the rate is just shy of three-quarters, sitting at 73.8%.
[Source: United States Census Bureau]
The amount of household income that’s directed toward housing costs can have a major impact on budgets. On average, homeowners dedicate 16.4% of their income toward housing-related expenses, such as mortgage payments, property taxes, and insurance.
[Source: Million Acres]
On average, homeowners that are living in an owner-occupied property and have a mortgage spend $1,609 a month on housing costs.
[Source: United States Census Bureau]
Approximately 85% of homeowners in the United States have some level of homeowners insurance. On average, coverage costs each household about $1,445 per year.
[Source: Value Penguin]
Property taxes can have a significant impact on a homeowner’s budget, particularly if they aren’t prepared to shoulder the cost. On average, homeowners pay $2,869 per year to cover their property taxes.
[Source: United States Census Bureau]
Of owner-occupied properties, 6.28 million mortgage-paying homeowners spend at least $3,000 per month on housing costs.
[Source: United States Census Bureau]
In total, just over 5.5 million American homeowners have more than one debt associated with their owner-occupied property. Over 4.5 have a home equity line of credit (HELOC), while just shy of 987,000 have a second mortgage.
[Source: United States Census Bureau]
While homeownership rates have been steadily increasing since 2005, the current rate is still below the peak. In 2004, approximately 69.2% of households owned their homes, which is the highest percentage between 1965 and 2020.
[Source: Pew Research Center]
Today, there are numerous ways to begin the home buying process. However, 44% choose to start by researching properties online on their own. Only 16% begin the journey by contacting a real estate professional.
Plus, 52% of buyers actually found their new home online. Only 29% first learned about the property they eventually purchased through a real estate agent.
[Source: National Association of Realtors]
First-time home buyers make up 33% of all people looking to purchase a property.
[Source: National Association of Realtors]
Homeownership rates are highest in the Midwest, sitting at 70.3%. In second is the South, with a rate of 67.4%. In the Northeast and West, the rates are 63.1% and 59.7%, respectively.
[Source: United States Census Bureau]
Between February 2020 and February 2021, the median home sale price increased by 15%. Overall, the median home sale price was $318,750 in February 2021.
[Source: Redfin]
In early 2021, a new round of COVID-19-related stimulus payments was made to qualifying households. Overall, 7.5% of those who received the influx of cash put those funds toward a mortgage.
That number was notably lower than what was directed toward rent payments. In total, 10.3% of recipients ended up putting the money toward rent.
[Source: iPropertyManagement]
While most people don’t envision having roommates as a homeowner, it’s actually far more common than one would expect. Among doubled-up households – where adults who aren’t spouses or partners cohabitate – 64.3% are also owner-occupied. That leaves 35.7% as renter-occupied.
[Source: Porch]
Purchasing a home can be challenging under the best of circumstances. Even a small or expected hurdle can make the process much more difficult.
Among new home buyers, paying down and paying off debt was cited by 26% as the main reason they had issues purchasing a home. Nine percent said that saving for another big purchase played a role.
However, 42% said they didn’t experience any trouble when it came to affording their house.
[Source: Coldwell Banker]
When it comes to the timing of home purchases, not everyone believed they have the luxury of waiting. Overall, 17% of homebuyers felt they had to buy when they did.
[Source: National Association of Realtors]
Of those who made a home purchase, not all were happy with when they moved forward. Overall, 3% of buyers actually wished they had waited longer.
[Source: National Association of Realtors]
Buyer’s remorse can be difficult, especially when it’s a large purchase. When it comes to regretting their most recent home purchase, younger buyers seem more plagued by it than older generations.
Overall, 64% of Millennials have at least some regrets. The most common regret is having to shoulder the high costs of maintenance. However, dealing with a large mortgage payment, being unhappy with the interest rate, and feeling they overpaid also play a role.
In comparison, only 33% of Baby Boomers regret their purchase. The most commonly cited reason is also high maintenance costs. When it comes to the other regrets, some Baby Boomers have those too, but at a much lower rate of occurrence than with Millennials.
[Source: Bankrate]
Ultimately, the homeowner statistics above are quite enlightening. They showcase not only details about the average homeowner but also many disparities that exist within the United States. Plus, there are a few unexpected tidbits, highlighting aspects of the picture many people don’t realize exist.
The post 26 Insightful Homeowner Statistics appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post Can Landlords Charge Tenants for Carpet Replacement? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The landlord might also have to replace the carpet if it makes the unit uninhabitable. Mold, for instance, often warrants a carpet replacement. And unless the mold was somehow caused by tenants, the cost usually falls on the landlord to replace the carpet.
Each state or city may have different rules about what landlords are allowed to charge tenants for when they are residing in the unit and when they move out. As a result, tenants should spend some time reviewing those details to learn more about what’s allowed. However, there are some commonalities in the local laws in many areas.
Generally speaking, if the carpet needs replacing due to normal wear and tear, the landlord can’t charge the tenant. If the work is required because the tenant damaged the carpet beyond reasonable wear and tear, the landlord may have the right to put the cost on the tenant’s shoulders.
Exactly what qualifies as normal wear and tear may vary by state law. But, in most cases, it’s defined as expected deterioration through ordinary use. For example, slight thinning, typical depressions from furniture placement, or mild discoloration from continuous walking falls in this category, as well as fading from exposure to the sun.
In some cases, rips and holes fall in this category. If they occur solely because the material wore away as the result of normal use, rips and holes aren’t damage caused by the tenant. However, this can be hard to prove, especially if the flooring isn’t clearly aged.
When it comes to damage, this usually includes issues caused by the tenant that don’t qualify as wear and tear. Large stains or burns are two of the most obvious. Along with pet stains, lingering odor from pet urine or waste – even if no visible stain is present – may also qualify as damage, as that could indicate that the waste reached the underlying carpet padding, which cannot be cleaned easily.
However, rips or holes may fall in this category, too. If they are the result of misuse, it qualifies as damage caused by the tenant.
Even if a tenant damaged the carpet, that doesn’t automatically mean the landlord can charge for the replacement. The main possible exception is when a carpet is beyond its lifespan.
Carpeting isn’t designed to last forever. If the carpet is outside of its useful life, then the landlord may have to pay for the replacement, even if they consider the tenant responsible for the damage. Of course, what qualifies as ‘beyond its lifespan’ can vary, and isn’t consistently defined by state law.
The landlord may or may not have other limitations they have to take into account. For example, there may be laws that dictate whether they can only charge you for a single room, an entire continuous run of flooring, or the carpet in the whole unit. Again, these rules can vary, so you need to check local laws to determine what’s permissible.
When it comes to the potential cost, it’s crucial to understand that landlords typically can only charge you based on the value of the carpet that was damaged. In the majority of cases, they can’t force you to pay more simply because they want to upgrade to a higher quality flooring.
If your landlord is charging you for replacing the carpet, how much of the cost they can place on your shoulders does depend on local landlord carpet replacement law. Many states require the landlord to account for depreciation, only charging you based on how much life the carpet would otherwise have had in it.
For example, let’s say that you live in a state that lists the usable lifespan of carpeting as ten years and that the carpet was installed six years ago. That means it has four years of functional life left in it. If the carpet originally cost $1,500, the landlord could only charge you $600 due to depreciation.
Here’s the formula for that calculation: (Original Cost / Lifespan in Years) x Remaining Lifespan
Now, not all states use that approach. At times, they may allow landlords to charge tenants for the total replacement cost. If you aren’t sure if what the landlord is charging aligns with local law, it’s best to look up rules in your area to confirm what’s allowed.
Generally speaking, yes, a landlord can charge you for carpet damage – if you caused the damage. Exactly what they can charge may depend on the nature of the issue and the steps they have to take to address the resulting problem.
For example, if there is a large stain, the landlord may be able to charge you for professional cleaning of that particular spot. If the stain isn’t removable or there is another kind of damage that can’t be repaired, then they can potentially charge you for replacing the flooring.
As mentioned above, there can be exceptions or limitations. Depending on where you live, your landlord may only be able to charge you for having to recarpet a single room or the entire unit. This may vary based on state law or if the flooring is a continuous run.
Additionally, the remaining usable life may be a factor if you live in an area that uses depreciation to determine the cost. As always, it’s best to check laws in your state and city to see what’s permitted.
Local law plays a role in whether the landlord is responsible for replacing your carpet while you’re actively residing in the unit. Usually, landlord carpet replacement law requires action when the carpeting has become a hazard, impacting the warranty of habitability.
Generally speaking, landlords are responsible for providing a safe, livable environment. If the condition of the carpet makes a space uninhabitable, they are usually required to replace the flooring in a reasonable amount of time.
What constitutes a hazard can vary depending on state law, but there are some issues that almost universally fall in that category. Ripped or torn carpet can be a safety issue. If the rip was the result of normal wear and tear and could be dangerous, the landlord usually has to replace your carpet.
Moldy or otherwise unsanitary carpeting is also hazardous. Again, if the issue isn’t the result of tenant misuse, the landlord has to handle the problem, which could involve replacing the flooring material.
However, requesting a carpet replacement for solely aesthetic reasons isn’t something a landlord usually has to honor. Even if the carpeting is more than a decade old or otherwise beyond its normal usable life, if it doesn’t present some kind of hazard, it can remain in place.
If you don’t like the carpet in your rental, but it doesn’t qualify as a problem your landlord needs to fix, you may think that replacing it yourself is a good idea. However, this is a major change to the unit, so you don’t want to go this route without your landlord’s permission.
Usually, tenants don’t have the right to make certain kinds of updates to a rental. The unit isn’t the tenant’s property, so installing new carpeting could be viewed as vandalism or intentional damage, regardless of the quality of the end result.
If you genuinely want to replace the carpet out-of-pocket, contact your landlord first. You need their permission in writing before you have any work done on the unit, ensuring you’re protected from claims of intentional damage. Additionally, you may need to work with them to make sure that you’re using a contractor they approve of and the flooring you choose aligns with their standards.
In most cases, this can be far more work than it’s worth, especially for a unit you don’t own. As a result, you may be better off using temporary solutions – like throw rugs or area rugs – to enhance the look of the flooring without changing it.
The post Can Landlords Charge Tenants for Carpet Replacement? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post Homeowners vs Renters: A Statistical Comparison appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Homeownership remains popular in the United States, even as housing costs tend to rise. As of late 2020, the United States had around 82.8 million owner-occupied households across the country. That represents a year-over-year increase of 2.1 million households.
[Source: Pew Research Center]
The number of renters in the United States does tend to ebb and flow, mainly because economic conditions can have a major impact on the affordability of homeownership. However, while renting is a popular option, there are fair fewer renter-occupied households in the United States.
Overall, there are about 43 million renter households in the country. That’s nearly half of the number of owner-occupied properties.
[Source: Harvard University Joint Center for Housing Studies]
When you look at all households in the United States, 65.8% are owner-occupied. That metric includes properties with existing mortgages as well as homes that are considered paid-in-full.
[Source: Pew Research Center]
One of the biggest challenges aspiring homeowners face is affordability. In some cases, renting isn’t as much of a choice as it is an outright necessity. Rising housing costs have effectively priced many people out of the market.
On average, just 45% of renters could shoulder the financial burden associated with buying an average property in their current city. The median-priced home in the region simply wouldn’t be affordable to 55% of renters.
[Source: MarketWatch]
Income levels have a significant impact on whether homeownership is practical. Among American homeowners, the median annual household income is $72,615. That’s higher than the median household income for the country, which sits at $68,703.
[Source: United States Census Bureau and Joint Center for Housing Studies at Harvard University]
In many cases, affordability plays a significant role in whether someone rents or buys a home. Among renters, the median annual household income is $40,500. That’s more than $30,000 below the median yearly household income of homeowners and more than $28,000 below the median household income in the country.
[Source: Center on Budget and Policy Priorities]
Credit scores also play a major role in whether a person can become a homeowner. Not only do aspiring homebuyers need to meet any minimums set by lenders, but their score also has a significant impact on their mortgage interest rate, impacting overall affordability.
On average, homebuyers have a FICO credit score of 731, placing the typical buyer toward the higher end of the “Good” credit score category, which includes scores from 670 to 739. Additionally, that score is 20 points above the national average of 711, showing that aspiring homeowners are in better financial shape than the average American.
[Source: Value Penguin and Experian]
While the average homebuyer has a credit score of 731, renters average far below that mark. The average credit score of renters in the United States is 638. Not only is that 93 points below the average homebuyer, but it’s also 73 points below the national average.
Additionally, that means most renters don’t fall into the “Good” credit score group. Instead, they fall into the “Fair” category, which includes scores from 580 to 669.
[Source: Million Acres and Experian]
Among homeowners in owner-occupied properties that have a mortgage, their average monthly housing cost is $1,609.
[Source: United States Census Bureau]
Depending on the size of the unit, the average rental price ranges from $1,641 for a studio to $2,012 for a three-bedroom unit. While this makes renting seem more expensive, renters don’t have to shoulder most maintenance costs. Additionally, they may have utilities included, though that isn’t always the case.
[Source: Apartment Guide]
If you look solely at non-mixed-ethnicity households, homeownership rates are highest among those that fall into the non-Hispanic white-alone category. In that group, the rate sits at 73.8%.
[Source: United States Census Bureau]
When it comes to renter demographics, minorities are far more likely to be renters than homeowners. Fifty-eight percent of black households are headed by renters. The same is true for 53% of Hispanic households.
For comparison, fewer than 31% of white households are headed by renters.
[Source: United States Census Bureau]
The percentage of household income that ends up going toward housing expenses can have a major impact on a household’s lifestyle, stress levels, and more. On average, homeowners send 16.4% of their household income to housing-related expenses, including costs like mortgage payments, homeowner’s insurance, and property taxes.
[Source: Million Acres]
Common advice from many personal finance experts says that a household shouldn’t direct more than 30% of their income toward housing expenses. If they do, the household is at risk of becoming cost-burdened. If that occurs, it may struggle to manage other critical costs that come with daily living.
Usually, it’s safe to say that most households would like to stay under the 30% mark. However, that doesn’t mean it’s possible or practical for everyone.
Nationwide, 45.1% of renters dedicate 30% or more of their household income to rent and related expenses, like utility costs. In states like Florida, Hawaii, Vermont, and California, the percentage is much higher, with over 50% of renters in those states crossing that 30% threshold.
[Source: Insurance Information Institute]
Homeownership rates increase with age. Among households headed by someone age 65+ years old, the homeownership rate is 79.3%.
After that age group, 55 to 64-year-olds have the next highest homeownership rate, sitting at 75.7%. In third are 45 to 54-year-olds, coming in at 69.4%, while 35 to 44 years olds are fourth with a homeownership rate of 62.0%.
All of the previous groups are reasonably close to the one above it. However, for those younger than 35, there’s a steep drop-off. Among those age 35 and younger, the homeownership rate is a mere 38.1%.
[Source: United States Census Bureau]
With lower homeownership rates, it likely isn’t a surprise that 65% of households that are headed by a person age 34 or younger rent.
In comparison, when a household is headed by a 35- to 44-year-old, 41% of households rent. Additionally, only 28 percent of households overseen by 45- to 64-year-olds rent, and a meager 21 percent of those run by someone age 65 or older do.
[Source: Pew Research]
In recent years, the median age of homebuyers has mainly been on the rise. By 2019, 47 became the approximate median age of American homebuyers. As a comparison, in 1981, the median age was actually 31.
[Source: MarketWatch]
Many people would assume that the median age of a renter would be significantly younger than the median age of homebuyers. In reality, the numbers are actually closer together than you’d expect. For renters, the median age is 38 years old.
There are several influences in play here. First, the average age of a person in America is actually climbing. Longer lifespans and lower birth rates are both part of that equation, causing the median age in the U.S. to shift from 37.2 to 38.2 between 2010 and 2018.
Rising housing-related costs are also a factor. In some cases, people simply can’t afford to purchase a home where they live, causing them to remain in the renter group.
[Source: Governing and United States Census Bureau]
Twenty-nine percent of buyers say that the desire to become a homeowner is their main motivation for making the purchase, causing that to be the number one reason that people become homebuyers.
[Source: National Association of Realtors]
While renting may be the practical choice for many, the vast majority of renters do dream of homeownership. Seventy-two percent of renters would like to make that dream a reality at some point during their lifetime.
[Source: Pew Research]
While the majority of people dream of buying a home, not everyone who moves forward with it is happy in the end. Buyer’s remorse does happen, and a surprising number of homeowners actually regret their purchase. However, buyer’s remorse tends to be a bigger issue with younger buyers than older ones.
64% of Millennials homeowners have at least some regrets regarding their purchase. Having to shoulder the high costs of maintenance is the most commonly cited one, but large mortgage payments, believing they overpaid, and dissatisfying interest rates also come into play.
In early 2021, a round of COVID-19 stimulus payments reached qualifying households. Of those who received the funds, 7.5% put the cash toward a mortgage.
[Source: iPropertyManagement]
When the stimulus month came out, 10.3% of the recipients used the cash to pay rent. Considering that an estimated 160 million payments were issued, that means nearly 16.5 million were at least partially directed towards rent.
[Source: iPropertyManagement and Forbes]
When people envision having a roommate, they typically think about renters who need a financial boost. In reality, having a roommate or a non-spouse or non-partner adult living with a homeowner in an owner-occupied property is actually more common. Among doubled-up households, 64.3% are also owner-occupied.
[Source: Porch]
When it comes to doubled-up households, the majority aren’t renter-occupied. Only 35.7% of doubled-up households are headed by renters.
[Source: Porch]
Ultimately, the homeowner vs. renter statistics above are pretty fascinating. They give you insights into how the lives of the two groups differ. In some cases, they highlight disparities that may not be obvious on the surface. In others, they are simply surprising tidbits.
In the United States, 85% of homeowners have some form of property or homeowners insurance. The high adoption rate partially has to do with mortgage requirements.
Many lenders make insurance on properties they finance mandatory, increasing the odds that they will receive what’s owed even if a property is destroyed. As a result, homeowners insurance isn’t optional, and failing to maintain it can come with consequences.
On average, a homeowners insurance policy costs $1,445 per year. That breaks down to about $120 per month.
[Source: Value Penguin]
In most cases, renters insurance looks affordable. On average, a policy costs $179 per year, which breaks down to about $15 per month. However, just 37% of renters have a renters insurance policy.
There can be a few reasons why a renter may not insure their property. One is that many renters think that their landlord’s insurance policy actually offers them protection. That leads them to believe that getting their own renters policy isn’t necessary. However, a landlord’s policy doesn’t extend to the renter’s property, putting the renter at risk of severe losses.
For others, it is an issue of affordability. While $15 per month seems manageable to many, those with incredibly tight budgets might not have room for it.
Finally, denial of coverage can also occur. Renters with credit issues may not be able to get a policy. Many property insurance companies do run some level of credit check, and they may deny coverage to someone they consider a poor risk.
Additionally, insurers may refuse to cover renters in areas they deem high risk. This can include denying coverage to anyone living in a single building, a specific neighborhood, or a larger zone.
[Source: Insurance Information Institute]
The post Homeowners vs Renters: A Statistical Comparison appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post Average Apartment Size in the United States: the Complete Guide appeared first on Flex | Pay Rent On Your Own Schedule.
]]>As rent prices continue to rise, so does the cost of living alone. Studio apartments have an average cost per square foot of $3.19, while a two-bedroom unit is just $1.73. With one- and two-bedroom units making up a combined total of 81% of the rental market, it’s likely that the number of individuals renting alone is declining.
When it comes to apartment size, there’s a lot of data to unpack. Whether you’re curious where you can find the largest rentals or how the rental market is evolving, here are some insights around apartment size you should know.
In 2018, the average square footage of a newly built studio apartment in the United States was reported to be 514 square feet. This number marks a significant average decrease of 10.3% in these dwellings since the 573 square foot average reported in 2008. According to data from the National Multifamily Housing Council, studio apartments make up 11% of the rental market.
(Source: RENTCafé)
As of 2018, the average size of a newly built one-bedroom apartment is 757 square feet. In 2008, the average newly built one-bedroom was 790 square feet, meaning the current average size of these units is a stark 30% smaller than it was then. However, the average size decrease between 2008 and 2018 was only 4.2%. One-bedroom apartments comprise 41% of the rental market.
(Source: RENTCafé, National Multifamily Housing Council)
Two-bedroom apartments account for 40% of all rentals and have an average size of 1,138 square feet, as of 2018. These units are about 381 square feet larger than the average one-bedroom apartment.
Interestingly, the two-bedroom is the only floor plan that appears to have increased in size over the last decade. In 2008 the average two-bedroom measured 1,132 square feet– about 0.5% smaller than the current average.
(Source: National Multifamily Housing Council, RENTCafé)
According to data from Apartment Guide, the average cost of a studio apartment, as of June 2021, is $1,641 while a one-bedroom unit is $1,711. For just $70 more, you could gain an average of 32% more floorspace.
(Source: Apartment Guide)
The average two-bedroom apartment in the US rents for $1,972. For $262 more each month, you could trade your one bedroom from a two-bed and gain 381 square feet.
(Source: Apartment Guide)
To determine the cost per square foot, simply divide the cost of rent by the square footage of the unit.
Using this formula, the average cost per square foot of renting a two-bedroom apartment is $1.73. A one-bedroom apartment costs $2.26/sq ft, and a studio apartment comes in at $3.19/sq ft.
Assuming an even split, you would pay $986 per month to share a two-bedroom with a roommate. That’s $655 less than you would pay to rent a studio apartment on your own.
When you then consider that you would be splitting the costs of all utilities as well, your savings increase even more.
On average, apartment sizes appear to be getting smaller, with studios experiencing the largest average decrease in square footage, losing 10.3% since 2008.
Two-bedroom rentals are the only floor plan that has seen an average increase in size since 2008, though the number is negligible, at less than 1%.
With open-concept floor plans more popular than ever, it’s possible that even though apartments are getting smaller, they may feel equally spacious. A well-optimized layout can make even a small space feel perfectly comfortable.
However, a well-optimized layout doesn’t take into account occupancy rates (more on this later).
The average size of an apartment in the United States is 882 square feet, but the US is a big country, so it’s no surprise that the average apartment size would fluctuate from state to state. However, you may be surprised to see which states tend to have the largest apartments versus those with the smallest.
They say everything is bigger in Texas, but apparently, that doesn’t apply to apartment size. Georgia leads the country with the roomiest rentals while a series of other southern states follow.
Check out the five states with the largest apartments, on average.
| State | Average Apartment Size (Sq. Ft.) |
| Georgia | 1019 |
| Alabama | 986 |
| South Carolina | 978 |
| Florida | 957 |
| Mississippi | 954 |
(Source: RENTCafé)
Kansas has an average apartment size of 791 square feet, the smallest of all the states. While the mention of small apartments likely conjures images of New York City, you might be surprised to find that the state of New York ranks fifth in terms of smallest apartments.
The smallest apartments in the country are not confined to a single region (unlike the largest apartments, which dominate the South). Instead, the most compact rentals are scattered throughout the country.
Check out the five states with the smallest apartments, on average.
| State | Average Apartment Size (Sq. Ft.) |
| Kansas | 791 |
| New Mexico | 813 |
| Arizona | 823 |
| Illinois | 825 |
| New York | 842 |
(Source: RENTCafé)
Leading the nation in apartment size, at 1,019 square feet, the average apartment in Georgia is 22% larger than the average apartment in Kansas, measuring 791 sq. ft.
The data makes one thing clear: if you’re looking for a spacious apartment, you’ll find it in the South.
Perhaps unsurprisingly, similar trends emerge when looking at the average apartment size in cities across the United States.
Check out the rest of the rankings for cities with the largest apartments:
| City | Average Size (Sq. Ft.) |
| Tallahassee, FL | 1,038 |
| Marietta, GA | 1,025 |
| Columbia, SC | 1,006 |
| Decatur, GA | 1,000 |
| Birmingham, AL | 992 |
| Norcross, GA | 991 |
| Gainesville, FL | 990 |
| Atlanta, GA | 987 |
| Virginia Beach, VA | 973 |
| Henderson, NV | 970 |
(Source: RENTCafé)
With an average square footage of 1,038, Tallahassee apartments are about 15% larger than the national average of 882 square feet.
With an average of 970 square feet, Henderson, Nevada, comes in 10th when looking at the cities with the largest apartments.
3 out of 10 of the cities with the largest apartments in the US are suburbs of Atlanta: Marietta, Decatur, and Norcross. Each of these cities has an average apartment size in the 1000 square foot range. On average, these cities boast apartments 20% larger than the typical rental in the US.
The city of Atlanta offers large apartments also. With an average square footage of 987 square feet, Atlanta apartments are approximately 10% larger than the national average.
Now let’s take a look at the cities with the smallest apartments, on average:
| City | Average Size (Sq. Ft.) |
| Seattle, WA | 711 |
| Manhattan, NY | 733 |
| Chicago, IL | 733 |
| Washington, DC | 736 |
| San Francisco, CA | 737 |
| Tucson, AZ | 738 |
| Los Angeles, CA | 771 |
| Glendale, AZ | 781 |
| Phoenix, AZ | 783 |
| Minneapolis, MN | 785 |
(Source: RENTCafé)
It’s probably not surprising to see cities in New York and California on the list of smallest apartments. However, it is interesting to see that the other cities on the list are spread throughout the country.
Of course, cities in the South lead the country with some of the largest apartments, so it’s no surprise that this region isn’t represented on the list of cities with the smallest apartments.
With an average square footage of 711, Seattle apartments are about 19% smaller than the average US apartment and about 3% smaller than those found in Manhattan.
Average square footage per person
A large apartment is one thing, but if you share your rental with a family member or roommate, your personal square footage is reduced.
Perhaps, instead of asking where you can find the largest apartment, you should be concerned with where you are most likely to find the most personal square footage. We can determine the personal square footage of an apartment by dividing the area of the unit by the average number of occupants.
According to RENTCafe, the average space per person across the country is 526 square feet.
Seattle apartments are 19% smaller than the national average, but personal square footage in Seattle is only 10% less than average. Seattle is home to the smallest apartments in the nation at 711 sq. ft., and the average personal square footage is 474.
In Manhattan, the average space per person is 393 square feet, about 25%, less than the national average. Meanwhile, in Chicago, renters enjoy about 517 sq. ft. of personal space, which is only 1.7% less than average.
In Portland, Oregon a city where apartments typically measure 13% less than the national average, renters have an average of 531 square feet of personal space. This works out to about 1% more than the average renter in the US.
In Tallahassee, Florida, apartments measure an average of 1,038 sq. ft., and each home has an average of 2.33 inhabitants. That makes the average square footage per person in Tallahassee is just 445, about 15% lower than the national average.
Marietta, Georgia has an average of 2.35 persons per household. When you factor in an average rental size of 1,025 sq. ft., each person is privy to just 436 sq. ft. of personal space. That’s about 17% less than the national average, and 8% less than in Seattle, the city with the largest apartments.
In Columbia, South Carolina, apartments measure 1,006 sq. ft. on average, and hold 2.21 residents. This amounts to 455 sq. ft. of personal space, 13% less than the national average.
This trend continues when you compare the data on the rest of the top 10 cities with the nation’s largest apartments.
We compared data from the US Census Bureau with data from RENTCafé to compare the average apartment size in the 15 fastest-growing cities in the United States. The data compares cities that led the nation in population growth between 2010 and 2019.
| City | Average Apartment Size (Sq. Ft.) | Average Rent | Persons per Household | Nearest Big City |
| Buckeye, AZ | 1,409 | $1,473 | 3.36 | Phoenix, AZ |
| South Jordan, UT | 1,014 | $1,389 | 3.42 | Salt Lake City, UT |
| Murfreesboro, TN | 1,005 | $1,184 | 2.63 | Nashville, TN |
| Meridian, ID | 999 | $1,422 | 2.78 | Boise, ID |
| Franklin, TN | 998 | $1,527 | 2.59 | Nashville, TN |
| Fort Myers, FL | 993 | $1,333 | 2.52 | N/A |
| Goodyear, AZ | 956 | $1,450 | 3 | Phoenix, AZ |
| Mount Pleasant, SC | 947 | $1,516 | 2.54 | Charleston, SC |
| Frisco, TX | 941 | $1,502 | 2.94 | Dallas, TX |
| McKinney, TX | 937 | $1,361 | 2.89 | Dallas, TX |
| Irvine, CA | 921 | $2,424 | 2.7 | Santa Ana, CA |
| Cedar Park, TX | 919 | $1,333 | 3.06 | Austin, TX |
| Conroe, TX | 919 | $1,137 | 2.67 | Houston, TX |
| Round Rock, TX | 913 | $1,253 | 3.16 | Austin, TX |
| New Braunfels, TX | 894 | $1,247 | 2.72 | San Antonio, TX |
(Source: RENTCafé, US Census Bureau)
It’s clear that renters are favoring cities that offer more space. Buckeye, AZ leads with an average rental size of 1,409 sq ft, 37% larger than the national average. New Braunfels, TX has the smallest floorsplace of these cities, but still measures 1% larger than average.
Based on this data, it’s possible that renters are drawn to the suburbs in search of more spacious living areas.
The average persons per household from 2015 – 2019 was 2.62. Only 3 of the fast-growing cities listed above have households with fewer than the average inhabitants. Could larger living spaces and larger households be part of the draw of these cities?
(Source: US Census Bureau)
This is likely related to the fact that all three of these cities have seen favorable job growth in recent years.
With this in mind, let’s see what we learn when comparing the apartment sizes within these major cities to those in the fast-growing suburbs.
For Phoenix, we’ll look at the suburbs Buckeye and Goodyear. For Dallas, we can compare Frisco and McKinney, and for Nashville, Franklin and Murfressboro.
| City | Average Apartment Size (sq. ft.) | Average Rent |
| Phoenix | 804 | $1,252 |
| Dallas | 848 | $1,276 |
| Nashville | 889 | $1,420 |
Perhaps unsurprisingling, when we analyze the major cities in the table above in comparison with their suburbs, the suburbs consistently offer larger apartments.
Apartments in Buckeye, Arizona are about 37% larger than the national average, and 43% larger than in Phoenix, the nearest big city. In another suburb, Goodyear, apartments are approximately 15% larger than the average Phoenix apartment.
Meanwhile, apartments in Frisco, Texas are 10% larger and McKinney apartments are about 11% larger than those in Dallas.
The same trend holds true for Nashville suburbs. Apartments in both Franklin and Murfreesboro are about 11% larger than those in nearby Nashville.
The average apartment size has been trending down over the past few years. This could be due to many factors including the increase in rent prices, the cost of building materials, and a myriad of other reasons.
With so much apparent growth in suburbs around major cities, it will be interesting to see how the trends evolve over the next few years. Will the suburbs continue to dominate, offering spacious rentals at reasonable rates, or will there a shift back to major cities? Only time will tell.
The post Average Apartment Size in the United States: the Complete Guide appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post How Long Does a Landlord Have to Fix Something? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The warranty of habitability is the landlord’s implied responsibility to make sure all of the properties they manage are habitable. If the lack of a repair makes living in the unit impossible or incredibly challenging, not handling it in a timely manner could violate the warranty of habitability.
Often, the impact on habitability determines the severity of the situation. Generally, any repair that would cause a property to become unhabitable is deemed critical. For those that don’t harm habitability, they are usually labeled non-critical.
There is also a third category: maintenance. Landlords typically have to complete specific kinds of maintenance to ensure the property remains in habitable shape. This work isn’t the result of a reported problem. Instead, it’s preventative in nature.
Critical repairs usually lead to violations of the warranty of habitability. In most cases, landlords have 24 hours to seven days to begin fixing issues in this category, depending on local law.
Some common issues that qualify as critical include:
All of those issues could make living in the unit incredibly difficult or unsafe. As a result, landlords have to address the problems quickly.
However, different states do treat some of the issues above differently. For example, non-functional air conditioning during the summer may only classify as a critical repair in states where the temperatures tend to be higher. Pest infestation rules also vary dramatically.
Exactly how long a landlord has to fix the issue also differs from one state to the next. For example, while one state may require landlords to repair provided refrigerators within seven days, others may give them up to 14 days to handle the situation.
If you aren’t sure whether an issue qualifies as a critical repair in your area or how long a landlord has to fix the problem, it’s best to do some research. Look into local landlord-tenant laws to see which issues fall in this category and the timeline your landlord has to follow to ensure habitability.
Non-critical issues may be bothersome, but they don’t create a safety issue or violate the warranty of habitability. Since they don’t make a unit unlivable, landlords have more time to fix these types of problems. Typically, the timeline for handling the issue is 30 days, though it does vary based on local law.
Some common non-critical repairs include:
There are certainly other non-critical repairs that may arise. However, the examples above should give you some insights into what issues in this category typically look like, allowing you to ensure your expectations are reasonable if you report a problem.
As with critical repairs, laws do vary for non-critical issues. Both what falls in this category and the timeline may differ between states.
There might also be rules in your lease that place specific non-critical repair responsibilities on the tenant. As long as those clauses align with local law, then they are enforceable.
If you aren’t sure where your issue falls, research laws in your state and city first. Then, check your lease for clauses that may dictate who is responsible. That way, you’ll know whether it’s your landlord’s responsibility, as well as how long they have to fix the problem if it does fall in their hands.
In many cases, landlords handle certain issues proactively. For example, since they are responsible for ensuring public areas remain safe, they may clean those portions of the property regularly. Similarly, to avoid pest infestations, they might have regular treatments applied by pest control professionals. To ensure plumbing problems don’t arise, they may have the pipes inspected and cleaned out on a set schedule.
Generally, a landlord’s maintenance responsibilities are also outlined by state law. If a tenant notices an issue and chooses to report it, the repair usually falls under either the critical or non-critical category, outlining the timeline the landlord has to complete the fix.
There are situations where the landlord isn’t actually responsible for a repair, even if the problem could impact the habitability of the unit. Usually, this includes issues created by the tenant that fall outside of standard wear and tear damage.
For example, while a landlord is typically responsible for plumbing issues, if the tenant reports a clog that is actually the result of misuse, the tenant may be responsible for getting it fixed, not the landlord. The same goes for broken major appliances. If improper use is what caused the damage, the tenant is responsible.
Pest infestations may or may not be the tenant’s responsibility. The laws vary from one state to the next, as well as the cause and extent of the infestation. In some areas, if pests are present due to a tenant’s actions, such as a lack of cleanliness, and they only impact that tenant’s unit, the tenant may have to handle the problem. However, that isn’t universally true.
As with other kinds of issues, it’s best to review local landlord-tenant laws and your lease to see where responsibility lies. That way, you know when you’ll need to address the problem and when the fix is something your landlord needs to manage.
If your landlord isn’t handling repair requests in accordance with local law, you do have some options. However, don’t take any of the actions discussed below until you’ve made your repair request in writing.
In the letter, clearly outline the issue you need addressed. Let the landlord know the nature of the situation, as well as the impact it has on habitability. Generally, a written request is best because it establishes a formal timeline. Plus, it may be required by state law or in your lease.
Document the problem thoroughly, including taking pictures whenever possible. If you can, send your landlord copies of the images. Even if that isn’t an option, you’ll still want photographs for your own records.
When you send the letter, make sure it’s a certified one that comes with a delivery receipt. That way, you have proof that the letter was received and know exactly when it was delivered to your landlord. Usually, the required repair timeline doesn’t begin until the letter is delivered, which is why a receipt is so vital.
In most cases, your landlord will step up once they receive the letter. If they don’t, you may be able to take certain actions once the required time for a fix passes. However, what options are available to you can vary by state law.
In some states, tenants can withhold rent until the repair is handled. At times, a tenant may be able to hire a contractor to fix the issue, deducting what they paid from their rent.
Tenants usually also have the right to contact a local building agency or housing authority to report the problem. With this, inspectors may come out to assess the issue and, if the landlord did violate local law, may levy penalties, such as fines or fees.
If the unit is unhabitable, the tenant may be able to end their lease early. Tenants may also have the right to file a lawsuit over the issue. If a tenant sues, the grounds for the case may depend on the severity of the situation, the impact of the problem, which laws or lease clauses were violated, the tenant’s actions after the written notification, and other factors.
Since the rules can vary, it’s best to review state and local law before taking any of the steps above. That way, if you do decide to take action, you can do so in accordance with the rules.
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]]>The post What to Do When Your Landlord Violates Your Lease appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Below, we’ve outlined what you can do when your landlord violates your lease and provided specific examples of common lease violations to help illustrate the process. Let’s jump in.
The following are some steps you can take if your landlord violates your lease. It’s up to you to evaluate which step (or steps) are most appropriate for the issue at hand.
Suppose your landlord has only committed one passive violation of the lease, such as falling behind on maintenance. In that case, a simple letter may be all that is required to resolve the situation.
However, if your landlord repeatedly fails to uphold his end of the lease or is harassing you, stringent actions may be the only way forward.
Any time your landlord violates the lease, write it down. In most cases it’s probably a one-off incident, but if the infraction continues, it will be helpful to have a paper trail.
Write a detailed note describing the incident, including the date and time. Then take a photo or save any other relevant documentation to a file you can reference later if necessary.
Any time an issue arises, you should bring it to your landlord’s attention in writing. This way, you create a paper trail related to the problem, which will come in handy later if you fail to reach a resolution.
If you have a cordial relationship with your landlord, mentioning any issues in person or over the phone may be all it takes to see them resolved. However, it’s still wise to follow up in writing (even just through email) to create a record of your request and the landlord’s response.
In situations where the landlord is resistant to resolving the issue, a formal written complaint may be all it takes to get their attention. Use these templates to write a letter to your landlord detailing the problem or complaint.
Then, add a copy of your dated letter to the file you keep on your landlord. This way, you can easily reference it, along with any other related documentation, should you ever need to.
If your landlord has failed to respond to your written requests, a mediator could be the next step.
Using a mediator is less threatening (and less expensive) than taking your landlord to court, yet it can be just as effective. A mediator is a third-party individual who will work with both sides to resolve an issue in a way that is satisfactory for both parties.
You can often find mediators through local nonprofits that offer dispute resolution programs. Through these organizations, you can work with a mediator for free or at a low cost. To find one, contact your local court or the mayor’s office.
Mediation is a promising way to resolve a dispute with your landlord, but it doesn’t always work. If you feel that your landlord is entirely unreasonable or you already have an extremely contentious relationship with them, they might not be open to mediation. In this instance, you may have to file a lawsuit against your landlord to resolve the issue.
When your landlord violates your lease agreement, they may also be violating state or federal landlord-tenant laws.
If your landlord is behaving illegally, you can report them to the US Department of Housing and Urban Development (HUD).
Before you do this, read your lease agreement carefully and note which terms your landlord is violating. Next, research the tenant laws for your state to understand what options you have for recourse.
If you live in a HUD-insured -assisted property, you can file a complaint with HUD. While doing so may not result in immediate resolution of the issue, filing a formal complaint can lead to having bad landlords fined or barred from doing business with the federal government.
If you’ve tried the steps outlined above and are still unable to resolve the issue with your landlord, you may be left with no choice but to take them to court.
If your dispute is over money, you will likely wind up in small claims court (unless the amount of money in question is too large). Small claims court is commonly used to force a landlord to return a security deposit.
To initiate a lawsuit, you will send your landlord a demand letter detailing how much money your landlord owes you, why they owe it to you, and where to send the payment. The letter will state a time frame in which you expect a response and assert that you intend to sue if your landlord fails to respond.
In many cases, a demand letter will be enough to force your landlord to respond and work with you to avoid going to court. If not, you should contact a lawyer to help you through the court process.
You may be able to secure free or low-cost legal assistance through local nonprofit organizations. Contact your local courthouse for information on these programs.
Here we’ve included some specific examples of common lease violations. While these instances are all different, the steps we outlined above can be used to resolve each of these scenarios.
When you sign a lease, you and your landlord enter into a contract under which you each have a set of responsibilities. Just as you are expected to pay your rent on time, your landlord is also expected to abide by a set of terms.
Briefly, these include maintaining the rental so that it is safe and habitable, maintaining the property, ensuring the rental is pest-free, and promptly making any necessary repairs.
If any maintenance issues arise, inform your landlord in writing and request to have them resolved. If your landlord fails to respond to your requests, you may have cause to take them to small claims court.
Typically landlords are required to provide 24-hours notice before they may enter your rental unit. Unless your landlord is responding to an emergency, failure to provide adequate notice is a form of landlord harassment and is a direct violation of your lease agreement.
If your landlord enters your rental unannounced, speak with them to address the issue. Remind them of your state’s landlord-tenant laws and request that they provide proper notice before entering your home.
If your landlord continues to disregard this obligation, you may need to pursue legal action to put a stop to this behavior.
Generally speaking, if you leave your rental unit in good condition, your landlord must return your security deposit.
If there is property damage beyond normal wear and tear, the landlord may deduct all or a portion of your security deposit to cover the cost of repairs. However, these deductions must be noted and presented to you.
Unfortunately, some landlords fail to return security deposits, even when they should. This is, of course, a lease violation.
In the event that your landlord refuses to return your security deposit, you can pursue them for it by writing a security deposit demand letter or, in extreme cases, by taking your landlord to small claims court.
As a tenant, it can sometimes feel like you’re at the mercy of your landlord, but this is not the case. You have rights as a tenant, and if your landlord fails to uphold their end of the lease, you do have recourse.
Be sure to familiarize yourself with the landlord-tenant laws in your state, so you have a clear understanding of your rights as a tenant. This way, you can use the steps above to take swift action if any problems come up.
And remember, always keep notes and documentation around any issues that come up during your tenancy just in case you ever need to reference them in a dispute with your landlord.
The post What to Do When Your Landlord Violates Your Lease appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post How to Write a Check for Rent – With Example appeared first on Flex | Pay Rent On Your Own Schedule.
]]>You can see here an example rent check:
When writing a check, you typically need to fill in six items:
Let’s walk through each of these items in turn.
The date blank is on the upper right-hand portion of the check. You can use any typical format, including:
The important part is to include the month, day, and year. All three of those need to be in place or the check isn’t filled out correctly.
In the “Pay to the order of” line, you’ll print the payee’s name. This may be your landlord’s name or a rental company name, depending on who you’re renting through and how they want it listed.
In our example, the tenant is renting a property through Acme Property Management. As a result, they would print “Acme Property Management” in the “Pay to the order of” field.
You’ll want to make certain you fill your rent out to the right entity. In some cases, you’ll write in the landlord’s name. In others, you may need to use a rental management company name.
Often, landlords include that information in the lease. However, if you are unable to find it there, you should contact your landlord to confirm who the payee is, ensuring you write in the correct information.
Just to the right of the “Pay to the order of” field is a blank spot with a dollar sign printed next to it. Here, you write out your rent amount using numbers.
For example, if your rent is $1100.00, you’d write “1100.00” in that blank. Since the dollar sign is printed on the check, you don’t need to include that; just the numbers are fine.
However, you do need to make sure you include both dollars and cents, even if your rent is a flat dollar amount. With checks, specificity is important, so include the “.00” when you fill yours out.
Just below the “Pay to the order of” field, you’ll see a blank line with the word “Dollars” printed on the right-hand side. Here, you need to write out your rent amount mainly using words.
The only exception is when it comes to cents. With that, you write the cents as a fraction, with the bottom number being 100 (such as “##/100”). The 100 notes how many cents are in a dollar, while the top number is the number of cents in the amount you’re paying.
For example, if you were writing a check for $350.46, you write the cents as 46/100.
When there aren’t any cents, you do use a different approach. Instead of writing “00/100,” you use “no/100” in its place. That’s because “00/100” could easily be edited by someone else to read another amount, like “100/100” by putting a “1” in front. With the “no/100” approach, that can’t happen.
So, if you’re rent amount is $1,100, like our example, you would need to write “One thousand one hundred and no/100” in that line.
The memo line – which is on the lower left-hand side and is usually labeled with “memo” or “for” – is a spot where you can write a quick note regarding the reason for the check. Technically, it doesn’t have to be filled out for a check to be accepted by a bank or landlord. However, using it is a smart move.
A good option for the memo line rent check is to write in which month’s rent you’re paying. For example, if you were handling your January payment, you could write “Rent – January,” like our example.
In some cases, you could also add a detail about your rental apartment or home. For instance, if the landlord runs one apartment building, also include your apartment number. If you lived in 2B, you would write “Rent – Apt 2B – January.”
The latter approach is a good move if your personal information in the upper left-hand corner doesn’t have the rental’s address. It ensures the landlord knows what rent you’re paying right away, which works in your favor.
To the right of the memo line, you’ll see a blank. That’s where your signature goes when you’re writing a check.
Without a signature, your check can’t be cashed or deposited. As a result, this is the most crucial step. However, it’s also one you should do until you’re ready to send the check on its way, as pre-signed checks put you at risk for fraud or theft.
Once your signature is in place, you’ve successfully written your rent check. Now all you need to do is get it to your landlord on time, and you’re done.
Instead of writing a check for rent, you could also try Flex. By splitting your monthly rent into two payments, Flex frees you up from having to pay your rent all at once on the first of the month. Click here to check it out.
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]]>The post How Long Do You Have to Move Out After Being Evicted? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>For example, you might receive a notice to pay or vacate, a notice to comply with the lease or vacate, or a notice of tenancy termination. In some cases, each approach – or cited cause for the eviction – also has unique rules, outlining how much time the landlord has to provide you to move out.
Depending on where you live, the general timeline for moving out is three to 30 days after you receive the formal written notice. Additionally, you may technically get more time in some situations.
Often, the landlord has to provide the written notice and the associated number of days to move out. If you comply, that’s the end of the eviction matter. However, if you don’t, the landlord then has to seek a court order, and that doesn’t happen overnight.
If you intend to fight the eviction in court, you may have several more days or even weeks beyond the initial move-out timeline before that will occur. Whether you go this route may depend on whether the landlord was within their right to evict you. Additionally, whether you want to shoulder the burden of heading to court – including the potential costs associated with fighting the eviction or that may be charged as a result of an unfavorable judgment – could also play a role.
The post How Long Do You Have to Move Out After Being Evicted? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post 20 Insightful Renter Statistics appeared first on Flex | Pay Rent On Your Own Schedule.
]]>While it’s true that the number of renters does shift every year, as economic conditions do play a major role, the number of renters in the country is quite high. Overall, there are about 43 million renter households in the United States.
[Source: Harvard University Joint Center for Housing Studies]
As mentioned above, not all renters rent out of choice. At times, it’s a necessity because the cost of buying in their area just isn’t practical for them to handle.
On average, a mere 45% of renters could handle the financial cost of buying a typical property in their city. That means, on average, 65% of renters wouldn’t be able to afford the payments on a median-priced home in their region.
[Source: MarketWatch]
While, on average, 45% of renters could potentially buy a home in their area, if you focus on higher-cost cities, it’s a different story. In expensive markets, such as what you find in the Northeast and on the West Coast, only 10% of renters could afford the cost of purchasing a property, leaving 90% functionality without the ability to buy in their area.
[Source: MarketWatch]
Widespread financial advice states that households shouldn’t dedicate more than 30% of their income to housing. Otherwise, they can become cost-burdened, causing them to struggle to handle other crucial expenses associated with daily living.
While most would prefer to stay below that number, it isn’t practical or possible for everyone. Nationwide, more than 45% of renters dedicate at least 30% of their household income to handling rent and utility costs. However, in states like Florida, California, Vermont, and Hawaii, the%age is much higher, with more than 50% of renters in those states cross the 30% threshold.
[Source: Insurance Information Institute]
Overall, younger adults are far more likely to rent than older adults. Overall, 65% of households headed by an adult under the age of 35 rent. In comparison, only 41% of households headed by a person 35 to 44 rent. Additionally, just 28% of homes run by 45 to 64-year-olds rent, and a mere 21% of those headed by an adult age 65 or older do.
[Source: Pew Research]
When it comes to why renters head for the door and don’t turn back, rent increases are most commonly blamed. Overall, 69% of renters stated that a hike in the price spurred their decision to find a new place to live, with 30% specifically citing it as a major factor.
[Source: Zillow]
Housing assistance is a crucial safety net for lower-income households. Overall, 5 million households receive some form of assistance through HUD, including access to public housing, housing vouchers, and Section 8.
[Source: United States Department of Housing and Urban Development]
Partially due to COVID-19, many renters saw their income tumble, fell behind on their rent, putting them in arrears as 2021 began. Overall, renters between 18 and 29 were most likely to be behind, with about one-third starting 2021 in arrears.
[Source: Statista]
When it comes to which demographic group started 2021 with the largest rent deficit, black renters were far ahead of other groups. Overall, 53% of black renters were in arrears at the start of 2021. Next were Hispanic renters, coming in at 38%.
[Source: Statista]
While renting does have its benefits, many renters do dream of owning their own home. Overall, 72% would like to make it happen during their lifetime.
[Source: Pew Research]
Whether renting is seen as the more or less affordable option can change, as housing market conditions play a big role in perceived affordability. As housing costs are rising in many areas, more people view renting as the better option. As a result, around 84% of renters feel they are making the affordable choice.
[Source: Freddie Mac]
When it comes to education levels and renting, household heads with more education are less likely to be renters. Overall, 29% of those with Bachelor’s degrees or higher rent.
In comparison, 38% of households where the head’s highest education level is a high school diploma rent. Additionally, 52% of those run by someone who didn’t graduate high school rent.
[Source: Pew Research]
Overall, the average credit score of renters in the United States is 638. While that does mark an upward shift, it falls far below the average FICO score in the U.S., which comes in at 711.
[Source: Million Acres & Value Penguin]
Many renters consistently worry about their ability to pay rent, particularly as many are still feeling hardships related to the pandemic. Overall, one-third of renters have no or only slight confidence in their ability to cover their rent next month.
[Source: United States Census Bureau]
When it comes to renters, certain demographic groups are far more likely to be in that category. Overall, 58% of black households are headed by renters, as well as 53% of Hispanic households. Comparatively, less than 31% of white households are in that category.
[Source: United States Census Bureau]
When it comes to HUD-subsidized households, 74% of them have female heads of household. Additionally, 32% are specifically headed by single mothers.
[Source: Department of Housing and Urban Development]
New York City is notorious for high rent prices. While not all people decide to bring another non-family member into the picture for purely financial reasons, many do. Overall, 40% of adult renters in the city don’t shoulder the cost alone, opting instead to live with a roommate.
[Source: Curbed]
When stimulus payments rolled out in early 2021, 10.3% of the recipients used the money to pay rent. That number was notably higher than the number who used it to handle a mortgage payment, which came in at 7.5%.
[Source: iPropertyManagement]
Renters insurance is a simple form of protection, giving renters a financial safety net if their property is damaged by a covered event. On average, renters insurance runs about $179 per year, coming out to a little less than $15 per month.
[Source: Insurance Information Institute]
While most would view renters insurance as being reasonably affordable, only 37% of renters actually have it. In some cases, this is because renters mistakenly believe that their landlord’s property insurance policy covers them. While that isn’t true, the belief causes them to view renters insurance as unnecessary, leading them to skip it.
In others, it’s because their budgets are so tight that even that small cost isn’t something they can handle. At times, it may even be issues with the renter’s credit history, as many insurers conduct soft inquiries and may deny coverage to someone with a poor record. There can even be situations where a company deems a place too high risk, causing them to not cover anyone in a particular building, neighborhood, or area.
[Source: Insurance Information Institute]
Ultimately, the renter statistics above are enlightening. They showcase the financial burden many people have to shoulder to maintain housing, as well as what typical renters may look like in the country. Additionally, it indirectly highlights income disparities among people of different demographics, including racial background, education level, gender, and more.
The post 20 Insightful Renter Statistics appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post Can a Landlord Deny an Emotional Support Animal? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Landlords must accommodate support animals when the following conditions have been met:
However, a landlord can deny an emotional support animal if the animal is dangerous or destructive, if the property doesn’t offer an acceptable environment for the ESA, or if you fail to provide proper documentation proving the animal’s legitimacy.
Below, we’ll take a closer look at the scenarios in which a landlord may turn your emotional support animal away and suggest how you might navigate them. We’ll also discuss what you can do if you feel the landlord’s decision was unfair.
A landlord may refuse your emotional support animal if you are unable to provide proof of its legitimacy. Documentation is especially critical if your building has a “no pets” policy, as your landlord will need the appropriate paperwork to justify overriding the policy. Before requesting accommodation for your service animal, make sure you have your documentation in order.
In this case, you will need a letter from a licensed healthcare provider outlining that the animal is an emotional support animal that offers assistance for your disability or mental illness. The only legitimate form of proof that your animal is indeed an ESA is a letter from a healthcare provider. Certificates or registrations purchased online are not sufficient.
Once you have your documentation in order, write a letter to your landlord requesting accommodation for your emotional support animal. Attach the letter from your healthcare provider as proof of your animal’s legitimacy.
Your landlord must provide safe housing to all tenants. If your emotional support animal potentially jeopardizes the safety and wellbeing of other tenants or their pets, your landlord could deny your ESA.
Your landlord may want to meet your emotional support animal before accepting your request. Make sure that your ESA is on its best behavior during this meeting. If your support animal has any aggressive tendencies, disclose them to your landlord.
For instance, if your ESA is a dog that doesn’t get along with other dogs, let your landlord know. Then, outline the steps you’ll take to ensure this tendency doesn’t become a problem for other tenants or pets. If you show that you have a realistic plan for managing any form of aggression, your landlord may still be able to approve your request.
According to the Fair Housing Act, landlords have a right to refuse emotional support animals that would “cause undue financial burden” to the landlord.
If your landlord deems your ESA destructive, he could choose to turn it away. Property damage can be expensive to repair,. Since emotional support animals are not subject to pet rent or pet deposits, the landlord may have no reasonable way of protecting against the expense of property damage.
Again, when you introduce your emotional support animal to your landlord, ensure he is on his best behavior. If your animal is prone to destructive tendencies (such as chewing), inform your landlord about how you intend to prevent property damage.
If your ESA is a rabbit and is prone to chew wires, door jambs, or anything else, outline how you plan to prevent this from happening. Will the rabbit be caged when you are not home? Once again, if you can ease your landlord’s concerns, you may be able to turn a “no” into a “yes.”
Another reason your landlord could decide to reject your emotional support animal is if the property isn’t suitable for the animal.
For instance, if your support animal is extremely large in comparison to your apartment, your landlord could deem it a poor fit. The landlord could also say no if the animal’s presence would compromise the comfort of other tenants.
Say your support animal is a miniature horse and you live in a second floor apartment. In this instance, your landlord could argue that the sound of the horse’s hooves could be detrimental to the comfort of the tenant in the unit below yours.
In scenarios like this one, there may be creative ways for your landlord to accommodate you. In some cases, he may be able to move you to a unit that is more suitable for you and your support animal. However, if this is not possible, he may be forced to turn your ESA away.
Remember, the Fair Housing Act dictates that landlords must provide “reasonable accommodation” for emotional support animals. However, landlords have the right to refuse animals for the reasons discussed above.
If your landlord feels your emotional support animal is illegitimate or compromises the quality of living of the other tenants, he may reject your request for accommodation.
When you make the request, treat it as a conversation. In some instances, you may be able to turn a “no” into a “yes” by offering your landlord reassurance around his points of hesitation. Try to hear your landlord out and suggest reasonable solutions to any issues he has with your emotional support animal. Of course, in some instances, you may receive a hard “no.”
When renting with an emotional support animal, always ensure that you are familiar with the most current provisions of the Fair Housing Act. It’s essential that you know your rights to ensure you are being treated fairly.
While a landlord may have cause to reject an emotional support animal in some cases, some landlords may simply be discriminatory.
If you feel that your landlord is being discriminatory, you have do have recourse. You can lodge a formal complaint with the United States Department of Housing and Urban Development (HUD).
Doing so won’t necessarily help overturn the landlord’s decision, but it will help create a record of discriminatory practices. It will also help lawmakers revise and update the Fair Housing Act to ensure that fair housing is accessible to everyone.
The post Can a Landlord Deny an Emotional Support Animal? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post 25 Insightful Recycling Statistics appeared first on Flex | Pay Rent On Your Own Schedule.
]]>In the United States, the average person generates 4.9 pounds of municipal solid waste (MSW) each day. That adds up to 1,788 pounds per person every year – or 292.4 million tons total.
[Source: EPA Facts and Figures]
Overall, the recycling rate in the United States is 32.1%. In total, about 94 million tons of MSW are recycled or composted each year.
[Source: EPA Facts and Figures]
By far, paper and cardboard are the most frequently recycled materials in the United States, representing 66.54% of all recycling activity. Metals come in second with 12.62%, while rubber, leather, and textiles are actually third at 6.05%.
[Source: EPA Facts and Figures]
The recycling and reuse industry supports around 681,000 jobs, paying out approximately $37.8 billion in wages annually. That puts the average salary for the industry at about $55,500.
[Source: EPA REI Report]
Each year, recycling activities lead to the generation of approximately $5.5 billion in tax revenue each year. This includes tax revenue at the local level and beyond.
[Source: EPA REI Report]
Based on production averages, every ton of paper that gets recycled saves the equivalent of 17 trees.
[Source: University of Southern Indiana]
Thanks to recycling efforts, almost 75% of all aluminum that’s ever been produced is still being used right now. The aluminum transitions into new products, a process that can often be repeated indefinitely.
[Source: The Verge]
While recycled aluminum is fairly common, you can’t say the same for plastics. Just 9% of the plastic that’s ever been created has been recycled. That means of the 8.3 billion metric tons of plastic that has been made over time, 6.3 billion of it has become waste.
[Source: Science Advances]
When it comes to energy use during production, aluminum recycling uses only about 10% of the energy it would take to create new aluminum. Since mining for materials to make new aluminum can be incredibly destructive, the 90% energy savings creates a significant incentive for companies to keep recycling, leading to a win-win scenario.
[Source: The Verge]
While aluminum recycling is incredibly efficient, not all of the aluminum cans in the United States get the chance at a new life. More than $700 million worth of recyclable aluminum cans ends up in landfills every year.
[Source: The Aluminum Association]
When it comes to energy conversation, recycling steel cans is also a winner. Recycling a single steel can results in an energy savings that’s the equivalent to powering a television for one hour or a 60 watt light bulb for four hours.
[Source: Can Manufacturers Institute]
While recycling a single steel creates an energy savings equivalent to what it takes to power a television for one hour, aluminum can recycling goes further. The energy savings from recycling an aluminum can is equivalent to what it takes to run a television for three hours.
[Source: Can Manufacturers Institute]
In the United States, 105,800 aluminum beverage cans are recycled every minute. That’s 152 million cans every day, or 55.6 billion a year.
[Source: Can Manufacturers Institute]
While the vast majority of glass is 100% recyclable and could be reused, potentially indefinitely, only 33% of it actually gets recycled. Of the about 10 million metric tons of glass waste created annually, about 6.7 million of it ends up in landfills.
[Source: C & EN]
When it comes to glass recycling rates, many European countries – including Switzerland and Germany – far exceed the 33% rate you find in the United States. In those countries, the glass recycling rate is an astounding 90% on average.
[Source: C & EN]
Electronic waste (eWaste) creation in the United States is significant, coming in at 2.7 million tons annually. While recycling programs are available, only 1 million tons of eWaste ends up recycled each year.
While the exact type of plastic and environmental conditions can play a role, some plastics may take more than 1,000 years to break down. Plastic bottles specifically take around 450+ years to decompose, while plastic shopping bags may take between 10 and 1,000 years.
[Source: The Balance SMB]
About 95% of used textiles – such as clothing, bedding, curtains, and towels – are potentially reusable, donatable, or recyclable. However, only 15% of used textiles don’t end up as waste.
[Source: Massachusetts DEP, SMART & Council for Textile Recycling]
In the United States, 50.3 million households participate in some form of curbside recycling service. That means they both have access and choose to sort their recyclables, at least, to a degree.
[Source: The Recycling Partnership]
A mere half of Americans have access to an automatic curbside recycling program. The remainder either have to make special arrangements or deliver recycling to a facility if they want to recycle.
[Source: The Recycling Partnership]
In many cases, items that Americans believe are recyclable largely aren’t, at least not in their area. Only 14% of recycling facilities in the United States can recycle clamshell or similar takeout packaging. A mere 11% can tackle plastic cups, and 4% have the ability to recycle plastic shopping bags.
Possibly the worst for recycling are plastic dishes, cutlery, straws, and coffee stirrers. Only 1% of the country’s recycling facilities can actually recycle those materials.
[Source: Yale Environment 360]
When it comes to how Americans feel about recycling, 94% are supportive. Additionally, 74% think it’s important and that it should be a priority.
[Source: Carton Council of America]
When it comes to recycling, composting, and other landfill diversion techniques, San Francisco is a leader. Overall, about 80% of the cities waste doesn’t end up in landfills.
While San Francisco originally wanted to reach 100% by 2020, that goal was ultimately too ambitious. However, its progress is outstanding, particularly when you look at other cities.
For comparison, New York has a waste diversion rate of 21%. In Chicago, the rate is just 10%.
[Source: CNBC]
While San Francisco does have Germany beat, at the national level, Germany outpaces every other nation. Overall, 66.1% of Germany’s solid waste is recycled.
[Source: Eunomia]
While Switzerland’s recycling rate is below Germany’s, coming in around 51%, 49% of their waste is incinerated for energy production. As a result, a mere 1% of the country’s solid waste actually ends up in landfills.
[Source: OECD iLibrary]
Ultimately, the recycling statistics above are pretty enlightening. While some may align with your expectations, others likely don’t. However, together, they give people a better understanding of the recycling landscape, potentially helping everyone make smarter choices moving forward.
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]]>The post Who’s Responsible for Pest Control: Landlords or Tenants? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Regretfully, the answer to “Is the landlord responsible for pest control?” is that it depends. State law governs pest control responsibilities in some areas, while other states have little if any legislation specifically discussing pest treatments or extermination.
Typically, landlords do have to ensure the unit remains safe, healthy, and habitable. However, what constitutes that can vary.
Additionally, whether the tenant is responsible for the infestation can play a role. For example, a tenant that fails to keep a property clean might contribute to the infestation, in which case pest control may be on them.
Ultimately, you’ll need to review state and local law to determine if there are any rules. It’s also wise to consult your lease, as that may include clauses addressing pest control, providing clarity when state law doesn’t.
The post Who’s Responsible for Pest Control: Landlords or Tenants? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post Emotional Support Animal Letter to Landlord: Free Template appeared first on Flex | Pay Rent On Your Own Schedule.
]]>As with any request made to your landlord, it is best to put it in writing. A written request creates a paper trail, making it easy to keep track of your correspondence on the matter. If any problems should arise, you can reference the hard copies of the letters sent.
The letter doesn’t need to be very long; it should simply state that you are requesting accommodation for your support animal. You should attach documentation for your emotional support animal to the letter so your landlord can tell that it’s a legitimate support animal.
Emotional support animals are not recognized by the FHA unless accompanied by a letter from a licensed healthcare professional, so secure this document before you write your own letter.
You may wish to include a brief description of the animal, as this could help your landlord determine whether it poses any risks or challenges for other residents of the housing complex.
Below, we’ve included a template that you can use to craft an emotional support animal letter to your landlord.
Dear [Landlord’s Name],
In accordance with the Fair Housing Act, I am writing to request reasonable accommodation for my support animal, which will reside with me within my rental at [Rental Address].
I have a disability and, as such, require full-time assistance from this animal. I have attached a letter from my healthcare provider confirming my need for this form of assistance.
The animal in question is [include a brief description of your ESA].
If you wish to discuss this matter in more detail, you can reach me by phone at XXX-XXX-XXXX or email at [your email address].
Sincerely,
[Your Name]
Customize the template above to fit your needs. If you feel that your landlord may be uninformed on the laws related to support animals, you can go ahead and quote sections of the Fair Housing Act to remind him of your rights.
There are no laws regarding when you must disclose your emotional support animal (ESA) to your landlord. You can opt to inform your landlord of the emotional support animal before signing the lease or wait until after the lease is signed if you are concerned about discrimination.
You can send your letter via email, regular mail, or even deliver it by hand. Once your landlord receives the letter, he has ten days to respond to your request. Don’t hesitate to follow up with him before the ten days are up. Always keep copies of any correspondence related to the matter, just in case issues arise.
The post Emotional Support Animal Letter to Landlord: Free Template appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post Emotional Support Animals Under the Fair Housing Act appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Below, we’ll dig into the requirements an animal must meet to be considered an emotional support animal, how to apply for a rental with an ESA, and tips for how and when to notify your landlord of your ESA. We’ll also cover your housing rights with regard to your emotional support animal and some instances in which a landlord may turn your ESa away.
According to the US Department of Housing and Human Development (HUD), an emotional support animal (ESA) is one that “works, provides assistance, or performs tasks for the benefit of a person with a disability, or that provides emotional support that alleviates one or more identified effects of a person’s disability.” HUD also asserts that “An assistance animal is not a pet.”
Under the Fair Housing Act, landlords are required to make “reasonable accommodations” for tenants or prospective tenants who need the assistance of an emotional support animal. As such, landlords are obligated to waive rules that would otherwise apply in order to accommodate a tenant’s emotional support animal.
We’ll discuss this in detail below, but one important thing to remember is that an animal can only qualify as an ESA under the Fair Housing Act if you have a disability or mental illness.
The FHA states that housing providers must make “reasonable accommodations” for assistance animals when the following conditions have been met:
In other words, you must notify your landlord of the support animal and provide sufficient proof that it is indeed a support animal and not just a pet.
At the same time, the law also stipulates that housing providers can refuse to accommodate emotional support animals in instances where:
“Reasonable accommodation” is a vague term, but common examples might include:
As mentioned above, landlords can refuse to accommodate emotional support animals in certain instances. We’ll discuss those in detail below, but one of the main reasons ESAs could be turned away is due to a lack of legitimate documentation. So, let’s take a look at what you should have in place before you apply for a rental.
While landlords are required to make reasonable accommodation for emotional support animals, before they bend any of the rental’s policies, they will need documentation proving that your animal is an ESA and not just a pet.
If you don’t already have this documentation, you can get it from a licensed healthcare provider in the form of a letter addressed to your housing provider.
The letter should state that you require an emotional support animal to assist with your disability. This letter essentially serves as a “prescription” of sorts for your support animal. The letter should be written on your healthcare practitioner’s official letterhead and should list their license number, signature, and date.
As of a January 2020 HUD guidance, your landlord may request that the letter include a description of your disability or your disability-related need for a support animal.
Beyond the letter from your healthcare professional, you are not required to disclose any further information regarding the specifics of your disability, only that your ESA offers support for it. If you wish to share more information, that is entirely up to you.
There are websites where you can “register” your emotional support animal or purchase a certification. These do not provide a legitimate qualification for your ESA, and they may even be scammy organizations that are simply trying to make a quick buck. If you are looking to qualify your emotional support animal, the only way to do it legitimately is through a licensed healthcare provider.
If you’re applying for a rental with an emotional support animal, you may be wondering if you should disclose your ESA to the prospective landlord before or after you sign the lease.
You are not required to mention your emotional support animal on your rental application. In fact, you don’t even have to disclose your emotional support animal before signing the lease. Ultimately, the choice of when to bring up your ESA is yours.
But, even though you don’t have to, it may make sense to inform the landlord about your ESA before signing a lease. If you choose to wait until after signing the lease, your landlord might feel duped or blindsided, even though he is still legally obligated to accommodate your emotional support animal.
It isn’t ideal to risk souring your relationship with the landlord right at the beginning of your tenancy, as this could lead to issues down the road.
Advising your landlord about your emotional support animal before signing the lease is courteous and gives the landlord time to take care of any administrative details related to the ESA. That way, they can file any necessary paperwork all at once.
However, it is also completely understandable if you choose to wait until after the lease is signed to mention your ESA. This way, you can protect yourself from discrimination.
Some landlords may be uninformed about the laws regarding emotional support animals, and informing them of your ESA too early in the rental process could send their head spinning, especially if their rental is not otherwise pet-friendly.
Though they are legally obligated to accommodate you and your ESA, they could choose to overlook your rental application if they aren’t comfortable with the idea of an animal in the rental.
Waiting until after the lease is signed to tell the landlord means he can’t wriggle out of renting to you. He’s already decided you’re a great tenant, so making this additional request shouldn’t present issues.
Only you will be able to judge when to bring up your ESA. Regardless of when you choose to inform your landlord of your ESA, you should provide this information in writing. This creates a paper trail for both of your records, which could come in handy in the future.
Write a simple letter to your landlord informing him that you have an emotional support animal. Attach the letter from your healthcare provider as proof that your ESA is legitimate.
Keep the letter brief and only include the essential information.
Offer a brief description of your emotional support animal to manage the landlord’s expectations. Include the type of animal, the approximate size, and any behavioral traits you deem relevant.
You can use the template below to craft a letter to your landlord.
Dear [Landlord’s Name],
In accordance with the Fair Housing Act, I am writing to request reasonable accommodation for my support animal, which will reside with me within my rental at [Rental Address].
I have a disability and, as such, require full-time assistance from this animal. I have attached a letter from my healthcare provider confirming my need for this form of assistance.
The animal in question is [include a brief description of your ESA].
If you wish to discuss this matter in more detail, you can reach me by phone at XXX-XXX-XXXX or email at [your email address].
Sincerely,
[Your Name]
If you have an emotional support animal, you must understand your rights under the Fair Housing Act to protect yourself from unfair treatment. Below, we’ve summarized some common situations that you may face and outlined what your rights are under the FHA. This list is not exhaustive, and you should review the FHA sections relating to support animals to ensure you have a thorough understanding of your rights.
Making an exception to a no-pets policy is a typical example of a “reasonable accommodation” that a landlord could make for an emotional support animal. There may be instances in which a landlord could reject an ESA, but simply citing that the rental doesn’t allow pets is insufficient.
Additionally, support animals are exempt from fees associated with renting with pets. Meaning, your landlord cannot request a pet deposit fee for an ESA or ask you to pay monthly pet rent. However, if your support animal damages the rental in any way, you will be expected to pay for any repairs.
Exception from breed restrictions is another example of a reasonable accommodation a landlord could make for an emotional support animal. Some buildings have policies stating that dog breeds like German Shepherds, Huskies, Pit Bulls, and more are prohibited. If you have a support dog, it should be exempt from these restrictions.
The same rule applies to weight restrictions. Rental buildings commonly have policies dictating that pets may not be larger than a certain weight. Your emotional support animal should be exempt from these policies.
While your landlord can request that you provide documentation for your disability in the letter from your healthcare provider, they have no right to probe you for details about it. If you feel that your landlord is asking inappropriate personal questions relating to your disability, disengage from the conversation. All that is legally required is a letter from your healthcare provider documenting your need for an ESA. There is no need to share more beyond that.
Landlords can deny emotional support animals in certain situations. Below we’ve summarized two common instances in which your landlord could deem your request for accommodation unreasonable and, as such, deny your support animal.
If you can’t provide a letter from a licensed healthcare provider proving that your emotional support animal is legitimate, your landlord is not obligated to accommodate it. Obtaining an official letter from a licensed healthcare practitioner is the only way to legally qualify your support animal. Certificates or registrations purchased online are not sufficient proof that your ESA is essential.
A landlord could choose to deny an animal that causes excessive property damage or poses a threat to other tenants or their pets. With this in mind, you should ensure that your emotional support animal is well-behaved, especially when meeting the landlord for the first time.
If your animal has any aggressive tendencies, disclose them to your landlord along with your strategies for managing them. Your landlord must provide a safe environment for all tenants, so if your ESA is a threat to the safety and security of others your request may be denied.
If you require assistance from an emotional support animal, your landlord is legally obligated to accommodate the animal as long as you provide sufficient documentation. Before speaking to your landlord about your support animal, secure a letter from your healthcare professional documenting your need for the ESA.
Be sure to study your rights pertaining to support animals under the FHA so you can protect yourself from discrimination. If you believe your landlord is treating you in a discriminatory way, you can file a complaint with HUD.
As long as you provide documentation and your animal doesn’t disrupt the safety and security of other tenants, there is likely no reason your landlord shouldn’t be able to accommodate your request.
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]]>The post When Is Rent Due? Grace Periods by State appeared first on Flex | Pay Rent On Your Own Schedule.
]]>If you want to make sure that you fully understand the answer to “when is rent due” and how grace periods work, here’s everything you need to know.
Your rent due date is listed in the lease you sign when you secure a property. It will let you know precisely when your rent payment has to get into your landlord’s hands to avoid being late.
Usually, the rent due date is the same day each month. The day of the month typically won’t shift from one month to the next, creating a level of predictability that helps landlords and tenants alike.
In most cases, rent is due on the first of the month. Often, this is because it simplifies things for both the landlord and tenant. The tenant knows exactly when they need to pay, and, for many people, the first of the month aligns with a payday.
For landlords that oversee multiple properties, it lets them have a single, simple due date for every tenant. The approach makes managing the receipt of rent payments easier, as they don’t have to track a series of due dates for different tenants.
In some cases, state law or landlord-tenant guidance publications list the first of the month as a typical due date, as well. By making the first of the month the due date, the landlord is aligning their approach with government publications, which may reduce confusion among tenants.
However, rent due dates can technically be on any day of the month. If a landlord chooses, they could list the third, fifteenth, twenty-fifth, or any other day of the month. But in most leases, rent is due on the first.
While your rent may be due on a specific date, some states – or individual landlords – provide tenants with a grace period. The grace period is usually a set number of days beyond the rent due date.
Grace periods are pretty straightforward. If a tenant doesn’t get their rent payment to the landlord by the due date, as long as the payment is received before the grace period ends, they won’t face certain repercussions. For example, the tenant might not incur late fees if they pay within the grace period, or the landlord might not start eviction proceedings during that time window.
In some cases, grace periods are mandated by the state. While not common, some states list a specific number of days as a minimum grace period. All landlords in that state have to provide tenants with that amount of time before the penalty (or penalties) for being late can be applied.
However, landlords can also choose to offer a grace period even if their state doesn’t require one. In most cases, landlords will list the grace period they want to provide in the lease, ensuring tenants are well informed.
Some landlords may also have “unofficial” grace periods. With these, the grace period isn’t in the lease. Instead, the landlord simply decides to offer leniency.
At times, this is more common with long-term tenants with good records who experience an unforeseen circumstance that makes paying precisely on time difficult. In some cases, a landlord may provide an unofficial grace period for any first-time offender.
Other landlords may provide a grace period if you simply ask for one. This is especially true if you know you’ll be able to pay within a day or two of the due date and have a solid reason for missing the due date.
However, if a landlord isn’t required by state law to give you a grace period and there isn’t one in the lease, then it is genuinely up to them. You can’t force a landlord to provide a grace period if it isn’t mandated by law or in your rental agreement, even if your reason for being late is sound.
Keep in mind that grace periods do not change your rent due date. To stay on good terms with your landlord, you should make every effort to consistently pay your rent on the official due date.
| State | Maximum Late Fee | Grace Period |
| Alabama | No laws regarding late fees | No state-mandated grace period |
| Alaska | No limit, but must be agreed upon, such as by being listed in the lease | No state-mandated grace period |
| Arizona | Must be reasonable and in the lease | No state-mandated grace period |
| Arkansas | No limit, but must be in the lease | 5 days |
| California | Must be reasonable and in the lease | No state-mandated grace period |
| Colorado | No limit, but must be in the lease | No state-mandated grace period |
| Connecticut | Must be reasonable and in the lease | 9 days |
| Delaware | 5 % of the rent amount | No state-mandated grace period |
| District of Columbia | 5 % of the rent amount | 5 days |
| Florida | No limit, but must be in the lease | No state-mandated grace period |
| Georgia | No limit, but must be in the lease | No state-mandated grace period |
| Hawaii | No limit, but must be in the lease | No state-mandated grace period |
| Idaho | No limit, but must be in the lease | No state-mandated grace period |
| Illinois | No laws regarding late fees | No state-mandated grace period |
| Indiana | No limit, but must be in the lease | No state-mandated grace period |
| Iowa | $60 to $100, depending on the rent amount | No state-mandated grace period |
| Kansas | No laws regarding late fees | No state-mandated grace period |
| Kentucky | No limit, but must be in the lease | No state-mandated grace period |
| Louisiana | No limit, but must be in the lease | No state-mandated grace period |
| Maine | 4 % of the past due amount | 15 days |
| Maryland | 5 % of the amount owed | No state-mandated grace period |
| Massachusetts | No limit, but must be in the lease | 30 days for late fees, though evictions can begin immediately |
| Michigan | No limit, but must be in the lease | No state-mandated grace period |
| Minnesota | 8 % of the rent amount | No state-mandated grace period |
| Mississippi | No limit, but must be in the lease | No state-mandated grace period |
| Missouri | No laws regarding late fees | No state-mandated grace period |
| Montana | No laws regarding late fees | No state-mandated grace period |
| Nebraska | No limit, but must be in the lease | No state-mandated grace period |
| Nevada | 5 % of the rent amount | No state-mandated grace period |
| New Hampshire | No laws regarding late fees | No state-mandated grace period |
| New Jersey | No laws outlining late fee size | 5 days (only for protected classes) |
| New Mexico | 10 % of the rent amount | No state-mandated grace period |
| New York | $50 or 5 % of rent amount, whichever is less | 5 days |
| North Carolina | $15 or 5 % of the rent, whichever is greater | 5 days |
| North Dakota | No limit, but must be in the lease | No state-mandated grace period |
| Ohio | Must be reasonable and in the lease | No state-mandated grace period |
| Oklahoma | Must be reasonable and in the lease | 5 days (14 days for public housing) |
| Oregon | 5 % of the rent amount | 4 days |
| Pennsylvania | No laws regarding late fees | No state-mandated grace period |
| Rhode Island | No laws outlining late fee size | 15 days |
| South Carolina | No laws regarding late fees | No state-mandated grace period |
| South Dakota | No laws regarding late fees | No state-mandated grace period |
| Tennessee | 10 % of the past due amount | 5 days |
| Texas | 12 % of the rent amount | 1 day |
| Utah | No laws regarding late fees | No state-mandated grace period |
| Vermont | No laws regarding late fees | No state-mandated grace period |
| Virginia | 10 % of the amount due | 5 days |
| Washington | Must be reasonable and in the lease | No state-mandated grace period |
| West Virginia | Must be reasonable and in the lease | No state-mandated grace period |
| Wisconsin | No limit, but must be in the lease | No state-mandated grace period |
| Wyoming | No limit, but must be in the lease | No state-mandated grace period |
It’s important to note that, like all laws, regulations about grace periods can change over time. That means it is usually wise to keep an eye on local legislation, particularly if you are getting ready to sign a new lease or extend an existing one. That way, if the rules have changed, you’ll be aware of the latest requirements.
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]]>The post Lease Guarantors: What You Need to Know appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Basically, a guarantor serves as an assurance to the landlord that if you can’t pay the rent, they will definitely be able to.
If you have a limited credit history, a low credit score, or are trying to secure an apartment in a competitive market, a lease guarantor could help you secure a rental.
Below, we’ll discuss some common scenarios in which a guarantor can help you secure a rental, who might make a suitable guarantor, and what you need to consider before you ask someone to sign on as your guarantor.
While the terms “lease guarantor” and “co-signer” are often used interchangeably, there are a couple of differences between these roles.
Both co-signers and guarantors agree to take on financial responsibility for the rental. If you fail to pay the rent, they are liable for it.
A guarantor doesn’t take on any rights to the property. They do not live in the rental, nor are they legally entitled to live there.
A co-signer, on the other hand, is essentially an equal stake partner in your lease. They have the right to live in the unit as a tenant if they wish. Often, a roommate serves as a co-signer.
There are a number of scenarios in which you may need a lease guarantor to offer extra assurance to your prospective landlord that the rent will always be paid on time. Below are a few example situations in which a guarantor can help.
If you don’t have a lengthy credit history, it could be tough to convince a landlord that he can count on you to pay the rent on time. Even if you’ve always made your payments on time, if your credit is “new” (meaning your accounts have been open less than two years), your score may still be relatively low. Basically, there just isn’t enough data to suggest that a landlord can trust you to pay your rent on time.
In some cases, landlords may rent to you in good faith, but you could be passed over for a candidate with a stronger credit history if you’re in a competitive rental market.
Sometimes you can get around a limited credit history by showing proof that you have a consistent income, but, in some cases, this still won’t be enough. That’s where a guarantor comes in. Even though you’re perfectly capable of paying the rent on your own, the guarantor shows your landlord that there is no cause for concern.
If you have an eviction on your credit report, it could be challenging to secure a rental in the future, especially if you wish to live alone. Evictions can stay on your credit report for up to seven years and, unsurprisingly, serve as a red flag for future landlords. Bringing on a guarantor could help a prospective landlord overlook an eviction and allow you to start rebuilding your rental history.
If your income is low compared to the amount of rent you are trying to pay, it could be challenging to secure a rental. Even though you may be fully capable of making the payment every month, landlords often like to see that you are earning at least three times as much as the cost of the rent.
Of course, in cities with a high cost of living, like San Francisco or New York, this might be an unrealistic request, especially if you’re only at the beginning of your career. While it’s essential that you are realistic about how much you can afford to spend on rent, you may be able to stretch beyond the 30% rule. But, even if you’re confident that you can, your future landlord may not be. Having a guarantor sign your lease with you could help you win over a skeptical landlord.
Landlords need to know that you can make your rent payments on time, but they also want assurance that you’ll be a good tenant. The last thing your landlord needs is someone who is noisy, causes property damage, or disrupts the neighbors. This is where having references from past landlords is key.
If you’re a new renter and don’t have any references, a landlord may be hesitant to rent to you. They have no way of knowing that you won’t cause damage to the property, and they may be concerned that if you do, you won’t be able to pay for the repairs. When you use a guarantor, they take on responsibility for all financial obligations associated with the lease, including any fees related to property damage. With this in mind, a guarantor could be the key to securing your first rental.
Lease guarantors can also come into play when you are trying to rent in a competitive market. Even if you have good credit and a consistent income, it can be tough to compete against dozens of applicants who boast the same qualifications.
Having a slew of glowing references from past landlords will help you stand out, but even those only go so far if the landlord isn’t confident you’ll be able to pay on time every month. Bringing on a guarantor could be enough to tip the table in your favor and beat out the other candidates.
Generally speaking, a lease guarantor will need to have excellent credit and proof of a stable income in order to qualify. Depending on your landlord, a guarantor may also be subject to additional requirements.
Some landlords won’t accept a guarantor unless they are a homeowner. Presumably, this is because a home is an asset that could be leveraged if the landlord ever needed to collect a debt.
Choosing who to ask to act as your guarantor is a big decision. This person is doing an enormous favor for you and putting their own finances and credit rating on the line in doing so.
Before you ask anyone to do this, take a close look at your finances. Are you realistic about how much rent you can pay? If you fall short, your guarantor will be responsible, and you could risk putting them in a tight financial situation, or worse, damaging your relationship with them.
This is not a decision to take lightly. You should be confident that you can make your rent payments before you put someone else’s credit history on the line.
Because this is such a big responsibility, many renters ask their parents or a close family member or friend to act as their guarantor. If you have a close relationship with your family and they are financially equipped to take on this responsibility, this is a good option.
If you don’t have anyone in your family or friend circle that can serve as a guarantor, there are still options.
In some cases, your work might coordinate a guarantor for you. This is most common with large corporations and usually only happens when they need a new hire to relocate.
Sometimes a church, non-profit organization, or government agency will act as a guarantor. The most common instance of this is for low-income families or immigrant families, but there may be other scenarios as well.
You can also secure a guarantor through an agency. Guarantor agencies can act as institutional guarantors on your behalf. Essentially, you pay them a percentage of what you will pay in rent (usually between 4 and 10%), and they will sign as your guarantor on the lease. The main caveat with this is that you will have to pay the fee for the year upfront. So, if you don’t have the funds to do so, this may not be a good option.
Asking someone to act as your guarantor represents a significant financial obligation for the other party, so you shouldn’t be cavalier about how you ask.
In order to inspire confidence, show the person that you’ve given this situation careful consideration and that you understand the gravity of what you’re asking.
Be prepared to provide documentation proving that you are capable of paying the rent. In some cases, your prospective guarantor may want to see a copy of your credit report to ensure that you don’t have any bad marks. If you do, be upfront about them. Show that you’ve learned from past mistakes.
You should also do your best to educate this person about the responsibilities that come with acting as a guarantor and what will be expected of them during the application process.
They may need to provide a copy of their recent paystubs, and they will likely be asked to authorize a credit check and even a background check. Is your prospective guarantor amenable to this?
If you find yourself in a position where you can’t find a guarantor, don’t lose hope. If you’re willing to be flexible, you may still have a good chance at securing a rental.
For those with a poor or limited credit and/or rental history, a guarantor could help you qualify for a rental that you may not be approved for on your own. Having a guarantor sign your lease with you could be a great way to build a positive rental history. But, before you bring a guarantor on, you need to be sure you can afford the rent on your own, as your failure to pay could have financial repercussions for your guarantor.
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]]>The post Late Rent Fees: a State-by-State Guide appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Depending on where you live, state laws may set limits on your maximum late fees. This provides tenants with a degree of protection, ensuring that landlords aren’t charging an unreasonable amount.
However, not all states have hard-and-fast numbers. Some may simply require that the landlord include the late rent fee amount in the lease. Other states have mandates stating that late rent fees have to be “reasonable,” though they don’t necessarily define what “reasonable” means.
If you’re curious about late rent fees in your state, including what the limits are, if any are in place, here’s what you need to know.
| State | Maximum Late Fee | Grace Period |
| Alabama | No laws regarding late fees | No state-mandated grace period |
| Alaska | No limit, but must be agreed upon, such as by being listed in the lease | No state-mandated grace period |
| Arizona | Must be reasonable and in the lease | No state-mandated grace period |
| Arkansas | No limit, but must be in the lease | 5 days |
| California | Must be reasonable and in the lease | No state-mandated grace period |
| Colorado | No limit, but must be in the lease | No state-mandated grace period |
| Connecticut | Must be reasonable and in the lease | 9 days |
| Delaware | 5 % of the rent amount | No state-mandated grace period |
| District of Columbia | 5 % of the rent amount | 5 days |
| Florida | No limit, but must be in the lease | No state-mandated grace period |
| Georgia | No limit, but must be in the lease | No state-mandated grace period |
| Hawaii | No limit, but must be in the lease | No state-mandated grace period |
| Idaho | No limit, but must be in the lease | No state-mandated grace period |
| Illinois | No laws regarding late fees | No state-mandated grace period |
| Indiana | No limit, but must be in the lease | No state-mandated grace period |
| Iowa | $60 to $100, depending on the rent amount | No state-mandated grace period |
| Kansas | No laws regarding late fees | No state-mandated grace period |
| Kentucky | No limit, but must be in the lease | No state-mandated grace period |
| Louisiana | No limit, but must be in the lease | No state-mandated grace period |
| Maine | 4 % of the past due amount | 15 days |
| Maryland | 5 % of the amount owed | No state-mandated grace period |
| Massachusetts | No limit, but must be in the lease | 30 days for late fees, though evictions can begin immediately |
| Michigan | No limit, but must be in the lease | No state-mandated grace period |
| Minnesota | 8 % of the rent amount | No state-mandated grace period |
| Mississippi | No limit, but must be in the lease | No state-mandated grace period |
| Missouri | No laws regarding late fees | No state-mandated grace period |
| Montana | No laws regarding late fees | No state-mandated grace period |
| Nebraska | No limit, but must be in the lease | No state-mandated grace period |
| Nevada | 5 % of the rent amount | No state-mandated grace period |
| New Hampshire | No laws regarding late fees | No state-mandated grace period |
| New Jersey | No laws outlining late fee size | 5 days (only for protected classes) |
| New Mexico | 10 % of the rent amount | No state-mandated grace period |
| New York | $50 or 5 % of rent amount, whichever is less | 5 days |
| North Carolina | $15 or 5 % of the rent, whichever is greater | 5 days |
| North Dakota | No limit, but must be in the lease | No state-mandated grace period |
| Ohio | Must be reasonable and in the lease | No state-mandated grace period |
| Oklahoma | Must be reasonable and in the lease | 5 days (14 days for public housing) |
| Oregon | 5 % of the rent amount | 4 days |
| Pennsylvania | No laws regarding late fees | No state-mandated grace period |
| Rhode Island | No laws outlining late fee size | 15 days |
| South Carolina | No laws regarding late fees | No state-mandated grace period |
| South Dakota | No laws regarding late fees | No state-mandated grace period |
| Tennessee | 10 % of the past due amount | 5 days |
| Texas | 12 % of the rent amount | 1 day |
| Utah | No laws regarding late fees | No state-mandated grace period |
| Vermont | No laws regarding late fees | No state-mandated grace period |
| Virginia | 10 % of the amount due | 5 days |
| Washington | Must be reasonable and in the lease | No state-mandated grace period |
| West Virginia | Must be reasonable and in the lease | No state-mandated grace period |
| Wisconsin | No limit, but must be in the lease | No state-mandated grace period |
| Wyoming | No limit, but must be in the lease | No state-mandated grace period |
It’s important to note that, like all laws, regulations around late rent fees can change over time. As a result, it is wise to stay vigilant, regularly checking to see if there is an update that may impact you moving forward.
The post Late Rent Fees: a State-by-State Guide appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post How to Handle a Lease Takeover for an Apartment appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Below, we’ll dig into how to orchestrate a lease takeover, including the considerations to make and the challenges you may face.
While the processes for coordinating both a subletting arrangement and a lease takeover are very similar, these two arrangements are different in terms of the legal responsibilities they represent.
When you sublet your rental, you are still the official tenant as far as the lease document is concerned. Your name remains on the original lease, and as such, you are responsible for paying the rent on time and upholding all other stipulations of the lease document. That means, if your sublessee fails to pay the rent one month, you will still be on the hook for it.
In the case of a lease takeover, you transfer the lease to someone else’s name, making them the official tenant and relieving you of your obligations to uphold the lease agreement.
The individual taking over your lease is now the official tenant. They are responsible for paying the rent to the landlord and upholding the terms of the lease. If this tenant fails to do this, you are not liable for the rental.
So, how do you go about arranging a lease takeover?
Before you begin searching for someone to take over your lease, make sure that your lease agreement permits it. Some leases have clauses prohibiting lease takeovers. If yours doesn’t, that’s fantastic!
If it does, you may still have options.
In some locations, state law dictates that landlords cannot refuse a tenant who organizes a reasonable lease transfer. In others, such as California, the law dictates that unless the lease specifically states otherwise, lease transfers are permitted. Read your lease carefully and cross-check the state laws regarding lease transfers to ensure you know your rights.
Next, look for lines in your lease that dictate any penalties, fees, and the amount of notice you must provide before a lease takeover. In some cases, you may be forced to forfeit your damage deposit if you enter into a lease takeover. You may also be required to provide as much as 60 days’ notice before a lease takeover.
Even if your lease prohibits a lease takeover, it might still be worth talking to your landlord to see if you can wosk something else. And even if your lease does allow it, your next step is going to involve your landlord no matter what.
Before you can move forward with a lease takeover, you need to ensure your landlord is on the same page. Ultimately, you won’t be able to go through with a lease transfer without your landlord’s approval, so the sooner you speak to him about your situation, the better.
Even if your lease agreement allows lease transfers, your landlord may be skeptical about the situation. After all, finding good tenants is a lot of work, and he already worked hard to find you! The easier you can make the lease takeover process for your landlord, the better.
Speak to your landlord about your intentions to move out of your rental early and explain that you wish to find a replacement tenant to take over your lease. Secure your landlord’s permission in writing before proceeding with a lease takeover.
You can use this document with your landlord’s written consent to demonstrate to prospective tenants that the lease takeover is legitimate. The form may also come in handy if any issues arise at any point in the lease takeover process. Keep a copy somewhere safe for your records.
Note: If you are a prospective tenant hoping to take over someone else’s lease, always request to see evidence of the landlord’s consent. Otherwise, your lease takeover could be invalid, and you will be vulnerable if anything ever goes wrong with the rental.
Once you’ve secured your landlord’s permission to move forward with a lease takeover, it’s time to find your ideal tenant.
Create a compelling ad for your apartment, and be sure to disclose that it would be a lease takeover arrangement. This could be an appealing opportunity for someone who isn’t ready to commit to a full-year lease, as they only have to sign on for the number of months remaining on your lease agreement.
Dress your ad up with beautiful photos of the space and highlight the key features of both the rental and the neighborhood to ensure you attract the right tenant.
Once you’re happy with your ad, begin sharing it on rental marketplaces, to your social media network, and amongst your friends and co-workers.
Now that you’ve collected a pool of interested candidates, it’s time to arrange showings. The showings are an excellent opportunity to feel out the applicants and get a sense of whether they seem trustworthy or qualified to rent the apartment. You can also use this time to address any questions or concerns prospects may have about the lease takeover arrangement.
Speak to your landlord about the tenant vetting process to determine precisely which aspects he will handle and which steps you will be responsible for. Some landlords will be more hands-on than others when it comes to showings and communication with applicants. Ultimately, the future tenant will be liable to your landlord, so it will likely be left up to your landlord to formally vet the candidates with credit and background checks.
In some instances, your landlord may want you to take on the bulk of the responsibility of finding someone to take over your lease. Most leases have a one-year term because finding the right tenant is a tedious and time-consuming process. That’s also why leases typically have severe financial penalties if you break them early. So, while locating a replacement tenant is definitely a time-consuming process, it could save you a significant amount of money in the long run.
Once you select a tenant for your lease takeover, you need to draft a formal lease transfer document. This document serves as an official record that you are passing the responsibilities of the lease on to the new tenant. You, your landlord, and the new tenant must all sign and date this document.
This lease takeover agreement is often referred to as an “Assignment of Lease” form. If drafting such a document sounds intimidating, don’t worry. You can find templates online.
Once this document is signed, the new tenant will also sign a new lease for the property. Your name will not be on the new lease, as the “Assignment of Lease” document has officially removed your obligations to the landlord.
Note: If you are a tenant taking over someone else’s lease, this document is an essential part of the process. Always request a completed Assignment of Lease form. This document is proof that the landlord is authorizing the lease takeover. If you don’t have written evidence of the landlord’s consent, the lease takeover may not be legal, and you could find yourself without any rights to the rental.
If you need to move out of your rental before the lease is up, a lease takeover could potentially help you avoid the fees associated with breaking your lease.
Before you can transfer your lease to someone new, you will need your landlord’s consent and a qualified candidate who is willing to take over the responsibilities of the lease.
While the actual process is relatively straightforward, finding and vetting a tenant can be time-consuming. Additionally, you may be required to give your landlord two months’ notice before you can hand off your lease to someone new.
If you’re on a tight timeline and need out of your apartment quickly, a lease takeover may not be a realistic option. But, a lease takeover arrangement is an excellent option for someone who has the time and energy to follow the steps outlined above.
The post How to Handle a Lease Takeover for an Apartment appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post Ohio Rent Assistance: Where to Get Help with Rent appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Through a local Ohio Community Action Agency (CAA), households that are struggling to pay rent may be able to get financial support. Ohio CAAs are administering funds managed by the state of Ohio -including certain COVID-19 relief programs as well as initiatives designed to combat homelessness – making them the go-to source for many Ohioans.
For rent assistance through an Ohio CAA, households must:
It’s also important to note that Ohio CAAs can assist with other financial issues. For example, households may be eligible for help with utility bills or mortgage payments. At times, the program requirements for these can vary from those for rent assistance, so it’s best to check with a local CAA for more information.
Through the Ohio Prevention, Retention and Contingency (PRC) program, low-income households may be able to receive short-term financial support. It’s funded by the federal Temporary Assistance for Needy Families program, aimed specifically at households with children and pregnant women or teens, ensuring they have additional financial security.
The precise kind of support that’s available does vary by county. However, some – such as Montgomery County – do include rent assistance in the program. You’ll need to check with your local office to find out what is available, as well as whether you are eligible for assistance.
St. Vincent de Paul is a faith-based organization that provides assistance to those experiencing poverty and homelessness. At times, this can include emergency rent assistance, particularly if a lack of financial support would lead directly to homelessness.
Program requirements can vary. Additionally, as a smaller nonprofit, fund availability can be an issue. However, if St. Vincent de Paul can’t offer direct support, it may be able to connect you with other local options for assistance.
While Groveport Madison Human Needs (GMHN) serves a limited area, those who live in the neighborhood may be able to secure up to $300 in housing assistance. Additionally, GMHN may be able to offer support for other financial needs, including medical bills, utilities, or car repairs.
Central Community House does provide direct financial assistance to qualifying households, including funds to help with rent. Through the emergency assistance program, you may be able to get support for a range of other needs as well, such as food, utility, and healthcare costs. However, funds may be limited, so help is subject to availability. Additionally, restrictions do apply, so you’ll need to reach out to determine if you’re eligible.
Another community-oriented organization, St. Stephen’s Community House does offer rent assistance to qualifying individuals. If you live in Franklin County, meet the requirements, and funds are available, they may be able to help you with rent or other emergency financial needs.
A faith-based organization, Catholic Charities of Northwest Ohio does provide emergency funds to qualifying households living in Erie, Huron, Lucas, or Richland Counties. The exact nature of the financial support available and the eligibility requirements can vary depending on location. However, the organization may also be able to connect you with other services if they can’t offer direct support.
If you’re struggling to pay rent due to COVID-19, you may be eligible for support through CHN Housing Partners. You do have to live in Cleveland or Cuyahoga County to qualify for the program, as well as meet income requirements and have a demonstrated financial hardship. Additionally, those on the precipice of eviction do have higher priority, though they aren’t necessarily the only ones who get assistance.
The Salvation Army is a national organization with regional offices, including some in Ohio, that may be able to offer rent assistance. Qualifications can vary from one program to the next. However, a demonstrated financial hardship and qualifying as a low-income household are both typically part of the equation.
Ultimately, there is a Salvation Army location serving every zip code in the nation, though support is offered through local offices. You can use the Salvation Army location search to find your nearest location that provides emergency assistance, allowing you to learn more about what’s available in your area and whether you may qualify.
Another national organization that offers support services throughout the country, the United Way does offer rent assistance to qualifying individuals. In fact, they may be able to provide financial help for a range of other needs too, including food, utilities, and more.
As with many programs, eligibility requirements do vary. To find out if you qualify for rent assistance, you’ll need to contact your local United Way in Ohio.
If you currently live in public housing or use a voucher program and are having trouble making rent, contacting your local Ohio Public Housing Authority is your best bet. In some cases, changes to your financial situation could qualify you for additional support or rent reductions, depending on the program involved.
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]]>The post Dallas Rent Assistance: Where to Get Help with Rent appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Texas Rent Relief – a program run by the Texas Department of Housing and Community Affairs (TDHCA) – was set up to offer emergency support to households in need. Along with rent assistance, you may also be eligible for help with utilities. Plus, this program can address current needs and provide financial support to catch up on past-due rent or utility bills.
The eligibility requirements are fairly straightforward. You need to:
If you meet the rent assistance requirements, any approved funds will go straight to your landlord and not to you directly.
The Housing Crisis Center of Dallas focuses on homelessness prevention and rapid rehousing. If you’re at risk of eviction, you may qualify for emergency rental assistance.
Your household’s income and the availability of funds play a role in whether financial support is available to you. However, if you qualify, you may also be able to get help to avoid utility shutoffs if you’re struggling to pay those bills, too.
Serving the Dallas area, North Dallas Shared Ministries offers support to low-income households. Along with a financial aid program that can function as rent assistance, there’s also a food pantry, clothing program, school supply program, and more.
Plus, there’s also a dental clinic available. This can be a boon for low-income households, regardless of whether they are struggling to pay their usual bills.
If you are a military veteran living in Dallas, you may be eligible for rent assistance through CLC, Inc. While the organization mainly focuses on career-oriented areas, they also operate the Combatants Overcoming Income Needs (COIN) program, which provides financial support for a range of needs, including rent.
A faith-based nonprofit operating throughout the country, St. Vincent de Paul runs several support programs to prevent homelessness. If you’re a qualifying household, you may be able to receive rent assistance to ensure you can remain in your home.
Operating in the Dallas area, the White Rock Center of Hope focuses on helping community members overcome hardships, including financial challenges. If you’re at risk of eviction due to an inability to pay rent, the nonprofit may be able to provide you with financial support to get you back on track.
Additionally, there are programs that provide help for more than rent. Transpiration assistance, school supplies, clothing, food, and other programs are also available to those who qualify.
Services of Hope can help households in need through rental assistance and other programs. You do need a demonstrated financial need, including proof of a COVID-19-related monetary hardship, as well as meet income requirements and more. A full application is required before funds will be reserved for you, so it’s best to gather all of the necessary documents in advance, ensuring you can do your part to streamline the process.
Metrocrest Services offers a variety of financial support options to local residents, including people in the Denton County portion of Dallas. There’s a rent assistance program, as well as several others, including financial help for utilities, food through the pantry, employment search assistance, clothing, and more.
If you live in Dallas County but aren’t in the city of Dallas, you may be able to get rent help through the Dallas County Emergency Housing Assistance program. Getting support here can be a little tricky. Along with meeting the eligibility requirements, applications are processed using a lottery system. As a result, there’s no guarantee as to when yours will move forward. However, it can be worth exploring, particularly if you have a potential ongoing need for help.
If you’re struggling to pay rent, you may be able to get assistance from Goodwill. While the organization usually concentrates on job opportunities, there are programs for other kinds of support.
The Salvation Army is a national organization with regional offices. At times, rent assistance is available, making it a potential place to turn if you need help paying rent in Dallas.
The United Way is known for providing financial support to individuals experiencing extreme hardship. Along with rent assistance, you may be able to get help covering other needs, including covering utility payments or accessing food.
Anyone who is struggling with rent who lives in public housing, or is using a voucher program, should contact their local housing authority directly. Changes in your financial situation may make you eligible for additional aid, so it’s wise to work with your agency to see what may be available.
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]]>The post Texas Rent Assistance: Where to Get Help with Rent appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Texas Rent Relief – which is run by the Texas Department of Housing and Community Affairs (TDHCA) – is a program designed to provide emergency support to households in need. Not only can they assist with rent, but they can also provide funds for utilities. Plus, whether you need this month’s rent or are trying to cover a past due amount, the program may work for you.
The qualifications are fairly simple. You need to:
If you are eligible for assistance, any approved funds will go directly to your landlord. That way, the money can get to the proper person quickly, ensuring you can remain in your home or apartment.
If you’re a military veteran or currently serving, you may be eligible for rent assistance through the Texas VFW. Eligibility varies depending on the precise program involved and your exact location. However, there are several support programs available, potentially giving you access to help beyond rent assistance.
The Gulf Coast Community Services Association (GCCSA) serves the Houston and Harris County area and provides eviction assistance to low-income households negatively impacted by COVID-19. Funds are limited and aren’t always available, but it can be worth regularly checking if you’re struggling with rent.
Through Loaves and Fishes Ministry, you may be able to get financial assistance to help you pay rent. The program is run through the All Saints’ Church in Austin, focusing on supporting the local community and nearby surrounding areas.
United Presbyterian Church
With locations throughout the country, the United Presbyterian Church operates a range of support programs. Precisely what’s available does vary by location, so you’ll need to contact your local church for information. There are churches in San Antonio, Austin, and El Paso that can serve as a starting point. If those locations don’t cover your local area, they may be able to help you connect with a church that does.
Operating in Denton County, Metrocrest Services offers a range of financial support options to local residents. Along with rent support, you may be able to get help for utilities, food, employment, clothing, and more.
West Houston Assistance Ministries (WHAM) has an eviction prevention program designed to keep households from ending up homeless. If you live in a qualifying zip code, have a demonstrated need, and meet the requirements, you may be able to get direct financial support for rent.
St. Vincent de Paul is a large faith-based nonprofit that manages several support programs for needy individuals, including offering rent assistance to qualifying households experiencing a hardship. Precisely what’s available can vary, and there is an emphasis on assisting households who are at risk of homelessness. However, if the nonprofit can’t provide financial support directly, it may also be able to help you find other local options for help, making it a wise place to check.
As a national organization, the United Way provides various kinds of support to people throughout the country, including those living in Texas. Along with rent assistance, you may be able to get funds for other critical needs, like utilities and food.
With national nonprofits, eligibility requirements tend to vary depending on your exact location. If you want to find out about what’s available in your area and whether you’re eligible for help, contact your nearest United Way in Texas directly.
If you’re having trouble paying rent, your regional Salvation Army may be able to help. While the requirements do vary between regions, if you have a clear financial hardship, are a low-income household, and are at risk of eviction, you may be eligible.
You’ll need to contact your local Salvation Army location to apply. To find yours, use the Salvation Army location search tool. Then, you can learn more about area programs and eligibility requirements.
As a national organization, Goodwill can potentially provide help to anyone living in Texas. The nonprofit’s goal is to help people achieve self-sufficiency. While the main focus is on employment, rent assistance may also be available.
You will need to contact your local headquarters to find out about programs. After heading to the Find Your Local Goodwill page, enter your location, use the filter to select “Headquarters,” and run the search to get contact information.
If you live in public housing, use a voucher program, or are already a public housing authority customer, contacting your Texas Public Housing Authority office is a smart move. If your financial situation has changed, you may be eligible for a rent reduction or supplemental support through the housing authority.
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]]>The post Landlord Responsibilities & Obligations appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Make sure to see what your lease says as well. That way, you’ll find out what your responsibilities include as well as the landlord’s. You’ll also want to note if the lease contradicts the law in any way. If so, federal and state law supersede what might be in a lease.
Renters across the United States have three federal laws working in their favor: The Fair Housing Act, the warranty of habitability, and the right to quiet enjoyment.
The Fair Housing Act protects people from being discriminated against regarding housing matters. When you’re applying for a rental property, landlords can’t deny you based on seven protected classes:
Landlords can deny you for other reasons, such as credit score, income, or town occupancy limits, for example, but they can’t deny you solely because you might fall into one or more of the seven protected classes.
The warranty of habitability means the landlord needs to provide a livable, safe, and secure dwelling. Generally, landlords must provide hot and cold running water, heat, electricity, plumbing, a property free from pest infestation, smoke detectors, doors and windows that lock, and a property that meets local building codes.
The right to quiet enjoyment means you can live in the rental property undisturbed. This right refers to two things.
Even though they own the property, your landlord can’t pop in to hang out or look around. Your rent buys you the right of usage. You get to receive notice if the landlord wants to inspect, make repairs, or show the property to future potential renters or for sale, usually 24 hours’ notice. The exception is if there’s an emergency.
The landlord also can’t reclaim the property during your tenancy. They must wait until the lease is up, or in the case of month-to-month arrangements, the landlord must give you proper notice, usually 30 days.
If you’re experiencing a noise disturbance the landlord can fix, such as a smoke alarm sounding when there’s no smoke or fire, the landlord needs to stop the noise.
All other landlord responsibilities and obligations fall under state law, which varies by state. There are, however, some generalities that most renters can count on applying to them.
Landlords have a time limit upon which they have to return your security deposit. The time period is usually 30 days, but depending on your state’s law, this could be a shorter or longer period.
If you damaged the rental property, the landlord can deduct what it will cost to repair any damage you caused. If the damages exceed the security deposit, you owe the landlord (if they ask for it). If the landlord intends to keep all or part of your security deposit, they need to itemize the damages and provide you with estimates or receipts along with any deposit you’re entitled to within the time limit for your jurisdiction.
Once you contact your landlord that something is wrong, they need to respond. Some problems need immediate action, such as a burst water heater or plumbing pipe. The landlord has more time to fix other types of problems, such as a leaky faucet or a torn screen, usually up to 30 days.
If your landlord doesn’t fix the problem in a timely manner, and you end up fixing it, you might be able to deduct from your rent the cost you paid for the repair. Speak to your landlord first if you plan to do this and get their permission because landlords can typically evict for nonpayment of the full rent.
Landlords are responsible for paying property taxes on property they own, and if they have a mortgage, they’re responsible for paying that too. If they don’t pay one or both, the property will eventually go to foreclosure. If that happens, you’re allowed to stay in the property for 90 days or until the lease is up, whichever is greater.
If you live in a neighborhood governed by a homeowner’s association (HOA), the landlord needs to pay the HOA dues. Typically, the cost is passed on to you in your rent.
Regarding lawn maintenance, snow removal, and utilities, either party can pay. The lease should specify which party is responsible. If your lease is silent on this issue, find out before you move in who is responsible for paying these things.
The landlord is responsible for maintaining the property to keep it in a habitable condition. They need to make sure all your vital services are in working condition, such as the heating, plumbing, and electrical.
Tenants are also responsible for some maintenance duties. Tenants need to take out the trash, for example, and keep the unit in the same condition it was in at move-in time.
If there’s an HOA, and the landlord receives a fine for violations you’re causing, you’re responsible for paying the fine. The way this typically works is the HOA first sends a warning letter to the landlord, at which time, the landlord should notify you. Sometimes the HOA is mistaken, but other times, you might knowingly or unknowingly be violating an HOA covenant, such as not keeping the lawn mowed or not putting away your garbage cans. If you’re violating an HOA covenant, have been notified and don’t correct it, and the landlord is subsequently fined, you will likely be held responsible for paying the fine.
Appliances that come with the unit are usually the landlord’s responsibility to fix: the stove/oven, microwave, and garbage disposal, for example. The washer/dryer is usually the tenant’s responsibility, and the refrigerator can be either the landlord’s or the tenant’s responsibility to fix. Appliances are typically a case-by-case situation. Your lease should specify which party is responsible for which appliance if they break. If not, find out before you move in.
Most states require landlords to have at least one working smoke detector. About half the states require a carbon monoxide detector as well.
If a landlord receives a complaint from a neighbor about you, your landlord will probably investigate. They might first talk with the person who made the complaint and then ask you about it.
If the neighbor’s complaint is unjustified, the landlord will probably let the neighbor know you’ve been notified and leave it at that. If you were causing a problem, however, the landlord can ask you to stop doing whatever it is that’s disturbing the neighbors. If you don’t comply, the landlord might be able to evict you. If not, the landlord probably won’t renew your lease. Or if you’re a month-to-month tenant, the landlord might give you a notice to vacate.
If there’s a fire in the rental property, the landlord has options. They might repair the damages, abating the rent while repairs are being made. Or they might give you notice, terminating the rental agreement.
If you caused the fire, the landlord might terminate the rental agreement and hold you responsible for all damages, including loss of rental income. Note that a landlord’s insurance will cover the premises but not your belongings. Renter’s insurance covers your belongings, which is the reason it’s a good idea to purchase it upon move-in.
The landlord needs to provide an environment free from pests. If a pest infestation happens during the time you’re living in the unit, you have choices. You can handle the situation yourself or you can ask the landlord to handle it. Who pays for an extermination service depends on the situation.
You might be responsible for paying the extermination service if it’s likely the infestation happened from something you did, such as keeping an unsanitary unit, bringing in used furniture, or from travel, for example. It’s often difficult to prove what caused a pest infestation, so this is typically handled on a case-by-case basis. Note that as soon as you see pests, you should act or tell your landlord. The longer you let a pest infestation go, the worse (and more expensive) the problem usually becomes.
The landlord-tenant relationship works best when both parties adhere to their responsibilities and obligations. If your lease contradicts federal or state law, go by the law. If your landlord isn’t upholding their responsibilities and obligations, you might be able to break your lease, withhold payment, or sue your landlord in small claims court. It’s best to speak with an attorney or legal aid before you act. If you withhold rent, for example, your landlord could evict you. Your best defense is to know your rights.
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]]>The post What Happens If You Break a Lease? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>But breaking a lease doesn’t have to cost you anything. If you find a suitable replacement tenant, for instance, you might be able to end your lease on good terms without having to pay anything extra.
Your lease might include language on what happens if you leave early. This is called an early termination fee or a lease break fee. If your lease has that policy, you’d need to pay whatever amount the lease specifies to break it, typically one or two months’ rent. If you have only a couple of months left on your lease, it’s probably better to stay for the entire lease term, if possible. If you want or need to leave well before your lease is up, then you’d probably choose to pay the lease break fee and, literally, move on.
When you sign a lease for a specified period, you’re also agreeing to pay a certain amount of money to the landlord: A 12-month lease at $1,000 a month means you agree to pay the landlord $12,000. If you leave early, the landlord still has a right to any balance owed. So if you want to leave after six months, for example, you would owe the landlord $6,000, unless there’s a lease break fee option. If you have a lease break fee of two months’ rent, for instance, you would owe only $2,000, no matter how much time is left on the lease.
If your lease is silent on the issue of breaking the lease, and you need to leave before your lease is up, you should tell your landlord immediately. There’s a good chance your landlord will work with you. But if you just leave without telling your landlord, your landlord could sue you. Let’s explore that option first.
If you just leave early without telling your landlord, your landlord could sue you in small claims court for the remaining months of rent. If you had put down a security deposit at move-in time, your landlord will probably keep the entire deposit to recover any unpaid rent. If the security deposit isn’t enough to cover the balance of the rent owed, the landlord could sue you for the rest. And if you damaged the unit, the landlord could sue you for the cost to repair the damages.
If you lose the court case, you’ll need to pay the balance owed plus any damages and court costs. Plus, the judgment against you will probably go on your credit report, making it difficult for you to rent another place.
If you let your landlord know you need to leave early, the landlord might be willing to work with you. In most states, landlords need to mitigate damages. That means, your landlord can’t just sit back and collect rent from you until the lease term ends. It means they must actively look for a replacement tenant. As soon as the landlord finds one, you’re off the hook for paying rent.
It’s in your best interest to help the landlord as much as possible because the sooner there’s a replacement tenant, the sooner you can stop paying rent. Here are some things you can do:
If you find a replacement tenant, the landlord is under no obligation to accept that person. Landlords typically run credit and background checks before they rent their property, so expect that to happen with someone you find.
If you or your landlord can’t find a replacement tenant, you’re on the hook for the balance of the rent owed. Or if the landlord needed to reduce the rent to get a replacement tenant, you’d need to pay the difference. If you were renting for $1,000 a month, for example, but the landlord could only rent the unit for $800, you’d need to pay that extra $200 for the remainder of your lease term.
If you have a roommate or roommates and you all split the rent but you leave early, your roommates could sue you in small claims court. In this case, your roommates would need to cover your share of the rent to the landlord. If they can’t or don’t, they could be evicted, and you’d share in the costs.
If you need to break your lease, you might be able to sublease. That person would either pay you rent, which you would then pay to the landlord, or that person would pay the landlord directly. If the person subleasing is paying the landlord directly, though, and doesn’t pay rent, you’re liable for it, along with any late fees.
Note that a late fee policy must be in the lease for the landlord to be able to collect late fees. Landlords can’t arbitrarily assign a late fee after the fact. And some states have limits on how much a landlord can charge in late fees.
There’s a possible bonus for you if you sublet: You might be able to charge more than what you’re paying, thereby making some money on the deal. But be careful. If your rental unit is under rent control laws, you might not be able to charge more. You’d need to check your state law if you want to charge more than what you pay.
On the flip side, you might not be able to get the full amount of rent from the person subletting. You might be able to get only 80%, for example. Getting something is better than nothing, so that might be your best option.
Some leases prohibit subletting. If yours does, you don’t have that option. But you might want to ask anyway. Your landlord might be willing to make an exception, especially if you have a great replacement tenant lined up and you’ve had a good relationship with your landlord.
If your lease doesn’t say anything about subletting, you generally can do it. But it’s better to run it by your landlord just to make sure. Landlords rarely like surprises, and many leases that allow subleasing require the landlord’s approval first.
Subleasing works best when you plan to return to the unit. Let’s say you need to be out of town for a few months but then plan to return. Subleasing holds your rental unit while helping you out with the rent. If you know you’ll never return, though, it’s usually better to end your lease and help find a replacement tenant. That way you won’t have any surprises if the person who’s subleasing stops paying rent or damages the unit.
It’s both expensive and a hassle to break a lease. So before you ever sign a lease, if there’s a good chance you won’t be able to stay in the rental unit for the entire lease term, you’d probably be better off signing a month-to-month rental agreement instead. With that, you’d only need to give one month’s notice before you move. That isn’t always an option. But it might be a good idea to look for a rental with a month-to-month arrangement if you think you might have to move soon.
You might be able to break a lease with no penalty if the landlord isn’t fulfilling their obligations. Landlords must provide a safe and habitable dwelling.
If your place isn’t safe and the landlord takes no action to make it safer, you might be able to break the lease. For example, your rental unit must have doors and windows that lock. You can’t be expected to live in an unsecured unit. The same goes if the landlord won’t make repairs to make the place habitable, such as if you have no hot water or working stove.
If you’re in the military and receive orders to report for duty, you’re allowed to break your lease without penalty as long as you give the proper notice to your landlord.
A lease has a start date and an end date. When you sign a lease, you’re responsible for paying rent for the entire lease term. If you need to leave early, work with your landlord to make the process as painless as possible. Sometimes there’s not much you can do, but if you have a good relationship with your landlord, they might be willing to help you out.
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]]>The post How to Get Your Security Deposit Back appeared first on Flex | Pay Rent On Your Own Schedule.
]]>In this article, we’ll discuss the actions you can take to help ensure that your landlord returns your security deposit when you move out.
Any time you move into a rental you will pay a security deposit, which serves as a protection for the landlord if you cause property damage to your rental unit.
Your landlord is required to return your security deposit as long as you leave your rental in the same condition it was in when you moved in, minus normal wear and tear.
If you cause property damage, your landlord is entitled to keep all or part of your security deposit to cover the cost of restoring the rental to its original condition.
Once the state of your apartment has been deemed satisfactory, your landlord is required to return your deposit within a certain amount of time. This timeline varies by state but is typically within 2 to 6 weeks of your move-out date.
There is a variety of reasons why your landlord may be entitled to retain all or part of your security deposit. These range from maintenance issues to debts, and more. The following are some examples:
Now that you’re clear on why your landlord might hold on to part of your deposit, let’s discuss what you can do to ensure you get it all back.
Your lease will clearly outline your obligations as a renter. Reading this document thoroughly will ensure that your landlord can’t slip anything by you.
There may be a clause that states that your landlord can retain your deposit if you break your lease and move out early, or if you fail to provide proper notice before moving out at the end of your tenancy.
Make sure to review the sections on maintenance and move-out procedures closely so you know how to handle them when the time comes.
One of the best ways to increase the probability of having your security deposit returned is by planning ahead.
You know that you are required to leave your rental in the same condition as when you move in, so create documentation of its current state.
Many landlords will do a walk-through when you move into a new unit and note down any imperfections on a checklist. This is great, but photo evidence is better. Snap photos of your entire unit, ideally before you move in.
Things to look for include:
If you spot any imperfections, take close-up photos so you can compare them when you move out. Save these photos in a specific folder on your DropBox or cloud storage account so they don’t get lost.
Keeping up with maintenance is part of your responsibilities as a tenant. Doing so will help you stay in your landlord’s good graces and ensure that you have a good quality of life within your rental.
Don’t wait until maintenance issues are out of control before you fix them, as this can lead to further unnecessary damage. For instance, If your sink leaks, let your landlord know before any extensive water damage occurs. If your lock is sticky, have it serviced or replaced before it evolves into a bigger problem.
If you leave unpaid utility bills behind when you move out your landlord can retain a portion of your security deposit to settle them.
Keep a list of your utility bills and make sure you contact them when you move out. Settle any unpaid balances and have the utility service canceled or transferred to your new address.
Depending on your billing cycle, you may not receive your final bill until after you’ve moved out, so it’s wise to contact these companies by phone so you don’t accidentally miss a payment.
Your lease will outline the requirement for providing notice at the end of your tenancy. Read it carefully.
Typically tenants are required to provide 30 days’ notice before moving out. If you fail to provide sufficient notice, your landlord could keep your security deposit.
It’s best to provide notice in writing and include a forwarding address (if you have one), so your landlord can send your security deposit check and any mail that arrives for you after you vacate.
Leaving your rental dirty is a sure-fire way to have a portion of your damage deposit deducted. Whether you scrub the unit yourself or hire a professional to do it for you, make sure you leave your apartment in a clean, habitable state.
This is one of the simplest ways to ensure you get your deposit back. Cleaning is easy and relatively inexpensive to outsource, so there’s no excuse not to do it.
There may be a moveout checklist attached to your lease document. If not, you can download a generic one online to remind you what your landlord will be looking for when it comes to cleanliness.
Essentially, you want to do the deepest clean possible, paying close attention to details that you might overlook if you are just cleaning for yourself. Scour any grout to ensure it’s not grimy, clean inside cupboards and drawers to ensure they aren’t dusty or grimy, clean your fridge and oven, etc. Go over every surface in your unit with a fine-toothed comb to ensure that it is squeaky clean.
It may not seem like a big deal to leave a couple of small furniture items or some pots and pans behind when you move out, but it could cost you money.
If your landlord is stuck disposing of your unwanted belongings, he can retain part of your deposit to cover the cost.
It’s really easy to get rid of unwanted items, so make sure you leave yourself time to do so. If they are in decent condition, sell them on Facebook marketplace or donate them to a local charity (some may even pick them up!). If your unwanted items are unusable, throw them in the garbage.
Whatever you do, don’t leave them in your rental unit for your landlord to deal with.
Once you’ve finished moving your belongings out and you’ve had a chance to clean your rental unit, schedule a final walkthrough with your landlord.
Even if you didn’t do a walkthrough when you moved in, it’s still a good idea to do one when you move out. Doing so will help you avoid any surprises when it comes to your security deposit, as your landlord will have the chance to voice any concerns regarding the state of your unit.
If there is any outstanding damage, he may allow you to make the repairs yourself instead of simply deducting the cost from your deposit. If this is the case, don’t hesitate to negotiate with your landlord.
Your security deposit should only be withheld to cover the costs of these repairs, so if you can do them yourself and save the landlord the trouble, he shouldn’t have a problem with it.
A final walkthrough is a perfect opportunity to ensure you return the keys to your rental. If you don’t do a walkthrough, arrange to drop off your keys or mail them to your landlord. Otherwise, you’ll be on the hook for the cost of replacing them.
When you’re in the midst of moving it’s really easy to get caught up thinking ahead to your new home and overlook some aspects of the moving out process. One thing that you absolutely shouldn’t forget to do? Provide your forwarding address to your landlord.
This way, he’ll know where to send your damage deposit once all is said and done. A lack of forwarding address is a silly yet common reason that many tenants fail to have their security deposit returned.
Depending on your relationship with your landlord, it may be wise to write a formal request that he return your security deposit. This creates a paper trail if some sort of issue arises down the road. It also indicates to the landlord that you’re on top of the situation and allows you to remind him of your forwarding address.
The request letter can be as simple as this:
Dear [Landlord’s Name],
I’m writing to request that you return my security deposit in the amount of $ ________. I vacated my rental at [Rental address] on [moveout date] and per state law, my deposit should be returned by [date deposit must legally be returned by].
Please forward the payment to the following address:
[Your forwarding address].
If you wish to discuss this matter in more detail you can reach me at [phone number or email address].
Sincerely,
[Your Name]
As long as you stay on top of maintenance, keep up with your bill payments, and leave your apartment clean and tidy when you move out, your landlord should have no problem returning your security deposit.
Unfortunately, there may be unethical landlords out there who seek to take advantage of tenants who are unfamiliar with their rights regarding security deposits. To avoid these types of issues read your lease agreement carefully when you move in and before you move out and familiarize yourself with state tenancy laws.
If your landlord wrongfully refuses to return your deposit you can take him to small claims court. However, in many cases, a strongly worded demand letter may be all it takes for him to have a change of heart.
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]]>The post How to Write a Security Deposit Demand Letter – with Template appeared first on Flex | Pay Rent On Your Own Schedule.
]]>This letter helps create a paper trail of your communication with your landlord over this matter, which could come in handy if you end up taking him to small claims court.
Additionally, the letter re-opens communication between you and your landlord regarding the security deposit. In some cases, he may have felt entitled to retain your deposit to cover the cost of repairs to your former rental. The letter lets your landlord know that you are expecting a check, and offers him the opportunity to discuss it with you.
Your security deposit demand letter should include the following information:
You can use the sample below to craft your letter. Make sure to read through it carefully, and make any changes necessary so that it fits your particular situation.
Dear [Landlord’s Name],
I am writing to request that you return my security deposit in the amount of $_____.
I vacated my rental unit at [rental address] on [move out date] and left it in excellent condition, which you acknowledged on our final walkthrough.
California Civil Code 1950.5 dictates that you must return security deposit funds within 21 days after a tenant moves out.
You have now exceeded that deadline by 11 days.
Please forward my security deposit funds to the following address within 10 days:
[Your forwarding address]
If I do not receive a check within this timeline I will be forced to pursue legal action.
If you wish to discuss this matter in more detail, you can reach me by phone at XXX-XXX-XXXX or email at [your email address].
Sincerely,
[Your Name]
Your letter will look slightly different depending on the reason for demanding your security deposit – make sure you adjust it to suit your situation. As long as you include the pertinent information from the checklist above, your letter can take any form you feel will best get the point across.
You can send the letter by email, mail, or both. Generally, it’s wise to send this type of communication through certified mail because then you will be alerted that your landlord has received it. Always keep your receipts in case you end up taking legal action down the road.
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]]>The post Landlord Harassment: How to Recognize and Respond to It appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Sometimes landlord harassment is overt and easy to identify and other times it is more nuanced. This is why it’s so important that you read your lease agreement thoroughly and understand all of the terms of your lease. You should also be aware of the landlord/tenant laws in your state and municipality so you can spot landlord harassment if it ever happens to you.
Some examples of harassment might include:
On occasion, your landlord may do things that you don’t agree with but they aren’t necessarily a form of harassment (such as raising the rent). As long as your landlord follows the protocols outlined in the tenant agreement, he is operating within his rights.
The following are some examples of instances that should not be considered landlord harassment:
Landlord harassment can occur for all kinds of reasons. Often, harassment is linked to a landlord’s desire to have a tenant move out of their rental. If you live in a rent controlled apartment, the landlord could be eager to bring in a new tenant who will pay current market rates, which may be significantly higher than what you are paying. This is especially common in competitive rental markets, such as New York City and San Francisco.
In other instances, landlords may simply be negligent and fail to perform sufficient maintenance to their property. Or they might be trying to exploit vulnerable individuals.
Once again, it’s crucial that you know your rights as a tenant so that you can recognize when your landlord is behaving inappropriately.
If your landlord is harassing you in any way, it’s important to stand to up for your rights. This isn’t always easy to do, as you may be concerned about retaliation or your own safety. Remember, there are resources available to you, regardless of your situation.
If your landlord crosses the line, follow the steps below to put a stop to this behavior.
If your landlord does anything that could be considered inappropriate, document the incident carefully. Write down the date, time, and location and a description of the inappropriate interaction or behavior. If possible, save screenshots of conversations, copies of notices that were issues, or any other type of evidence that can help illustrate what occurred.
Often, a single instance of harassment isn’t enough to convict a problematic landlord. That’s why it’s important to keep track of every inappropriate action your landlord takes. An single incident might seem minor at the time, but if it becomes a pattern you will be glad you have documentation to use to file a complaint or pursue legal action.
Depending on the nature of your landlord’s inappropriate behavior, it may be worthwhile to write a letter requesting that he stop.
If the harassment is extreme, say verbal abuse or physical intimidation, skip this step and file a complaint with the police.
For instance, let’s say your lease agreement includes use of a swimming pool and suddenly your landlord has placed a lock on the gate, limiting your access. You should then write a letter to your landlord quoting the section of your lease agreement in which you are promised use of the pool and kindly request that he restore your access.
Hopefully, demonstrating that you are aware of your rights will be enough to have your landlord fall in line. If nothing else, writing a letter like this helps create a paper trail illustrating your landlord’s refusal to uphold his side of the lease agreement.
If your landlord is harassing you it’s important to report it. By doing so, you can protect yourself and others from future problems with the landlord.
There are a few different places to file a complaint or a report of harassment.
A temporary restraining order can be used to force a landlord to stop treating your unfairly. This is a short-term legal injunction that can be used to slow an unfair eviction process, force your landlord to restore access to your rental, force your landlord to turn your utilities back on, or put a stop to other unfair actions on the part of your landlord.
If your landlord has created a living environment that is unsafe or uninhabitable, you could sue him for damages in small claims court. If your personal property has been damaged due to unresolved maintenance issues or you’ve experienced personal injury due to a substandard environment, you may have recourse in court.
If you choose to sue, you will need as much documentation as possible regarding your landlord’s harassment.
Your landlord cannot legally retaliate against you for filing a formal complaint against you. If your landlord threatens eviction, or engages in any other form of unjust treatment after you’ve taken action against him, this is inappropriate retaliation.
In these instances, you likely have recourse to sue your landlord for damages. You can report your landlord’s attempts to retaliate to the same authorities you reported his initial harassment. If convicted, your landlord could face fines.
Tenants have a right to a safe and habitable home. If your landlord does anything to intentionally compromise these qualities or to coerce you to move out of your rental, his actions are considered harassment.
If you feel that your landlord is failing to uphold his side of your tenancy agreement and engaging in any form of harassment, document each instance carefully in case you need to pursue legal action.
As always, it’s essential that you know the terms of your lease and that you are familiar with tenancy laws in your area so that you can recognize harassment and stand up for yourself should you ever need to.
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]]>The post How Much Can a Landlord Charge for Damages or Cleaning? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>How much a landlord can charge for damages or cleaning can vary. However, in a general sense, landlords can usually levy fees based on the cost of repairing the damage or cleaning the unit. Additionally, the cost typically has to be considered “reasonable” based on the work that has to be done to return the property to its original state.
If you are wondering how much a landlord can charge for damages or cleaning, here’s what you need to know.
Precisely how much a landlord can charge for damages depends on the type of damage involved. Usually, there isn’t a legal upper limit on damage-related fees, as the cost is largely determined by the kind of repair that’s needed to bring the unit back into the same state it was in before the tenant moved into the unit.
In most cases, the charges, however, do have to be “reasonable.” If a fee is in excess of typical local rates for the kind of repair work required, it may be considered unreasonable.
Generally, landlords will gather estimates from contractors or, if a broken item needs replacing, research local stores to figure out the cost for the repair. That way, they have evidence showing the expense associated with fixing the issue, allowing them to establish that the fee is “reasonable” based on the going rates in the area.
However, landlords can also factor in the amount of time a repair can take. If the damage is extensive, requiring a multi-day project to fix it, the damage fee may be higher. It acts as compensation for the fact that the unit may be unrentable until the repair is done. Whether that is allowed and how much a landlord can charge for it does vary by state law, but it is a possibility.
In order to dispute the charge for damages, you want to first gather evidence that the cost is excessive. Then, send your landlord a certified letter explaining why you disagree. If your case is strong, that may be enough to solve the issue. You may want to contact your local housing authority as well, as they can help you review your options.
However, if your landlord asserts the charge is reasonable, your only option to address the fee may be to go to court. At times, the cost of going this route may not make it worthwhile, as it can be costly, but it may be on the table.
If you’re wondering how much a landlord can charge for cleaning, it may depend on a few factors. First, state law may put an upper limit on what the landlord can charge. Second, the amount may be outlined in your lease, stating the exact fee that the landlord will levy. Third, landlords can use an approach similar as they do for repairs, getting estimates from cleaning companies in the area and basing the cost on that.
The exact size of the cleaning fee will depend on the condition of the unit, the size of the unit, the going rate for cleaning services in your area, and, potentially, local law. On average, move out cleaning services cost $40 to $60 an hour. For a typical apartment, the average usually comes in between $110 and $350, while larger houses could run $450 to $650 or more.
Now, those numbers are just averages. A landlord may charge more or less depending on the city’s going rate for similar services. Additionally, if the unit is particularly dirty or if there are certain kinds of hazards, such as human waste or significant amounts of mold caused by a lack of cleanliness, the cost can go up, at times dramatically.
However, it’s important to note that, in many states, a landlord can’t charge for cleaning if you leave the unit in the same condition you found when you moved into it. Landlords can’t levy a fee if the unit isn’t dirty to the point where a cleaning is necessary to get it back into that condition.
If you believe that a cleaning fee was too high or that a cleaning wasn’t necessary, you can dispute the charge. The only exception to that may be if your lease specifically stated that a cleaning fee would be levied upon moveout, suggesting that the clause is legal in your area.
For a dispute, use the same approach as you would for disagreeing with a damage fee. Gather evidence, send a certified letter, and contact your local housing authority. If that doesn’t resolve the issue, court may be your only other option.
No, a landlord cannot charge for wear and tear in the vast majority of cases. Typically, there are landlord-tenant laws that prevent landlords from making tenants financial responsible for wear-and-tear. However, the exact line in the sand can vary from one state to the next.
Understanding the difference between wear-and-tear vs. property damage is crucial if you want to make sure everything is handled fairly. Generally, tenants aren’t financially responsible for deterioration that isn’t avoidable if they use a space, appliances, fixtures, or anything else in a normal, expected fashion.
For example, slight discoloration or matting on a carpet that isn’t caused by a lack of cleanliness is usually normal wear-and-tear. Minor scratches on wood flooring, paint chipping due to aging, or slighting discolored or chipped grout between tiles aren’t traditionally considered damage, either.
Any harm to the property that could have been avoided or is a result of intentional acts, including negligence, could potentially be considered damage. For example, deep gouges in flooring, large stains, holes in walls larger than a nail hole, pet-related harm, and more can qualify as damage. Even a lack of cleanliness, such as mildew buildup in a bathroom, may be damage.
If a landlord tries to take money from a security deposit or otherwise levy charges for wear-and-tear-related issues, tenants can dispute them. Precisely how the process will need to go may depend on local rules and regulations, so it’s wise to review landlord-tenant laws and, potentially, speak with a housing authority for additional details.
However, the first step is usually to respond to the charges. Request an itemized list of all costs from the landlord. Then, craft a letter explaining what you disagree with and send it as a certified letter. In some cases, that will be enough. If it isn’t, then you may need to use other approaches, like small claims court, if the landlord withheld part of a security deposit for wear-and-tear.
The post How Much Can a Landlord Charge for Damages or Cleaning? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post Can a Landlord Make a Tenant Pay for Repairs? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>But the specifics can get more complicated. Read on for more information on when a landlord can or can’t make tenants pay for repairs.
In most cases, a landlord can make a tenant pay for repairs if the tenant is responsible for the damage, and that damage goes beyond normal wear-and-tear. At times, this can mean that tenants have to pay for repairs if they directly harmed the property or if they were negligent regarding the proper use of a system, appliance, or something similar.
For example, landlords usually aren’t responsible for issues caused by a lack of cleanliness, like a stain on the carpet caused by a spill or mildew on bathroom walls if the tenant isn’t cleaning them regularly. However, if a bathroom ceiling starts to sag because an upstairs unit has a leak, that would be the landlord’s responsibility.
In some cases, tenants also have to handle repair costs for items that typically need replacing through standard use. For example, if a lightbulb in a unit burns out, tenants usually have to tackle that themselves. The same can go for smoke detector batteries. Patching small nail holes, tightening a loose screw on a door handle, or similar activities can also fall in the tenant’s hands.
Additionally, there may be clauses in the lease that make a tenant responsible for additional repairs. As long as the clauses align with local law and the lease is signed by the tenant, the tenant does have to handle those costs. If a clause is illegal, then the landlord is responsible, regardless of what the lease says.
Generally, landlords are required by law to ensure that any property they rent out is in a habitable condition. The homes they rent to tenants have to meet minimum health and safety standards, all of which are usually outlined in local codes and city or state laws.
In most cases, livability standards cover the following categories:
If a plumbing, electrical, or heating system fails, the landlord usually has to repair the damage without charging the tenant. Similarly, if there is a pest problem in the building that poses a health hazard, landlords typically have to handle any associated pest control expenses.
In many cases, landlords are also financially responsible for repairing or replacing certain appliances that are listed in the lease. This may include stoves, refrigerators, dishwashers, washing machines, dryers, and similar items.
However, landlords don’t have to handle repairs if an issue is purely cosmetic or if the problem doesn’t make them non-compliant with local law. For example, if a bathroom faucet is dripping slightly but is otherwise functional, a landlord might not have to pay to get that fixed.
Additionally, even if the repair is needed to a critical system, if the tenant caused the damage that led to an issue or failure, the landlord often doesn’t have to pay for the repairs. Instead, the tenant would be responsible as their action is what led to the system failure.
If a repair is a landlord’s responsibility, but the landlord isn’t moving forward with it, many tenants may assume that they can withhold rent. Often, this is based on the idea that the unit is not in the promised condition, so they believe they aren’t on the hook for the monthly payments.
However, whether a tenant can withhold rent until a landlord makes required repairs does depend on where the property is located. In many states and cities, withholding rent due to the lack of a repair isn’t a legally protected move. Instead, once a tenant misses a payment, they are potentially vulnerable to eviction or other legal actions.
But laws regarding repair requirements and timelines vary by state (and sometimes municipality). In some areas, withholding rent due to a landlord not making required repairs is legal.
There is legislation that provides tenants with the right to withhold rent in California, Washington State, New York, and many other areas. In Idaho, Indiana, Mississippi, North Carolina, and several others, there are no laws giving tenants that ability.
If a landlord is failing to make legally required repairs, consider contacting the local housing authority. That alerts the proper officials to the issue, allowing them to take appropriate action. Additionally, they can determine what other options may be available to the tenant, such as the ability to possibly break your lease early, withhold rent, or anything else.
Ultimately, laws regarding withholding rent are highly varied. That’s why it’s best to work with a local housing agency to learn about local laws and act accordingly.
Whether a tenant can deduct repair costs from their rent depends on the state and the nature of the repair. Some states or cities do give tenants this right as long as it’s a qualifying repair and the right steps are taken by the tenant.
Exactly what a tenant has to do can vary. In some cases, the tenant has to notify the landlord – usually in writing – of the issue and provide the landlord a reasonable amount of time as defined by law to handle the problem. If the landlord fails to act within the proper timeline, then the tenant may have to notify the landlord again of their intent to move forward with the repair.
Ensuring that any repair is made by an appropriate specialist, such as a licensed and bonded contractor, may also be a necessity. Additionally, the nature of the repair also needs to meet any legal requirements. Some states are highly specific, only giving tenants the ability to deduct repair costs from rent for a limited set of issues.
Usually, if this option is available, only repairs that should be the landlord’s responsibility legally can qualify, as well. For example, if a heating system failed and the tenant had the repair made using the proper approach as defined by law and paid the associated expense themselves, they may be able to deduct that cost from their rent.
Pursuing the deduction commonly requires the tenant to provide the landlord with a clear record of the expense, essentially justifying the deduction. In many cases, this can include a statement of work and a receipt showing that the charge was covered by the tenant. In some cases, tenants may have to provide more.
However, if the repair was related to damage caused by the tenant or something the landlord isn’t responsible for, deducting the cost from rent wouldn’t be an option. Additionally, if the repair is listed as the tenant’s responsibility in the lease and the clause discussing that point is legal, deducting the cost probably isn’t allowed.
Again, checking with a local housing authority can be a wise choice for tenants. They can make sure that any action they are about to take is in accordance with local law and the terms of their lease before they actually move forward.
A security deposit is a set amount of money that’s provided by the tenant to the landlord when the tenant first signs the lease. The purpose of the money is to cover costs related to damage caused by the tenant beyond typical wear-and-tear. At times, it can also be used to pay back rent when a tenant ends their occupancy.
When a tenant first moves into a unit, the landlord usually completes an inspection report that outlines the condition of the property. This is used as a baseline, creating an official record for the state of the unit prior to the tenant arriving.
As a tenant moves out, the landlord reinspects the property, noting any condition differences. If the landlord finds damage beyond wear-and-tear that was caused by the tenant, then they can use money from the security deposit to cover the needed repairs.
If a landlord goes this route, they typically have to do so within a specific amount of time as outlined in state law. Also, in most cases, the landlord has to provide the tenant with an itemized breakdown, showing exactly how much was used for each repair done.
For instance, if a landlord had to make three repairs, they would need to provide a statement listing each repair and the cost for them individually. This shows the tenant exactly how the deposit was used.
As long as the security deposit is used for a qualifying reason, the tenant has little recourse. However, if the landlord attempts to use a deposit to cover wear-and-tear or other issues that aren’t allowed, the tenant can take action and try and get their money back.
Precisely what steps a tenant would have to take can depend on local law and how the landlord reacts to the assertion that the deposit shouldn’t be used for that purpose. In some cases, a simple certified letter outlining the tenant’s stance might be enough to get the landlord to act in accordance with the law. However, if the landlord resists refunding the money, small claims court may be the only option you have left.
For more information, see our full guide on how to get your security deposit back.
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]]>The post When a Landlord Can & Can’t Enter Your Apartment appeared first on Flex | Pay Rent On Your Own Schedule.
]]>If you are trying to figure out when a landlord can and can’t enter your apartment, here’s what you need to know.
There are situations where a landlord can enter your apartment. Usually, they revolve around maintaining the property and safety.
However, landlords may need more than just a valid reason. There are other conditions that typically have to be met, ensuring your right to privacy is respected along the way. Most commonly, that will include giving tenants advance notice. More on that shortly.
In most cases, landlords can only enter your apartment to address issues with the property and to handle specific tasks. Precisely which reasons are valid do vary by state. However, in most cases, a landlord can enter your apartment to:
A landlord can also enter your apartment any time you explicitly invite them to do so, regardless of the reason for the invitation. Additionally, along with other actions allowed by local law, your landlord may have more rights to enter your apartment if the situation is spelled out in your lease, suggesting that the clause isn’t illegal.
Even under many of the above circumstances, a landlord still can’t enter your apartment without giving you advance notice. Further, that notice commonly has to be in writing. A simple phone call, voicemail, or in-person chat isn’t enough in most cases.
How much they need to provide does vary by state. Generally speaking, the minimum amount of notice they have to provide is usually 24 to 48 hours.
The reason for the advanced notice period is that it provides you with a degree of privacy. You have the ability to secure or remove items you don’t want your landlord to see, for instance.
However, if your landlord is responding to an emergency, they may not have to provide any notice at all. For example, if there is a suspected gas leak in your apartment, immediate entry is necessary for safety. The same can go for a burst pipe, a fire, and any similar situations that make quick action a must.
When there’s an emergency, most landlords will leave a note after the fact stating that they entered your apartment. Additionally, they will outline why they had to enter.
Finally, landlords don’t commonly have to give notice if they have good reason to believe that you’ve abandoned the property. What is considered “good reason” may vary by state or might be based on individual judgment in areas where the term isn’t defined in any landlord-tenant laws.
Generally, no, landlords can’t enter at any time. Even if your landlord provides you with notice and has a legitimate reason, they can’t simply show up at any hour of the day or night.
In most cases, landlords can only enter a property (even with prior notice) during normal business hours. Precisely when that is could vary by state, but, usually, the approved hours will fall somewhere in the 9:00 am to 5:00 pm range, Monday through Friday.
Now, there are exceptions here, as well. If there is an emergency, the landlord can enter your apartment whenever the situation is occurring. For example, if a burst pipe is suspected, the landlord can come in immediately, whether it’s 2:00 am or 2:00 pm.
Additionally, if you give your landlord explicit permission to enter at a specific time, that also creates an exception. For instance, if a repair is necessary, the landlord asks if the repair can begin at 7:00 am, and you say “yes,” then they are allowed to enter at that time.
Yes, a landlord can enter your apartment for a legitimate reason even if they don’t have your explicit permission. As long as the rules regarding proper notice are followed, they don’t have to secure permission from you. The notice itself is enough.
However, you do have the option to request a time or date change. Whether your landlord has to respect that request will depend on local and state law.
Similarly, if an emergency is suspected, your landlord isn’t required to provide notice or secure your permission. They are allowed to address the situation immediately, regardless of how you feel about the entry.
In most cases, no, your landlord can’t go through your belongings. However, they do have the right to interact with your belongings if necessary and under specific circumstances.
For example, if a repair is needed to your closet door, your landlord may have to move items that are in your closet. Usually, this is only permitted if moving or handling the items is needed to complete the repair or if your property could be harmed while the repair is underway if the items were not relocated.
Beyond situations where interacting with your items is a necessity to handle the task being completed, your landlord usually can’t go through your personal belongings legally. Exactly which circumstances are legal may vary by state, so you should review local landlord-tenant laws for additional clarity.
No, tenants are not allowed to change the locks on their apartment to prevent the landlord from coming inside. Locks can only be changed with the landlord’s permission. Additionally, you’ll usually need to provide the landlord with a copy of the key immediately or allow the landlord (or a suitable contractor they select) to handle the process and provide them and you with new keys.
Aside from the situations listed above, a landlord usually can’t enter your apartment legally, even if they give notice. Notice only provides the landlord with entry rights when their reason for coming in is justified. They can’t simply walk aside to take a look around on a whim. If they do, it’s an illegal landlord action that could land them in hot water.
Now, it’s best to review local and state law, as well as your lease, before declaring that an entry by your landlord was illegal. Rules can vary from one municipality to the next, for one. For another, if there is a clause in your lease that outlines other reasons when your landlord can enter, that could be legally enforceable, as well.
If your landlord is entering your apartment without proper notice or without a reasonable justification, your first step is usually to contact your landlord about the issue. Be calm and fact-oriented when you do, ensuring you avoid accusations or any other action on your part that may be perceived as hostile or excessive.
If a simple conversation doesn’t fix the problem, you’ll want to send a certified letter. Outline the instances where an illegal entry occurred and provide copies of local landlord-tenant law showcasing that the entry didn’t follow the rules. Additionally, maintain a log of all illegal entries to the best of your ability.
You can also contact your local housing authority. You might also be able to get a court order to stop the activity, or you may be able to sue your landlord in small claims court. In those latter cases, you’ll need solid evidence of wrongdoing, but it may be worth exploring if you have records showing illegal entries and that you attempted the address the issue before reaching this stage.
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]]>The post Rent Control: The Pros & Cons appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Rent control is a law that limits how much landlords can either charge for rent. Generally, rent control laws feature hard upper limits, formally dictating the maximum amount a landlord can charge for a certain kind of dwelling. Landlords can’t charge more than the maximum base rent if the apartment is legitimately subject to rent control laws. If they did, it would be illegal.
However, when people think of rent control, some may be focusing on laws that outline how much landlords can raise a tenant’s rent at the end of their lease. Technically, legislation that dictates how much a tenant’s rent can be increased is referred to as rent stabilization, not rent control.
The purpose of the law is to keep rent reasonable and to ensure tenants aren’t subjected to unexpected large increases that could destabilize their financial security. Additionally, unlike with actual rent control, the legislation doesn’t set a hard maximum on how much a landlord can charge.
In some cases, the limit is tied to economic markers, like inflation. In others, it’s a specific percentage or other metric outlined in the law.
Rent control pros and cons vary depending on the perspective you examine. However, there are benefits and drawbacks at every level, including for tenants and the communities where the units are located.
With that in mind, here is a look at the pros and cons of rent control.
Generally, the main benefit of a rent-controlled apartment is that your rent can only get so high. The maximum amount a landlord can charge is dictated by local law, making it incredibly predictable.
Now, this doesn’t mean that your rent will never rise in a rent-controlled apartment, as it certainly can. If the local law raises the maximum allowed amount, your rent can then go up to that amount. However, those increases tend to be highly metered, ensuring the rise in rent isn’t dramatic.
Predictable and limited rent increases are also the main benefit of rent-stabilized apartments. Again, how much your rent can go up when it comes time to renew your lease is restricted based on local law, giving you the ability to anticipate the change. Additionally, the maximum increase amount tends to be modest, preventing large rises in your monthly rent.
When it comes to cons, the biggest issue with rent-controlled apartments is getting into one in the first place. Generally, when a person in a rent-controlled – not rent-stabilized – apartment vacates the property, it doesn’t have to stay a rent-controlled unit. Often, only family members (including some non-traditional family units, like some live-together unmarried couples) who live in the property prior to the main renter’s leaving or passing have any succession rights.
Now, rent-stabilized apartments are different. Generally, you don’t need a relationship with the last tenant or to live in the unit before that person leaves to secure the rent stabilization benefits. However, that doesn’t mean getting into one is easy. Competition for those properties can still be fierce, depending on the city, so you do need to keep that in mind.
When you’re in a rent-controlled or rent-stabilized apartment, you may have a greater sense of security. You don’t have to worry that you’ll wake up one morning to a notice stating that your landlord wants to raise the rent by $1,000.
Additionally, many rent control and rent stabilization laws outline how often a landlord can levy and increase, further protecting you against the unexpected. Usually, this can lead to a significant amount of peace of mind.
When a unit is subject to rent control legislation, there’s very little incentive for your landlord to improve the property. While they are certainly still required to make necessary repairs, extras like upgraded appliances, smart home features, or similar updates won’t provide them with any notable return on their investment.
Even if the landlord turned your unit into the nicest one on the block, they can still only charge as much as local law allows. As a result, some landlords may only update something when it’s absolutely necessary.
For example, if an appliance breaks, the landlord probably won’t replace it with a top-of-the-line model. Instead, they may opt for a lower-cost (or even previously used) appliance over a new one with the latest features, as they don’t experience a financial benefit for going the extra mile.
The same can go for repairs. Landlords might do the bare minimum based on local law in an attempt to save money. At times, this is purely based on trying to keep profitability high. However, if the amount being collected in rent is small enough to make better repairs impossible to shoulder financially, it could also be out of necessity.
In the worst-case scenario – even though it’s technically illegal – some landlords may attempt to withhold repairs in a bid to get a rent-controlled tenant to leave. If they do, the landlord might not have to keep the apartment at the current price, depending on local law, so they are essentially incentivized to drive tenants out of units that are renting for less than the going market rate.
When an apartment is rent-controlled or rent-stabilized, tenants are often less likely to move when their lease is over. Instead, they are incentivized to renew, keeping them in the unit for longer.
This can be incredibly beneficial to communities. It allows families to establish roots and connections in an area. That can give them a greater sense of ownership, causing them to become more invested in the welfare of their neighborhood and the people in it.
As mentioned above, when an apartment is rent-controlled, landlords have little incentive to do more than the minimum to keep a unit livable. This is especially true if the property has been rent-controlled for some time and is renting for far below the going rate for non-rent-controlled apartments in the area.
Declining housing conditions don’t just harm tenants; they can also hurt communities. Property values fall, businesses may be inclined to open or operate in the area, development projects may focus on other neighborhoods, and more.
When rent prices are lower, many individuals and families have more money to spend on other needs and wants. This can benefit the local community, as those who live there may spend more at area businesses.
If spending is solid enough, this may encourage new development. For example, it may make the area look more attractive to new retailers, restaurants, or small businesses, increasing the odds that they’ll choose that neighborhood for their first or next location.
While the rent predictability is undoubtedly beneficial, less renter mobility can create drawbacks. At times, rent control encourages older renters to stay in an apartment when – if rent control weren’t a factor – they would typically downsize. This can make it harder for younger families to find larger units in certain neighborhoods or for young professionals to find reasonably priced units near their jobs.
Ultimately, whether moving into a rent-controlled or rent-stabilized apartment is the right move for you depends on several factors. You need to consider the unit’s location, as this impacts your work commute, access to amenities, and more.
Additionally, you should take the apartment’s condition into account. This is especially if the monthly rent is far below the market value for a similar unit that isn’t subject to rent control or rent stabilization, and if it appears that maintenance has been lax.
Finally, familiarize yourself with the nuances of your local landlord-tenant laws. Not all areas treat rent control or stabilization the same way, so you need to understand what protections are (and are not) offered. That way, if you decide to go forward, you have a solid idea of what to expect.
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]]>The post 24 Insightful Construction Statistics appeared first on Flex | Pay Rent On Your Own Schedule.
]]>However, many industry experts are optimistic about 2021. While the situation is still fluid, a recovery is certainly possible.
If you want to take a closer look at the construction industry, here are 24 insightful construction statistics worth checking out.
During the first quarter of 2020, the construction industry in the United States added over $900 billion to the economy. That was the highest amount since the recession in 2008.
[Source: Deloitte]
The impact of COVID-19 was stark for the construction industry. Overall, an estimated $60.9 billion in GDP was lost. Partially, this was the result of companies having to cease operations or alter course during the pandemic. Additionally, financial woes led to some project cancelations.
[Source: Deloitte]
When construction operations slowed due to the pandemic, an estimated 6.5 million construction professionals lost their jobs. Overall, this single incident wiped out four years of job gains in the sector.
[Source: Deloitte]
While COVID-19 had a major impact on construction, with many commercial projects put on hold during Q1 and Q2 2020 due to the pandemic. Overall, the commercial construction industry has seen revenue fall by around 2.1%, even as the market came back to life in Q3 and Q4.
[Source: IBIS World]
Overall, the construction industry market size in the United States is about $2 trillion, making it one of the top industries in the U.S.
[Source: IBIS World]
As of 2019, the construction industry represented 4.1% of the United State’s gross domestic product (GDP). The construction market in the United States is also one of the largest in the entire world.
[Source: Statista]
Overall, about 20% of all of the Construction in the United States is taking place in just five metropolitan markets. Those markets include the District of Columbia (Washington D.C.), Dallas, Houston, Los Angeles, and New York City.
Additionally, approximately 50% of all construction will occur in just 20 metropolitan markets, showing just how concentrated the bulk of the industry can be.
[Source: FMI]
In the United States, New York City is the most expensive place for construction. In Fact, cost levels in Houston are about half of what you see in NYC, showing just how dramatic the difference can be depending on where a construction project occurs.
As for other expensive cities to build in, San Francisco and Boston come in second and third, respectively. Rounding out the top five are Philadelphia in fourth and Seattle in fifth.
[Source: Arcadis]
As of 2019, 42.6% of construction firms were exploring the value of drone technology when it comes to their building projects. That’s a 5% increase over the year prior.
[Source: JBKnowledge]
The United States is home to approximately 3.35 million construction businesses. Overall, those businesses employ around 9.4 million people.
[Source: IBIS World]
New home construction is typically a big part of the construction industry. In 2019, there were 1.29 million new private housing units starting construction.
[Source: JBKnowledge]
Overall, the United States has approximately 11.2 million construction employees. The category includes a wide variety of professionals, as it takes several kinds of skilled trades and professionals to plan, erect, and finish different kinds of structures.
[Source: Statista]
As of 2019, only about one-in-10 construction workers are female. Females make up 10.3% of construction workers, while males are the remaining 89.7 percent.
Now, this does mark a small year-over-year increase for women. In 2018, just 9.9% of construction workers were women, while 90.1% were men.
[Source: Statista]
A labor shortage has been plaguing the construction industry for years. Many younger adults don’t view skilled trades as solid careers, causing them to forgo this option in favor of other professions. As a result, 90% of construction contractors are worried about labor shortages, and 47% expect trouble in finding skilled workers to get worse over time.
[Source: United States Chamber of Commerce]
Over the past few years, interest in green building has been on the rise. Fifty-six percent of construction contractors have registered their building projects with either the Leadership in Energy and Environment Design (LEED) or United States Green Building Council. That means their projects met the “green” standards set by certifying or approving the organization.
[Source: United States Chamber of Commerce]
On average, construction employees earn $31.94 per hour. With the average number of hours worked a week coming in at 38.9, that means the average construction employee has an annual salary of approximately $64,608.
[Source: United States Bureau of Labor Statistics]
Union membership often results in higher wages. Nonunion workers have median weekly earnings of about $868 a year. Union members and workers represented by unions make $1,257 and $1,240, respectively. This means that nonunion workers bring home $372 to $389 less than their union-associated counterparts each week.
Over the course of a year, nonunion construction employees may earn $19,344 to $20,228 less than those who are represented by or a member of a union.
[Source: United States Bureau of Labor Statistics]
While some may assume that the cost of materials, permits, and similar items make up the bulk of a construction project’s cost, that isn’t universally true. Overall, labor costs account for 20 to 50% of the total cost, depending on the nature of the project
[Source: FMI]
When it comes to global infrastructure construction projects, it seems little goes to plan. Approximately 90% of such projects end up either behind schedule or over budget.
[Source: Economist]
COVID-19 shook the construction industry, particularly as many shelter-in-place orders during the early days of the pandemic heavily restricted, if not outright banned, construction project-related activities. As a result, the pandemic is expected to lead to a 6.3% revenue decline in 2020.
[Source: IBIS World, Statista]
Across all asset classes (infrastructure, mining, and oil and gas), large construction projects are commonly up to 80% over budget once they are complete.
[Source: McKinsey Global Institute]
Not only are large construction projects frequently over budget, they usually miss completion deadlines, too. Overall, they typically take 20% longer to wrap up than initially planned.
[Source: McKinsey Global Institute]
The larger the project, the harder it can be to estimate the associated cost and required time for completion. As a result, 98% of megaprojects are behind schedule, over budget, or both.
[Source: McKinsey Global Institute]
After taking a hit following the 2008 recession, modular construction has been on the rise. One estimate suggests that the market may reach $157 billion by 2023.
[Source: Motley Fool’s Mission Acres]
Ultimately, 2020 was challenging for the construction industry. COVID-19 led to significant financial losses, widespread job losses, and more. However, as with the 2008 recession, the odds are good that the sector will recover.
Many of the construction statistics above show the troubles the industry experienced. Others showcase unique facts about the sector, including its composition and overall scale. In the end, only time will tell if the industry will bounce back quickly or slowly. After all, some concerns, like labor shortages, have been long-standing. Without greater interest in the industry by young adults or advancing technology that can limit the need for skilled labor, the sector’s growth potential may be stymied.
Still, construction is and will remain a major industry in the United States, as well as around the world. The need for new or improved structures is near-constant, ensuring a degree of longevity for the sector at-large.
The post 24 Insightful Construction Statistics appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post How to Break an Apartment Lease – the Definitive Guide appeared first on Flex | Pay Rent On Your Own Schedule.
]]>But there’s a right way and a wrong way to break a lease. While the wrong way can lead to serious repercussions, the right way can let you vacate early and move on without any lasting problems.
If you need to break your lease, it’s best to do it right – so you can protect your credit and not hurt your chances of getting approved for another lease in the future.
If you think you may need to break your lease, the very first thing to do is re-read your lease agreement. That way you can make sure you understand your obligations that are outlined in the lease. You can specifically see if there are any provisions for breaking a lease, such as:
Checking your lease also gives you an opportunity to see whether your landlord has upheld their end of the agreement. If your landlord has been failing to meet their obligations under your lease, that may give you leverage to vacate early without paying a penalty.
Some landlord violations that might give you cause to break your lease include:
Your lease is a governing document, so you should always look to it if you think you may need to deviate from your agreement—and that includes moving out early.
Depending on how well you understand your lease—or if your landlord has been in violation of your agreement—you may want to speak with an attorney or consult your local bar association to find legal aid. These resources can help answer any questions you have about your lease or clarify any points of confusion.
An attorney may also be able to give you specific guidance about breaking a lease in your area or help you through the rest of the process.
If you want help understanding your lease or your rights as a tenant, ask a professional. Don’t ask a real estate agent for legal advice and don’t take your roommate’s word for things.
Before you go any further, stop to think about what you’ll do after you move out. Where will you go? What can you afford? Checking your budget will help you answer these questions and give you an idea of what you can afford to pay in fees and penalties when you move out.
Depending on what you find, you may want to consider offering your landlord a fee to break your lease. This might convince them not to report you to credit bureaus or take other action to force you to pay rent still owed for the remainder of your lease term.
Don’t expect to break your lease without penalty. It’s very unlikely that your landlord will simply let you move out early without any kind of fee or other consequences.
Now that you’ve done some initial legwork by consulting your lease and checking your budget, let your landlord know you intend to break your lease. While there are quite a few things to do before this step, you still want to do this as early as possible, giving them the maximum amount of time before you intend to vacate (ideally, 30 days or longer).
Notifying your landlord has a lot of potential benefits, including:
If you need to break your lease, don’t blame your landlord or keep them in the dark. They didn’t force you to move in and they probably aren’t forcing you to move out. Being calm and diplomatic may help you in the long-run, but being argumentative can only hurt you.
Depending on what you find in your lease and what you work out with your landlord, you may want to find a tenant who can take over your rental. In fact, your lease may be assumable—which means that a new tenant could basically take over and just start paying rent after you move out. Or, you may be able to sublease, which would make no difference to your landlord (they just keep receiving rent like they did before).
If you’re able to find a new tenant to take over your lease, your landlord may be more likely to let you move out without paying a fee or penalty, since they may not be losing any money when you move out.
One thing to be aware of, though, is that if you do sublet your property, you’re still responsible for the rent owed to your landlord. If the tenant you find to sublease your unit fails to pay, your landlord can still come after you for unpaid rent.
If you’re working with your landlord to find a tenant who can take over your lease, don’t deny your landlord access to the property—especially for things like inspections or showings.
By now, you’re probably getting down to the wire—it’s time for you to pack and get ready to move out.
In addition to packing your belongings, you should make note of any damage done to the property while you lived there. You’ll want to leave your unit in the best possible shape when you move out. This will give you the best possible chance to recoup your security deposit.
That said, even if you’re giving up your security deposit as part of your move, you still don’t want to give your landlord any more reason to be upset with you breaking your lease. And, if you leave the unit in good condition, you may actually be able to get your deposit back.
Some potential issues to check on when packing and making repairs include:
When preparing to vacate, don’t leave your landlord with a mess or a bunch of damage to their rental. These things will only cause them headaches and may lengthen the time it takes for them to get a new tenant.
Once you’ve done all you can to make your move easy and painless for your landlord—given them plenty of notice, helped look for a replacement tenant, packed, and cleaned your rental—it’s time to move out.
When you move out, you’ll need to do a walk-through with your landlord or their manager, as well as pay any fees or penalties you owe as part of moving out early. This may also be when you get your security deposit back—if your landlord agrees to give it back.
Don’t move out without doing a walk-through or handing your keys over to your landlord or the property manager. That’s the only way you can ensure you don’t get blamed later for damage that you didn’t cause.
Breaking a lease early can be tricky, especially if you want to do so without having to pay fees or a big penalty. If you want to break your lease without a penalty, there are some things you can do to make the process as smooth as possible.
If you have to break your lease, you should not just move out and stop paying rent. Rather, if you want or need to move out—and especially if you hope to do so without paying a penalty—you should give your landlord as much notice as possible. And you should work with them to coordinate your move and avoid creating any additional problems.
There are two things to balance when moving out of a rental property early: time and money. The important thing is to find the right balance between the two that makes sense for both you and your landlord. This may mean negotiating a fee as part of breaking your lease, or it may mean allowing your landlord to arrange showings before you move out so they can find a new tenant faster.
Breaking a lease is all about give and take, so figuring out what is important to your landlord will help uncover what you can do to avoid penalties while still moving out early.
Your lease may require you to pay a fee as a condition of breaking your lease, but as long as you’re leaving the property in decent shape, you’re likely still entitled to your security deposit. You might still consider volunteering to forfeit your security deposit in lieu of any other fees or penalties.
This is something you only want to do if you’re breaking your lease because your landlord has failed to uphold their obligations under your lease—otherwise, you’ll probably only anger your landlord and cause them to dig in their heels.
But if your landlord has violated your lease and you feel that you’re within your rights to break your lease early without a penalty, you should clearly spell out what your landlord has done in violation of the lease and why this allows you to break the agreement.
It’s important to note, though, that whether your landlord really has violated the lease, doing this means that you will likely not be leaving under good terms. Accusing your landlord of violating your rights under the lease will make them more likely to fight over your security deposit, report you to credit bureaus, or try to take legal action.
Breaking a lease is not an easy process—it’s something that needs to be done very carefully to avoid any potential missteps. If you want to break your lease early, be sure to follow these steps, including checking your lease, giving your landlord plenty of notice, and making the process as painless for your landlord as possible.
If you want to break your lease without paying a penalty, consider volunteering to give up your security deposit or help the landlord find a replacement tenant before you move out. Doing so might not let you break your lease for free, but you can at least avoid negative marks on your credit report or other penalties with lasting consequences.
The post How to Break an Apartment Lease – the Definitive Guide appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post 25 Insightful Housing Cost Statistics – 2021 appeared first on Flex | Pay Rent On Your Own Schedule.
]]>There are numerous intriguing statistics that highlight these expenses, both those that are widely known and some that catch people off guard. With that in mind, here are 25 insightful housing costs statistics.
In the United States, the median home sales price came in at $324,900 (based on Q3 2020 data). That’s a 2% year-over-year increase.
[Source: Federal Reserve Bank of St. Louis]
In the United States, the median home value came in at $262,604 (based on November 2020 data). That’s a 6.6% year-over-year increase.
Home values are different than sales prices. These relate to how much all existing properties are worth, regardless of whether they are currently (or were recently) for sale. It is a reflection of the likely value based on market conditions, giving an idea of what a house would sell for if it was placed on the market.
[Source: Zillow]
Many first-time homebuyers overlook the financial impact of closing costs. Usually, closing costs run between 3 and 6% of a loan’s overall value, so they can be substantial.
On average, if you include taxes, closing costs run $5,749. If you exclude taxes, the average is $3,339.
[Source: Business Insider]
Like home sale prices, rental rates vary depending on several factors. The location of the property and the apartment’s condition are big factors, as well as the quality of the finishes, available amenities, and more.
On average, households living in a one-bedroom apartment pay $1,617 in rent. For a studio, the average monthly cost is $1,605, while two- and three-bedroom properties run $1,909 and $2,050, respectively.
[Source: Apartment Guide]
Nearly half of all renters spend at least 30% of their income on rent and utilities. In California, 52.5% of renters fall into that category, which is the highest state rate in the country.
[Source: Insurance Information Institute]
Low-income households generally have to dedicate more of their monthly budget to rent. Among those households, more than 50% spend at least half of their income on rent, while about 25% actually spend 70% or more of their income paying rent.
[Source: Who Gets Evicted? Assessing Individual, Neighborhood, and Network Factors]
In the United States, 3.6 million eviction cases are filed with the court each year on average. That translates to seven eviction filings every minute, or nine filings per every 100 rental households in the country.
[Source: United Nations]
Involuntary moves – such as an eviction – can result in long-term housing instability and homelessness. Overall, tenants who had to relocate involuntarily are 25% more likely to experience housing problems long-term than renters who aren’t involuntarily moved.
[Source: University of Wisconsin Institute for Research on Poverty]
Many homeowners struggle with estimating home maintenance costs, especially if they are first-time homebuyers. Generally, expecting maintenance to run between 1 and 4% of the home’s value is considered the safest bet. For a $200,000 property, that means setting between $2,000 and $8,000 aside for maintenance-related expenses.
[Source: Motley Fool]
Property taxes vary dramatically, both based on the home’s location as well as its assessed value. However, on average, property taxes cost homeowners $2,375 per year.
[Source: Wallet Hub]
On average, the annual cost for homeowners insurance premiums is $1,211. However, the exact amount a homeowner ends up paying can vary dramatically.
The biggest factors in determining cost are the house’s location as well as it’s value. For a home worth $500,000 or more, the average homeowners insurance policy runs $2,149. In comparison, a house with a value between $100,000 and $149,000 would cost $870 on average for homeowners insurance, while a home valued at $49,999 or less would cost just $633.
[Source: Business Insider]
Overall, 5.7% of insured homes ended up with a claim during 2018. This includes claims related to fire, water, wind, and hail damage, as well as losses caused by theft, vandalism, and more.
[Source: Insurance Information Institute]
Property damage (including thefts) is the most common form of insurance claims. Overall, 98.1% of claims fall in that category.
[Source: Insurance Information Institute]
Having an accurate inventory of a home’s content can be critical when making insurance claims, as it allows the homeowner to show the insurer details about their losses. However, only 59% of homeowners have an inventory.
Homeowners in the South and Northeast were most likely to have an inventory in place, with 61% of homeowners in those regions keeping those kinds of records. In the West, 58% of homeowners have one, while only 55% do in the Midwest.
[Source: Insurance Information Institute]
Approximately 19 Million households are eligible for the Department of Housing and Urban Development (HUD) subsidized housing program. Through that program, they can secure housing at a reduced cost.
[Source: Vox]
Many lower-income households turn to HUD and similar programs to offset the cost of housing. Overall, there are more than 5 million subsidized housing units in the United States.
However, based on the 19 million potentially qualifying households, that means only about 26.5% can actually secure a unit. Often, which households get one is determined by a lottery.
[Source: U.S. Department of Housing and Urban Development (HUD)]
Low-income households may struggle to find subsidized housing units even if they qualify for HUD or similar programs. Overall, 91% of the units are occupied, leaving only 9% available. Based on the total number of units being near 5 million, that leaves just over 450,000 available.
[Source: U.S. Department of Housing and Urban Development (HUD)]
While the average closing cost with taxes is $5,749, Delaware comes in at $13,273. That’s a $7,524 difference.
Additionally, most of that difference has nothing to do with taxes. If you exclude taxes, Delaware’s average is $3,350, which is only $11 more than the tax-excluded national average of $3,339.
[Source: Business Insider]
In Indiana, closing costs aren’t as much of a concern. The state averages at $1,909, a full $3,840 below the national average of $5,749.
[Source: Business Insider]
Another cost many aspiring homeowners overlook is the home appraisal. Typically, buyers have to shoulder this expense, and it adds, on average, $300 to $450 to the total cost of purchasing a house.
However, in higher-cost cities, the home appraisal cost can be much higher. In some cases, it runs $500, $800, or more.
[Source: Bankrate]
A standard home inspection for a home that’s no more than 2,000 sq. ft. generally runs between $2100 and $500. However, if the house is above 2,000 sq. ft., the cost goes up, usually by about $25 per every extra 500 sq. ft.
[Source: Redfin]
But that’s just a basic home inspection. If you need additional tests, it runs more. For example, a radon test alone can cost $150. If you want a plumbing inspection that involves using a camera in the pipes, that costs between $236 and $1,006. A pest inspection could add around $100 to the total cost of having the home inspected.
[Source: Redfin, Home Advisor, Home Advisor]
Earnest money deposits show the seller that the buyer is serious about their offer. Generally, the buyer has to supply 1 to 2% of the offered purchase amount in earnest, with the money being held in an escrow account.
However, if a housing market is particularly hot, the seller may expect more. In some cases, earnest money can reach as high as 10% of the proposed purchase price.
[Source: Investopedia]
On average, renters insurance costs a renter $180 a year. That works out to $15 per month.
On a state level, the highest average renters insurance premiums are in Mississippi, coming in at $258 per year ($21.50 per month). The lowest rate is in South Dakota, where the average premium is just $123 (10.25 per month).
[Source: Insurance Information Institute]
Even with the cost being fairly low, only 37% of renters have renters insurance policies.
[Source: Policy Genius]
Ultimately, housing costs can stack up quickly, both for homeowners and renters. Additionally, these situations can shift rapidly. As 2020 came to a close, the full impact of COVID-19 on these markets is not yet clear. This is especially true since many renters are protected by eviction moratoriums, and homeowners may be sheltered by coronavirus-related relief programs for their mortgages.
However, even outside of those extenuating circumstances, it’s clear that housing costs can be incredibly high. Plus, some purchase-related expenses frequently catch first-time buyers off guard, and maintenance costs can be prohibitively high for some.
Additionally, there are many households that qualify for housing assistance, but there simply aren’t enough properties available. These statistics are intriguing, shining a light on potential shortcomings within social services safety nets.
The post 25 Insightful Housing Cost Statistics – 2021 appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post How to Find the Right Roommate appeared first on Flex | Pay Rent On Your Own Schedule.
]]>In this article, we’ll discuss where to look for a roommate, how to vet your prospects to find the perfect match, and provide tips for living together successfully. Let’s dive in.
Before you can find the perfect roommate, you need a pool of candidates to work with. Below are some ideas for where to begin looking for your future housemate.
There are a number of apps and websites that were built specifically to help individuals match with prospective roommates. These include platforms like Roommates.com, Roomi, and Room Surf among others.
These platforms help you browse roommate ads and create your own. Some of them have their own background check processes, making it easy to vet your prospective roommate before you get attached.
Some of these platforms are paid, but it may be worth it to you to spend a little money to simplify your roommate search.
You want a roommate you can trust, so where better to find that person than through family, friends, and co-workers? Tap into your existing relationships and let people know that you’re on the hunt for a roommate.
Since your friends and loved ones already know your personality and lifestyle, they’ll be able to connect you with individuals they think you would mesh with (and steer you clear of anyone you wouldn’t).
Let your friends and co-workers know that you’re looking for a roommate and mention any prerequisites you have, such as a pet policy or the neighborhood you’re hoping to live in. This will help people qualify candidates before they put them in touch with you, thus saving you work down the road.
Social media can be a powerful way to connect with like-minded individuals, so why not use it to further your roommate search?
Use Facebook groups to connect with people in your area who have shared interests. There may be a group highlighting local rentals, meetups, or a group for an activity you’re passionate about, such as hiking or skiing.
Create a post outlining that you’re looking for a roomie and arrange some coffee chats to meet with potential candidates.
You can also leverage Instagram stories, Twitter, or simply your own followers to help find a roommate. Ask your followers if they know of anyone looking for a shared living situation in your area, and let the referrals roll in. Or, create an Instagram story outlining what you’re looking for and use location tags to get it in front of people in your area.
With any luck, you’ll wind up with a few candidates this way.
Platforms like Craigslist and Nextdoor are promising places to post ads for roommates. Try to create a detailed ad so that your pool of applicants is well-targeted.
If you already have an apartment, include a description of the room your roomie would be renting as well as the common areas, the amenities offered, and the monthly expense of living there. Include a description of yourself, your interests, and your lifestyle to help attract someone you will be compatible with.
If you don’t have an apartment already, create a similar ad highlighting what you’re looking for in a rental, your desired neighborhood and amenities, and your budget.
Do you attend a university or post-secondary institution? Did you recently graduate? The institution’s alumni network could be the perfect place to find a roommate who shares your lifestyle and values.
Search Facebook and LinkedIn for alumni groups where you can network with your peers. Chances are, there are other students or recent grads in your situation who are also looking for a housemate. Since you already have school in common, you have a built-in conversation-starter to kick off your networking efforts.
Once you’ve connected a group of potential roommates you will need to vet them thoroughly in order to single out your ideal housemate. Your vetting process will likely involve multiple stages, from an interview through to a background check.
Here are some tips for managing the process.
Before you can seriously consider moving in with someone, you need to ensure that you can rely on them to pay their share of the rent. Ideally, this person will have a lifestyle and personality that is compatible with yours as well. After all, sharing a space with someone is easier when you get along!
An interview is an essential step in determining your compatibility with your prospective roommate. The interview could be a casual conversation or a formal interview that you conduct in-person or over video chat. Either way, be sure you outline a list of questions before your chat.
Use the interview conversation to feel out your prospect’s personality. How does this person make you feel? This conversation is about more than ticking boxes. Since you’ll ultimately be sharing a home, you want to find someone you feel comfortable being yourself around.
Include questions that will help you gauge someone’s financial stability and employment status as well as their general lifestyle and interests.
The following are some questions to ask your prospective roommate:
Details about your potential roomie’s relationship status, hobbies, and social habits will help you form follow-up questions to figure out what it might be like to live with them.
For instance, if this person is in a relationship, they might have their partner over to the apartment all the time, meaning you essentially wind up with two roommates. Or, they could spend the majority of the time at their partner’s place leaving you with an apartment to yourself.
If they ask you these questions, you really should not fudge your answers. If you’re someone who sometimes leaves the sink full of dishes, you shouldn’t say you consistently clean up after yourself, as that will set up false expectations which can lead to conflicts down the road. Better to be up front – if you really don’t mind a dirty sink, you’re probably better suited to living with someone on the same page, rather than someone who expects a clean kitchen.
Once you’ve found a candidate or two that you feel comfortable living with, you should check their references. Ask for contact information for a couple of past roommates and landlords you can speak with.
Speak to a couple of these people on the phone and ask them what their experience was like living with or renting to your prospective roommate. Once again, it’s worth having a couple of key questions outlined to make sure you get the information you need.
If you’re moving in with someone you don’t have a close personal relationship with, you might consider running a background check.
Keep in mind that your landlord will likely do this anyway, so there’s not necessarily any sense in spending the time or money on performing a check yourself. You can always ask your prospective landlord notify you of any red flags on your roomie’s background check.
This isn’t an essential step, but it’s something to think about if it will make you more comfortable. After all, if your roomie decides not to pay rent for one month, you’ll still be on the hook for it.
If you don’t already have an apartment, work with your chosen roommate to outline exactly what you are looking for. What is your ideal neighborhood?
What amenities are you looking for? How would you prioritize them? For instance, parking might be a non-negotiable feature you look for in a unit, while a dishwasher could be something you compromise on.
The more open you are with your roomie during the apartment hunt, the better your chances of finding something that meets both of your needs.
As you go about searching for an apartment, you and your roommate are bound to butt heads from time to time. You might find the perfect place in a less than ideal location, a great unit with an unreasonably small kitchen, or any other number of factors that might require a huge compromise for one of you.
In a perfect world, you’ll find a place that meets all of your combined requirements, but more than likely, one or both of you will have to compromise on something.
To make this negotiation easier, both you and your roomie should sit down and outline exactly what you want in a place. At the same time, you should both list any deal-breakers you have.
Then, compare notes. Work together to understand what your absolute must-haves in an apartment are and what characteristics would be immediate deal-breakers. This will be challenging, but in the end, you’ll both be really clear on one another’s requirements and it will help you conduct a targeted apartment search and eliminate any units that don’t meet your must-have criteria.
If your prospective roommate proves completely uncompromising at this step, you should consider moving on and finding someone else to look for apartments with. This can be tough if you’re on a time crunch, but you don’t want to live with someone you can’t agree with about key decisions.
Outlining some basic house rules is a good way to avoid potential conflicts with your new roommate. You might discuss things like your ideal cleaning schedule, how you’ll split joint bills, how common spaces should be used, and anything else you can think of that will help keep the co-living arrangement peaceful for both of you.
One important topic to cover is guests. How long can guests reasonably stay without being burdensome? Are you comfortable leaving guests alone in the apartment or is this a no-go? If either roommate is in a relationship, how many overnights per week or month can romantic partners spend before it becomes intrusive?
This conversation might feel unnecessary now, at the beginning of your relationship, but down the road, when unexpected situations arise, you’ll be glad you have guidelines to follow.
Once you complete the roommate vetting process you might think your work is done, but it’s actually just the beginning.
Like any relationship, living with a roommate requires communication and compromise to be successful. This starts with the decision to live together and should carry on throughout your relationship.
And, as with any relationship, you should be willing to discuss the future.
It’s important to be open with your roommate about your future plans. Most likely, you will sign a 6 or 12-month lease when you move in together. But, what about beyond that?
As a courtesy, try to be upfront with your roommate about what you intend to do when the lease is up– especially as that date draws close.
After all, your roommate will need to know whether you wish to continue living with them or if they should plan to move on when the lease expires.
The idea of finding a roommate might seem daunting (we’ve all heard horror stories), but going into your search with a plan will help ensure your success.
Before you begin your roommate search, outline exactly what you’re looking for in a housemate and what your deal-breakers are. If possible, give yourself lots of time to conduct your search so you don’t end up settling for anyone in a panic. Being clear about your requirements and maintaining open communication throughout the process is sure to help you find a compatible roommate.
The post How to Find the Right Roommate appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post Average Late Fees on Rent: How Much It Costs appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Precisely what you may pay depends on where you live, the late fee clause in your lease, and more. Read on to learn more about the average late fees on rent and the factors that may affect late fees.
For a one-bedroom apartment, the average monthly rent is $1,617 (as of October 2020). Based on a 5% to 10% late fee, that would create a late fee range of about $81 to $162. For a two-bedroom apartment, the average rent is $1,909. Using that same 5% to 10% range, the late fee would come out somewhere in the range of $95 to $191.
However, not all landlords adhere to the average. Some will charge less, while other mays aim higher. Overall, late fees above 10% of the monthly rent amount are fairly rare. In some cases, local late fee laws prevent landlords from charging more than 5% or 10%.
As mentioned above, late fee laws vary by state. At times, individual cities or counties may have additional regulations as well that impact how much a landlord can charge.
Generally, late fee laws place an upper limit on how much a landlord can charge. In Delaware, for instance, state law restricts late fees to 5% of the monthly rent amount. This means, if you rented an apartment for $800 a month, you couldn’t be charged more than $40 as a late fee if you were late paying one month’s rent.
However, some states have no laws that impact how much a landlord can charge. For example, that’s the case in Alabama, Georgia, Idaho, and many other states.
Other late fee laws are somewhat vague. For instance, in California, the fee just has to be “reasonable,” but there isn’t a clear definition regarding what would or wouldn’t qualify.
Regardless of whether there are any legal limits that impact how much a landlord can charge, details about possible late fees almost universally have to be outlined in the lease. This includes how much the landlord charges and when a fee can be assessed.
There are several other factors beyond local laws that can impact how much a landlord charges for late rent fees. Here are a few of the most significant ones.
As mentioned above, in nearly all cases, the landlord has to list details about late fees in the lease agreement. If that clause isn’t present, the landlord may have no legal right to charge any fee, even if state and local law allows it.
Usually, the landlord needs to cover a few points in that clause (or in multiple clauses). First, they have to state how much the late fee is if you are late. Second, they typically have to announce when that late fee kicks in, such as how many days late you have to be before the charge occurs.
It’s important to note that late fee clauses do have to align with federal, state, and local law. If a clause is illegal based on any of those legal systems, it isn’t enforceable. You can’t be required to pay an illegal late fee, regardless of whether you signed a lease that includes one.
Landlords often have two choices for calculating late fees. They can charge a percentage of the rent or may opt for a flat-fee instead.
The examples above are all percentage-based. But in some cases, landlords may prefer the simplicity of flat-fee late fees. It creates a set amount that they charge when a tenant doesn’t pay rent on time, which can be easier to calculate and track.
With the flat-fee approach, landlords may simply round off the percentage amount. For example, if your monthly rent is $950 and your landlord is allowed to charge up to 5% in a late fee, going the percentage route results in a late fee of $47.50. For ease, your landlord may choose to round that number down to $45. However, they can’t round up to $50, as that would exceed the 5% limit.
If they manage multiple properties with different rent amounts, they may also choose to charge the same late fee regardless of the monthly rent prices. For example, a landlord could charge all tenants with rents at or above $600 a flat-fee of $30, just to make lease creation and fee tracking easier.
Whether a landlord uses a flat-fee or a percentage-based approach, the monthly rent amount typically plays a major role in how much a landlord charges. A late fee is a penalty that’s supposed to discourage renters from missing their payment deadline, so it needs to be large enough to sting a bit.
However, late fees also need to be reasonable based on the tenant who is occupying the property. That’s why many states have late-fee limits based on percentages, ensuring lower-income households in properties with lower rents aren’t overburdened by a single late fee.
Many landlords view late fees on certain properties differently. If a property is harder to rent out, landlords may be less inclined to levee high fees.
For example, high-cost luxury properties can be challenging to find tenants for, which may influence how the landlord uses rent fees. This is especially true if the fee could incidentally encourage the renter to leave, causing a difficult-to-fill vacancy.
In that case, the landlord may opt for a small, flat-fee. At times, they may forgo fees entirely or at least offer a significant grace period before the fee kicks in.
The same can apply to properties that have something unique about them that isn’t highly desirable. This could include unconventional features or finishes, or drawbacks that reduce the property’s appeal, even if the property is still completely livable.
However, if a property is easy to find new tenants for, landlords may be more aggressive with their late fees, pushing the limits of what’s legally allowed. They aren’t concerned about maintaining a renter, so they won’t be as likely to offer much leeway.
It never hurts to ask your landlord for an extension. Especially if it’s a one-time ocurrence and you have a good reason, many landlords are amenable to giving you a few extra days to pay the rent. For more guidance on paying the rent late, click here for our ultimate guide on paying the rent late.
Ultimately, the average late fees on rent tend to come in around 5% to 10% of the monthly rent price. However, there are many factors that could result in different rates. Review your lease and local laws to determine what you can or would be charged. That way, you fully understand how late fees may impact you.
The post Average Late Fees on Rent: How Much It Costs appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post 20 Key Eviction Statistics appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The world of evictions is complex, and can have a serious impact on the lives of those affected. If you’d like to learn more, here are 20 insightful eviction statistics to review.
In the United States, 3.6 million eviction cases are filed with the court each year on average. That translates to seven eviction filings every minute, or nine filings per every 100 rental households in the country.
However, not all filings result in actual evictions. The filings simply mark attempts by landlords to remove a tenant from the property using a judgment through the court system.
[Source: United Nations]
While there are approximately 3.6 million eviction filings annually, less than half of those lead to an eviction judgment. Eviction judgments are rendered, on average, in 1.5 million of those cases instead. That averages out to 4,100 eviction judgments every day, giving landlords the legal authority to evict those households.
Technically, actual annual eviction rates could be higher. Not all tenant removals, legal or otherwise, end up in the court system, creating a potential discrepancy.
[Source: United Nations]
Of children born in large cities in the United States, nearly 3-in-20 will be part of a household that is evicted from a property before they are old enough to drive. Overall, 14% of those children will face an eviction experience between birth and age 15.
[Source: United Nations]
The federal COVID-19 eviction moratorium, set by the Centers for Disease Control, is scheduled to end on December 31, 2020. Unless it is extended, up to 19 million people (representing about 6.7 million households) could be at risk of eviction. These numbers reflect households who have significant doubts regarding their ability to pay rent when the moratorium expires.
[Source: National Low Income Housing Coalition]
Of larger cities, North Charleston, South Carolina, has the highest eviction rate in the nation. On average, 10.03 households are evicted daily, leading to an annual total of 3,660 evictions. That translates to 16.5 households per 100 renter households, creating an eviction rate of 16.5%.
North Charleston leads the pack by a significant margin, as well. Richmond, Virginia, which ranked in second place, came in with a rate of 11.44%, which is more than five percentage points lower than North Charleston.
[Source: Princeton University Eviction Lab]
Generally, landlords file for evictions for back rent after one to two months. However, that doesn’t mean the debts are large.
In North Carolina, 32% of eviction judgments were for less than $600. In Virginia, 22% fell under that threshold, while 20% of Delaware judgments do.
[Source: New York Times]
While 90% of landlords have access to legal counsel during eviction proceedings, only 10 percent of tenants do. Access to legal counsel can significantly impact the outcome. Even if the case has merit, represented tenants are less likely to be evicted.
[Source: University of Wisconsin Institute for Research on Poverty]
Involuntary moves – such as an eviction – can result in long-term housing instability and homelessness. Overall, tenants who had to relocate involuntarily are 25% more likely to experience housing problems long-term than renters who aren’t involuntarily moved.
[Source: University of Wisconsin Institute for Research on Poverty]
While a job loss can lead to an eviction, an eviction can also lead to job loss. Overall, workers who were evicted are 20% more likely to experience a subsequent job loss in comparison to similar workers do did not face an involuntary move.
[Source: University of Wisconsin Institute for Research on Poverty]
Eviction has an impact on mental health. When looking at new parents, mothers who experience an eviction after childbirth are 20% more likely to report depression than mothers who have not had an involuntary move. They remain significantly more likely to experience depression in comparison to their peers who didn’t have an eviction for two years after the involuntary move.
[Source: University of Wisconsin Institute for Research on Poverty]
In Milwaukee, black women represent only 9.6% of the total population in the city. However, they make up 30% of evictions. Among renters, one-in-five black women report experiencing an eviction during their adult life, while only 1-in-12 Hispanic women and 1-in-15 white women report the same.
[Source: University of Wisconsin Institute for Research on Poverty]
Overall, black households are at greater risk of eviction than white households. Overall, black households are more than twice as likely to be evicted.
[Source: Discrimination in Evictions: Empirical Evidence and Legal Challenges]
After the COVID-19 eviction moratorium expires and evictions are able to commence, local communities can incur a variety of costs. Shelter, medical care, child welfare, and juvenile delinquency lead to various expenses, potentially costing federal, state, and local governments and, ultimately, taxpayers upwards of $199 billion in related costs.
[Source: University of Arizona James E. Rogers College of Law]
Evictions may increase a household’s odds of needing to use a homeless shelter. Overall, after an eviction, the chances that a household will apply to stay at a homeless shelter goes up by 14 percentage points.
[Source: The Effect of Evictions on Low-Income Households]
Low-income households generally have to dedicate more of their monthly budget to rent. Among those households, more than 50% spend at least half of their income on rent, while about 25% actually spend 70% or more of their income paying rent.
[Source: Who Gets Evicted? Assessing Individual, Neighborhood, and Network Factors]
Individuals who have an eviction judgment against them are four times more likely to commit suicide than average. Many of the suicides occur after the tenant formally loses their legal right to stay in the rental (such as after a court decision) but before the order is officially carried out.
[Source: Reuters]
While not all evicted persons end up homeless, it can happen. Suicide rates among homeless individuals are ten times higher than found in the general population.
[Source: National Health Care for the Homeless Council]
Even before an eviction occurs, the financial situation in play can result in a range of hardships. Of those who are behind on their rent, food security rates quadruple.
[Source: Pediatrics]
Children in households experiencing housing instability are more likely to experience hospitalizations and developmental delays. This includes children who have experienced an eviction, household rent challenges, multiple moves, or homelessness.
[Source: Pediatrics]
Among properties tracked by the National Multifamily Housing Council, 9.7% of renters didn’t make a full or partial November rent payment by the 20th of the month. That’s a slight increase in missed payments since October, where the missed payment rate came in at 9.4%.
[Source: National Multifamily Housing Council]
Ultimately, evictions are always part of the landscape. But the effects of these actions can be harmful, and certain eviction trends could point to larger systemic issues, particularly some that impact to low-income and minority households.
With the COVID-19 eviction moratorium potentially coming to an end, a wave of evictions is possible. Without an extension, millions of households may be at risk. However, until that comes to pass, the full impact of such an event will remain unclear.
The post 20 Key Eviction Statistics appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post How to Write a 30-Day Notice to Vacate – with Templates appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Most rental agreements require 30-Days notice to vacate, meaning you’ll need to plan your move well ahead. While this might sound like a chore, crafting a notice of intent to vacate is very straight forward and it helps to ensure you and your landlord part on good terms.
In this article, we’ll outline how to write a notice of intent to vacate, the information you must include, and what to say if you are breaking your lease and moving out early.
Let’s jump in!
A notice to vacate is simply a letter informing your landlord that you will be moving out of your apartment. This letter typically outlines your move out date and lets your landlord know where to direct your security deposit and how best to contact you moving forward.
Most lease agreements state that you must give your landlord 30 days’ notice before you move out. However, some leases may stipulate different time frames. Some landlords might require more notice.
If you like your landlord you may want to give him extra notice before moving so that he has plenty of time to find a replacement tenant.
In any case, make sure to review the section of your lease that outlines when to provide notice before you write your letter.
You may be inclined to tell your landlord in person that you intend to move out. While this is absolutely fine, it’s still a good idea to put your intent to vacate in writing. In fact, many landlords will request a letter even if you have this conversation in person.
Your notice to vacate should be brief and to the point. You want to share the date on which you will move out, where to forward your security deposit, and how your landlord can reach you moving forward.
Depending on your relationship with your landlord, it might make sense to remind him of when your lease officially expires. This way he can be certain that your move-out date complies with the terms of your lease.
Some landlords require a walkthrough of your unit before they will release your security deposit back to you. Your lease should outline whether or not this is a required procedure. If it is, offer to arrange a walkthrough in your letter.
If writing a letter like this still sounds intimidating, simply follow the template provided below.
[Date]
Dear [Landlord’s Name],
I am writing to let you that I will be moving out of my rental at [rental address] on [MM/DD/YYYY], the final day of my current lease.
I’m confident that you will find the unit in excellent condition. As such, please send my refundable security deposit in the amount of $________ to the following address:
[Your forwarding address]
If you wish to discuss this or schedule a walk through of the unit, you can reach me at XXX-XXX-XXXX.
Best Regards,
[Your Name]
While the template above will work in most cases, there are a few scenarios in which you might want to include additional information in your letter.
It isn’t necessary to include anything other than the details discussed above, but sometimes it can be courteous or beneficial to do so.
Let’s take a look.
If you have caused damage to your unit or there is a maintenance issue your landlord should be aware of, you may wish to mention it in your letter. Again, you aren’t required to do this, but it can help you get your damage deposit back, or at the very least, open a negotiation to recoup some of your deposit.
If there is a maintenance issue in your unit, mentioning it in your letter will create a paper trail documenting this type of issue. This could come in handy for future tenants if the problems are ongoing, especially if the landlord ever winds up in court.
Plus, letting your landlord know about these types of problems in advance gives him time to have them fixed before the next tenant takes occupancy. This limits the amount of time a unit will have to spend off-market (in other words, not making money), thus keeping rental income consistent for the landlord. As such, he might be inclined to return part of your damage deposit, even if he doesn’t technically have to.
We’ve included a couple of examples below so you can see what these types of letters might look like in practice.
[Date]
Dear [Landlord’s Name],
I am writing to let you that I will be moving out of my rental at [rental address] on [MM/DD/YYYY].
The unit is in excellent condition, with the exception of a deep scratch in the hardwood in the living room, which happened when I was moving furniture. I understand if you wish to deduct a portion of my security deposit to have it repaired.
Please forward the balance of my security deposit to the following address:
[Your forwarding address]
If you wish to discuss the property damage, the repair procedures, or arrange a walkthrough of the unit, you can reach me at XXX-XXX-XXXX.
Best Regards,
[Your Name]
[Date]
Dear [Landlord’s Name],
I am writing to let you that I will be moving out of my rental at [rental address] on [MM/DD/YYYY].
The unit is in excellent condition, however, the kitchen sink has an ongoing leak that was never properly fixed. As this issue falls outside of normal wear and tear, I expect that you will send my refundable security deposit in the amount of $________ to the following address:
[Your forwarding address]
If you wish to discuss this issue or schedule a walk through of the unit, you can reach me at XXX-XXX-XXXX.
Best Regards,
[Your Name]
If you are breaking your lease to move out of your rental, your notice to vacate might look a little bit different.
Before you write your letter, discuss it with your landlord directly. Sharing your reasons for breaking your lease could earn you some sympathy points with your landlord and ultimately save you money.
Remember, you are still required to give your landlord 30-days notice (or the number of days stated on your lease agreement) even though you will be moving out before the end of your lease.
In your letter, state your move out date as well as the date your lease agreement expires. Mention your reason for moving out early– there’s no need to go into detail, but it is worth offering a simple justification.
Then, provide your forwarding address and a phone number where you can be reached.
Because you are moving out early, you may have to forfeit your security deposit. If not, state the amount you expect to be returned to you in the letter.
[Date]
Dear [Landlord’s Name],
I am writing to let you that I will be moving out of my rental at [rental address] on [MM/DD/YYYY].
As you are aware, my lease doesn’t expire until [MM/DD/YYYY]. However, I will be moving out early because I have accepted a job in another city and cannot delay my start date.
I understand that breaking my lease voids my right to have my security deposit returned to me.
My forwarding address is [Forwarding address].
If you wish to discuss this or schedule a walkthrough of the unit, you can reach me by phone at XXX-XXX-XXXX.
Best Regards,
[Your Name]
Note: If your landlord is not legally allowed to penalize you for breaking your lease, state this is in your letter.
You might say something like this:
My lease doesn’t expire until [MM/DD/YYYY]. However, as an active member of the military, I have received change of station orders and must relocate to [City] at the end of the month.
As you know, per the Servicemembers Civil Relief Act, I am entitled to terminate my lease without penalty.
As such, I expect that you will forward my damage deposit in the amount of $_____ to the following address by [MM/DD/YYYY].
Make the tone of your letter fit the relationship you have with your landlord. If you know one another well, it’s fine to make the letter more casual. On the other hand, if you don’t know him, a formal letter is always a professional way to handle these interactions.
If you have a bad relationship with your landlord, or don’t trust him, quote sections of your lease within your letter to remind him that you know your rights.
For instance, you could say something like “This letter serves as my 30-day notice to vacate as outlined in section X.X of my lease…”
This demonstrates that you’ve read your lease and you know the rules, which could protect you from a landlord who is inclined to jerk you around.
Keep your letter short and to the point. There’s no need to share excessive details. Follow the templates provided above to ensure you include all of the essential information.
Always save a copy of your notice to vacate, at least until your security deposit has been returned. This way, if anything goes wrong or your landlord claims he didn’t receive it, you have a copy to fall back on.
Once you’ve crafted your letter outlining your intention to vacate, it’s time to deliver it to your landlord.
These days, it’s acceptable to email your letter to your landlord, but you may wish to hand deliver it. Mailing a letter is an option too, but keep in mind that when you email or hand deliver a letter you can be sure your landlord has received it.
While this document is largely a formality, it is also an opportunity for you to ensure your rights as a tenant are respected. You can use the letter to subtly remind your landlord that you are aware of the terms of your lease and that you have upheld them and expect him to do the same.
The post How to Write a 30-Day Notice to Vacate – with Templates appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post The Eviction Process in 5 Steps appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Even thinking about eviction can be stressful. But, it’s important to remember that the process is a legal one, meant to protect the rights of both landlords and tenants.
When a tenant violates the terms of their lease, there is a set process that landlords must follow in order to remove the tenant from the property. The process varies by state, but generally follows five basic steps, designed to protect both landlords and tenants.
While these are the steps that must be followed for landlords to forcibly evict tenants, not all evictions go through every step. Instead, renters who violate the terms of their lease often choose to move out on their own, effectively ending the process of eviction.
Before a landlord can begin the process of evicting a tenant, there has to be some sort of triggering event, in which the tenant fails to uphold the terms of their lease agreement with the landlord. Most often, this means not paying their rent. If a tenant fails to pay their rent in full and on-time, a landlord can begin the eviction process.
It is worth noting that most leases include provisions for late payment of rent—in some cases several weeks late—that allow the tenant to come back into compliance with their lease. This often requires paying all past-due rent as well as a late fee.
A notice to quit is a form that landlords are required to send to tenants when they are beginning the process of evicting a tenant. Most states have requirements about how and when landlords can provide notice to quit—typically tenants can’t be served with notice to quit until their rent is at least a certain number of days late, for example.
The notice to quit essentially notifies the tenant that they are in breach of their lease agreement and the landlord wants them to vacate the property unless they come back into compliance. If the tenant doesn’t come back into compliance (i.e., pay past-due rent) then the landlord will move forward with the eviction process.
In addition to being sent to tenants, a notice to quit is also filed with a local court. That way, if the tenant doesn’t remedy their violation of the lease or vacate the property, a hearing can be set for a judge to hear arguments from both the landlord and tenant.
While this hearing gives a tenant the opportunity to argue against their eviction, it also gives them more time to comply with the terms of their lease.
If an eviction does move into the hearing phase, this hearing will result in a ruling in favor of either the landlord or the tenant. Quite often in eviction cases, tenants don’t show up, and the landlord is granted a summary judgment. Other times, tenants may show up to argue against their eviction.
If the judge finds that the tenant has indeed violated terms of the lease and needs to vacate the residence, they will issue a court order requiring the tenant to vacate the property by a certain date.
In the event that an eviction does move to a hearing and a judge issues an order requiring the tenant to vacate, this is the step where that order is enforced. Depending on where you live or whether you’re contesting the eviction, this may involve local sheriff deputies or other law enforcement.
In most states, this can happen anywhere between two and ten weeks after the tenant is first served with a notice to quit. Quite often, though, the eviction process doesn’t actually make it this far. In many cases, tenants move out on their own and don’t need to be forcibly removed.
Dealing with eviction is never easy. It’s a stressful time. The best thing you can do is stay calm and do your best to work with your landlord to either comply with your lease or move out in a timely fashion.
Here are a few tips for dealing with the various stages of an eviction:
If you think you may violate the terms of your lease, it’s better to tell your landlord early. That way, they aren’t surprised, and you may be able to work something out with them. If you lose your job, for example, your landlord may be understanding and willing to work out a flexible payment plan for your rent, and you may be able to avoid the eviction process altogether.
If you receive a notice to quit, contact your landlord to explain whether you hope to come back into compliance or plan to vacate. If you’re going to vacate, let them know when you’ll be out—and be sure to leave the property in good shape when you go.
If you feel that you shouldn’t be forced to leave for whatever reason, try to explain the situation to your landlord. See if you can come to some agreement that will allow you to stay.
It’s also usually a good idea to check your lease before contacting your landlord. Know what your obligations are under the agreement, but also know your rights. That way, you’ll know what your options are and whether the landlord is acting under the terms of the lease.
If you decide to fight your eviction in court, be calm and professional. Perhaps try to find some legal help beforehand. Some communities have legal aid resources that can help you understand your lease, the laws in your state regarding eviction, and maybe even help you present your case in court. This may not stop your eviction, but it may buy you more time before you have to vacate the property.
Most landlords are well-aware of the legal eviction process. But some landlords take matters into their own hands, resorting to so-called “self-help measures,” such as changing the locks or turning off utilities, to get tenants out of a rental unit. Keep an eye out for these illegal landlord actions. If your landlord oversteps their bounds, it may make sense to talk to a housing lawyer about your rights.
If you do go to court and the judge rules against you, be sure to move out in a timely fashion. Don’t resist the judge’s order—that can only get you in trouble. It can be hard having to move out—especially if you don’t know where to go—but this process doesn’t happen overnight. If you do ultimately get evicted, you’ll know beforehand that it’s happening, and you’ll have time to look for someplace to stay once you move out.
The post The Eviction Process in 5 Steps appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post Subletting an Apartment: Everything You Need to Know appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Since your name remains on the original lease, you are still the person legally responsible for paying rent and maintaining the unit for the remainder of the term. In other words, if your tenant (also known as a sublessee) damages the rental or fails to pay the rent, you will be on the hook for those expenses.
If you’re forced to relocate for work, want to spend a few months traveling, or plan to move in with your significant other, finding a sublessee is a cost-effective alternative to breaking your lease. Or, if you have a two-bedroom unit, subletting your spare room can help you subsidize the cost of rent each month!
Before you get too attached to the idea of subletting, double-check that your lease agreement permits it. Some leases prohibit subletting (though that doesn’t mean you can’t appeal to your landlord).
Next, cross-reference your lease’s subletting rules with the subletting laws in your state. Some states, including Nevada and Utah, have laws stipulating that landlords must allow subletting. Meanwhile, some state laws (including Colorado and Delaware) stipulate that subletting is permitted unless your landlord specifically states otherwise in your lease agreement.
If your lease truly doesn’t permit subletting, you shouldn’t do it without permission. If you are caught, you and your sublessee may face eviction and fines.
Instead of going against the terms of your lease, contact your landlord, explain your situation, and request permission to sublet your apartment. In some cases, they may be willing and able to make an exception, especially if you have already proven to be a responsible and respectful tenant.
Once you’ve confirmed that your lease allows subletting, talk with your landlord. Let them know you’re planning to move out and sublet your apartment. Notifying them is a simple courtesy that will help maintain a good relationship with your landlord, which is ideal. That way, if anything goes wrong during the sublet or you decide to move back into your apartment after your sublessee moves out, you won’t be walking on eggshells around your landlord.
If you have a good relationship with your landlord, the may be amenable to treating your sublessee as if they were their own tenant. Other landlords may prefer to continue communicating with you directly, meaning you’ll have to act as a middleman for your own tenant.
With any luck, your landlord will be willing to communicate with your sublessee directly regarding rent payments or maintenance issues.
Before you can advertise your sublet, you need to consider the logistics of renting it out. Will you leave your furniture and belongings in the unit and rent it fully furnished? Do you plan to put your things in storage for the duration of the sublet? Are you taking them with you to wherever you go next?
If you choose to rent your unit fully furnished, you may be able to charge a little bit more for the convenience of doing so. You should also consider collecting a more substantial damage deposit in case any of your belongings are damaged during the sublet.
Next, think about how long your sublet will last. Will you be moving back into the apartment at the end of it? If not, is there an opportunity for your sublessee to renew the lease in their own name at the end of the rental period? This information will help prospective renters determine whether your unit is a good fit for their lifestyle.
You should also think about how you’ll handle communication with the tenant. If your landlord is willing to work with them directly, that is a huge bonus! If not, create a communication plan for your tenant. Will you be easily reachable? Anything you can do to manage their expectations around communication will help both of you feel at ease.
Finally, determine whether the sublessee will pay rent to you or directly to the landlord. If they pay the landlord, how will you verify that payments have been made on time?
Once you’ve established a timeline and a protocol for your sublet, you need to set the price. Ideally, you’ll be able to charge the same amount for the sublet that you pay in rent each month. If you’re leaving your rental fully furnished, you can probably charge a little bit more.
Analyze other rentals in your area to ensure your unit is competitively priced. If you’re renting your apartment out in the off-season (say, during summer break in a college town), you may be forced to lower the rent a little bit to make your rental more appealing.
Don’t forget to request a damage deposit from your tenant because if they damage the rental, you’re on the hook for covering those expenses.
Since you’re still financially responsible for your apartment throughout the sublet, finding a reliable tenant is paramount.
Start by creating a strong ad to attract qualified candidates. Summarize all the features of your rental and include mention of any other relevant information that will help individuals determine whether it’s a good fit for them. This includes proximity to public transportation, grocery stores, popular amenities, and activity opportunities.
Outlining all the utilities and amenities included in the rental price. Is there laundry in the unit? What is the parking situation like? Are electricity and internet included? If not, let renters know how much any additional bills usually cost so they can create a realistic budget.
Include enticing photos of your rental to ensure your ad is eye-catching and will attract interest.
Finding a sublessee through your network of friends and acquaintances will help you pre-vet any candidates. Mention your sublet to your friends, coworkers, and family members in case they know of anyone interested.
Post your ad in local Facebook groups, Facebook marketplace, and any other local websites that are popular for finding rentals in your area. This will help you reach a broad audience and attract a vast pool of candidates.
Once you receive inquiries, you can move forward with apartment showings. These meetings are not only an opportunity for the prospective tenant to check out your rental but a chance for you to get a feel for them and decide whether they seem trustworthy.
Chat casually with your prospective renters to try to get an idea of their lifestyle and interests. It may offer insight into how they will treat your rental. Do they seem like they’re keen on throwing loud parties? Is there something about them that you just don’t like?
You can’t always judge someone based on a first meeting, but it may help you narrow the pool of applicants. Ask anyone interested in renting the unit to fill out a rental application. You can find free rental application templates online to help you collect the information you need to assess your prospects. Request each applicant’s employment history, tenancy history, and landlord references.
Do not skip this step. Remember, you’re still financially responsible for the rental unit until the end of your lease term, so finding a reliable subletter is crucial.
Contact the references for your top candidates and ask whether their former landlord would recommend them as a tenant. Then, verify that their employment information is accurate.
As an extra layer of caution, you could request permission to run a credit check on your applicants as well.
Once you’ve selected a qualified applicant, have them sign a subletting contract.
A subletting agreement is a contract that summarizes each party’s responsibilities when it comes to the rental. Just like a lease, it highlights the rules of the property, fees a sublessee is responsible for paying, and any other relevant policies or rules for living in the unit. For example, the subletting agreement will state the building’s policies on pets, guests, and noise allowances.
There are all kinds of sublease agreement templates online that you can download and tailor to suit the specifications of your rental. Refer to your lease as you create the sublease agreement to ensure the policies and rules you list on your document match those that are stated on your lease.
Make sure the sublease agreement clearly states when and how to pay the rent each month and who to contact (you or the landlord) in the event of an issue.
Once the sublease is signed, you officially have a tenant!
In most cases, you don’t legally need permission from your roommates to sublet your room in a shared apartment. However, it’s prudent to reference your state laws on subletting just to be sure this is true where you live.
Even if you’re not legally obligated to get permission from your roommate, you should have a conversation with them regarding your plans to sublet your room. After all, they will be living with this new person, and it’s important to consider their comfort and safety.
With any luck, your roommate will assist you with the sublet process and help you find a tenant that both of you are comfortable with. Depending on the situation and duration of your intended sublet, your roommate may opt to move out also, meaning the two of you could sublet the entire apartment, which may be easier than filling a single room.
Once you decide on a tenant, have them sign a roommate agreement with your remaining roommate to ensure they abide by the existing house rules you’ve already established.
Before you decide to move forward with subletting, consider the pros and cons to help you decide whether it’s truly the right solution. It can be practical in some housing scenarios, but there are challenges that come with an agreement like this.
Pros of subletting
Cons of subletting
Ideally, you’ll find a fantastic sublessee and your sublet will go off without a hitch. But it’s always best to be prepared for issues before they arise. The following are a couple of potential problems you could face while subletting, along with tips for resolving them.
If your sublessee causes extensive damage (beyond normal wear and tear) to the rental unit, you, as the individual named on the lease, will likely be held liable for the cost of fixing it. With this in mind, have your sublessee pay a damage deposit before moving in. This will incentivize the sublessee to take care of your rental while providing you with a financial buffer in the event of damage.
Unfortunately, if your sublessee doesn’t pay the rent, you will still be liable for paying since you are the tenant on the original lease. While you may be able to pursue some sort of legal action against your sublessee, your options are limited. You could take your sublessee to small claims court or sue them for breach of contract. However, these endeavors cost money and time, which you may not have in excess. If you’ve collected a damage deposit, you can use this money towards making the missed rent payment.
With this in mind, it’s critical to vet your sublessee carefully before signing the sublet agreement.
Subletting your apartment can be a great way to avoid breaking your lease if you need to move out of your apartment. Before you sublet, it’s essential to think through the logistics of a subleasing arrangement and determine whether you feel equipped to manage one. Ultimately, you will still be liable for the rental unit, as you are listed on the original lease, so it’s crucial to find a reliable tenant.
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]]>The post 10 Things a Landlord Cannot Do, According to the Law appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Landlords are subject to the federal Fair Housing Act, which protects seven classes: race, color, national origin, religion, sex, familial status, and disability. If a landlord won’t rent to you just because you’re Black, Catholic, or have two children, for example, that landlord would be breaking the law.
If you are one of the protected classes, keep in mind that you can’t expect to get the rental unit just because of your protected status: You still must meet landlord requirements, such as income and credit score. But if you do meet landlord requirements, and they still won’t rent to you, you may suspect it’s solely because of your classification. If you believe a landlord is discriminating against you, you can file a complaint with HUD.gov and they will investigate.
Another federal law, called “the right to quiet enjoyment,” means that once you have a lease or are a month-to-month tenant, you get to live in the rental unit undisturbed for the lease term, or in the case of a month-to-month tenancy, until you get a notice to vacate (usually one month’s notice, depending on your state law).
This law protects you from a landlord who decides they want their property back during your tenancy. They can’t do that. If they want the property back, they need to wait until the lease is up or give you proper notice.
The third and final federal law is called “the warranty of habitability.” This means landlords need to provide tenants with a livable rental unit. The specifics on what makes a unit livable vary by state, but generally speaking, landlords need to provide their tenants with running hot and cold water, doors and windows that lock, heat, plumbing, electricity, a property free from pests, smoke detectors, and a rental unit that meets local building codes.
If you have a problem with your rental unit, tell your landlord. They get a chance to fix what’s wrong, but the problem needs to be resolved in a timely manner, usually no longer than 30 days.
The purpose of a security deposit, which is typically equal to one month’s rent, is to cover any damages you might have caused during your stay in the rental unit. If you didn’t cause any damage, the landlord needs to return your security deposit. If you did cause damage, the landlord needs to deduct the cost of the repair and provide you with an estimate of the cost or a receipt. You would then get the balance of your security deposit returned to you—if there is any. There are specific state rules on how long a landlord has to return your security deposit, usually 30 days.
Some tenants believe the security deposit can be used in lieu of paying last month’s rent. In most states, if you don’t pay last month’s rent, landlords can keep the security deposit, but that is not what a security deposit is for. If the landlord uses the security deposit to cover last month’s rent, they would then need to come after you for money if you damaged the unit.
Some landlords think that because they own the rental property, they can come in whenever they like. This is untrue. Your rent provides you the right to live in your property undisturbed. The exception is if there is an emergency situation and the landlord needs to get in to save the property.
In most leases, landlords list the reasons they can enter the property, but with proper notice, usually 24- to 48-hours notice. They might want to enter to inspect the property, to make repairs or improvements, or to show the unit.
Some landlords, in an effort to get you out if you stop paying rent or break a lease term, will change the locks on you. They might wait until you leave for the day and then change the locks or the code, locking you out, with no access to your possessions.
No matter how frustrated the landlord may be with their tenant, these types of “self-help measures” are not legal. If your landlord locks you out, you can take them to small claims court, and you could be awarded monetary damages.
Another measure some landlords take if you stop paying rent is to turn off the utilities, another type of self-help measure. This can happen only if the utilities are in the landlord’s name. Even if you stop paying for the utilities, the landlord needs to keep them on.
The reason landlords cannot shut off utilities is that the unit would then not meet warranty of habitability standards – see above.
If you live in a rent-controlled unit, your unit is mandated by government rules and regulations. As such, the landlord must abide by rent control ordinances. How much a landlord can charge for rent, how much they can raise your rent each year, and when they are allowed to evict a tenant can all fall under rent control regulations.
You’re allowed to complain to the city if your rental unit is in a sub-par condition and the landlord isn’t doing anything about it. Some tenants are afraid to do this, thinking the landlord might retaliate, perhaps by evicting them or not renewing their lease. Landlords cannot retaliate if you have complained in good faith about a housing violation.
This one is a bit tricky, however. You would need to prove that whatever negative action the landlord took against you was solely because you complained. It’ll probably be difficult to prove that you didn’t get your lease renewed, for example, solely because of the complaint you made. In most jurisdictions, landlords are under no obligation to renew a lease. They never have to renew.
The exception is rent-controlled units or jurisdictions with “just cause” eviction laws, meaning you can only be evicted for a reason, not just because the landlord wants you out.
During the application process, the landlord can ask you a lot of things: your name, current address, who you work for, how much you make, and can request that you agree to a credit and background check. Those are all normal screening methods that many landlords use.
But landlords cannot ask you certain questions because that could possibly be seen as a violation of the protected classes’ rights under the Fair Housing Act. Some questions landlords cannot ask you include the following:
It’s best to be informed regarding what a landlord cannot do so that you won’t be taken advantage of. Read your lease to make sure your landlord abides by it, and look up the landlord-tenant law for your state. That’s as easy as looking online and searching for “landlord-tenant law [your state’s name]” to learn the law and how it applies to your situation.
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]]>The post Can a Landlord Break a Lease Early? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The most common conditions in which a landlord can legally break a lease are those outlined in the lease agreement itself. If a tenant violates a part of the lease, and the lease specifically says that the landlord has a right to terminate the agreement, a landlord can break the lease early in most cases.
The most common form of violation that gives a landlord the ability to terminate the agreement before the end of the stated term is failure to pay rent. However, that’s just one example.
Other situations that could give a landlord the right to break the lease include:
These aren’t the only circumstances that may permit a landlord to break a lease. Essentially, if there is a condition in the lease that the tenant violates, it could allow the landlord to terminate “with cause,” meaning they are ending the arrangement due to violation. Whether the landlord has the right to request an immediate departure can vary. In some cases, that’s an option. In others, formal eviction proceedings may be necessary.
There can be other legal early termination scenarios, as well. If your landlord put a clause in the lease giving them the ability to break the agreement early if they want to sell the property or move themselves in, that may be legal. However, it must be stated in the lease. Additionally, they have to give proper notice in accordance with state law, usually 30 days.
At times, a landlord may be able to ask a tenant to move out to handle certain kinds of repairs or renovations. Certain types of construction may not be possible with someone living in the space. If there is a clause in the lease stating that the landlord can request a move out for repairs or renovations, they may be within their right.
As long as that portion of the lease is deemed legal in the eyes of the state or city, the landlord would be within their right to terminate the lease early.
Even if there isn’t a clause, the landlord may still require a tenant to move out for certain kinds of repairs. For example, a catastrophic event – like a flood or fire – may make the unit a health or safety hazard. Should that occur, the tenant can be required to move out so that repairs can move forward.
However, in that scenario, the landlord may also legally be required to assist the tenant in numerous ways. While the exact requirement can vary from one state to the next, the landlord may have to provide you with access to temporary housing, pay the difference between your new rent amount and your current one for a period, handle moving costs, cover new utility connection charges, and more.
Also, the landlord may be required by law to give you the opportunity to move back in once the repairs to handle the damage caused by the catastrophic event are done. Whether that is the case may depend on local legislation as well as the terms of your lease agreement.
Generally speaking, if the conditions leading to the landlord’s move-out request aren’t covered in the agreement, the landlord can’t ask you to move out early. Your lease covers a specific term, giving you a legal right to occupy the dwelling for that period as long as you abide by the lease.
Typically, the only exception would be a catastrophic event that makes the unit unhealthy or unsafe and requires repairs that can’t be performed while the dwelling is occupied. However, as mentioned above, the landlord may be required by law to handle a variety of costs for you and may have to give you the opportunity to move back in afterward, should this rare situation occur.
It is important to note that a landlord can always ask you to move out early. At times, a landlord may offer an amount of money in exchange for them breaking the lease early, or they may hope that you’ll simply agree without compensation.
If that occurs, you get to make the choice regarding whether to move out before the period in the lease ends. Usually, if you agree, you’ll sign some paperwork showing that you and the landlord are choosing the alter the previous arrangement. That way, you’re both protected from being accused of breaking the lease earlier. If the landlord doesn’t produce such paperwork, the change isn’t formal, and that could be risky.
Typically, if a landlord’s request to break the lease early is covered in the agreement and is deemed legal by the state and city, tenants have little recourse. That means the landlord has to follow all legal requirements for terminating the arrangement, such as providing a proper notification or getting a court order for an eviction, depending on the exact nature of the situation.
However, if the landlord is illegally trying to force you to move, you do have options. Precisely what those are may vary, depending on the city and state. As a result, it’s wise to review local landlord-tenant laws.
Additionally, you may want to contact your local housing authority. Often, they can provide you with insights regarding your options and your legal rights as a tenant.
In most cases, at a minimum, you would have a legal right to stay in the dwelling until the end of the period in the lease. This is usually contingent on you continuing to abide by the terms, including paying rent on time and following other rules. It is important to note that you may have to defend your position in court.
There are situations where you may be within your right to sue your landlord over an early termination. Whether you choose to go that route is a personal decision.
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]]>The post Can Your Landlord Raise Rent? How to Respond appeared first on Flex | Pay Rent On Your Own Schedule.
]]>If your rent agreement is currently month-to-month, week-to-week, or something similar, then the landlord can raise your rent at nearly any point. However, they have to provide you with sufficient notice.
Depending on your state, your landlord may have to inform you of the rent increase anywhere from 15 to 60 days before it would go into effect. Generally, the notification must be in writing. Some states even require it be delivered in a specific way, such as by certified mail, though this is by no means universal.
Finally, if there is a clause in your lease that specifically provides openings for rent increases, your landlord may be able to charge more before the term in the agreement ends. Usually, these clauses cover changes in your situation, such as adding a roommate or a new pet.
However, other lease conditions could also trigger an increase. As a result, it’s best to carefully review your lease to determine what scenarios could lead the landlord to raise your rent.
If your lease doesn’t allow a rent increase, your landlord can’t do it – it’s as simple as that. A lease is a binding agreement and states what you are required to pay for the specified period. Attempting to raise your rent during that timeframe violates that agreement unless there is a clause that covers the scenario at hand.
Typically, one-year leases have a set rent amount for the entire period. Usually, the only exceptions would include bringing in a roommate or a pet, though that has to be covered in the lease. If there is no clause that gives the landlord the ability to raise your rent, then an increase isn’t allowed.
Additionally, if you rent month-to-month and your landlord fails to provide you with proper notice, the increase isn’t enforceable right away. But that doesn’t mean it won’t go into effect later.
For example, let’s say you pay rent on the 1st of the month, and live in a state that requires 30 days’ notice of an increase. If you received a legal rent increase notification on the 15th of October, you wouldn’t be legally required to pay the higher amount on the 1st of November. However, once the 14th of November passes, the increase could become enforceable. In this scenario, you’d owe the higher amount on the 1st of December.
However, if the landlord gave you verbal-only notice of a rent increase, that may not be enforceable at all. Many states require the notification to be in writing for it to be valid. Without a written notification, the rise in rent has no legal standing.
Finally, rent increases used as a form of retaliation or discrimination are barred. For example, a landlord can’t try to raise your rent in response to a tenant’s complaint about incomplete repairs. Similarly, if the landlord tried to raise rent, but only on tenants that are part of a specific group, that could also be illegal.
In most cases, landlords can increase rent rates as much as they want. As long as the terms of your original lease no longer apply, they abide by any clauses in your lease, or you’re month-to-month and receive sufficient notice, the sky may be the limit, legally.
However, there are exceptions. If you live in a rent-controlled area, state or city law may limit how much your rent can go up within a specific period. In those cases, landlords can usually only increase rent by a maximum percentage of the current amount or by a particular dollar amount.
Rent control rules can vary dramatically. If you live in a rent-controlled dwelling, you’ll need to review local laws to determine the maximum rent increase that’s allowed.
Additionally, there may be some alternative protections. For example, some states or cities may have laws regarding rent increases for tenants that are senior citizens or disabled individuals. Similarly, certain kinds of housing voucher programs have rules that govern rent increases on residents who are participating in the programs.
If you have questions, review local laws. You can also contact a local housing authority or, if you are part of a voucher program, the program administrator to see what protections or limits may apply to your situation.
If your landlord is raising your rent, it’s wise to go through a specific process. First, spend a moment to review local law. That way, you can make sure that the rent increase is legally enforceable.
Next, review the terms of any existing lease agreement, if there is one in place. Again, the purpose is to determine if the higher rent amount is enforceable, or if the landlord’s rent increase is in violation of the existing agreement.
After that, if the rent increase is legal, you can attempt to negotiate. At times, if you have a good history with the landlord and can make a reasonable counteroffer, they may be open to a lower amount. This is especially true if you’ve been a reliable long-term tenant, as they might be willing to go the extra mile to keep you.
If you do reach an agreement through negotiation or are all right with the increase that was originally proposed, you can accept the agreement. This could include signing another lease or, if you’re renting month-to-month, simply paying the higher amount.
If you disagree with the amount, you may need to seek out a new place to live. That way, you can find a place that’s affordable.
Generally, you can stay in the unit until the end of your existing lease or the end of the period you’ve paid. You may be able to negotiate with the landlord to get a little more time if needed. For example, you may be able to ask for a one-month lease extension.
However, the landlord only has to give you as much time as is required by law, nothing more. While it doesn’t hurt to ask, they may say “no.”
Additionally, understand that if you are still in the lease period, you may have to stay for the remainder of the period, even if you don’t intend to renew. Otherwise, you may be breaking your lease, and that can be costly.
Inform your landlord of your decision to leave, ensuring you give them as much notice as you’re required to provide, in accordance with state or local law and any existing lease agreement. Then, plan your move-out carefully. Try to time it to where you can transition from one dwelling to the next while respecting your current lease or month-to-month agreement. That way, you can move on seamlessly.
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]]>The post What Is a Lease? The Definitive Guide appeared first on Flex | Pay Rent On Your Own Schedule.
]]>In this article, we’ll take a closer look at leases and examine what is typically included in a residential lease, what to know before you sign, tips for negotiating the terms, and what to do if you plan to break your lease. We’ll also go over some other common types of leases you might encounter and what to look for in those contracts.
Before we dig into the details of a lease agreement, let’s go over some common terms you will need to be familiar with:
Residential leases are rental contracts that outline the terms and conditions that both parties, the lessor and the lessee must follow during the lease term. Often landlords will use a standard lease template, but in some cases, they may have a real estate lawyer draft one for them.
Because a lease is a legal document, there are consequences for both the landlord and the lessee if either of them violates the terms of the contract. Below, we’ll dig into some of the standard provisions found in a residential lease and discuss anything else you should know before signing.
While the terms are frequently used interchangeably, there is a difference between a lease and a rental agreement.
A lease covers a long-term rental period, usually 6 to 12 months, while a rental agreement is often a month-to-month arrangement. Rental agreements automatically renew at the end of each month unless you inform your landlord that you will be moving out. Additionally, rental agreements may be altered at the end of each 30 day period. This enables your landlord to raise the rent, change the fees for parking, and make a myriad of other changes that may affect your comfort in your rental.
On the other hand, a lease locks you into a rental for a predetermined amount of time, and the conditions outlined in the lease agreement cannot be altered.
Often, when a lease term is up you will default to a month to month rental agreement on the property, unless you choose to renew your lease or move out.
A standard lease agreement will include most of the following items. Before you sign a lease it’s essential to read through each item carefully to ensure the conditions are amenable to you. If you take issue with any of the conditions listed on the lease, bring it up with your landlord before you sign.
This section will include a description of where your rental is located and what it entails. For instance, if you rent an apartment with a storage locker or a parking space the lease will outline those spaces in the rental property description.
The lease agreement will state your landlord’s name and address and should include the names and addresses of each tenant in the rental unit. If you will be renting with a partner or roommate, you both need to be listed on the lease. The tenants whose names are on the lease are responsible for paying the rent and abiding by the lease terms. If your roommate’s name isn’t on there, there is no legal obligation for them to pay rent and the responsibility will fall to you alone.
Your lease agreement will clearly state how much you are to pay in rent and the day on which rent is due. The document will usually outline the preferred methods of payment, whether it be cheque, bank transfer, or something else.
This section will state the amount of the security deposit you will be required to pay for your rental as well as any other fees you may be on the hook for, such as cleaning fees, move-in fees, or pet rent.
The fee structure for late payments may also be listed in this section.
The lease agreement should clearly outline who is responsible for which utilities. Some, such as water and waste removal, may be covered by the landlord, while others will fall to you, the tenant.
Here the lease will outline the landlord’s expectations regarding maintenance. It may state that tenants are responsible for maintaining the property’s garden. The lease will detail what types of repairs are the responsibility of the tenant, and how the tenant should seek reimbursement for any necessary property maintenance. The document may also state what types of changes (such as painting) the tenant is permitted to make to the rental.
The pet policy states whether or not pets are permitted in the rental. It will detail what types of pets are allowed, any size restrictions that exist, the number of pets permitted, and any fees the tenant must pay in exchange for housing pets on the property.
Here, the lease will outline what is expected of you as a tenant and mention any property use restrictions that exist. For example, it may list the building quiet hours, whether or not barbecues are permitted in the building, or the unit occupancy limit.
Your landlord may be permitted to access your rental, but there are certain guidelines he must follow. Those will be listed in this section of the lease and may include stipulations such as providing 24 hours notice and only entering during business hours.
This section will state whether or not you are permitted to sublet your rental unit to another tenant.
This covers the process you must follow to break your lease and any fees associated with doing so.
This section will mention any stipulations regarding hosting guests in your rental, including the acceptable length of stay. If guests stay beyond the timeframe stipulated in the lease you could be in violation of your lease agreement, giving your landlord grounds to evict you.
Because a lease is a legal document there can be major repercussions for violating the terms of your contract. If you violate your lease you may face eviction, fees, or both.
With this in mind, you need to be clear on exactly what you are committing to when you sign a lease. Look over your lease agreement carefully and consider whether your lifestyle is compatible with the terms of the lease.
If you take issue with any of the stipulations within the contract, bring them up with your prospective landlord as there may be room to negotiate. For instance, if the guest policy states guests may spend no more than 7 consecutive nights in a month, but you’re hoping your sister can come for a two-week visit, mention it to the landlord. He may be willing to overlook the guest policy in this instance, and you will rest easy knowing you’ll be compliant with your lease agreement.
Subletting a property from someone can be a great way to find a rental without having to go through a credit check or commit to a long-term contract. However, doing this can also be risky.
If you’re moving into a sublet, make sure the sublet isn’t in violation of the renter’s lease. If it is, you could find yourself unexpectedly evicted and have no legal recourse. Make sure that your sublettor’s landlord is aware that you are subletting the unit and that the whole arrangement is out in the open.
On the other hand, if you are leasing a property and wish to move out before your lease is up, subletting to another tenant can be a convenient way to avoid breaking your lease, as long as your lease allows it. If you’re not sure, double-check with your landlord.
Once you find a sublessee, introduce them to your landlord so that he knows who will be taking your place and so the sublessee knows who to turn to if anything goes wrong.
Breaking your lease can have a myriad of different consequences depending on the policies outlined in the lease agreement. In some cases, you can pay a flat fee to terminate your lease early, while in others you may be on the hook for paying the rent until a new tenant is found.
Upon breaking your lease, you may also be responsible for fees associated with wear and tear of the property so the landlord can fix it up and re-rent it. Additionally, breaking a lease can leave a negative mark on your credit report, which could make it more challenging to find another rental.
If you have a good relationship with your landlord, you may be able to break your lease with no consequences. But since this isn’t a given, it’s best to break a lease only as a last resort.
Renting an apartment isn’t the only time you may need to sign a lease. Below we’ve summarized some of the other types of leases you may encounter.
Commercial leases cover real estate that is used for business purposes, such as a restaurant, boutique shop, or any other commercial use. These contracts are similar to residential leases but they typically cover a lease term of several years.
Additionally, the stipulations of commercial leases are highly tailored to the business who will be renting the space. They may include policies regarding the types of changes or improvements that may be made to the property, annual rent increases, stipulations regarding signage and where it can be placed, and a competitor clause preventing the landlord from renting space to a direct competitor, and more.
A car lease outlines the terms and conditions as to how a lessee may operate their leased vehicle. It will detail the length of the lease, the lease amount, when payments must be made, and summarize any fees that may be associated with leasing the vehicle.
An auto lease usually includes an annual mileage allowance. The lessee may be responsible for paying a small fee for each mile driven beyond the set allowance. The auto lease will also state insurance requirements and outline which party, the lessor or the lessee, is responsible for which aspects of maintaining the leased vehicle.
A car rental agreement is a legal contract that ensures both you (the renter) and the lessor are held accountable for your responsibilities as they are detailed in the contract.
A standard car rental agreement will outline the length of the rental period, the condition of the vehicle, any mileage limits that must be adhered to, additional fees associated with the rental such as late fees or fuel fees, and insurance and liability coverages. Some vehicle rental agreements will also have stipulations that the car may not cross borders into another country.
An equipment lease is a rental agreement that applies to any type of equipment. Common equipment that you may lease includes items like printers, copiers, and computers as well as construction equipment, garbage containers, lighting, office furniture, water coolers, and more.
There are two types of equipment leases: an operating lease and a capital lease. Under an operating lease, equipment lease fees are reported as business expenses, and under a capital lease the equipment is reported as an asset.
The equipment lease will state the lease term, the amount owed and how and when the lessor must pay the lease. There will also be provisions outlining the maintenance responsibilities of the lessor and the lessee, as well as any insurance requirments.
Regardless of whether you are leasing an apartment, a vehicle, or something else, a lease serves the same function. It is a legal contract that outlines the obligations of each party involved in the transaction. Because leases are legally binding, it’s essential to read through your lease before signing to ensure you are on board for all of the terms and conditions listed in the document.
If you spot anything within a lease that you feel is unfair, unrealistic for your situation, or simply doesn’t make sense, don’t be afraid to ask questions. Depending on the situation, some terms may be negotiable, so don’t hesitate to try. In some cases, you may even want to have a lawyer look over your lease and negotiate the terms for you, especially if the lease term is a long one.
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]]>The post The Federal Eviction Moratorium: What Renters Need to Know appeared first on Flex | Pay Rent On Your Own Schedule.
]]>In this article we’ll take a closer look at what the eviction moratorium offers, who is eligible, and how you can best make use of the program. We’ll also offer some tips for talking about eviction with your landlord to ensure you maintain a good working relationship even when you can’t pay.
The Federal Eviction Moratorium is an executive order put forth by President Donald Trump in conjunction with the Centers for Disease Control and Prevention (CDC). The goal of the order is to prevent the spread of COVID-19 which has claimed over 200,000 lives in the United States.
With the high unemployment rate, many Americans are struggling to make ends meet and are facing homelessness. Since homelessness could lead to crowded quarters in shelters, and lack of proper hygiene, it also increases the risk of spreading COVID-19.
As such, the government and the CDC developed this moratorium to keep individuals in their homes where they can practice good hygiene and follow social distancing or self-isolation protocols more easily.
For citizens who meet the criteria, the eviction moratorium provides protection until December 31, 2020.
If you earn less than $99,000 (or less than $198,000 per year for couples who file taxes jointly), you may be protected by the eviction moratorium.
If you wish to request protection under this program you will be required to sign a declaration stating:
For full eligibility details, click here to view the declaration.
While the eviction moratorium may help keep a roof over your head if you find yourself unable to pay the rent, it should be used as a last resort.
This moratorium does not free you of your obligation to pay rent. It solely protects you from eviction. As such, when the moratorium ends, you will be on the hook for the months of back rent you were previously unable to pay.
With this in mind, if you do opt to take advantage of this protection, do your very best to find ways to make additional money so that when the time comes you’ll be able to make your payments.
To receive eviction protection you must fill out a signed declaration confirming that you are eligible for coverage under the eviction moratorium.
You will need to submit a copy of this declaration to your landlord. Each adult in your household will be responsible for submitting their own declaration.
Even once you have submitted your declaration, it’s wise to continue pursuing rental assistance from other sources. The smaller the amount of back-rent you owe down the road, the better for everyone.
Depending on your relationship with your landlord, you may wish to discuss the eviction moratorium with him in advance.
It’s worth taking note that the eviction moratorium doesn’t provide any compensation for landlords who are housing residents under this order. Your landlord likely still has bills to pay on the property you live in, whether it be a mortgage, utilities, property taxes, or other expenses.
While it’s not your responsibility to worry about your landlord’s needs, a conversation about this issue could be very helpful if you wish to maintain a good relationship with them.
Keep an open dialogue going with your landlord. Let him know that you’re struggling to make ends meet but that you’re doing what you can to make your rent payments.
Considering asking him what amount of money he would need from you each month to cover his basic expenses. If you can find a way to pay your landlord a small amount each month to help alleviate his financial stress, it could equate to a more comfortable landlord-tenant relationship for both of you.
While the eviction moratorium does offer protection if you are struggling to pay your rent, it’s important to understand that it does not protect you against eviction for other reasons.
If you break the terms of your lease in any other sense, you may still be evicted. Common lease violations include housing pets that are not permitted, committing property damage, selling drugs, or operating a business illegally.
As mentioned above, your landlord isn’t receiving funding despite continuing to house you. Depending on your landlord’s financial situation, this may give him cause to look for other reasons to evict you.
Knowing this, it’s important to ensure that you are abiding by all other terms of your lease when you apply for eviction protection.
If you’re struggling to pay your rent due to the current pandemic, this eviction protection program may give you peace of mind.
However, because you will still ultimately be responsible for paying your past due rent, you should continue pursuing work and additional rental assistance while you are protected under the program. This program is best used as a last resort by individuals who are liable to face homelessness without it.
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]]>The post Where to Get Help With Rent: The Ultimate Guide appeared first on Flex | Pay Rent On Your Own Schedule.
]]>According to a recent survey by Apartment List, 32% of Americans are currently struggling to pay all of their housing bills. While the government imposed an eviction moratorium that helped tens of millions of Americans for months, that moratorium does not apply to all renters. And in any case, it’s set to end on December 31st.
There are many ways to get help with rent payments. The four most common are charities, churches, government programs, and direct negotiation with your landlord. But not all of these options are right for everyone. Before you decide which to try, it’s important to know how each one works.
| Option | When It’s Best |
| Charities | You live in an area where one or more charities have active rent assistance programs |
| Churches | You live near well-funded churches and are active in a congregation. |
| Landlord Negotiations | Your landlord is understanding or would have trouble finding a new tenant if you broke your lease. |
| Government Assistance | You meet qualification requirements and live in eligible housing. |
Before we get into the details of how each of these works, it’s important to note that not all of these options are available for everyone. Each person’s options for getting help with rent vary based on their specific circumstances, including their landlord and what they pay in rent. These options also largely depend on where you live and the resources available in your specific area.
But regardless of which option you think may be right for you, if you’re having trouble paying your rent, the first thing to do is talk to your landlord. It’s very important when you’re having trouble paying rent in-full or on time to communicate clearly with your landlord and make them aware of your struggle. If nothing else, that can be a big help if you’re ever late on rent or unable to pay your full rent.
If you’re having trouble paying rent, one place you can look for support is with local charities and non-profits. These charities exist to help people, and some offer programs specifically designed to help people who are having trouble covering the cost of certain essentials, including food and housing.
However, not all of these programs are available everywhere. So before you eliminate other options, it’s good to see what local chapters of various non-profits offer in your area.
Some charities to check first for rent assistance programs include:
If you aren’t sure which of these organizations are in your area or have rental assistance programs that would work for you, the closest chapter of United Way can still be a good resource. The United Way maintains lists of local organizations that offer rent assistance to qualifying applicants.
Getting help with your rent from a local charity may be a good option if you live in an area with active chapters of charities that offer assistance. This is especially true if you’re already active with a charity that offers help—you participate in its programs, etc. If you meet the program’s qualification requirements and are willing to volunteer or give back when able, this may be a great option.
If you’re having trouble paying your rent, churches can be another great place to turn. Granted, not all religious organizations have rent assistance programs, but several national churches have such programs, and local archdioceses, churches, and parishes can also be great resources for people looking for help.
Plus, you don’t always have to be an active member of a congregation to qualify—although it certainly doesn’t hurt.
If you want to find help with your rent from a church or other religious organization, consider checking with regional or national leadership for the organization. The United Methodist Church, for example, offers rent assistance programs in some areas. Similarly, regional archdioceses may be able to refer you to specific parishes that offer help.
Ultimately, many rent assistance programs offered by churches are administered by individual congregations, so you may need to inquire with specific local churches to see whether they offer assistance.
Getting rent assistance from a church or other religious organization could be ideal if you’re already active in a local congregation, or if you have family or friends who know of assistance programs available in your area. However, if you aren’t a member of any church or denomination—or if you live in an area where churches don’t have much of a presence—it may not be an option.
If you find yourself in a situation where you may need help with your rent, one of the best things that you can do is communicate your circumstances clearly and respectfully to your landlord. By making your landlord aware of your situation, you may be able to delay your payments or pay just a portion of your rent each month, with the rest accruing as a balance that you can pay off later.
Also, sometimes landlords can offer assistance that doesn’t even require changing or delaying your payment. For example, they may let you take on a roommate that could make your current house or apartment much more affordable. But it’s important to first make sure this is acceptable, according to the terms of your lease.
If no other options are available, you may be able to work out an option with your landlord to break your current lease so that you can move to a less expensive home. In any case, you’ll never know what your options are if you don’t discuss your situation with your landlord.
Regardless of whether you end up getting help with your rent through one of the other avenues mentioned here, talking to your landlord is always something to do first when you’re having trouble paying your rent. Your landlord may not always be able to help you, but at least that way they’ll know that you’re struggling—and that’s something they’d much rather know sooner rather than later.
And landlords are human, too. Many are very understanding and happy to help if there’s any way they can do so.
The sad truth is that a lot of people need help with their rent, and not all of them live in areas where help is available from churches or charities, and not all of them have understanding landlords who will help them out.
For those people—and for millions of others who have special circumstances and need help—numerous federal, state, and local programs exist to provide critical assistance to people in need. Some of the most commonly used government programs used to get help with rent include:
However, renters should be aware before trying to get help through any of these programs—federal, state, or local—have application processes and strict qualification requirements. If you make too much money, or don’t live in affordable housing, or have a past criminal history, you may have trouble qualifying.
It’s also worth noting that not all government help comes in the form of cash payments. For several months during the COVID pandemic, for example, the government imposed an eviction moratorium for all rental properties that were financed with government-insured loans. This moratorium, now extended through December 31st, is just an example of ways the government may provide help with rent without offering direct payments.
Another important note: If you need help with rent because your area has been impacted by a natural disaster, there are also specific programs you may qualify for.
Getting help with your rent through government programs may be your only option if you don’t have other options available, such as through churches or local charities. Or, if you know in advance that you’re going to need help with rent—for example, due to some overarching circumstances, like a disability—and you have time to work through an application process, these programs can be a great option for long-term, sustained help.
Or, if you have particular benefits available to you due to your background (such as through the VA) or you already live in affordable housing, then government assistance may be your best bet for getting help with your rent.
Rent assistance comes in many forms. When most people think of getting help with rent, they imagine getting direct payments from the government, a church, or a charity to help cover their expenses. And, sometimes that’s how it works—but not very often. Typically, getting help with your rent takes several other forms, such as:
Getting help paying your rent isn’t easy. Often, even asking can be difficult. If you’re facing financial hardship and may need to get some help covering your rent, here are a few tips to guide your search and help you find the help you need.
It takes time to get help, and you don’t want to fall behind. Finding the right local organizations can be challenging, and having your application processed can cause delays. So, it’s important to start looking for assistance as soon as you think that you may need help, rather than waiting until you fall behind on your rent.
If you decide to apply for assistance, make sure you stay on top of your application. You may need to inquire a few times before being directed to the right program. You may also need to provide supporting documentation or other information. Be sure that you stay on top of the status of your application and respond to requests quickly as you move through the process.
When you decide to get help with rent, it’s important not to put all of your eggs in one basket. Instead, be sure to seek help from multiple sources. Not every option will pan out, and most of these options are mutually exclusive anyway.
If you apply for assistance, don’t be surprised if you don’t get enough to cover your full rent payment. That’s to be expected. You may need to find help from multiple sources if you’re facing serious hardship. But this isn’t an all-or-nothing process. Even if you can only get a small portion of your rent, accept the assistance with thanks and figure out where you can any other help you need.
When you go looking for help with your rent, remember the other option is eviction. Many of these organizations you may contact for help have no obligation to help you. They simply offer rental assistance programs for qualified applicants, in addition to numerous other programs they administer. If you don’t get approved for assistance or only get a small amount, be gracious and thankful.
Regardless of whether you’re able to get help paying your rent, always pay what you can when you can. Even if your rent is due and you only have enough to pay a quarter of what you owe, pay what you can to your landlord and explain that you are looking for assistance. This will help to keep you on good terms with your landlord and may encourage them to help you directly.
When you’re having trouble making rent, you need to cut any other spending as much as possible. Neither your landlord nor any organizations that offer support will be understanding if you can’t pay your rent but have a new car sitting in your driveway.
Regardless of whether you’re able to find help, one of the best ways to cover your rent when facing hardship is to make more money. Whether it’s through freelancing, moonlighting, contracting, part-time work, ride-sharing, or other gig work, do whatever you can do to boost your income so you can pay your rent—or at least more of your rent—when it’s due.
Though 2020 has been a time of great turbulence and financial hardship for millions of Americans, rent assistance has been extremely slow-coming in the COVID pandemic. Many non-profits who offer such programs have refocused their efforts toward caring for the sick and their families, rather than pushing rental assistance programs.
Similarly, churches saw their funds dry up. Millions of Americans quit going to church or offering tithings—even when churches were allowed to open.
In all, the government has been the most active source of rent assistance during the coronavirus pandemic. While the government provided relief checks in the spring to millions of Americans (who desperately needed the money), those funds didn’t last very long.
The biggest form of aid available so far—from any source—was in the form of an eviction moratorium that precluded landlords from evicting tenants who failed to pay their rent. But this moratorium only applied to properties that were financed by federally-insured mortgages. Any properties financed with private loans, seller financing, or owned outright were not covered by the moratorium.
The eviction moratorium is currently set to last through December, 2020. After that, there’s no telling what kind of protections will be in place. If it does end in December, you could have tens of millions of Americans facing eviction if they fall behind on rent—if they aren’t behind already.
Every year, millions of Americans struggle to cover their most basic expenses, including housing. For those who have lost their jobs or fallen on hard times and struggle to pay their rent, help is available if you know where to look.
If you need help paying your rent, start by talking to your landlord and explaining your situation. You may be able to work out an assistance plan with them directly until you get back on your feet. Or you may be able to find help through a local church, charity, or federal, state, or local government programs to help you cover your critical housing costs.
Rent assistance comes in many forms and from many sources. Which one is best for you depends entirely on you, your background, and your circumstances—where you live, your income, how much you pay in rent.
If you need help paying rent, be sure to check out some of the resources mentioned above. Not all of them will work for you, but at least one should be able to help you find the help you need.
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]]>The post Security Deposits: Everything You Need to Know appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The “security” part of security deposit refers to a protection for the landlord or owner of the rental unit. If there’s damage to the property, the owner can use the security deposit to pay for any and all damage the renter might have caused.
The “deposit” part of security deposit means that the security deposit money, while you are living in the rental unit, belongs to no one. It’s in a state of escrow. The landlord or owner holds the deposit until you move out. If the rental unit is in the same condition at move-out as it was at move-in (minus normal wear and tear—more on that later), you should get your security deposit back.
The security deposit is usually equal to one month’s rent. But some landlords charge more. In some states, landlords can charge however much they like for a security deposit, and other states have laws on the books about how much landlords are allowed to charge. For example, in Georgia, landlords can charge whatever they want for the security deposit, but in California, landlords can charge no more than two months’ rent for an unfurnished unit and no more than three months’ rent for a furnished unit.
To be sure, you can check the relevant security deposit laws in your state to make sure your potential landlord isn’t overcharging you.
Don’t worry too much if you’re in a state that has no limits on what landlords can charge. Just because they can charge more, doesn’t mean they will. In a free market, there isn’t a lot of room for landlords to charge exorbitant fees on security deposits.
The security deposit covers any damage a tenant causes to the unit beyond what is called “normal wear and tear.” For example, faded paint would be normal wear and tear, but crayon markings all over the walls would be considered damage.
It’s typically better for you to fix damage you caused or hire someone to fix it. If you leave the damage for the landlord to fix, it might cost you more than what you would have paid doing it yourself. Note that if you do decide to fix the damage yourself, and you don’t fix it properly, the landlord can still hire someone to do the job right and still take the money from your security deposit.
Tenants do not need to pay for normal wear and tear, but they do need to pay if they damage the unit beyond normal wear and tear. This can often be a gray area, but generally, if you break or damage something, you either need to fix it or pay someone to fix it. If not, and the landlord needs to take care of damage you caused, expect the money to come from your security deposit.
The reason renters don’t pay for normal wear and tear is that this is the landlord’s property, and whenever anyone lives in a property, including property owners themselves, there will be wear and tear. Therefore, normal wear and tear is a landlord expense. Otherwise, landlords could try to remodel their rental unit using the tenant’s security deposit money, which is not the intended use of the security deposit.
The landlord needs to return your security deposit in a timely manner based on the law for your state. This is typically within 30 days of the lease end date, but you should check your state’s law to know for sure.
If the landlord intends to keep all or part of your security deposit, they typically need to send you a written explanation of why they are doing so, along with an itemized list of the damages and the cost of repairs.
If you caused so much damage that you exceeded the security deposit, you might receive a demand letter from the landlord requesting the extra amount it will cost to fix the damage you caused.
When it comes to getting back your security deposit, it isn’t necessarily an all-or-nothing proposition. It’s also possible to get only part of your deposit back or even to owe additional money. Here’s how the four options work.
If you return the rental unit in the same condition it was in when you moved in, you should be entitled to get all your security deposit back.
If you damaged the unit and did not fix it, expect the landlord to deduct the cost to repair whatever it was you damaged. You should get a receipt or an estimate of the repair cost when you receive your partial security deposit back.
If you damaged the property to the extent that it will take the entire security deposit (or more) to make the repairs, you probably won’t get your security deposit back. You should, as with a partial return of your deposit, get a receipt or an estimate for the cost of repairs.
If the damage you caused exceeds your security deposit, you can expect to get a letter letting you know how much you owe the landlord, and then you need to send your landlord the money requested. If you don’t pay this money, you could be sued. Again, with this option, the landlord needs to show you a receipt for the work done or an estimate for how much it will cost to bring the place back to its move-in condition.
For more information, see our full guide on how to get your security deposit back.
Because the landlord is holding your security deposit, and you need to wait, usually up to a month, before you get your money back, you might want some reassurance that you will get your money. A good way of doing this is to ask your landlord to do a walk-through with you before you move out. That way, the landlord can inspect the property with you and can let you know of any problem areas that need fixing.
Landlords, however, are typically not obligated to walk through the property with you. And even if they do, after you move out, if they walk through the property again without you and find damage that was missed on the walk through with you (a scratch on the hardwood floor that was hidden under a throw rug, perhaps), they can generally still charge you for that.
If you have people over and one of your guests causes damage, you would be responsible. The landlord does not need to go after your guest to pay for the damage. The landlord can take the money from your security deposit to get the repairs done. If you want to try to get the money from your guest, you can, but that would be up to you.
If you do return the property in good condition, and your landlord doesn’t return your security deposit, ask, in writing, for it back. You might want to first send a text or email asking for your security deposit. This is where knowing the security deposit laws for your state comes in.
You can let your landlord know that based on your state’s laws, your landlord needs to return the security deposit in X number of days after move-out or provide a written account as to why they are withholding all or part of the money.
If that doesn’t work, try sending a demand letter through certified mail. You can say the same thing as you did in text or email, but sending a formal demand letter usually carries more weight and oftentimes causes the landlord to finally act. If you don’t get your money or an explanation as to why your landlord is withholding your security deposit, you might need to take your landlord to small claims court.
For more information, see our full article on how to get your security deposit back.
There’s a term called “living out the last month.” It means not paying rent the last month of your tenancy and just letting the landlord keep the security deposit in lieu of you paying rent that last month. That practice is usually not allowed because it defeats the purpose of the landlord having a security deposit in the first place.
The exception is if you ask the landlord if you can do this and the landlord agrees to it. If you’ve been a responsible tenant, your landlord might let you use your security deposit to pay for last month’s rent. Expect your landlord to conduct a walk-through to ensure there is no damage before agreeing to this.
If you cause damage during that last month and after the walk though, expect to get a demand letter asking you to pay for any damages that either happened after the walk-through or any damages the landlord might have missed during the walk-through. If you did cause some damage, it’s best to be upfront about it instead of trying to hide it. When you move out, the landlord most likely will discover the damage anyway. And then, not only will the landlord probably ask you to pay for it, the landlord might not give you a good recommendation when you want to rent your next place.
The security deposit belongs to you, but you could lose all or part of it if you damage the property. If you want your full security deposit back at move-out time, be respectful of the rental unit. Even though it’s not your property, you do have money on the line. It’s a win-win for everyone if you treat your rental property as if you owned it.
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]]>The post Normal Wear and Tear vs Property Damage: What’s the Difference? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>In practice, the distinction is more involved. Read on to learn more about the difference between normal wear and tear and property damage. We’ll also help you understand what types of damage your landlord may deduct from your damage deposit, how to ensure he doesn’t need to, and how to dispute charges for damage you aren’t responsible for.
In landlord-tenant documents, “normal,” “ordinary,” or “reasonable” wear and tear is regularly referenced and often very vaguely defined. The California-based tenant law firm Tobener & Ravenscroft defines normal wear and tear as the “unavoidable deterioration of a unit resulting from normal use by the tenant.”
To be more specific, this definition logically implies that wear and tear consists of things like:
The above examples are types of minor damage that would occur over time simply from living within a space. Even the most thoughtful tenants are unable to eliminate the effects of their repeated foot traffic or the inevitable dents gradually caused by use.
As a tenant, you are not responsible for repairing or paying for this type of damage. Normal wear and tear is the landlord’s responsibility.
Property damage is damage that is more extreme than normal wear and tear, and that could realistically be avoided in most cases.
Your landlord has the right to withhold all or a portion of your security deposit to cover repairs for property damage that you have caused. With this in mind, it’s critical that you understand what could be considered property damage to ensure your landlord doesn’t try to take advantage of you when it’s time to move out.
Common forms of property damage you may be on the hook for include:
Problems that occur due to negligence can also be considered property damage. A drain that’s clogged with hair, or a shower full of mildew because you fail to ventilate it properly are examples of such problems. These issues could be resolved or avoided with a little bit of care, but if they are left to escalate to this point, your landlord could deduct the cost of their repair from your security deposit.
Landlords should only withhold your security deposit to cover the property damage that you cause. There should not be any money taken from the security deposit to cover normal wear and tear such as lightly chipped paint, minor dents and scratches, or sun damage.
Ultimately, when you move out, your rental unit should be in the same condition it was when you moved in, aside from normal wear and tear.
Do not overlook the cleanliness of your unit. If deemed necessary, your landlord may deduct money from your security deposit to cover the cost of cleaning your unit when you move out. While cleanliness (or lack-there-of) isn’t necessarily property damage, it’s a common deduction.
Most lease agreements stipulate that you must leave your rental as clean as you found it, or in “move-in condition.” If your landlord isn’t satisfied with the state of your rental, you may be charged accordingly.
A walk-through helps both you and your landlord take inventory of the state of your rental before you move in and again when you move out. This way, you’ll have no problem ensuring your unit is in the same condition when you move out again.
Unless you already know and trust your landlord, it’s a good idea to take photos to document any existing damage. If your landlord ever tries to claim that existing damage was your fault you’ll then have concrete evidence proving that it was there before you moved in.
As you prepare to move out, you can request that your landlord do another walk-through with you. This will give him a chance to spot any damage that would be deducted from your security deposit. Then, you’ll know exactly what needs to be repaired before you vacate the rental. If the issues are fixed by then, the landlord will have no reason to deduct from your security deposit.
Even though you may need to pay for a few repairs, you’ll have the freedom to shop around for a competitively priced service provider or do them yourself. Having control over the situation could save you a little money in the end.
In the event that your landlord does make deductions from your security deposit, he is typically required to provide an itemized list accounting for each deduction. If there are any charges that you disagree with you can dispute them.
If your landlord does not provide an itemized list of deductions, don’t be afraid to request one. If he fails to provide one or fails to offer a satisfactory reason for withholding your deposit, you may dispute it.
Before you dispute the deductions, review the terms of your lease as well as the tenancy laws for your state and note any sections that support your argument. Familiarize yourself with the timelines in which your landlord is expected to return your deposit or inform you of any deductions. Cross-reference these laws with your lease agreement.
Next, draft an email or letter to your landlord explaining which charge(s) you disagree with and why you believe they are invalid. You can see an example demand letter here.
It may be tempting to dispute the charges over the phone, but a written letter is ideal as you can keep it for your records. And, in the unlikely event that you wind up taking legal action, clear communication records are sure to come in handy.
For more information, see our full guide on how to get your security deposit back.
If you cause property damage it is in your best interest to report the incident to your landlord immediately. You will likely be responsible for fixing it promptly, but staying on top of damage will help you avoid surprises when it comes time to move out. Your landlord won’t be able to slip anything by you if you’ve dutifully reported every instance of damage.
Reporting the damage may also help you build a strong rapport with your landlord, which will make for a comfortable tenancy and could potentially score you a solid reference when you move out.
On the same note, reporting maintenance issues helps you prevent property damage from occurring down the road. For instance, if you notice your bathroom has a ventilation issue, report it to your landlord. If you fail to address the problem, excessive moisture could lead to mildew and mold, which will be unpleasant and could be considered property damage.
Instead, mention the issue to your landlord and suggest he have a fan installed. You’ll have a better quality of life, the damage will be avoided, and your landlord will be happy to know the rental is in good shape.
Showing your landlord that you respect the property may lead him to allow certain types of damage slide, even if he could legally claim them as property damage. For example, instead of charging you for a gouge in the hardwood floor, he may be willing to overlook it and repair it on his own at no expense to you.
If you’re handy, you could offer to repair the damage or perform the maintenance yourself. This way, your landlord knows you care enough to inform him about the damage, and will likely appreciate that you’re taking the initiative to fix the problem. You’ll remove an item from your landlord’s to-do list and earn his trust at the same time.
Ideally, whenever you move out of a rental you will leave it in the same condition in which you found it. However, a certain degree of normal wear and tear is inevitable. Property damage, on the other hand, should be avoided at all costs. Whether you accidentally break something in your unit or have an ongoing maintenance issue that needs to be addressed, it’s up to you to keep your landlord informed and have the appropriate repairs made. Maintaining open communication with your landlord regarding maintenance will help you keep your rental in good shape and ensure your security deposit is returned in full.
https://www.hcd.ca.gov/manufactured-mobile-home/mobile-home-ombudsman/docs/Tenant-Landlord.pdf
https://www.tobenerlaw.com/wear-and-tear-and-security-deposits-under-california-law/
https://www.marincounty.org/-/media/files/departments/da/consumer-guides/tenantshandbook.pdf
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]]>The post Paying Rent in Cash: What to Watch Out For appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Paying rent in cash isn’t the worst thing in the world, though, so long as you’re careful about it. If you want to avoid trouble, here’s what to watch out for when paying rent in cash, as well as steps you can take to keep yourself in good shape.
Landlords might allow tenants to pay rent in cash for a variety of reasons. First, the transaction is incredibly simple and very direct. There’s no doubt whether the payment will ultimately clear. That provides a landlord with a lot of peace of mind.
Plus, they don’t have to deposit your rent to use it. Cash can be spent nearly anywhere, so they don’t have to head to a financial institution to make a deposit – and potentially wait even longer for a payment to clear. It’s usable immediately as-is.
Additionally, cash may be better for unbanked or underbanked tenants. Not everyone has a checking account, so accepting rent in cash may be easier for those individuals.
Most landlords that allow cash rent payments don’t require it. It’s purely one mechanism they are open to, along with other traditional approaches, like checks and money orders, or modern online solutions like Flex. By accepting cash, they are merely giving tenants a choice.
However, paying rent in cash comes with risks. Whether the landlord is trying to make it mandatory, or it’s simply an option you can exercise, it’s critical to know about red flags and potentially harmful missteps.
It’s important to note that requiring rent in cash isn’t legal in all situations. For example, California Civil Code Section 1947.3 prohibits landlords from making cash payments mandatory unless the tenant has either previously had a check bounce or issues a “stop payment” on a check, money order, or cashier’s check. Even then, they can only make that method mandatory for up to three months following the payment issue.
Other states may have similar tenant protections in place. As a tenant, it’s wise to do a little research about rent laws in your state, including whether a landlord can make one payment option mandatory.
If you live in an area where demanding cash isn’t permitted, you can let your landlord know and work with them to find a legal payment method that works for both parties. If you haven’t signed the lease yet, you might want to reconsider – they’re either ignorant of local landlord/tenant law, or intentionally trying to deceive you.
While rare, landlords asking for cash might be trying to avoid claiming it as a source of income. Cash generally isn’t traceable. If a landlord wanted to dodge taxes on rental income, requesting payments in cash would make committing that kind of fraud easier for them. That won’t necessarily fall back on the tenant, but it’s still a cause for concern – what other laws would they be willing to break?
However, their reasons for taking cash aren’t always nefarious. Sometimes, it’s the simplicity that makes it appealing. And, if going cash-only is legal, then they aren’t shirking the law inherently, especially if they are providing receipts for a paper trail.
Even if requiring cash payments is allowed, or you’d prefer to use that approach, there are plenty of other things to watch out for that could indicate a problem. For example, refusing to provide a record of the payment (such as a simple dated receipt) is troubling. Without a receipt, a landlord may claim you didn’t pay, and you can’t necessarily prove otherwise.
Similarly, not giving you the ability to pay cash rent in-person is a bad sign. Sending cash through the mail is incredibly dangerous, as anyone could potentially intercept it and spend the money. Plus, it could end up late through no fault of your own, or could get lost in transit.
Ideally, if a landlord wants your rent in cash, they should coordinate a pickup time with you in advance. That way, they can retrieve it in-person, and provide a receipt immediately, all without you being unduly inconvenienced. The only exception may be managed properties with on-site offices that maintain traditional business hours. In many cases, requesting cash be brought to that office isn’t out of line.
Additionally, the cash-only approach should only be mandatory if it is legally permitted. If not, then they need to present a reasonable alternative based on local law.
As mentioned above, some landlords ask for rent in cash because it guarantees they’ll get the payment. If a landlord has been burned severely in the past, they might use this payment approach because it feels safer to them.
However, there are other options that can work a lot like cash while limiting risk to both parties. For example, cashier’s checks and money orders are reasonable alternatives. They can’t bounce like a regular check. Plus, they create a paper trail for all parties, which is great for recordkeeping, and are very secure. Money orders are even accessible to the unbanked. The only difference between these choices and cash is that it is possible for a tenant to request a stop payment on cashier’s checks or money orders.
ACH Transfers, also referred to as bank-to-bank transfers, are also incredibly secure. Additionally, they can typically only go through if the tenant actually has money in the account to support it (or a suitably large overdraft limit). That may give a landlord peace of mind, as well.
Some landlords also accept credit cards or online payment platforms such as PayPal. But many landlords are wary of these options due to payment process fees, and landlords that do accept these platforms often pass those costs onto the tenant.
Finally, there’s Flex. Flex enables tenants to split their monthly rent into two payments, so you don’t have to pay your entire rent on the first of the month. Click here to check it out.
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]]>The post 20 Insightful Rent Statistics 2020 appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Because so many people pay the rent every month, it’s important to understand the rental market. If you’re curious about what renting looks like from a range of angles, here are 20 insightful rent statistics worth checking out.
In comparison to homeowners, renters dedicate more of their income to housing. A shocking 42% of renters spend more than one-third of their household’s income on housing. Homeowners usually only commit 24% of their household’s income to their mortgage.
[Source: Freddie Mac]
Of renter households, 38% are considered rent-burdened. Usually, this means that their housing costs exceed 30% of their income. Additionally, they may have trouble affording various necessities, like food, transportation, clothing, and required medical care.
If more than 50% of a household’s income goes to rent, it may be considered severely rent-burdened. At that stage, the chance of financial difficulties, including handling other necessary living expenses, is incredibly high.
When it comes to rental prices, 30% of renters end up spending more than they originally budgeted. Of the remaining renters, 50% found a property that aligned with their budget, while 20% snagged a place for less than they had allocated.
[Source: Zillow]
In mid-2019, rental vacancy rates came in at 6.8%, representing a 30-year low. For professionally-managed apartment buildings, the vacancy rate was below 5% in 135 of the 150 major markets. For 45 of those markets, the vacancy rate was actually under 3%
[Source: Harvard University Joint Center for Housing Studies]
Affordability is commonly cited as the reason why renters choose to rent instead of buy. Overall, just 45% of renters could reasonably afford to buy a median-priced home where they live. However, in high-cost markets – like much of the West Coast and the Northeast – as little as 10% of local renters can potentially afford to buy.
[Source: MarketWatch]
Real estate markets can shift quickly, transitioning from a buyer’s to a seller’s market and back again with surprising ease. When home prices go up, many people start viewing renting as a more affordable option. Right now, 84% of renters believe they are making the economical choice when it comes to housing. That’s 17 points higher than in 2018 and appears to be an all-time high.
[Source: Freddie Mac]
In the United States, renting an average one-bedroom apartment sets a household back $962 a month (as of July 2020). For a two-bedroom apartment, the monthly cost heads over the four-figure threshold, coming in at $1,193.
[Source: Apartment List]
The number of renters in the country ebbs and flows depending on housing market conditions, average wages, and more. Currently, there are approximately 43 million renters in the United States.
[Source: Harvard University Joint Center for Housing Studies]
When most people think of renting, they envision apartment living. However, most renters actually live in single-family homes. Overall, 42% are in houses.
Of the remaining renters, 37% of renters live in apartments (buildings with at least five units). Another 17% are in buildings with two to four units, while the remaining 5% are renting mobile homes.
[Source: National Multifamily Housing Council]
Housing assistance is a critical resource. Government or non-profit organization housing vouchers are used by 5% of renters, covering all or part of their housing costs.
[Source: Zillow]
When you think about high rent costs, places like New York and California usually come to mind. But many people are shying away from higher-cost areas, causing states that are viewed as more affordable to see surges.
From Q2 2019 to Q2 2020, New Mexico actually had the biggest increase in one-bedroom apartment rental prices, coming in at 24.34%. In second was New York, with a rise of 21.99%.
Rounding out the top five are Missouri (21.06%), West Virginia (18.91%), and Arkansas (11.81%).
[Source: Apartment Guide]
On the other side of the spectrum, rent prices are tumbling in Hawaii. The average cost for a one-bedroom apartment fell from $2,318.74 to $1,795.91 between Q2 2019 and Q2 2020. That’s a 22.55% decline.
Other states with falling prices include Wyoming, which fell 21.02%, and Kansas, with a 13.41% decline. Rounding out the top five biggest tumbles are Utah (11.49%) and Montana (10.85%).
[Source: Apartment Guide]
Leading the way for major cities, St. Louis saw one-bedroom rents go up by 44.9% between Q2 2019 and Q2 2020. In second was Sacramento, coming in with a 40.3% increase.
However, Sacramento did actually rank number one for studio apartment rents with an increase of 49.30% between Q2 2019 and Q2 2020.
[Source: Apartment Guide]
The COVID-19 pandemic led to widespread unemployment. Many households found themselves in financial binds or, at least, not in as comfortable a position as they were previously. As a result, many looked to reduce one of their biggest expenses: housing.
In seven of the ten priciest housing markets, rents declined significantly. For one-bedroom apartments, the year-over-year percentage decrease was larger in August than July, averaging at about -5%.
[Source: Forbes]
When it comes to reasons for moving, 69 percent of renters cite a rent hike as the reason they headed for the door. Of that 69%, 30% said the change in price was a major factor, while 39% stated that it impacted their decision, but only to some extent.
[Source: Zillow]
The size of a rent increase can impact a household’s decision to move. Of renters that found a new property, the average rent increase at their previous rental was $125 a month.
A smaller increase might not be enough to have the renters looking for a new option. Of renters that stayed put, their average increase was just $50 a month.
[Source: Zillow]
When a tenant doesn’t pay rent, many landlords launch evictions proceedings. The goal is to have the person vacate the property, allowing it to be rented out to someone who stays current with their rent and allowing it to be a source of income for landlords. However, that decision itself is incredibly costly.
Eviction proceedings can come with a price tag as high as $10,000. Even on the low end, it usually runs at least $3,500.
[Source: SmartMove]
Nearly half of wealthier Millennial parents don’t expect their child to handle all of their rent costs. A startling 48% anticipate taking care of the entire cost. In comparison, only 18% of affluent parents across all generations expect to shoulder that burden for their children.
[Source: Statista]
Renter’s insurance costs far less than homeowner’s, mainly because a renter only needs to insurer their personal property, not the building itself. On average, renter’s insurance costs just $15 a month or $180 a year.
[Source: Insurance Information Institute]
For new apartment buildings, bigger is apparently better in the eyes of the investors. 61% of the new construction projects involve at least 50 units.
In comparison, back in the 2000s, only 27% of new apartment buildings included 50 or more units. That’s a 34 point increase.
[Source: Harvard University Joint Center for Housing Studies]
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]]>The post How Much Should You Spend on Rent? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The best way to determine how much you can afford to spend on rent is by analyzing your overall financial picture and creating a budget that serves your unique situation. In this article, we’ll look at some common budgeting guidelines, identify where they fall short, and discuss how to create a housing budget that works for you.
When it comes to figuring out how much you should pay for rent, a few particular budgeting guidelines are often referenced. Depending on your financial situation, these rules may or may not work for you. Since these guidelines are so popular and often referenced by landlords and lenders, it’s worth familiarizing yourself with them, if only to reject them.
Let’s break them down.
The 30% rule is a well-known personal finance guideline that suggests that you allocate no more than 30% of your pre-tax income to housing. It has long been used as a rule of thumb, but it has received criticism for being outdated in recent years.
A recent report from the Bureau of Labor Statistics reveals that the majority of Americans spend over 30% of their income on housing, which could indicate that the 30% rule is now unrealistic for many people.
Frustratingly, many landlords still use this rule of thumb and may disqualify you as a rental applicant if you can’t demonstrate that you earn 70% more than the unit price.
The 43% rule refers to your debt-to-income ratio. The idea is that your debt should never make up more than 43% of your total income. This metric is used by many lenders to determine creditworthiness when deciding whether someone would be able to pay back the money they intend to borrow.
It’s a handy rule of thumb for you to consider when deciding how much rent you can pay. It may help you hone in on a price range you’re comfortable with. Because this metric considers your overall financial situation, it may be more realistic to use than the 30% rule. However, if you’re already carrying a high ratio of debt, you may need to exceed 43% to put a roof over your head.
The 50/30/20 rule recommends that you put 50% of your after-tax income towards “needs,” meaning housing and bills, use 30% for “wants,” such as entertainment and shopping, and put the remaining 20% into savings.
This budgeting method does account for the big picture of your finances in that it suggests how you portion them. However, if you’re working within a tight budget or have large debt payments, such as a student loan, you may need to put more than 50% of your income toward “needs.”
While the budgeting rules covered above offer useful guidelines, they fail to take into account the nuances of your financial situation. The rules start to fall apart if you are earning a small income, living in a city with a high cost of living, or are someone with substantial debt payments to make each month.
These rules also fail to account for individuals earning a substantial income or living with a partner. Just because you are easily able to dedicate 30% of your income toward rent doesn’t mean that it makes sense to do so. Additionally, if you split living expenses with a significant other, you may not need to spend anywhere close to 50% or even 30% of your income on housing.
Since each person has a unique financial situation, the best way to decide how much you can afford to spend on rent is by developing your own set of rules tailored to your income, debt, and financial goals.
In order to determine how much you can comfortably afford to spend on housing, you need to look at your finances overall and create a monthly budget.
Once you know where your money is going each month, you’ll be able to see how much you have left to use for rent. Don’t forget to account for the money you spend each month on bills and debt payments, as well as the money you want to put toward financial goals, your vacation fund, or any other expense you foresee on the horizon.
When it comes to creating a rental budget, it’s essential to consider your long term financial goals. This way, you can ensure that you’re still on track to achieve them.
If you’re aggressively saving for a downpayment on a home, you need to be sure your other expenses are low enough for you to continue doing that. Work out how much money you need to set aside each month to meet your financial goals.
Another element to consider when budgeting for your rental is how your finances may change in the future.
If you’re just a few months away from paying off your hefty student or car loan, you may find yourself with more room in your budget in no time.
Additionally, you should account for upcoming expenses. Perhaps you anticipate needing to invest in a new vehicle in the near future, are returning to school and need money for tuition payments, or have another large bill on the horizon. Factor these costs into your financial forecast. Do you need to reduce your rental budget to put additional money aside?
As you know, there’s more to consider than merely the “sticker price” of your rental. When you move to a new place, your living expenses are prone to change slightly.
Once you have an idea of how much money you have available to put toward rent each month, dig into the additional expenses that might come with (or be eliminated by) your rental. Depending on what is or isn’t included in your new place, your rental budget may need to be adjusted.
For instance, if you could find a place within walking distance of your work, you may be able to cut down on transportation expenses drastically, freeing up some additional cash to put toward rent.
On the flip side, if you’re moving out of a roommate situation into your own place, you may find that you need to budget a lot more for utilities than you ever have before. Internet, water, and heat add up quickly when there’s nobody around to share the costs!
Remember, your situation is unique and you’re the best judge of what you can afford. The budget guidelines covered above serve as jumping-off points to help you determine a ballpark of how much you can afford to spend on rent. However, you should always analyze the big picture.
Depending on what’s included in your rent, and how well a particular neighborhood is suited to your lifestyle, it may make sense to go over or under those 30, 40, or 50% guidelines. In some rental markets, you may have no choice but to spend a more substantial portion of your income on rent than personal finance experts would typically recommend.
Ultimately, the most important thing is to ensure that you can make your rent payments each month and still have enough money remaining to cover the rest of your expenses.
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]]>The post Security Deposit Laws: State by State appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Ala. Code § 35-9A-201 outlines many of the state’s laws regarding security deposits. Generally, landlords can only request one month’s rent as a security deposit, along with a “reasonable” fee for pets. Tenants are not owed interest on any funds provided as a deposit.
Landlords have to return the security deposit within 35 days after the tenant vacates the premise. However, they can refund less than the full deposit amount as long as the removed funds are covering unpaid rent or damage beyond typical wear and tear or standard cleanings.
In Alaska, state Stat. §§ 34.03.070 and 34.03.210 cover the bulk of the security deposit-related rules. This includes the maximum amount allowable. For rent below $2,000 a month, landlords can charge no more than two months’ rent as a security deposit. For rents above $2,000, there is no limit.
Landlords can remove funds to cover unpaid rent and damage beyond wear and tear once a tenant leaves the unit. The remaining money has to be returned within 14 or 30 days, depending on the reason the tenant had to vacate the unit.
Ariz. Rev. Stat. Ann. § 33-1321 limits security deposits to one-and-one-half months’ rent. However, it does give tenants the option to choose to pay more.
When a tenant leaves, the landlord can use the security deposit to cover back rent, damage over wear and tear, and certain other charges if agreed upon within the lease. If money remains, the landlord has no more than 14 business days to return the excess funds.
Ark. Code Ann. §§ 18-16-303, 18-16-304, and 18-16-305 cover issues relating to security deposits. The maximum allowed amount is the equivalent of two months’ rent.
Once the tenant leaves the property, the security deposit has to be returned within 60 days. However, the landlord can first use any available money to cover any accrued back rent, damage beyond wear and tear, and fees for a breach of lease, if applicable.
Cal. Civ. Code §§ 1950.5 discusses security deposits. The state limits the required deposit to two months’ rent for unfurnished units, and three months’ rent for furnished units.
Additionally, landlords have to return the security deposit funds within 21 days after a tenant vacates. Before doing so, a landlord can remove money for past-due rent, damage beyond wear and tear, and certain other charges outlined in the lease.
Security deposits in Colorado are governed by Colo. Rev. Stat. §§ 38-12-102, 38-12-103, and 38-12-104. There is no security deposit limit listed in any Colorado law or statute.
However, landlords are required to return a deposit – minus any unpaid rent, cash for damages over normal wear and tear, and other charges as outlined in the lease – within one month to 60 days depending on what’s listed in the lease agreement.
Conn. Gen. Stat. Ann. § 47a-21 states that security deposits can be no more than two months’ rent for tenants under the age of 62. For tenants aged 62 or older, one months’ rent is the maximum permitted as a security deposit.
Any interest earned on the security deposit funds is owed to the tenant. However, the landlord can keep security deposit money (and any accrued interest) under certain circumstances. For example, barring any amount to cover damage beyond wear and tear, back rent, or other charges in the lease are approved reasons to keep some or all of the deposit.
Otherwise, Landlords have either 30 days to return the remaining money, or 15 days after being notified of a forwarding address, whichever is later.
Per Del. Code Ann. tit. 25, §§ 5514 and 5311, security deposits aren’t limited. However, for unfurnished units where the renter doesn’t have pets, any amount above and beyond one months’ rent must be returned after the tenant has been in the rental for one year.
When a tenant leaves a property, the landlord has 20 days to return the remaining funds if there are no deductions, such as costs associated with repairing damage beyond wear and tear or covering past due rent. If there are deductions, the cash must be refunded within 20 with a written notice outlining the deductions.
Based on D.C. Code Ann § 42-3502.17 and D.C. Mun. Regs. Tit. 14, §§ 308 to 310, there aren’t specific limits on security deposits. However, the renter is owed any accrued interest on the money, suggesting that it isn’t used to cover back rent, damage, or charges listed in the lease.
Landlords must refund any remaining security deposit money within 45 days of the tenant vacating or they must provide a notice of withholding within that timeframe. With a proper notification, the landlord has 30 days after the notice date to return the remaining deposit.
There are no security deposit limits in Florida. However, Fla. Stat. Ann. §§ 83.49 does state that landlords have 15 days to return the money after a tenant vacates if there are no charges against the deposit. If there are charges, they have 30 days to refund any remaining money.
Georgia also has no formal security deposit limit. Ga. Code Ann. §§ 44-7-30 to 44-7-37 does note that landlords can keep deposit funds to cover standard costs, like late rent, damage over standard wear and tear, and other charges outlined in the lease. Additionally, it states that landlords have one month to return the remaining money.
Haw. Rev. Stat. § 521-44 limits security deposits to one months’ rent. When a tenant vacates, landlords can use the money to cover back due rent, damage beyond wear and tear, and any other charges included in the lease. After that, the rest must be refunded within 14 days.
There are no security deposit maximums in Idaho. Idaho Code § 6-321 does allow security deposit funds to cover any charge agreed upon in the lease, aside from wear and tear. Additionally, it mandates that landlords return the money within 21 to 30 days of the lease ending, depending on what’s in the agreement.
Indiana has no security deposit maximum. 765 Ill. Comp. Stat. 710/1 and 715/1 to 715/3 to cover a range of scenarios. Tenants are owed interest on their deposit if the landlord has 25+ units. Money can be removed from the deposit to cover late rent, damage beyond wear and tear, lease breach fees, and other agreed-upon charges.
After a tenant moves out, if there are no deductions, the landlord must issue a refund within 45 days. If there are deductions, the landlord has to provide a written account along with a partial refund within 30 days.
Indiana does not limit security deposits. Per Ind. Code Ann. §§ 32-31-3, the money can be used to cover unpaid rent and utilities, as well as lease breach fees and damage. Any refund owed must be returned within 45 days of the tenant vacating.
Iowa Code Ann. § 562A.12 limits security deposits to two months’ rent. If a tenant stays in a property for at least five years, they are then owed interest on the funds.
Security deposits must be refunded within 30 days of the tenant leaving, minus any money used to cover back rent, damage beyond wear and tear, and cost of recovering possession of the unit if the tenant was acting in bad faith when withholding.
Per Kan. Stat. Ann. §§ 58-2550, security deposits are limited to two months’ rent. Money can be withheld to cover past due rent, damage over and above standard wear and tear, and for lease breach fees. Otherwise, landlords must return any remaining money within 30 days of the tenant leaving.
There are no security deposit limits in Kentucky. However, per Ky. Rev. Stat. Ann. § 383.580, funds can only be removed to cover late rent, excess damage, and lease breaches. Landlords have 30 days to pay the remaining amount if the tenant claims it properly.
Louisiana has no maximum for security deposits. Based on La. Rev. Stat. Ann. § 9:325, only damage above wear and tear and defaults listed in the lease can be covered with the funds. The landlord must refund the rest within one month. However, if the tenant wrongfully abandons the unit, a refund is not required.
Per Me. Rev. Stat. Ann. tit. 14, §§ 6031 to 6038, security deposits can’t exceed two months’ rent. Aside from wear and tear, the money can be used to address any fees outlined in the lease, including utilities and costs associated with storage.
If there’s a lease, refunds are due within 30 days. In a tenancy-at-will scenario, the money must be returned within 21 days.
Maryland also has a two months’ rent limit for security deposits. Based on Md. Code Ann. [Real Prop.] § 8-203, unpaid rent, lease breaches, and excess damage can be cause for a landlord to keep some of the funds.
Tenants do earn interest on their deposits. Additionally, they are owed a refund of any remaining money within 45 days unless the landlord has just cause for a more prolonged hold.
According to Mass. Gen. Laws Ann. ch. 186, § 15B, security deposits are limited to one months’ rent. Along with being allowed to remove funds to cover back rent and water charges, as well as damage beyond wear and tear, landlords can keep at least some of the money for increased real estate taxes if that is outlined in the lease. All remaining amount due has to be refunded to the tenant within 30 days of vacating.
Mich. Comp. Laws §§ 554.601 to 554.616 covers security deposit rules, including limiting the amount to one-and-one-half months’ rent. When a tenant vacates, a landlord has 30 days to refund the money minus any unpaid rent or utility bill charges, fees for lease breaches, and damage beyond wear and tear.
There are no limits regarding security deposit amounts in Minnesota. However, per Minn. Stat. Ann. §§ 504B.175, 504B.178, and 504B.195, tenants are owed interest.
Within three weeks of a tenant leaving, the landlord has to issue a refund. They can keep deposit money to cover late rent, cleaning costs, and damage beyond wear and tear.
Mississippi does not have any laws limiting the size of security deposits. Miss. Code Ann. § 89-8-21 does require landlords to provide refunds within 45 days of a tenant leaving, minus any money used to cover lease breaches, unpaid rent, or excess damage.
Mo. Ann. Stat. § 535.300 limits security deposits to two months’ rent. A lease breach, unpaid rent, and damage over and above standard wear and tear can allow a landlord to keep all or some of the money. Otherwise, they must provide a refund within 30 days of the tenant vacating.
Mont. Code Ann. §§ 70-25-101 to 70-25-206 don’t limit the amount of security deposits. However, they do state that landlords can use the money to cover unpaid rent, damage beyond wear and tear, and lease breach fees. Otherwise, they have 10 to 30 days to refund the rest.
Neb. Rev. Stat. § 76-1416 limits security deposits to one months’ rent unless there is a pet involved. Lease breaches, unpaid rent, and excess damage can all be cause for the landlord to keep some or all of the deposit. The landlord has 14 days to return the deposit after the exiting tenant requests it and provides a valid forwarding address.
Security deposits are limited to three months’ rent (with one month’s worth counting as “last month” rent) per Nev. Rev. Stat. Ann. §§ 118A.240 to 118A.250. The money can be used to cover past due rent, cleaning, and damage in excess of standard wear and tear. Any remaining funds must be returned to the tenant within 30 days of vacating.
Security deposits limits vary depending on the number of units a landlord has. N.H. Rev. Stat. Ann. §§ 540-A:5 to 540-A:8 doesn’t limit landlords who have six or fewer units. However, for those with more than six units, security deposits can’t exceed one months’ rent.
Tenants can be owed interest on security deposits that are held for more than we months’. Additionally, refunds – minus any unpaid rent, real estate tax costs, and excess damage – have to be issued within 30 days.
N.J. Stat. Ann. §§ 46:8 covers details about security deposits. Landlords can’t charge more than one-and-one-half months’ rent. Additionally, after back rent and funds to cover damages have been recovered, landlords have no more than 30 days to issue a refund. If the tenant is forced out of the property due to flood, fire, evacuation, or condemnation, the landlord only has five days.
In accordance with N.M. Stat. Ann. § 47-8-18, security deposits must be “reasonable.” If the amount exceeds one months’ rent, tenants are owed interest.
Landlords have to refund the deposit within 30 days. However, they can use the funds to cover late rent, damage beyond wear and tear, and lease breach fees.
N.Y. Gen. Oblig. Law §§ 7-103 to 7-108 covers many of the security deposit requirements in the state. If a unit isn’t subject to the Emergency Housing Rent Control Law or City Rent and Rehabilitation Law, security deposits are limited to one months’ rent. Additionally, landlords typically have 14 days to refund the deposit after handling approved costs, like addressing damage beyond wear and tear.
N.C. Gen. Stat. §§ 42-50 to 42-55 cover most security deposits rules in the state. If a tenant is week to week, security deposits can’t exceed two weeks rent. For month to month, the limit is one month. When a tenant has a longer lease, two months’ rent is the maximum. However, pet deposits don’t count toward the maximum and can be nonrefundable.
Landlords can use security deposits to cover past due rent, excess damage, and specific utility costs. Beyond that, landlords have 30 to 60 days to provide a refund.
N.D. Cent. Code § 47-16-07.1 discusses security deposits in the state. Security deposits can’t exceed one months’ rent. However, pet deposits can be up to an additional $1,500.
Tenants are owed interest on their security deposits. Additionally, after removing money for late rent, damage beyond wear and tear, and cleaning fees listed in the lease, landlords have 30 days to issue a refund for the remaining amount.
There are no security deposit maximums in Ohio. However, per Ohio Rev. Code Ann. § 5321.16, security deposits can only be used to cover unpaid rent and excess damage. Otherwise, refunds are owed with 30 days.
Okla. Stat. Ann. tit. 41, § 115 requires landlords to refund security deposits within 30 days, though it does allow landlords to keep deposit money to cover approved costs, including unpaid rent, lease breach fees, and damage above wear and tear. Otherwise, there are no limits to the size of the deposit.
There are no limits regarding security deposit maximums in Oregon. However, Or. Rev. Stat. § 90.300 does require a refund – minus unpaid rent, lease breach fees, and damage beyond wear and tear – within 31 days of the tenant vacating.
Pa. Cons. Stat. Ann. §§ 250.511a to 250.512 sets the maximum security deposit at two months’ rent for a one year lease. If the money is held by the landlord for more than two years, interest is due to the tenant.
When it comes to refunds, after removing money to cover unpaid rent, lease breach fees, and excess damage, landlords have 30 days to return the money.
Per R.I. Gen. Laws § 34-18-19, security deposits are limited to one months’ rent. Unpaid rent and damage over and above standard wear and tear can be covered with the month. Any remaining funds have to be given back to the tenant within 20 days of them vacating.
S.C. Code Ann. § 27-40-410 requires landlords to provide refunds within 30 days of a tenant vacating, though also allows the landlord to use the money for approved expenses, including addressing unpaid rent and excess damage. However, there are no security deposit maximums in the state’s laws.
Aside from special circumstances, S.D. Codified Laws Ann. §§ 43-32-24 limits security deposits to one months’ rent. Back due rent, damage, and other fees in the lease can be covered with the funds. Otherwise, the landlord must refund any remaining money within two weeks.
Tenn. Code Ann. § 66-28-301 does not limit security deposits. Additionally, it allows landlords to keep some or all of the money to cover any amounts owing as well as damage beyond wear and tear. When it comes to refunds, landlords have ten days after a tenant vacates.
Tex. Prop. Code Ann. §§ 92.101 to 92.109 does allow landlords to use security deposits to address lease breaches and damage. There are no maximums listed in any laws, though landlords are legally required to refund any remaining funds within 30 days of a tenant vacating.
Utah does not limit the size of security deposits. However, Utah Code Ann. §§ 57-17-1 to 57-17-5 does require refunds to be provided within 30 days of a tenant leaving, minus any funds used to cover past due rent, cleaning, lease breach fees, and excess damage.
Vt. Stat. Ann. tit. 9, § 4461 doesn’t limit security deposits. However, it does require refunds to be issued by landlords within 14 days of a tenant vacating, minus money used to cover unpaid rent, damage beyond wear and tear, abandoned property removal from the unit, and utility nonpayment.
Per Va. Code Ann. § 55.1-1226, security deposits can’t exceed two months’ rent. Additionally, if a tenant remains for more than 13 months’, they are legally owed interest.
Security deposit funds can be used to cover late rent, lease breaches, and excess damage. Otherwise, the remaining money must be returned within 45 days.
Wash. Rev. Code Ann. §§ 59.18.260 to 59.18.285 does require refunds to be issued within 14 days or a tenant vacating. However, there are no legal maximums. Additionally, landlords can use the funds for any purpose as long as they are agreed upon in the lease, and a condition checklist is completed properly.
W.Va. Code § 37-6A-1 et seq. defines many of the terms associated with security deposits and rental agreements. However, there are no state laws that set maximum security deposit amounts or govern when and how those funds should be returned.
There is no maximum security deposit law in Wisconsin. However, there are certain rules, as outlined in Wis. Admin. Code ATCP 134.04 and 134.06, as well as Wis. Stat. § 704.28. Security deposits can be used to cover unpaid rent, removal of abandoned property, utility nonpayment, and damage beyond wear and tear. Otherwise, all remaining funds must be returned to the tenant within 21 days of them vacating the unit.
Wyo. Stat. §§ 1-21-1207 and 1-21-1208 do not limit the amount a landlord can charge as a security deposit. However, it does restrict the use of those funds to past due rent, cleaning fees, and damage above wear and tear, as well as other costs that were agreed upon in the lease.
For refunds, landlords have 30 days after the lease is terminated or 15 days after the tenant gives them a forwarding address. Utility deposits have to be returned within 10 to 45 days, depending on the exact situation.
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]]>The post The Rental Application Process: How to Succeed at Every Step appeared first on Flex | Pay Rent On Your Own Schedule.
]]>By preparing your application, you can make the process go quicker and more smoothly, while also giving you an edge in getting your rental application approved.
Not every rental application is exactly the same, but most landlords or property managers are looking for similar basic information. Here is what you might expect to fill out on a rental application.
This is a quick snapshot of what the landlord first sees when looking at your application. Here’s where you’ll enter your name, email address, and phone number. You can also expect to provide the following:
There is often an optional space at the bottom of this section to tell a little about yourself. It’s better to fill this out than to leave it blank.
The best thing to put here is the reason you’re moving and why you want to rent this particular unit. Are you relocating? Moving out for the first time? Do you like the school district? Love the neighborhood? Just a short paragraph as to who you are and why you want this apartment or rental property.
Note: The only really negative answer would be that you need this place because you were evicted from your last place. If that’s the case, it’s usually best to explain the reason for the eviction here because once the landlord sees your background check, they will find out if you’ve ever been evicted.
For example, maybe you were evicted because your roommate sublet their room without permission and the landlord just evicted everyone on the lease, but now you don’t have that particular roommate. Or maybe you didn’t pay the rent one month because you were laid off but now you have a new job and have learned to communicate with your landlord if there could be a problem paying rent.
Whatever the case, try to show that whatever got you evicted is unlikely to happen again.
This section asks for your current employer, so you’ll need to provide the name of the company you work for. If you’re self-employed, indicate that. You will probably be asked your role or position, your start date, how much you make per month and/or year, and the name, email address, and phone number of your manager or contact person at work.
Landlords generally want to see that you make at least three times the rent. If you don’t make that much on your own, try to get a roommate so that together you’ll have enough income to qualify. You can also take on some gig work to make extra money. Be prepared to show that you’ve been making extra gig work money for at least three to six months for the landlord to consider that as extra income.
If there’s a place for additional comments, you can describe in a sentence or two what exactly it is that you do.
This section is for you to list your current and past residences. You’ll need to provide the street address, city, state, and zip code for each place you lived. You’ll also need to indicate the date you moved into each place, the date you moved out, how much you paid in rent, and your landlord or manager’s name, email address, and phone number.
If there’s an additional comments section here, you might want to give permission to your potential new landlord to contact your past landlords for more information. Or if you were evicted at one place, you can explain the reason here if you haven’t already.
List two or three references of people who can vouch for how responsible you are. This can be a past landlord, a manager or coworker, a teacher, or a neighbor. Your best friend, while they will probably say nice things about you, isn’t really the best reference.
Provide the contact information of all your references (name, email address, and phone number), how long you’ve known this person, and their relationship to you.
Be prepared to provide an emergency contact (name, email address, and phone) and to describe the type and number of pets you have. Note that if pets are allowed, there are often restrictions on how many pets you can have, as well as what dog breeds are permitted.
There might also be a yes or no checklist that asks you the following:
If you answer “yes” to any of those questions, you should explain the reason in your application.
As part of the rental application process, you will probably be asked for permission to have your credit and background checks pulled. You’ll likely pay a fee for this, typically around $40 or $50.
What the landlord is likely to see from your credit report are the following:
What the landlord is likely to see from your background check is whether you have any criminal records. If you do, the landlord can probably see what they are. Landlords usually are leary about renting to people with a recent major criminal conviction or to people who have been evicted.
If your credit and background checks are acceptable, your potential landlord might ask you to provide additional information. Some common types of information landlords ask to see are the following:
If you are not approved for the rental you want, you might be approved if you add a cosigner. Make sure the cosigner has good credit, as they will probably be asked to fill out the same application as you. Your cosigner will be legally responsible for paying the rent if you don’t, so make sure your cosigner understands this. And try not to make your cosigner responsible for your rent.
All the above might seem like a lot, but landlords have a right to ask all that information. Landlords and property managers do, however, have limits as to what they can ask you because of the Fair Housing Act, which prohibits discrimination based on seven protected classes. Here is a list of the protected classes, what landlords cannot ask you, and why:
You typically need to sign a lease that commits you to staying in the rental unit for a certain length of time, paying rent on time each month, and abiding by all the lease terms. You will also probably need to pay your move-in costs at lease-signing time, so make sure you know what they are and have the funds ready.
Move-in costs vary depending on the unit, but they are typically first month’s rent plus security deposit and any extra fees (such as a pet fee), or maybe first and last month’s rent plus security deposit and any extra fees.
If you break the lease and leave early, you are still responsible for paying the rent — unless you have a lease-break fee you could pay or until the landlord re-rents. If you don’t pay the rent and are evicted, you’ll probably have a more difficult time renting in the future.
Renting a house or apartment is serious business. Landlords and property managers need to be reassured that you will be a responsible tenant. Now that you know what most landlords are looking for, you should have an easier time with the rental application process.
The post The Rental Application Process: How to Succeed at Every Step appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post Pay the Rent Online: Where and How to Do It appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Online rent payments are typically the preferred option for tenants. It allows you to get your rent to your landlord with ease, often with just a few clicks or taps. However, many landlords don’t offer this option upfront. If you are wondering where you need to go to pay rent online, how you make online rent payments, and what you should do if your landlord doesn’t accept online rental payments yet, here’s what you need to know.
Given the choice, the vast majority of renters would rather pay rent online than use any other approach. Society is increasingly tech-oriented, and many people – particularly Millennials and Gen Z members – are used to handling nearly all of their other bills online.
The fact that online rent payments aren’t widely available feels like an anomaly, as a result. It makes it seem as if many landlords are behind the times.
First and foremost, paying rent online is convenient. The ability to send off a rent payment with just a few clicks make the entire process streamlined and simple.
Second, tenants don’t have to worry about when their rent will arrive. Think about it; if you need to pay your rent by check through the mail, you have to write it and get it in the post office’s hands at least a few business days before it’s due. Otherwise, it’s possible that the check won’t arrive by the due date.
But if your budget is tight, having your rent check show up too early could be a problem. For example, many people get paid on the first of the month. If you fall in that group, and that’s the date your rent is due, timing your check precisely might be a must. Otherwise, you could end up overdrafted, or the check may bounce, neither of which is good.
Paying rent online means you get precision timing. You can set that payment to go at just the right moment, eliminating the problems above.
As a bonus, some online rent payment apps report your payment history to the major credit bureaus. If you need to build or repair your credit, this could be a boon for anyone who pays their rent on time without issue.
Finally, many online rent payment options are very secure. When you send a check through the mail, you’re potentially taking a bit of a risk. Along with it not arriving on time, it could end up in someone else’s hands. Most checks have your name, address, and bank account information on them, which gives scammers a lot to work with.
Generally, there aren’t many drawbacks to paying rent online. While it’s true that no system is 100 % safe, as long as the site you use is secure, your risk of exposure is pretty limited.
Additionally, the approach may not work for the unbanked. Typically, you’ll need to provide bank account details to make payments, which makes having a checking or savings account a must. However, if the rent payment app accepts debit cards, you might be able to use a prepaid card, making it possible for the unbanked to pay rent online, too.
Otherwise, the only real risk is a lack of internet service. For example, an unexpected outage may mean that you can’t get online to pay your rent when you want to, potentially making you late. However, if the rent payment system allows you to schedule payments in advance, then your connectivity won’t matter, as it will go through on the date you previously selected.
There is a slew of options when you want to pay rent online. Here is an overview of just some of the most popular places to pay rent online:
Generally, both you and your landlord have to be on the same platform to use it for online payments. Additionally, it’s important to note that not all of the options above are available to all tenants. In some cases, a service is limited to renters who secured a property through a specific platform. For example, only properties listed using Zillow can use Zillow Rental Manager for payments.
Precisely how you pay rent online depends on the app you use. Each online rent payment app has its own processes in place, so there could be some differences between each option.
However, most of them will work similarly. You’ll have to set up an account, for starters. Usually, this involves providing your name and contact details
Next, add bank account or debit card information. That way, the app can process your payment requests. Plus, thanks to your contact information, it can provide you with critical information, like receipts, through the mail or via email.
After that, you’ll need to identify your landlord in the app. That is critical for making sure that your rent payment goes to the right person. Exactly how you select your landlord will, again, vary by app.
Beyond that, all you may need to do is decide if you’d like to make payments manually or set up automatic payments. With auto-pay, you never have to worry about forgetting your rent payment. On the day you choose, the app will initiate the transaction all on its own.
The auto pay approach can be great for anyone who tends to lose track of the date or has made a mistake in the past. It ensures you’re always on time, as long as you have enough cash in your account to cover rent.
However, some people may prefer the manual approach. With that, you’ll have to log into the app each month and tell it to pay your rent. You may be able to set up a single payment in advance, choosing your due date for the transaction to go through, or might be limited to immediate payments, depending on the app.
Manual rent payments may be best if your budget tends to be incredibly tight, and you want to avoid accidental overdrafts. It could also be a better approach for anyone who prefers to have full control over every payment and gets peace of mind from actually seeing the transaction initiate.
If your landlord doesn’t accept online payments, you do have a few options. First, if you have a good rapport, you can always reach out and talk to them about the various platforms. Sometimes, a conversation is just the easiest way to broach the topic.
At times, one of the apps may even make it easier. For example, Avail has an Invite My Landlord feature With that, you can reach out to your landlord after you sign up on the platform and ask them if they’d like to use the app to accept payments.
If your landlord isn’t too keen on signing up with an online rent payment service, you aren’t completely out of luck. If your bank offers online bill pay, that can provide a similar experience. It may still rely on a check going out in the mail, but your bank will be the one cutting the check and sending it on its way. This approach also lets you set up recurring payments, making it just like auto-pay.
You might also be able to pay your landlord via PayPal or Zelle. This can be convenient, but be aware: these services do not offer payment protection for this kind of transaction.
At a minimum, it’s worth discussing online rent payments with your landlord. Often, it’s more convenient for everyone involved. As a result, if they weren’t aware that rent payment apps were available, they may appreciate you bringing it to their attention.
The post Pay the Rent Online: Where and How to Do It appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post 16 Insightful Cost of Living Statistics – 2020 appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Many people place a great amount of value on the cost of living metrics. This is especially true if they are considering moving to a new area, planning a lengthy vacation, or trying to determine the best place to open a new business. Of course, there are some quirky cost of living factoids that are simply interesting. For the curious, here are 16 insightful cost of living statistics that might pique your curiosity.
For the cost of living, a score of 100 reflects the national average. When a state has a score below 100, that means it is a less expensive place to live in comparison to the average.
On the cheap end of the spectrum is Mississippi. The state has a cost of living index of just 84.7. When it comes to housing specifically, Mississippi sits at an astonishing 66.1, the lowest in the nation.
[Source: Missouri Economic Research and Information Center]
While it’s no secret that living in Hawaii isn’t cheap, it’s cost of living score takes many people off guard. The Aloha State has a score of 197.6.
Possibly even more distressing is Hawaii’s housing cost score. That comes in at a shocking 334.2, also the highest in the nation.
In fact, Hawaii doesn’t have a single cost of living score below 100. For groceries, utilities, transportation, and healthcare costs, ever score is above average.
[Source: Missouri Economic Research and Information Center]
When it comes to financial security, the cost of living concerns households in the United States the most. Forty-seven percent of Americans label cost of living increases as the biggest threat to their financial security.
Coming in a close second was concern about the rising cost of healthcare, which 44% of survey participants felt was a major threat. In third place, with 34 percent of respondents citing it as a concern, was economic slowdown or recession.
[Source: CNBC]
Not one, but three cities have the somewhat dubious distinction of having the highest cost of living. Osaka, Singapore, and Hong Kong all tied for first.
[Source: The Economist Intelligence Unit]
When it comes to high-cost living, New York City isn’t just a leader in the United States. When compared to other major metro areas from all across the globe, NYC comes in 4th.
Rounding out the top 5 is Zurich, Switzerland.
[Source: The Economist Intelligence Unit]
Damascus, Syria, and Tashkent, Uzbekistan, tied in 2020, both coming in with the lowest cost scores among major cities. Rounding out the bottom five are Almaty, Kazakhstan, Buenos Aires, Argentina, and Karachi Pakistan.
[Source: The Economist Intelligence Unit]
In just a single year (2017-2018), Colorado Springs, Colorado, saw its cost of living shoot up by 35.61%. That means, to live comfortably, households need nearly $17,600 a year more than they did the previous year.
Not far behind them was Austin, Texas, with a 33.92% rise, followed by Columbus, Ohio, at 31.48%. Rounding at the top five were Fresno, California, and Arlington, Texas, with 31.29 and 30.53%, respectively.
[Source: Forbes]
The coronavirus impacted the U.S. economy in a number of ways, including leading to the largest decline in the consumer price index (CPI) since December 2008, at the height of the last economic recession.
In March 2020, the CPI fell by 0.8%. Then, in April, it dropped another 0.8%.
While the CPI did rebound, rising by 0.6% in June 2020 alone, it is still a clear demonstration of the volatility created by the pandemic.
[Source: Reuters and Bureau of Labor Statistics]
When people think of hot housing markets, they usually turn their attention to major cities on the coast. However, it isn’t Seattle or San Francisco that is seeing prices skyrocket. Instead, Boise, Idaho, is leading that charge.
Last year, home prices rose by 11.1% in Boise. That put the city ahead of other hot markets, including Tucson, Arizona, and Chattanooga, Tennessee.
[Source: Market Watch]
On the other side of the housing spectrum, Peoria, Illinois, is seeing some significant declines when it comes to prices. The average two-year price change was -15.9%. Approximately 21% of all mortgaged properties are underwater, and foreclosure a reality for 1 in every 932 homes there.
[Source: Yahoo! Finance]
On average, U.S. families spend $4,947 on their home utilities. That includes water, electricity, garbage, internet, cable, and natural gas bills.
[Source: Move.org]
On average, households in Hawaii spend over $7,050 a year in utilities. While high electricity bills play a role, natural gas rates really tip the scales. Hawaii residents pay more for natural gas than people living in any other state, with the average cost coming out around $2,676 a year for gas alone.
[Source: Move.org]
On average, a family of four spends between $591 and $1,350 on groceries. Exactly how much they spend can depend on a few factors. For example, food prices differ between cities and states. Additionally, households with older children usually spend more than households with younger children.
Further, whether the family is using a thrifty plan or a higher-cost plan matters. For example, a low-cost approach averages between about $756 and $895, while a moderate-cost plan comes in closer to $933 to $1,114.
[Source: Department of Agriculture]
The federal minimum wage has remained stagnant in the United States for some time. The last increase was in 2007, bringing it up to $7.25 per hour.
Since inflation slowly erodes the value of a dollar, the minimum wage’s purchasing power has fallen by 17% in the past ten years, even after the values were adjusted to 2019’s using CPI-U-RS.
In comparison to 1968, the minimum wage’s real value has dropped by 31%. That means individuals who work full-time and earn minimum wage are bringing in a salary worth the equivalent of $6,800 less than those who earned minimum wage more than five decades ago.
[Source: Economic Policy Institute]
The first federal minimum wage came into existence in 1938, which was over 80 years ago. While it has been increased several times, it only rose $7 in 71 years (between 1938 and 2009, the year the last raise was put in place). That averages out to just $0.09 a year.
[Source: CNN]
While the federal minimum wage is just $7.25, many cities and states have a higher minimum. The U.S. capital city has the highest in the country: starting on July 1, 2020, Washington, D.C. businesses had to start paying their staff at least $15.00 per hour for non-tipped positions. Positions that earn tips have to have a base wage of at least $5.00 per hour, though the employer does have to make up the difference if they don’t reach the equivalent of $15 per hour with their tips.
That means Washington, D.C., leads the minimum wage pack. In second-place is Washington State, which comes in at $13.50. California is third with a minimum wage of $13.00.
[Source: D.C. Department of Employment Services and U.S. News]
Ultimately, the cost of living figures impact every person. It determines how far their income can go, influencing their quality of life and whether they achieve certain goals, like owning a home.
Wages also play a role. If an area has a high cost of living without income levels that align with those cost, households may struggle to make ends meet.
Understanding various aspects of the cost of living can be beneficial, as it allows households to potentially make wiser financial choices. At a minimum, some of the data is helpful, as it highlights areas where costs may be particularly hard to manage.
The post 16 Insightful Cost of Living Statistics – 2020 appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post Programs That Help Pay Rent: How to Find Assistance appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Luckily, if you need help paying rent, there are options on the table. Most communities have several rent assistance programs available. You simply have to know where to find them. If you aren’t sure that you’ll be able to make rent and need financial assistance, here is what you need to know about rent aid, including how it works and where you can find it.
Whether a rent assistance program offers one-time or on-going support depends on how the organization operates. Every group can choose its own approach. There is nothing that mandates that they assistance someone repeatedly, even if the person’s need remains the same over time.
However, most organizations use short-term approaches. For example, many non-profits that provide direct support only do so when a person is at risk of eviction. Generally, this form of assistance is meant to be one-time, providing the individual or household with enough help to keep a roof over their head while they figure out any next steps.
In some cases, non-profits do offer financial assistance before the threat of eviction is looming. But this approach is far less common. This is especially true during challenging periods, such as the Great Recession and the COVID-19 pandemic, as the number of people requesting assistance tends to rise, leading non-profits to adopt more stringent guidelines.
Typically, the only rent assistance programs that are designed to be on-going are those operated through government agencies. With those, the purpose is to ensure vulnerable members of the community – such as low-income families, individuals with disabilities, and seniors – are able to secure housing.
There are government programs that help low-income households – as well as seniors and individuals with disabilities – afford housing. Usually, you’ll find robust housing search tools that can simplify the process of finding a low-cost property. Additionally, there will be details about any rental assistance that the agency makes available.
For affordable housing support, you may want to start your rent assistance search with the U.S. Department of Housing and Urban Development (HUD). This agency manages the Housing Choice Voucher Program, also known as Section 8. If you qualify, you essentially get subsidized rent. The government pays part of what you’d owe, reducing how much you have to cover.
Now, Section 8 won’t necessarily handle back-rent. Additionally, not all properties are part of the Section 8 program. Landlords have to choose to participate, and not all do.
But Section 8 isn’t the only option through HUD. The agency also oversees certain public housing units. The properties are actually managed by HUD, allowing it to keep full control over critical issues like rent costs, making them more affordable. Again, this isn’t a quick solution, as it can take time to gain access to a property even if you qualify. Still, it is worth exploring.
There are government rent assistance programs operated at the state level. Which one you can turn to depends on where you live. For example, if you live in Washington State, you can find housing assistance options through the Washington State Department of Social and Health Services (DSHS), which operates the Housing and Essential Needs (HEN) Referral Program.
Many organizations provide rent assistance on a national level. At times, you may have to head to a local office for information or may be able to reach out online or over-the-phone to see if you qualify for their programs.
If you need rent assistance, here are some organizations that may be able to help:
As mentioned previously, every organization sets its own requirements regarding who qualifies for the programs. Usually, there are guidelines that outline who is eligible, though each group may look at each request individually, making decisions on a case-by-case basis. Worst-case, it usually doesn’t hurt to reach out and speak with a representative. That way, you can find out if you may qualify based on your unique situation.
Most communities have multiple local organizations that may provide rent assistance to individuals or households in need. In fact, there are so many local organizations throughout the country that listing them all isn’t practical. However, most of them fall into specific categories, making nearly anything in the niche an ideal place to start.
If you are looking for rent assistance, start with community non-profits. These can take a variety of forms, though they all tend to be focused on a geographic area and concentrate their support on low-income or vulnerable segments of the population. You may be able to locate these by conduction an online search featuring your city or county name, as well as terms like “community outreach,” “community financial assistance,” or “community support.”
Religious or spiritual organizations also frequently provide assistance to members of their local communities. While some may focus on their congregation, others are more open, potentially providing support to anyone who may be in need regardless of their faith. Usually, if you want to explore support options through faith-based non-profits, you can conduct a search for local churches, temples, synagogues, mosques, and similar organizations to find out who is in your area.
There is no single formula that determines whether a person qualifies for rent assistance. Every program is allowed to set its own requirements, so there is a significant amount of variation between how organizations approach the matter.
With government rent assistance, there is usually a clear line in the sand. For example, income limits are commonly part of the equation and, if you earn more than the cutoff, you aren’t eligible. Being over a certain age may be a necessity for specific programs. Similarly, some options focus on disabled individuals, in which case you would need to have a diagnosed qualitying medical condition to apply for aid.
For programs run by non-profits, different requirements may be in play. For example, you might have to have proof that an eviction is imminent to be eligible for assistance through some emergency-only support programs. If you are looking for help to make sure you don’t miss an upcoming rent payment, non-profits who assist people in those situations may review your income as a primary determiner.
It’s also important to note that what it takes to qualify can change over time. Non-profits may have to adjust their programs based on the availability of funds, adopting more stringent requirements when the coffers begin to dry.
There are other options that may allow you to get help paying rent even if you don’t qualify for assistance through a non-profit. Not all of these approaches will work for everyone, but most are worth considering if you are in a bind.
ModestNeeds can be a solid option for securing financial assistance. You complete an application to see if you are eligible for support through the organization, which is a non-profit. If you qualify, ModestNeeds doesn’t automatically send you money. Instead, your application will be featured on the site, and individual donors can choose to provide you with assistance if they so desire.
Donors on ModestNeeds also have the option to send money without specifying a recipient. When this happens, ModestNeeds directs the funds based on where it will make the most significant impact, which could be you.
Another approach that may allow you to receive direct support is by launching a GoFundMe campaign. You may attract donors from all over the country and could receive more than you request.
Usually, crowd-funding success relies heavily on the size of your social media network, as well as the number of contacts your contacts have. Typically, the majority of a person’s donations come from people they know, friends-of-friends, or other relatively close connections.
But you can try it regardless, as there is no cost for setting up a GoFundMe request. You only pay based on a percentage of the donations you receive, so your risk is minimal as long as you are comfortable with your story being public.
Finally, if you still need help, you may want to speak with family and friends directly. Those who care about you want you to succeed, and having a roof over your head is part of that equation. If they are able, they may be able to lend you a hand.
It’s also wise to speak to your landlord directly. Ultimately, it rarely hurts to ask, particularly if your due date is getting close, and you know you won’t make it. After all, they may be able to offer alternative arrangements, especially if your shortfall is likely to be temporary.
The post Programs That Help Pay Rent: How to Find Assistance appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post Paying the Rent Late Every Month: How Risky Is It? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Before reading on, though, you should also consider Flex. Flex splits your rent into two payments, so you don’t have to pay it all at once. Click here to check it out.
Many landlords give tenants a grace period in case they can’t get the rent in on time. A grace period is usually for a few days past the due date. So instead of charging you a late fee when you’re only one or two days late, many landlords won’t start charging a late fee until you’ve missed the deadline for the grace period.
But there are often misunderstandings about grace periods. In fact, a grace period misunderstanding happened to me as well.
I once had a tenant who always paid rent on the last day of the grace period. I didn’t really like that practice because rent for my properties is due on the first of the month, not the last day of the grace period. So when I brought this up with my tenant, they told me they figured rent was really due on the last day of the grace period. I explained that the grace period is an exception to the rule, to be used only rarely, if at all, and is offered as a courtesy. After we got on the same page as to what the grace period meant and when rent was really due, everything was fine.
You might have a late fee policy in your lease, which could lead you to believe that paying late is an acceptable practice. And while it’s probably true that receiving rent late might be acceptable to a landlord on occasion, most landlords prefer to receive the rent on time. My lease, for example, states the following:
Tenant will pay landlord a late charge if tenant fails to pay the rent in full within three days after the date it is due. The late charge will be $50, plus $5 for each additional day that the rent continues to be unpaid. The total late charge for any one month will not exceed $75. Landlord does not waive the right to insist on payment of the rent in full on the date it is due.
Let’s break down the language in my lease:
If rent is due on the first of the month, there is no late charge if the tenant pays on the first, second, third, or fourth of the month. But if the tenant doesn’t pay rent by then, here is what they would owe under my lease:
If the tenant still hasn’t paid by the eleventh day of the month, I will plan to start eviction proceedings unless we have worked something out.
Note that some states cap how much landlords can charge in late fees, so make sure you know the law for your state so that your landlord doesn’t charge you more than what’s allowed.
But what does that last line in my lease mean: Landlord does not waive the right to insist on payment of the rent in full on the date it is due?
This means that although a landlord might give their tenants a grace period and then some extra time beyond that to get the rent in with late charges, the landlord does not have to allow this.
Most landlords who offer a grace period and late charges option won’t evict a tenant the first time they are late. But if paying late becomes a habit, the landlord might get tired of hounding that tenant for rent — and waiting to pay their own bills until their tenant finally gets around to paying rent. If late payments continue, a landlord might say, “Enough,” and give an eviction notice the next time that tenant is even one day late, and that lease clause makes that action permissible.
Just like what happened with my car — the finance company being fed up with my constant late payments and taking my car one day — can happen with a rental house or apartment. You don’t want to let your rental situation get so bad that you get an eviction notice.
Even if your landlord doesn’t evict you if you pay the rent late every month, they might not be too keen on offering you another lease. If you pay the rent late every month, and every month the landlord needs to remind you to pay rent, your landlord is probably not too happy with you.
Ideally, you should be the one to call the shots on whether you stay or go. You don’t want to be forced to move after your lease is up if you want to stay. Think about the hassle and expense of moving that could have been avoided simply by paying the rent on time.
Although your landlord probably doesn’t care why you are late each month (they really just want their rent), you should understand why you’re late all the time. Are you just careless or forgetful? Or is it because you don’t have the money?
Either way, you could try to change things. If you’re careless or forgetful, you could calendar the rent payment to help you remember. If you don’t have the money, you could try to take on another job, or work out a budget that leaves you enough money to pay the rent at the end of the month.
Instead of regularly paying the rent late, you could also try Flex. Flex splits your rent into two payments, so you don’t have to worry about paying your entire rent on the first. Click here to check it out.
The post Paying the Rent Late Every Month: How Risky Is It? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post Where to Get Emergency Help to Cover Your Rent appeared first on Flex | Pay Rent On Your Own Schedule.
]]>But don’t look at your dwindling bank account balance and admit defeat. You still have options, and we’ll cover them in this article. From picking up some extra work or asking for a loan to local or federal relief organizations, there are a myriad of ways to get emergency help with the rent.
Read on to learn more.
Asking for money never feels good, but sometimes it’s smart to swallow your pride. If you’re going through a rough time financially, your family and friends are sure to sympathize. It most cases, it’s probably preferable to ask your family for a short-term loan rather than risk your credit score or the chance of eviction.
Your loved ones are sure to understand. And even if your family or friends are unable to help with your entire rent payment, they may be able to chip in a portion.
Depending on your relationship, it may be helpful to outline terms of the loan. Create a payment plan and even an interest rate, if it feels appropriate to do so.
Don’t underestimate the power of your community. Your family, friends, and acquaintances might be able to help you find extra work to cover your rent.
Ask your old (or current) boss, your colleagues, your neighbors. Connect with everyone you know and ask if they’ve heard of any side gigs or odd jobs you could help out with.
You don’t have to share that you’re short on rent money. Just mention that you had some unexpected expenses come up and you’re trying to earn some extra cash.
Don’t be too picky. Take on jobs even if you don’t like them. Create opportunities for yourself by identifying ways you can help others. Offer to mow peoples’ lawns, walk their dogs, clean their gutters, babysit their kids, paint their houses. Pitch any service you can think of that someone may benefit from.
You could also become a driver for a service like Uber or Lyft, pick up odd jobs through TaskRabbit, deliver groceries through Instacart, or pick up online work through one of the many freelancing sites out there. These options all enable you to maintain a flexible schedule and squeeze gigs in whenever it’s convenient for you.
You may be surprised to learn that there are many federal programs and organizations that offer emergency help with rent, including the Housing Choice Voucher Program. From non-profits and faith-based organizations to government initiatives and Veteran Affairs offices, there are all kinds of avenues you can pursue.
Keywords like “rent relief” or “rent assistance” plus your state are sure to reveal a plethora of options from an internet search.
Additionally, some of these organizations, such as the Legal Aid Society, specialize in helping individuals who have received eviction notices. They may be able to help you get a payment extension, come up with the necessary funds, and more. To locate these services, input search terms like “eviction assistance” or “eviction prevention” and your state.
Keep in mind, most of these programs have specific eligibility requirements. They may need to see proof that the reason you’re unable to make your rent payment is due to unforeseen circumstances, rather than simply poor money management. On top of that, many of these programs can be utilized by an individual only once per year. This means you should only seek their assistance if you’ve already exhausted other options.
There are also many options for receiving rental assistance from local organizations. Your city’s Salvation Army branch, Department of Social Services, local nonprofits, and local chapters of faith-based charities such as the St. Vincent De Paul Society, are all great places to start.
Like some of the federal organizations mentioned above, local rent relief programs have varying requirements and aren’t meant to be used on an ongoing basis.
To find these services, do an online search for “rent relief” or “rent assistance” plus the name of your city. Alternatively, you can contact your local United Way chapter or your city hall and they will be able to point you in the right direction.
Payday loans are best used as a very last resort as they usually have extremely high interest rates compared to other types of loans.
Typically, payday loans will enable you to borrow up to $500. Usually, you can qualify if you have a bank account in good standing and proof of employment. You give the lender a personal check and they transfer the funds into your account. On your next payday the lender will cash the check to recoup the funds.
Given the way payday loans work, it’s critical that you have the funds available to pay them off. Otherwise, your check will bounce resulting in account fees, interest accrual, and possible damage to your credit score. With this in mind, only use a payday loan as a last resort.
It’s always best to be up-front with your landlord rather than simply neglect to pay your rent. Some landlords may be willing to temporarily lower your rent or allow you to pay in installments if you present them with a solid timeline.
You may even be able to work off a portion of your rent payment by taking on some property maintenance or management duties on your landlord’s behalf. Don’t be afraid to pitch an idea like this to open the door for negotiations.
The most important thing is to communicate with your landlord early. This will help you stay in your landlord’s good graces and offer you peace of mind as you continue your mission to come up with the funds you need.
There are organizations and federal initiatives that provide disaster relief assistance to cover housing and food costs for individuals affected by COVID-19.
There has been legislation passed in many states preventing evictions during COVID-19 or stipulating that no late fees or penalties be charged if renters fail to pay on time or at all. These laws vary by state so it’s up to you to research the relief efforts available in your area.
At a local level, many cities have developed their own rental relief programs to support residents. Many of them offer grants to renters to assist with rent on a one-time basis or over a period of months.
The eligibility requirements for these programs vary and some are based on a lottery, so don’t assume you won’t qualify. Research your options at both a local and federal level to ensure you’re not missing out on rental assistance.
Neglecting to pay your rent can have some serious consequences. It can strain your relationship with your landlord, negatively affect your credit score, or even lead to eviction.
If you’re in a tough spot financially and struggling to make your rent payments don’t be afraid to think outside of the box. Pick up odd jobs, negotiate with your landlord, and don’t forget that there are local and federal assistance programs that can help you get through hard times.
And most importantly, understand the terms of your lease and know your rights as a tenant so you can advocate for yourself if any challenging situations arise with your landlord.
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]]>The post How to Rent an Apartment with Bad Credit: 10 Essential Tips appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Read on to learn more about how you can rent an apartment with bad credit.
Try not to beat yourself up over having bad credit. Situations that put people in a bad financial spot can happen to everyone. Take comfort in knowing that a bad credit score doesn’t stay with you forever. Once you start taking measures to build your credit, you could start to see improvements in your score in as little as six months.
Probably the best way to build your score fast is with a credit card. Start paying off your balance on time every month, and you’re on your way. Then when you pay off your credit card debt, you can start using your card again, but only for what you can pay off at the end of the month. That practice can really help you maintain a higher score. And as you learned, a higher score gives you better options.
While you’re working on raising your credit score, you need to live somewhere. You might land a great place with bad credit, but you also might need to settle for an apartment that isn’t quite as nice as you would like. It helps to go in with the mindset that this not-perfect apartment is only temporary while you’re improving your credit so that you can get a better place.
Try offering the landlord cash upfront. Landlords and property managers don’t like to rent to people with bad credit because they’re concerned that if the applicant has bad credit from not paying their bills, there’s a pretty good probability this applicant won’t pay the rent either. By offering to pay more than what’s required, you take away some of that worry.
If the apartment complex requires first month’s rent plus security deposit, for example, try offering the first two or three month’s rent in advance plus the security deposit. Then make sure to pay the rent on time for the remainder of your lease term.
Landlords and property managers usually use a credit score and credit report as a gauge when approving or denying a rental application. But they really just want to be reassured that you will pay the rent on time every month. So reassure your future landlord by providing them with documents that can prove your case. Here’s what to show your potential landlord:
Your past rental history: If you paid the rent on time each month in your last apartment, show proof. By proving you’re a responsible tenant, you’re more likely to land this apartment.
Letters of recommendation: Ask your past landlord, current employer, and anyone else who can vouch for your financial responsibility to write a letter of recommendation for you. Have your references provide their contact information so your potential future landlord can contact them directly.
Paystubs and bank account information: Show your landlord the money, so to speak. If your potential future landlord sees that you have steady work and money in the bank, they should be more willing to rent to you, even if you have bad credit — especially if the bad credit was from the past and you’ve been paying your bills on time for the past year or so.
If you agree to use a payment service that automatically deducts from your bank account, your future landlord might be more willing to accept your application. Of course, this system is not foolproof — if you don’t have money in your account, the payment won’t go through. So offering to pay this way might not mean much to a potential landlord, but as a goodwill gesture, it can help your case.
New apartment complexes might be more lax with rental requirements since they need to fill vacancies. You might want to look for apartment buildings with banners draped across the building offering move-in deals.
Using this same line of thinking (helping a landlord fill a vacancy), you might want to look for an apartment during the dead time for new rentals, which is during the winter months, especially in cold climates. Fewer people are renting during bad weather, so if there is a vacancy, you might be able to snag that spot.
Some apartments don’t even require a credit check. These are often older buildings, and they might not come with all the fancy new amenities. You might need to lower your expectations and rent any place you find, as long as it’s safe, if they aren’t strict about your credit history.
If your credit history is preventing you from renting an apartment on your own, you might be able to rent your dream apartment by using a cosigner. Your cosigner can be anyone you know who has good credit and is willing to be your backup.
If you fail to pay the rent one month, your cosigner will be responsible for paying it. If they don’t, their credit score will be affected, and they could be sued for money you owe.
So if you do find a friend or family member who’s willing to cosign for you, it’s best to never let it get to the point that your cosigner needs to pay your bills. That could cause bad feelings between you and your cosigner. An apartment is probably not worth severing or damaging a relationship, which could happen if you force your cosigner to pay your bills.
You might not want a roommate, but if their income and credit history is good enough, this could be a good strategy for you to get into a great apartment. Not only can this improve your rental application, but you can often split a much nicer two-bedroom for less money than you would spend on a one bedroom apartment if you were renting on your own.
For more information, see our full guide to finding the right roommate.
Each landlord or property manager sets limits for what they consider to be a bad credit score. FICO scores range from 300 to 850. The dividing line between good and bad credit is often a 620 FICO score — above that is usually considered good, and below that is typically looked at as being a bad score. But this varies depending on the landlord.
Your credit score is not the only factor looked at. Landlords also consider the reason for the bad score, which they can determine from your credit report. Maybe your score is below 620 because you went through a short sale, for example, but you always pay your bills on time and have a steady job. Or maybe your score is below 620 because you’re maxed out on your credit cards, have recent accounts in collections, and are currently late with bills. You might have a low score with either scenario, but the first scenario looks much better to landlords than the second scenario.
Reality check: if you have bad credit, it will probably be more difficult for you to rent an apartment. Knowing that, you probably should try to raise your credit score and keep it as high as possible. But in the meantime, it is possible to rent an apartment with a bad credit score. Be patient, try some of the above methods, and you should be in an apartment in no time.
The post How to Rent an Apartment with Bad Credit: 10 Essential Tips appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post Paying Rent via PayPal, Venmo, and Zelle: What You Need to Know appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Read on to learn when paying your rent through these apps might be a good option, and when it’s best to avoid them.
For another option, you should also consider Flex. Flex splits your rent into two payments, so you don’t have to pay it all at once. Click here to check it out.
Sending your monthly rent payment through PayPal certainly seems like an enticing option. You can attach a credit card, debit card, or link your bank account to the app to transfer funds to your landlord. Once your account is set up, you can make payments in just a couple of clicks.
But, there are a couple of reasons why paying your rent with PayPal may not be in your best interest.
PayPal doesn’t charge fees when you transfer directly from your bank account, but it does add a 2.9% charge when paying via debit or credit card.
Free transfers are meant for transactions between friends and family only. If PayPal catches wind that you are using this feature for business transactions, such as paying your landlord, they could shut down your account for violating their user agreement.
Additionally, there is no PayPal purchase protection for the money you send to family and friends, nor is there protection for real estate purchases. Basically, if you make an error and send the money to the wrong place PayPal has no obligation to help you get it back.
Not all landlords accept PayPal. Those that do might still be wary of delays before the funds become available to them. Prepare for your landlord to request your PayPal transfer be sent a few days ahead of the payment due date.
Venmo is an app owned by PayPal that acts as a “digital wallet,” making it easy for friends to split expenses. You probably already use Venmo to split brunch bills or reimburse friends for joint travel expenses.
You can link debit cards, credit cards, and your bank account to your Venmo account to transfer funds. All you need is your friend’s phone number or email address to add them to your list of payees in order to transfer funds.
There is no fee for making payments through Venmo from your bank account or debit card however, payments from a credit card incur a 3% fee.
Venmo is not typically meant to be used for goods or services such as paying rent, and no purchase protection is offered if you do this. With this in mind, Venmo should only be used to pay people you know and trust.
In their user agreement, Venmo states that they may “impose limits on the amount and/or the number of payments you can send and receive.” So, if you use the app to pay your rent every month, this could be a red flag for Venmo and may jeopardize your account’s good standing.
It typically takes 1-3 business days for funds to transfer from the recipient’s Venmo account to their bank account. However, an instant transfer is available for a 1% fee, to a maximum of $10.
If you opt to pay your rent with Venmo, plan to send the payment a few days ahead so your landlord doesn’t give you grief about the hold period.
Zelle is a service that enables you to send payments directly from one bank account to another within minutes. Like Venmo, all you need is the intended recipient’s email or phone number to initiate the transfer of funds.
Unlike PayPal and Venmo, Zelle allows fast transfers without a fee. If your bank or credit union has a partnership agreement with Zelle you can send money through the service from your bank’s website or app.
If your bank doesn’t have a partnership with Zelle you can still use the service. Simply download the Zelle app and enroll that way. But note, if your bank doesn’t offer Zelle, there will be a sending limit of $500 per week.
Once you send your payment, your recipient will receive instructions on how to enroll with Zelle to accept the money. After your recipient accepts the money it will be in their bank account within minutes.
Once your recipient is enrolled in Zelle you are unable to cancel payments, so there’s no room for error when transferring funds through this app. There is also no purchase protection through Zelle.
You should only use Zelle to send money to a landlord you already know and trust. Avoid using this service to send an initial deposit or payment for a rental, as you could be subject to a scam.
Zelle’s User Service Agreement states, “the Service is intended for personal, not business or commercial use” It is not clear whether paying rent falls into this category. If paying rent is deemed “commercial” use, Zelle could opt to terminate your account.
| Pros | Cons | Fees | |
| PayPal | Free when sending money via bank transfer | • No purchase protection • Transactions take 1-3 business days to clear | 2.9% when paying with credit or debit card |
| Venmo | Free when paying with a debit card or bank transfer | • No purchase protection • Recipient pays a fee for instant withdrawal | 3% when paying with credit card |
| Zelle | Transfers only take minutes | •No purchase protection • Transactions may be capped at a certain amount depending on your bank • No ability to pay with credit card | None |
While it may be tempting to pay your rent with PayPal, Venmo, or Zelle, these services aren’t necessarily the best option. Between the lack of payment protection and the vague language around whether paying rent falls under accepted uses on these platforms, they aren’t reliable methods for transferring your rent payment.
The most reliable and efficient way to send money is through a bank to bank transfer. It may take a little more time to set up than a PayPal or Venmo account, but there usually isn’t a fee and the transfer will complete within minutes. Another way to send money without fees is by writing a check. It may seem old fashioned, but it’s simple and free.
If you find yourself in a pinch and need to pay your rent with a credit card, paying through PayPal or Venmo is a good backup plan if your landlord is amenable. Zelle is another good backup if you forgot to drop off a check and need to get your funds to your landlord in a pinch.
Again, these methods should only be used to pay someone you know and trust. Don’t rely on paying your rent through PayPal, Zelle, or Venmo as these platforms may flag your account for violating their terms of use.
The post Paying Rent via PayPal, Venmo, and Zelle: What You Need to Know appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post Late Rent Laws: All 50 States appeared first on Flex | Pay Rent On Your Own Schedule.
]]>In Alabama, rent is due on the date specified in your lease per Alabama Code § 35-9A-161(c). There are no laws covering late rent fees. However, if your lease doesn’t list what the late fee is or when one could be imposed, the landlord can’t charge a late fee.
However, Alabama landlords must give you at least seven days to either pay the rent or move out. If a tenant chooses not to pay or leave, the landlord can initiate eviction procedures.
Per Alaska Statute § 34.03.020(c), rent is due on the date listed in the lease. There are no statutes regarding grace periods. However, automatic late fees aren’t legally enforceable unless they were previously agreed upon by both the landlord and the tenant. Usually, if late fees are in the lease, they are enforceable.
If the tenant fails to abide by the lease, the landlord can terminate the arrangement. Seven days’ notice is required per §§ 34.03.220(b).
Rent in Arizona is due on the date specified in the lease agreement. If a tenant misses the due date, a late fee can be assessed. Per Arizona Revised Statute Ann. § 33-1368(b), as long as details about the late fee, including when they can be applied and the amount, are in the lease.
Arizona Revised Statute Ann. § 33-1368 also requires landlords to provide tenants with a minimum of five days to pay or move. After that, the landlord can file for eviction.
Arkansas has a variety of rules regarding rental agreements, including what can happen if rent is late. Per Ark. Code Ann. §§ 18-17-401, rent is due on the date listed in the lease. Any penalties for late payments must be formally spelled out in the agreement. If late fees are not listed in the lease, they cannot be applied.
In Arkansas, renters must be given written notice to vacate, providing them with at least three days to leave the property. If a tenant chooses not to vacate, they can object to the eviction and pursue action through the court system.
The rent due date listed in a lease in California is when payment is legally due. Failing to provide the money by the due date could result in a late fee, suggesting that the rules and amount are spelled out in the agreement and align with local law.
Under California law, starting with California Civil Code §§ 1925, the late fee must be deemed “reasonable,” though there is no clear definition regarding what that means, such as a percentage of rent. If rent is late due to a check bouncing, landlords can charge an additional fee of $25 to $35, depending on whether it is the first incident.
California law does not require any grace period. However, if one is listed in the lease agreement, the landlord must abide by it.
In Colorado, according to state landlord/tenant law, rent is due on the date listed in the lease. Even missing that date by a single day can be grounds for eviction, as there is no grace period in Colorado. To move forward with the eviction, landlords must follow the rules set out in C.R.S. §13-40-101.
If a landlord chooses to provide a grace period or assess late fees, those must be presented in the lease.
Unlike many other states, Connecticut does have laws that make a grace period necessary. While rent is due on the date listed in the lease, tenants typically have 4 to 9 days before the landlord can formally terminate the rental arrangement. Late fees also cannot be assessed during the grace period, per C.G.S. §§ 47a-15a and 47a-4(a)(8).
The grace period also covers rent that was placed in the mail during the specified period, regardless of whether the payment was received by the landlord before the grace period ends. Generally, as long as the rent payment envelope is postmarked before the end of the grace period, late fees cannot be assessed.
Further, late fees can only be assessed if they are spelled out in the lease agreement. They also must be “reasonable.”
Per Del. Code Ann. Tit. 25, § 5501, rent is due on the date specified in the lease. The law also states that late fees cannot exceed 5 percent of the monthly rent for the dwelling. Further, that a late fee cannot be charged within the first five days of being late, effectively creating a five-day grace period.
However, Del. Code Ann. Tit. 25, § 5502 does allow landlords to provide a notice to vacate immediately once rent is missed. The law does require the landlord to give the tenant five days to address the past-due rent, preventing action from being taken until the grace period lapses. If the tenant does not provide payment within the five day time period, the landlord can move forward with additional actions, such as eviction procedures.
In the District of Columbia, DC Law 21-172 restricts late fees to five percent of the amount of rent that is due. However, that late fee must be spelled out in the lease agreement or other formal notification given in writing.
If the tenant pays the full amount due within five days of being past the due date listed in the lease, a late fee cannot be assessed. Landlords are also explicitly prohibited from charging interest on late fees, imposing multiple late fees on the same past due amount, moving forward with eviction based solely on a tenant failing to pay a late fee, or charging tenants late fees on rent portions that are the responsibility subsidy providers.
Per Fla. Stat. Ann. § 83.46, rent is due on the date listed in the lease agreement. If the tenant fails to pay rent and the default extends for three days (not including weekends or legal holidays), the landlord can deliver a written demand for rent, in accordance with Fla. Stat. Ann. § 83.56. This effectively creates a three-day grace period, after which the landlord can begin with eviction proceedings.
Any late fees that may be assessed must be included in the lease agreement. Otherwise, they may not be legally enforceable.
The due date listed in the rental agreement is legally what’s required. While there is no legal requirement to offer a grace period, landlords can choose to add one to the lease.
Georgia does not have any specific laws limiting late fees, though they typically must be deemed “reasonable.” Per Georgia landlord/tenant law, any late fees or returned check charges must be spelled out in the lease. For bad checks, the fees must align with O.C.G.A. §13-6-15.
In Hawaii, per Haw. Rev. Stat. § 521-21, rent is due on the date listed in the lease. Any late rent or returned check penalties must be included in the lease agreement.
Per Haw. Rev. Stat. § 521-68, landlords can notify tenants in writing that the rental agreement will be terminated if payment is not received within a specified period, the minimum length permitted being five business days. If the tenant continues to default, additional action, including eviction proceedings, are permissible.
While the rent due date and any late fees that may be assessed must be included in the lease, there are no specific laws limiting the amount of the late fee. However, if the tenant is late due to a bounced check, Idaho Code §§ 28-22-105 applies, requiring the landlord to provide 15 days for the situation to be remedied.
If a tenant is late, per the landlord/tenant handbook, landlords must issue a written notice to pay and provide three days for compliance. At that point, eviction filings can begin.
In accordance with 770 ILCS 95/7.10, landlords can charge a “reasonable” late fee if rent is past due. Per the law, “reasonable” is a late fee that is the higher of $20 or 20 percent of the monthly rental fee that went unpaid. The fee can be assessed if rent isn’t paid in full by five days after the due date listed in the lease agreement.
However, late fees can only be charged if they are part of the lease agreement. If they are not included in that document or an agreed-upon addendum, they cannot be assessed.
Indiana law does not specifically cover late rent fees, so there are no formal limits regarding how much a landlord can charge. However, landlords must require details about late fees in the lease agreements. Otherwise, they cannot charge a fee, even if it would legally be deemed reasonable.
Ind. Code Ann. § 32-31-1-6 does outline landlord rights when a tenant fails to pay, including allowing the termination of the rental agreement after providing ten days’ notice.
As outlined in Iowa Code Ann. §§ 562A.9, rent is due on the date listed in the lease. Landlords are not required to provide a grace period, though they can choose to do so if they want to include one in the agreement.
If rent is $700 a month or less, any late fee cannot exceed $12 per day, limited to no more than $60 per month. For rent greater than $700 a month, the late fee is limited to $20 per day, not to exceed $100 per month. Per §§ 554.3512, returned check fees cannot exceed $30.
Rent is legally due in Kansas on the date set in the lease. Failure to pay in a timely manner could trigger a late fee, suggesting one is listed in the rental agreement. There are no laws limiting the size of the late fee, though it typically must be deemed “reasonable.”
Kan. Rev. Stat. § 58-2564 does state that landlords must give tenants three days to pay before they terminate the lease agreement for nonpayment. A notice of nonpayment must be provided in writing before the three-day timer begins.
Ky. Rev. Stat. Ann. § 383.565 states that rent is due on the day agreed upon by both parties, usually as outlined in a lease agreement. Otherwise, there are no legal limits on late fees or required grace periods. However, K.R.S. § 514.040 does limit bounced check fees to $50.
Per LA. Civ. Code Ann. Art. 2703, rent is due at the beginning of the term, as outlined in the lease. Per LA. Civ. Code Ann. Art. 2704, the landlord can dissolve the lease after a failure to pay.
There are not formal laws regarding late fees or grace periods. However, late fees can only be assessed if they are included in the lease or an agreed-upon addendum. Additionally, landlords must provide a five-day (not including weekends or holidays) notice to vacate before moving forward with eviction, but, per L.A. Civ. Code Ann. art. 4701, they do not have to stop proceeding even if the tenant pays the past due amount.
Per Maine Title 14, § 6028, landlords can assess a late fee if payment is not made within 15 days or the agreed upon due date. The maximum penalty a landlord can assess is 4 percent of the monthly rent amount.
While late fees are permitted, landlords must inform the tenant that they can be assessed prior to charging a fee. Usually, this means listing the details in the lease or in an agreed-upon addendum.
Under Maryland landlord/tenant law, landlords must include details of any potential late fees in the lease agreement. While landlords are not required to provide a grace period, late fees are limited to 5 percent of the amount owed or, for weekly paid rent, $3 a week, not to exceed $12 a month.
Landlords can evict a tenant for nonpayment and can begin proceedings immediately after the due date is missed.
Per Massachusetts landlord/tenant law, landlords cannot charge interest or late fees until 30 days after the missed rent payment. Any late payment that may be assessed must be included in the lease.
Eviction proceedings can be launched immediately after a missed payment. However, a landlord may choose to offer a grace period if they so choose.
Michigan has no specific laws regarding late fees or grace periods. However, if a landlord wants to assess a late fee, it typically must be included in the lease.
Per Michigan landlord/tenant law, nonpayment can be grounds for eviction proceedings. A landlord cannot begin an eviction lawsuit for nonpayment until without providing a minimum of seven days’ notice.
Per Minnesota Statute §504B.177, landlords cannot charge a late fee unless they and the tenant have agreed in writing that one can be assessed. Usually, that means late fees must be included in the lease or a formal addendum that both parties approve. Late fees cannot exceed 8 percent of the overdue amount. However, in accordance with Minnesota Statute §604.113, landlords can charge up to a $30 fee for a bounced check on top of the late rent fee.
Landlords must outline how much notice they will provide before going forward with eviction proceedings in the lease. Otherwise, the minimum time defaults to fourteen days.
There are no formal laws regarding late fee limits in Mississippi, though they generally must be considered “reasonable” to be enforceable. Additionally, they must be included in the lease.
If a tenant fails to pay, per Miss. Code Ann. § 89-7-27, they must be given a three-day notice to either provide the payment or vacate.
According to Mo. Rev. Stat. § 535.060, rent is due on the date in the lease agreement. There are not formal laws limiting the size of a late fee. However, the details of any late fees must be included in the lease or an approved addendum to be enforceable. Grace periods are not required in Missouri, though landlords can offer one if they so choose.
In Montana, rent is due on the date listed in the agreement, per Mont. Ann. Code §§70-24-201. There is no formal limit on late fees, though it typically must be included in the lease to be enforceable.
If a tenant fails to pay rent on time, according to Montana landlord/tenant law, the landlord must provide three days’ notice of their intention to terminate the agreement.
In accordance with Neb. Rev. Stat. § 76-1414, rent is due on the date listed in your lease. However, in accordance with Neb. Rev. Stat. § 76-1431(2), tenants have seven days after receiving written notice of nonpayment to pay before the landlord can formally terminate the agreement.
Late fees can only be assessed if they are included in the lease or an approved addendum, according to §§ 76-1414(1), though there is no explicit limit on the amount. Returned check fees, however, are limited to $10 (plus any handling fee, if deemed “reasonable”), in accordance with §§ 28-611(5).
Rent is due on the date listed on the lease. According to N.R.S. 118A.210, a landlord may charge a late fee if it is included in the agreement. The amount of the late fee cannot exceed 5 percent of the payment amount, usually the weekly or monthly rent payment, depending on the arrangement. Additionally, the late fee amount can’t be increased based upon previously assessed late fees.
Tenants do have five days to pay any overdue rent (or to move out) before a landlord can file for an eviction, effectively creating a grace period for removal from the property.
N.H. Rev. Stat. § 540 states that rent is due on the date agreed, usually based on what is listed in the lease. There are no formal limits on late fee sizes, though they must be included in your lease agreement to be enforceable.
Landlords must provide tenants with seven days’ notice before moving forward with eviction procedures. During that period, tenants can “remedy the situation” by handling any past due financial obligations.
There are no formal limits on late fees in New Jersey, though they must typically be considered “reasonable,” and the details of them must be included in the lease. There also isn’t a required grace period for most tenants.
However, per N.J.S.A § 2A:42-6.1, senior citizens and certain other individuals must be given a five-day grace period to pay (not including weekends or holidays). Usually, those receiving Social Security payments, railroad pensions, or certain other public benefits are potentially eligible for the grace period.
When a grace period doesn’t apply or once that period passes, landlords can begin eviction procedures the day following the due date.
Per N.M. Stat. Ann. § 47-8-15, late fees are limited to 10 percent of the monthly rent amount, and can only be applied after the tenant is more than three days late. Additionally, details discussing the late fee must be included in the lease or an approved addendum to be enforceable.
Landlords also must provide notice of the late fee by the end of the month following the missed payment. For example, if a tenant misses their January payment, written notice of an owed late fee must be provided to the tenant by the last day of February. Otherwise, the landlord forfeits the fee.
In accordance with N.Y. Real Prop. Law § 238-A, tenants have five days from the due date to pay rent before a fee can be assessed. Any fee must be included in the lease. Additionally, late fees cannot exceed $50 or five percent of the rent amount, whichever is smaller, per the Housing Stability and Tenant Protection Act of 2019.
Demands for rent must also be made in writing, and landlords must wait at least 14 days before initiating court proceedings for nonpayment. Those proceedings will cease if payment is made before the first court date associated with the case. Eviction warrants must also be served 14 days prior to their full enforcement.
In North Carolina, rent is due on the date listed in the least. Late fees are permitted if they are addressed in the agreement. However, per N.C. Gen. Stat. § 42-46, for monthly rent, they are limited to $15.00 or 5 percent of the monthly rent amount, whichever is greater. For weekly rent, the limit is the higher of $4.00 or 5 percent of the weekly rent amount.
Late fees can only be imposed one time for each missing payment. Additionally, late fees cannot be deducted from subsequent rent payments, a process that would cause the tenant to default again.
There are no official limits on late fees in North Dakota. However, per landlord/tenant law, landlords must outline any late fees in the lease agreement for them to be enforceable. Failure to pay rent in full by the date specified in the lease can potentially trigger a late fee, as no grace period is required.
If a tenant fails to pay, landlords can move forward with eviction proceedings. An eviction notice must give the tenant a minimum of three days to leave the property. If they refuse, court hearings can move forward.
Landlords are allowed to charge late fees if the tenant fails to pay, suggesting the details of the fee are included in the lease. Though, per O.R.C. § 5322.05, a late fee must be deemed “reasonable” to be enforceable. Generally, a fee of $20 or 20 percent of the amount owed is deemed reasonable.
Additionally, the tenant must be given three days after the due date before a late fee can be assessed. Landlords, however, can also add additional fees for any expenditures related to the collection of past due rent.
In accordance with Okla. Stat. Ann. tit. 41, § 109, rent is due on the day listed in the lease. There is no required grace period, so a late fee can be assessed the day after the missed payment. Additionally, there are no rules regarding the size of a late fee, though it typically must be considered “reasonable.” The late fee must also be outlined in the lease to be enforceable.
If a tenant fails to pay rent within five days after receiving written notice of nonpayment, the landlord can terminate the agreement.
Landlords can charge late fees in accordance with Or. Rev. Stat. § 90.260, as long as the details of which are covered in the lease. Additionally, late fees can only be assessed if the tenant is not received by the fourth day following the due date.
The late fee amount must be a “reasonable” flat fee. When calculated daily, the late fee cannot exceed 6 percent of the stated flat fee. In total, the late fee amount cannot exceed 5 percent of the monthly rent rate.
After rent is eight days late, landlords can issue a pay or quit notice, giving the tenant 72 hours to provide payment or vacate the premises. If notice is provided when the tenant is only five days late, 144 hours must be provided.
Pennsylvania has no laws limiting late fees or requiring grace periods. However, to be enforceable, late fees usually must be listed in the lease agreement and be deemed “reasonable” and not punitive in nature.
Per the Pennsylvania Landlord-Tenant Act of 1951, landlords can initiate eviction proceedings the day after a rent payment becomes overdue. However, they must provide ten days’ notice to vacate.
In Rhode Island, R.I. Gen. Laws § 34-18-15 states that rent is considered due on the date on your lease. There are no specific laws limiting late fees. In most cases, a landlord can assess a “reasonable” late fee, the amount of which must be specified in the rental agreement to typically be considered enforceable.
If a tenant fails to pay rent within 15 days of the due date, according to the landlord/tenant handbook, the landlord can send a written notice specifying the overdue amount and provide them with five days to pay. If they fail to do so, the landlord can proceed with an eviction.
According to S.C. Code Ann. § 27-40-310, rent is due on the date included in the lease. If the tenant fails to pay within five days, based on S.C. Code Ann. § 27-40-710, the landlord can issue a notice of nonpayment and express the intention to terminate the agreement and initiate eviction proceedings.
Late fees are permitted, and there are no specific laws limiting their size. Generally, any late fees must be “reasonable” and included in the lease to be considered enforceable.
South Dakota landlord/tenant law states that landlords can move forward with eviction proceedings once the tenant is three days late paying rent. Late fees are permitted, though typically must be outlined in the lease and deemed “reasonable” to be considered fully enforceable.
In accordance with Tenn. Code Ann. § 66-28-201, landlords must provide tenants with a five day grace period for rent payments. That means tenants cannot be charged a late fee or be the subject of any other adverse action (such as eviction proceedings) based on nonpayment if they pay their rent in full within five days after the due date in the lease.
Additionally, late fees are limited to 10 percent of the monthly or weekly rental amount, depending on the standard term. For a late fee to be enforceable, it usually must be listed in the lease agreement.
Per Tex. Prop Code Ann. §§ 92.019, late fees can be assessed if they are “reasonable” and included in a written lease. Landlords cannot charge a late fee until two days after the due date included in the rental agreement.
Generally, late fees are reasonable if they are no more than 12 percent of the rent amount for the period if the building contains four or fewer dwellings. When a building contains more than four dwellings, 10 percent is the limit.
In Utah, there are no laws limiting late fees for past due rent. However, late fees typically have to be listed in the lease and considered “reasonable” to be enforceable. Returned check fees are limited to $20 per U.C.A. §§ 7-15-2.
There is no required grace period, though landlords can choose to provide one.
In accordance with Vt. Stat. Ann. tit. 9, § 4455, rent is due on the date provided in the lease. The day after the due date, payment is considered late, and late fees can apply.
However, according to landlord-tenant law, the fee not only has to be in the lease, but it also is limited to an amount deemed reasonable based on the costs incurred to collect. It can not serve as a penalty or be punitive in nature.
Landlords may charge a late fee if the tenant has failed to make full payment by the fifth day of the month, according to Va. Code Ann. § 55.1-1204. Details of the late fee must be included in the rental agreement to be considered enforceable. By default, this essentially creates a five-day grace period for rent payments.
If the tenant fails to pay rent, the landlord can provide a 5-day notice of termination of the agreement. If the tenant fails to cover the back rent, eviction proceedings can commence.
According to RCW 59.18, rent is due on the date listed in the lease. While there are no specific limits on late fees, the details have to appear in the lease, and the amount has to be deemed “reasonable.”
There is no official grace period in Washington. However, SB 5600 requires landlords to provide a minimum of 14 days’ notice before launching eviction proceedings, including for failure to pay rent.
Per West Virginia Code § 37-6A-2, late fees are permitted if rent is not paid on the due date specified in the lease. There is no required grace period for late fees. However, the fee must be reasonable and listed in the rental agreement to be considered enforceable.
In West Virginia, according to landlord/tenant law, landlords do not have to give prior notice before filing for eviction if a tenant is behind on rent.
Wisconsin Statute § 704 and Wis. Adm. Code ch. ATCP 134 require landlords to outline any late fees in writing, though do not limit the amount that can be charged as long as the late fee is “reasonable.” Additionally, landlords cannot use funds from subsequent monthly rent payments to cover past late fees, which could potentially cause a tenant to be short on their rent for that month and trigger a new fee. Penalties or fees also cannot be assessed for failing to pay a late fee.
Failing to pay rent is a qualification for eviction proceedings, even if the payment is only one day late. There is no required grade period.
Wyoming has no specific statutes regarding late fees. However, landlord/tenant law states that rent is due on the date in the lease, and landlords can charge late fees for past due rent as long as it is discussed in the rental agreement.
If rent is three or more days late, landlords can legally initiate eviction proceedings as long as they provide the tenant with three days’ notice.
Paying the rent late can lead to late fees, legal tussles, and possibly even eviction. It’s best to pay the rent on time when possible, and when not, to communicate clearly with your landlord. You can read more in our complete guide on Paying the Rent Late.
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]]>The post Grace Periods for Rent: How Late Can You Pay? appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Some states require landlords to provide tenants with grace periods. Sometimes landlords include grace periods in their leases, even if they aren’t required. If your state requires landlords to provide grace periods, then it should be in your lease. Even if it’s not, if your state mandates grace periods, then you get one anyway.
It’s important to know whether your lease provides a grace period so that you know if and when you may be charged late fees for missing the due date for your rent.
Due dates for rent are listed specifically in rental agreements that landlords and tenants sign at the beginning of a lease. Usually, these due dates are on the same day each month (e.g. the 1st or the 15th). On those dates, rent payments must be paid-in-full.
If rent payments are not submitted each month on or prior to the due date, or rent is not paid in full, then it is considered late, and you may be charged a late fee. If your rent is late enough, your landlord may even try to evict you.
Tip: Even if your landlord isn’t meeting their obligations under the lease—if your heat goes out in the middle of winter and you have to find someplace else to stay, for example—it’s still important to pay your rent in full and on time.
If you think your landlord isn’t fulfilling terms of the lease, you should still pay rent, but you may want to pay it into an escrow account, rather than to your landlord directly. However, this is something you would need to work with an attorney to set up.
Rent due dates are typically pretty firm – but it doesn’t have to be that way. Flex splits your monthly rent into two payments, so you don’t have to pay it all at once. Click here to check it out.
Late fees are penalties that are charged if you’re late in paying rent. Some landlords, but not all, charge late fees to penalize tenants if they don’t pay rent on time. If you don’t pay your rent on time, your landlord might charge you a fee—usually 5% to 10% of your monthly rent.
Many states limit how much landlords can charge in late fees. North Carolina, for example, limits late fees to 5% of rent or $15, whichever is greater; while Tennessee limits late fees to 10% of past-due rent. Other states require only that late fees be written in leases and be “reasonable.”
Not all landlords charge late fees. And in some cases (like for certain protected classes), you might be exempt from any late fees. You might also fall within a grace period—more on that in a minute.
For more information on late fees, be sure to check out our article about how late fees work.
A grace period is a set amount of time—typically a few days—after the due date for rent. Tenants who fail to pay their rent on or before their due date can still pay their rent during the grace period without being charged a late fee or facing any other penalties.
Some landlords write grace periods into their leases in order to give their tenants a break if they’re only a couple of days late on rent. In other cases, landlords are required by state law to give their tenants grace periods.
In other events, landlords may offer “unofficial” grace periods that aren’t written into their leases. In these cases, landlords simply permit tenants to pay rent a few days late without paying a penalty, even if a grace period isn’t specifically listed in the terms of their lease. You’ll want to be careful if you’re paying rent late every month, as that can frustrate landlords and cause them to take action against you.
And, if you think you may be late, you can always ask. If you’re up front about your circumstances and clear with when and how you’ll pay the rent, you might be able to get a one-time exemption from late fees. For more information, check out our article on how to tell the landlord rent will be late.
There’s no federal law requiring landlords to provide tenants with grace periods, but some states have their own rules that require landlords to give tenants time after the due date for their rent to pay before being charged a penalty.
| State | Required Grace Period |
| Arkansas | 5 days |
| Connecticut | 9 days |
| Maine | 15 days |
| Massachusetts | 30 days |
| New Jersey | 5 days, but only for protected classes |
| North Carolina | 5 days |
| Oregon | 4 days |
| Tennessee | 5 days |
| Texas | 1 day |
If you live in a state that requires landlords to offer a grace period, then you are entitled to a grace period in which you can pay your rent without being charged a late fee—even if the grace period is not specifically listed in your lease.
It’s also important to note that grace periods can even vary from city to city. In New York City, for example, all tenants are automatically granted a five-day grace period in which they can pay their rent without a penalty. After those five days, they can be charged late fees up to 5% of their past-due rent.
For more information, see our guide on Late Rent Laws by State.
Due dates are set in rental agreements, as are late fees. In order to be enforceable, late fees must be explicitly stated in your lease. Otherwise, they aren’t binding.
Some states also have specific provisions limiting how much landlords can charge in late fees. In states that have specific rules, state rules supersede individual leases—in other words, if your lease provides for a late fee that exceeds the state limit, then you are only responsible for paying the limit listed by the state. So, it’s important to know the law in your area, in case your landlord tries to charge a late fee either:
If you’re a landlord writing new lease agreements for your tenants, it may be a good idea for you to include late fees and grace periods in your leases. A late fee of 4% to 5% of monthly rent can be a strong incentive for tenants to pay their rent on time, and a grace period can permit them the flexibility to pay their rent without encountering late fees or other headaches.
If you’re including late fees or grace periods in your leases, be sure to check the laws in your area. Depending on where you live, you may be limited in how much you can charge in late fees, or you could be required to provide tenants with grace periods in which they can pay past-due rent without a penalty.
Grace periods are set periods of time after the due date for rent in which you can still pay your rent without being charged a late fee or incurring other penalties. If you aren’t sure whether you have a grace period, be sure to consult your lease and the laws of your state. Doing so will tell you whether you’re entitled to a grace period and how long it is, so you can better understand your rights and obligations as a tenant.
If you’re looking for more information, please see our full guide on Paying the Rent Late.
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]]>The post How to Split the Rent Fairly Between Roommates appeared first on Flex | Pay Rent On Your Own Schedule.
]]>We’ll talk about these scenarios and more as we explore the different factors that go into splitting the rent.
The ideal situation between roommates would be to have equal living space for everyone: three roommates, three bedrooms, three bathrooms, and all of equal size. If you’re lucky enough to have that situation, your rent split will be easy – everyone will pay an equal amount. Let’s say the rent is $1,500 a month. You don’t even need a calculator to figure out that everyone will pay $500.
But what if there is one master bedroom with an attached bathroom and two smaller bedrooms with a shared bath? If all three of you were to pay $500, the person with the master would have a sweeter deal than everyone else. And that would not be fair. To make this equitable, you would need to figure out how much the larger room with the en suite bathroom is worth compared to the other rooms.
Maybe you’d decide to have this rent split: $650 for the master bedroom/bathroom combo and $425 a piece for the smaller bedrooms with the shared bath. That would be more fair than an even split.
In this case, both parties should discuss what they’d be willing to pay to have the bigger room. And if the smaller room isn’t up to either roommate’s standards, you may need to look for an apartment or house that better matches your needs.
You can also look at “rent” in a broader sense, to include all living expenses, such as utilities and groceries. Maybe you would have the roommate with the master bedroom pay the same rent as everyone else but pay all the utilities. Or maybe you’d have that roommate buy shared groceries, such as toilet paper, condiments, and paper towels, on a regular basis.
However you approach it, the most important thing is for all roommates to agree to the arrangement upfront – ideally in writing, signed by everyone involved. That will help to avoid misunderstandings down the road, and to resolve any that do crop up.
There’s another consideration regarding rent split fairness: income. What about a roommate with a much larger income than the other roommates? Shouldn’t the roommate with the big paycheck pay more?
That depends on your philosophy. Some people believe in a more communal approach to money and divide the rent accordingly: the more you make, the more you pay. Others believe that people who earn more should be allowed to keep that income, at least in a roommate situation.
Typically, you would not consider each party’s income when splitting the rent. But there is a big exception: if you’re a couple.
Some couples split finances down the middle, but oftentimes they don’t. Couples tend to make arrangements based on their unique situation. In the case of a couple where only one person has a job, maybe that partner will pay the rent, utilities, and groceries and the other partner will shop, cook, maintain the property, and care for any children.
In the case of two-income couples, the rent might be a 50-50 rent split. But again, what if one person makes significantly more income? A couple differs from a roommate situation because couples are making a life together. They might pool finances, or they might maintain separate bank accounts and have a joint account that both parties fund. Maybe the high-income earner contributes 75% to the joint account, and the other partner contributes 25%. If the higher-income partner has a tougher job, longer hours, and more responsibility, maybe the partner who works less can spend more time on the household.
Talking about things ahead of time is even more important for couples than for roommates. It’s best to have clear conversations about your present and future together, so as to avoid misunderstandings and problems that would affect not only your living situation, but your relationship as well.
If you need to move before your lease is up, or if you will be gone for a month or more, you might want to sublet your space so that you don’t pay for a place you aren’t using. First check your lease to see whether you’re allowed to sublet. If not, you might want to speak with the landlord or property manager to find out the reason. Maybe they will let you sublet if they approve the new person.
If you are allowed to sublet your room, great, but it’s best to let your roommates know your plans. They’ll need to live with this new person, after all, and they might need to approve your choice first.
Regarding payments, the person subletting might assume your role, taking over your rent and paying as if they were you. But there could be other arrangements.
Maybe you will still be the one responsible for paying the rent. This is common if you plan to return. Then the person subletting will pay you directly.
Sublettors don’t always pay the same amount as the person they’re renting from. For example, let’s say your share of the rent is $500 a month. Maybe you’re having a difficult time finding someone to sublet your place at that price, so you offer the room for $400 a month. Yes, it’s a hit, but it’s better than nothing. But someone needs to make up that extra $100 a month, and that person is probably going to you.
If you have a desirable rental, you might be able to sublease it for even more than you pay in rent. You might charge $600 for the room and make money on the deal. You could also give that extra $100 a month to your roommates, in case they aren’t too happy about the sublet situation.
The takeaway here is that you can make a variety of sublet situations work, as long as you discuss and agree on a plan with your roommates ahead of time.
Note: You should probably write something up for the person subletting to sign. Here’s a sample sublet agreement. It can give you an idea as to what to include in yours: Sublet Agreement. (Please note that this sublet agreement is specific to Wisconsin, so you’ll need to modify it if you use it.)
Your landlord might have everyone involved sign a sublease agreement. If so, then you can just use the form provided to you by your landlord.
It happens: one roommate meets a love interest and officially or unofficially moves them into the apartment. You’ll know when because you’ll be seeing this new person more and more often. Before you know it, there are now four people living in your rental instead of three. And that is not something you (or your landlord) bargained for.
People who move in a boyfriend or girlfriend usually rationalize this act by saying something like, “It’s my room, so what’s the big deal?” And it probably isn’t a big deal to the roommate with the partner – but it could be to you. If another person is practically living (or actually living) in your home, they should probably pay their fair share.
Have a discussion with your roommate about having this new person help pay for the rent – that is, if you’re okay with having that person there. If you are and if they agree to pay an amount you both deem fair, problem solved.
But what if your roommate is angry you brought this up and won’t discuss the topic? Are you stuck? No. You can let your landlord or property manager know, and they can help you. Many times, a landlord will not allow another person in the rental. And if they do, they will usually want to draw up an addendum that adds the new person to the lease.
Sometimes, utilities are included in the cost of rent. But usually, tenants are responsible for some or all of their own utilities. And in roommate situations, like rent, utility usage is not always a cut-and-dried 50-50 split. Maybe one roommate works from home and uses far more utilities than the rest of you. Shouldn’t that person pay more? It all depends on what you and your roommates are comfortable doing. You can always have the conversation.
Furniture is another frontier of the roommate world that could cause headaches at move-in and move-out time. Who’s responsible for furnishing the place? If everyone chips in, who gets the furniture at move-out time?
The easiest solution would probably be for all roommates to buy furniture individually. But what about the common areas? Maybe you buy a sofa, another roommate buys chairs, and a third buys coffee and end tables. Or maybe you split common furniture evenly, and figure out who gets what when the time comes to move out.
As you can see, some rent split situations could be difficult to figure out. If you don’t want to tackle this yourself, you’re in luck. There are apps which do this for you. Two apps that could help you and your roommates divvy the rent are Splittable and Splitwise, so you might want to check them out.
Roommate situations can be stressful, or they can work out well. One key to having a successful roommate arrangement is to discuss important matters upfront, like who pays for what. Hopefully with the above guidance you’ll be able to arrive at an equitable way to split rent – and everyone will live happily ever after.
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]]>The post Late Fees for Rent: What You Need to Know appeared first on Flex | Pay Rent On Your Own Schedule.
]]>While there are some rules that govern late fees, there are plenty of landlords who try to charge more than they should. It’s important to understand what these fees are, how they work, and when they can be charged – both to understand your rights and to stay on good terms with your landlord.
Not all landlords charge late fees. Of those who do, 5% to 10% of monthly rent is typical. Depending on the lease, these fees may be assessed as a percent of rent or as a flat fee ($50 or $100, for example). However, these fees are always outlined explicitly in rental agreements — in fact, they have to be in order to be legal.
Late fees vary not just by landlord, but also by location, property type, and even rent amount. For example, late fees are often lower (as a percent of monthly rent) when rent is higher. There are several reasons for this:
For these reasons, landlords typically try to give themselves flexibility when assessing late fees. The maximum that landlords can charge in late fees and the earliest point when they can be charged are outlined in lease agreements, but landlords aren’t required to charge late fees just because they’re entitled in a lease agreement.
Ultimately, the decision of whether to charge a fee when rent is late will be based on the landlord, the property, and the tenant. That’s why it’s so important to stay on the best possible terms with your landlord.
| Rent Amount | Typical Late Fee (as % of rent) | Late Fee Amount (in $) |
| $700 | 10% | $70 |
| $1,500 | 7.5% | $112.50 |
| $3,000 | 5% | $150 |
Charging late fees is legal when tenants don’t pay rent on time. But, in order to be legal, late fees must be defined in the lease agreement that sets out landlord and tenant rights and responsibilities. If late fees aren’t included in a lease, then they can’t be charged.
In some cases, there are also restrictions on how much landlords can charge in late fees; or on when they can charge a fee. While there are no federal rules governing fees for late rent, more than a dozen states have specific rules governing late fees and grace periods:
Even if you don’t live in one of these states, there may be local rules governing how much you can be charged and when. In New York City, for example, late fees can only be charged if rent is paid more than 5 days late and fees can’t be higher than $50 or 5% of the rent, whichever is less.
When you sign an agreement to rent a property — whether it’s an apartment, condo, house, trailer, or townhome — your lease will outline all of your rights and responsibilities, as well as your landlord’s. These include the amount of rent to be paid each month, as well as when the rent is due.
In addition to these due dates, some leases also grant tenants a grace period — a period of time (typically a few days) after the stated due date for rent when they can pay their rent without incurring a late fee or other penalties.
Some landlords write grace periods into their leases in order to give tenants a little leeway if their rent happens to be a day or two late. Some states even have mandatory grace periods, ranging from 1 to 30 days.
However, if grace periods aren’t required in your state and your lease doesn’t specifically include one, then you don’t have a grace period — your landlord can charge you a late fee the day after your rent is due if you haven’t paid it on time. That’s why it’s important to read your lease and understand your rights and responsibilities.
These states all have legally-mandated grace periods before late fees can be charged:
For more information, see our complete guide to Grace Periods for Rent.
In addition to due dates and grace periods, there are some cases where you may be exempt from late fees if you don’t pay your rent online. For example, there may be extenuating circumstances outlined in your lease agreement. Some things that may exempt you from late fees including acts of God, financial hardship, illness, or incapacitation.
You may also be exempt from late fees if your landlord defaults on your lease; say, by not providing you with property in a liveable condition. Or, if you’re a member of a protected class — if you’re a senior citizen or have a physical or mental handicap, for example — then you may be exempt from late fees.
Last, but certainly not least, you will be exempt from late fees if your landlord decides not to charge the fee. If late fees are included in your lease and comply with state law, then your landlord is entitled to charge them if your rent is late and violates any applicable grace period. But they don’t have to. If they decide not to charge the fee, you don’t have to pay it.
Another option a lot of people don’t think about — but that they would do well to consider — is simply being honest and upfront. If you think your rent may be late one month, it never hurts to tell your landlord and ask whether they’ll grant you an extension.
If you think your rent may be late, it’s important to tell your landlord as soon as possible. Here are some tips for notifying your landlord and minimizing blowback:
For more information and email templates, see our guide on How to Tell the Landlord Rent Will Be Late.
Landlords have their reasons for charging late fees. First and foremost, landlords charge late fees to encourage tenants to pay rent on time. Second, landlords charge late fees because of the inconvenience of not getting paid on time.
Many landlords pay bills from the funds they receive as rent — the mortgage, taxes, and insurance for their rental property, for example. Receiving rent payments late can mean landlords have to pay these expenses out of pocket or deal with other cash flow problems until the rent is paid.
Lastly, landlords may also charge late fees as a way to cut down on actual tenant default or to delay or avoid eviction — or having to report a tenant to credit bureaus for nonpayment of rent. By charging late fees, landlords add a step to the process between nonpayment of rent and pursuing eviction. The hope is that tenants shape up and pay their rent on time. But, if they don’t, at least landlords get a clear signal early on that additional steps may become necessary.
But sometimes late fees become a bigger deal than they should be. Tenants may not know they’re responsible for fees if rent is a day or two late, or they may think it a trivial annoyance. So, if a landlord has a good tenant whose rent is usually on time, and they periodically miss a rent due date by a day or two, it may be better to waive the fee rather than upset them or make them want to move.
Late fees are charges that some landlords assess when tenants don’t pay their rent on time. These fees aren’t substantial — usually 5% to 10% of monthly rent — and are meant to encourage on-time payment of rent.
Late fees for rent are perfectly legal, but they must be outlined in individual lease agreements. These fees are also restricted in some states, with mandatory grace periods and/or limits on how much landlords can charge tenants as late fees.
It’s important for both landlords and tenants to understand their rights, including late fees, so be sure you make note of any late fees the next time you choose a place to rent.
For more information, see our ultimate guide on Paying the Rent Late.
The post Late Fees for Rent: What You Need to Know appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post How to Tell the Landlord Rent Will Be Late appeared first on Flex | Pay Rent On Your Own Schedule.
]]>In this article, we’ll go over how to communicate your way through this stressful situation to arrive at the best outcome possible.
Another option is to try Flex. Flex splits your rent into two payments, so you don’t need to pay it all at once. Click here to check it out.
If you anticipate that you won’t be able to make your rent payment on time, let your landlord know with as much notice as possible.
In most cases, your rent goes directly towards the expenses of owning and maintaining the property. As a result, your failure to pay could put your landlord in a tricky financial situation.
Whatever the case, providing plenty of warning is courteous and allows both you and your landlord time to resolve any contingent issues. As a result, there’s a better chance that your landlord will be flexible and understanding regarding your inability to pay on time.
And, if it turns out that you can pay on time after all, your landlord will appreciate having received a heads up about the uncertainty.
All communication regarding your rent payment should be in writing. A written notice, even just an email, is more professional and courteous than a text or voicemail message.
Plus, this way, both you and your landlord will have a record of your conversation regarding the issue and can refer back to it if needed.
Your message should include a justification for your late rent, but don’t write a sob story to your landlord. The goal is not to receive sympathy but to offer context so your landlord can understand your situation.
For instance, paying late because you lost your job is a very different scenario than going on vacation and forgetting to mail a check. The more information you give, the better the landlord can understand the situation. Your goal is to stay on good terms with your landlord, and being honest about your situation will help maintain their trust.
Instead of focusing your excuse, suggest a solution to the problem. Offer to pay part of the rent, or propose a timeline or payment plan for getting caught up.
You mighteven offer to provide services in exchange for a rent reduction. This could be anything from helping with maintenance or gardening duties around the property, assisting with bookkeeping, photographing empty units for ads, or any other service your landlord might find useful.
Showing that you’ve taken the time to think this problem through is a gesture of good faith. It saves your landlord the trouble of developing a payment plan for you, which will help you stay in his good graces.
To put your landlord at ease, outline the steps you are taking to ensure that you don’t pay late again next month. If you show that you are proactive, your landlord will be much more likely to be flexible about your late payment, especially if it’s the first time you’ve been in this situation.
If you’re newly unemployed, highlight the steps you’re taking to bring in money. Mention if you have interviews lined up, consulting gigs, or unemployment benefits that will help you make your rent payment on time next month. Any information or reassurance you can provide that shows that you are on top of this problem will be reassuring.
If your late payment is due to a personal error, outline how you’ll prevent it from happening again. It could be as simple as setting a reminder to put your check in the mail or setting up an automatic monthly transfer to your landlord’s bank account. Whatever you’re doing, mention it in your message to the landlord.
Informing your landlord that the rent will be late and then ceasing communication is a huge red flag.
If you want to stay on your landlord’s good side, remain communicative while working to catch up on your rent payment. This situation can be stressful for everyone involved, and you’ll both be less worried if you have an open line of dialogue.
Use the following template letters to craft a professional and thoughtful notice to your landlord regarding your late rent payment. Remember, keep your message concise and to the point and provide a timeline for when full payment will be in your landlord’s hands.
Dear [Landlord’s Name],
I’m writing to inform you that my rent payment will be late this month. I had to go out of town unexpectedly due to a family emergency, and I forgot to put a check in the mail before I left.
I had a friend of mine send a check via priority mail this morning. It should reach you within three business days.
I’m deeply sorry for any inconvenience. I will send you a set of post-dated checks as soon as I’m back home next week so that this never happens again.
Sincerely,
[Your Name]
Dear [Landlord’s Name],
I’m writing to inform you that my rent payment will be late this month.
I was recently laid off from my job and won’t be able to make the payment on time. I have applied for unemployment benefits, but it may take up to 2 weeks before I receive my first payment.
I can pay $500 on the due date, and I will pay the remainder of the rent as soon as I receive my first unemployment check. I’ve also picked up some freelancing gigs and am actively interviewing for new jobs to avoid this problem next month.
Please let me know if this payment plan will work for you.
I understand that my late payment may have negative repercussions on your financial situation, and I’m very sorry for the inconvenience. I’m working diligently to ensure this never happens again.
Best Regards,
[Your Name]
Dear [Landlord’s Name],
I’m wondering if it would be possible to work out a payment plan for this month’s rent.
I have recently been furloughed from my job due to COVID-19, and I won’t be able to pay the rent in full by the due date.
I have applied for unemployment benefits and I am looking for online consulting gigs to ensure I can pay on time next month.
Additionally, my employer has promised to rehire me as soon as we are through the COVID-19 situation. While I don’t know when that will be, I can assure you that my unemployment situation is temporary.
Please let me know if there is any possibility of working out a payment plan. I’m keen to make this work for both of us.
Best Regards,
[Your Name]
You’ll notice that the above examples all follow a general pattern. If you’re more willing to fill in the blanks, you can use this general template to come up with your own letter to the landlord:
Dear [Landlord’s name]:
[Paragraph 1: Tell them the rent will be late.]
[Paragraph 2: Tell them why rent will be late – don’t linger on this point.]
[Paragraph 3: Tell them what steps you’re taking to moving forward.]
[Paragraph 4: Apologize and sign off.]
Many leases include grace periods, in which you might have a few extra days to pay the rent. If you’re paying the rent late, but within the grace period, you might not need to worry so much about explaining things to your landlord.
But you should keep in mind that paying within the grace period is still technically paying the rent late. That’s usually not a big deal if it’s a one-off thing. But if you’re paying the rent late every month, your landlord might get frustrated and take action, such as by not renewing your leace.
Be prepared for your landlord to propose different terms than what you outlined in your message.
Remember, landlords often have to allocate rent payments to mortgages, taxes, maintenance costs, and any other myriad of expenses related to owning property. Even your landlord wants to be accommodating, he may not be able to.
Your landlord may request that your payment installments are closer together than you proposed, or he may impose a late payment fee. Don’t be afraid to negotiate these items a little bit. If you can’t quite meet his terms, propose another alternative. Be creative.
It’s unlikely that your landlord will evict you over one late payment. As long as you remain communicative and demonstrate that you’re willing to work with him you should both be able to come to an agreement.
For more information, see our complete guide on Paying the Rent Late.
The post How to Tell the Landlord Rent Will Be Late appeared first on Flex | Pay Rent On Your Own Schedule.
]]>The post 24 Insightful Real Estate Statistics – 2020 appeared first on Flex | Pay Rent On Your Own Schedule.
]]>Keeping pace with real estate is never easy. But, with a bit of time and research, it’s possible. To help you stay on top of the market, here are 24 real estate statistics you should know.
The terms “real estate agent” and “realtor” aren’t interchangeable. While anyone who sells real estate doesn’t have to be a member of the National Association of Realtors (NAR), they do if they want to call themselves a “realtor.” As of 2019, 1.4 million people decided they wanted the realtor title, officially becoming members or maintaining their membership.
(Source: Statista)
Aerial photography can be a great way to make a property stand out. And what does that better than a drone? Real estate is one of the top five markets for small unmanned aircraft systems (sUAS) – also known as drones – coming in second. The only industry outpacing real estate is industrial inspection, which has a whopping 42 percent of the market.
(Source: Federal Aviation Administration)
When aspiring homeowners want to find a property, 44 percent actually head online to scout out properties before taking any other step. While 87 percent still work with a real estate agent or realtor, only 17 percent of buyers decided to contact one as a first step.
(Source: National Association of Realtors)
Over the course of the year, 5.34 million existing homes were sold in the United States. Plus, there were 682,000 new construction properties, bringing the total over the 6 million mark.
(Source: National Association of Realtors)
In the United States, there are 284,029 firms operating in the real estate space. That figure doesn’t include rental or lease-only establishments, though it could include brokerages or agents that tap into those sectors as well as sales.
(Source: US Census Bureau)
When there’s a mortgage involved, the median cost of owning a property comes in at $1,558 per month. Compare that to the $1,023 for renters, and it seems like the latter is getting a deal. But, once the mortgage is out of the equation, the tables turn. Owners only have to deal with $490 a month, making homeownership the bargain.
(Source: US Census Bureau)
As of 2019, there were an estimated 139.64 million housing units across the country. This includes everything from single-family homes to apartments.
(Source: Statista)
In 2019, there were approximately 1.39 million building permits issued. That figure includes new construction as well as improvements, repairs, or alterations to existing properties.
(Source: US Census Bureau)
In the United States, there are approximately 5.6 million commercial buildings. Together, they represent about 87.4 billion square feet in floor space.
(Source: Commercial Buildings Energy Consumption Survey)
Homeowners are the majority in the United States by a decent margin. The current homeownership rate is 65.3 percent.
(Source: US Census Bureau)
More than one-third of homes aren’t tied to a mortgage. Instead, they are owned outright.
Older generations tend to be ahead when it comes to being mortgage-free. Of those 70 and older, 68 percent aren’t dealing with a mortgage. While 41 percent of Baby Boomer homeowners aren’t having to worry about the expense, either, only 15.9 percent of Millennials can say the same.
(Source: Forbes)
Cumulatively, the value of the United States residential home market is approximately $33.6 trillion. That’s a $11.3 trillion increase since 2010.
(Source: Zillow)
While being a homeowner might be part of the American dream, not everyone is happy that they reached the goal. An estimated 44 percent of all homeowners (and 63 percent of Millennial buyers) admitted that they had some regrets about their purchase.
Unexpected maintenance and other hidden costs topped the reasons given. However, the size of the house, the home’s location, and the terms of the mortgage also factored in for some buyers.
(Source: Bankrate)
While it’s hard to put a price on something as historically and functionally significant as the White House, many have tried. With 132 rooms (35 of which are bathrooms), the over 200-year-old structure is valued at more than $419 million.
(Souce: Zillow)
Just a bit more than one-third (35 percent) of all United States homeowners are under the age of 35. The majority of them are Millennials, though some are members of Gen Z, the youngest group to join the workforce.
(Source: US Census Bureau)
Between 2018 and 2019, the price of luxury homes dipped nationally. The average decline was 1.6 percent. The number of $2+ million dollar home sales also tumbled by 16 percent, representing the biggest year-over-year decline since 2010.
(Source: Redfin)
As of April 2020, the median home sale price sat at $286,800.
(Source: National Association of Realtors)
Sometimes, timing is everything. Data shows that listing a property on Thursday can actually lead to a higher sale price. On average, offers came in more than $3,000 higher on Thursday listings than Monday listings. Second place went to Wednesday listings, while Friday listings took third.
(Source: Redfin)
On average, staged homes sell 88 percent faster than their unstaged counterparts. Plus, they tend to sell for 20 percent more, which can offset the cost of using a staging service.
Since staging helps prospective buyers visualize how they can use a space and give them perspective on the size of the rooms, it can make a property more appealing when compared to an empty one.
(Source: Realtor.com)
When it comes to homeownership rates, the Midwest is the winner, with 68 percent of the people in that area living in their own homes. The South comes in second, sitting at 66.2 percent.
Comparatively speaking, home prices tend to be lower in those regions. That could make ownership more accessible or, at least, make it appear like a better deal than renting.
(Source: US Census Bureau)
With a total of nearly 370,000 housing units, 208,745 of which are valued at or above the $1 million threshold, San Jose has the highest share of million-dollar homes, coming in at about 56 percent.
San Francisco is second, sitting at around 42 percent, while Los Angeles was third with close to 19 percent. After L.A. are San Diego (14 percent) and Seattle (11 percent), the only city outside of California to fall in the top five.
(Source: Lendingtree)
When it comes to inexpensive real estate, Detroit is head and shoulders above the rest. The median home value is near $43,000. Plus, 85 percent of the homes have values below the $100,000 mark.
(Source: CNBC)
Many are surprised to learn that Hawaii has some of the lowest property tax rates around. Its effective real estate tax rate is a measly 0.27 percent, causing a $205,000 home to only rack up $560 in taxes.
Alabama comes in second with an effective rate of 0.42 percent. Colorado is third, sitting at 0.53 percent.
(Source: Wallethub)
On the higher end of the spectrum sits New Jersey. There, the effective property tax rate is 2.47 percent, causing a $205,000 home to end up with a $5,064 tax bill. Second place Illinois isn’t much better, with 2.30 percent rate. New Hampshire is third, sitting at 2.20 percent.
(Source: Wallethub)
Ultimately, the real estate market is complex, constantly shifting and adjusting as events occur and conditions shift. Plus, the national landscape is incredibly diverse, which in and of itself is intriguing.
The statistics above showcase some of the unique aspects of the United States real estate market, including buyer attitudes, seller strategies, value estimates, and more. Plus, it covers some quirky pieces of information, demonstrating that an industry as old as real estate can still be a bit surprising.
The post 24 Insightful Real Estate Statistics – 2020 appeared first on Flex | Pay Rent On Your Own Schedule.
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