How to Rent a Place to Live

Don't be so quick. Those who hurry often stumble.

I just moved, and I've been a renter all my life. I like being on both sides of renting. Some day, I would like to own a home that I rented out while renting my own living space. I know that sounds weird to most people, especially in America, but I just don't see real estate the way most Americans see it. I don't look at it as an overly emotional investment. That's easier to do when you're renting. Sure, you have to ask yourself if you could be happy in the space that you're considering, but there's a lot more to think about when you're thinking of a place. You have to be sure that the deal you arrive at is beneficial, and contrary to popular belief, rentals are as negotiable as purchases.

I want to share what I've learned about renting on three continents

First, think about what you really  want. Do you want cheap? Do you want big? Do you need a place that's good for kids? Do you want quiet or downtown? What are you willing to sacrifice in order to get what you really want? If you like downtown vitality, don't think anyone is going to take you seriously when you complain about noise or parking. If you want a kid-friendly neighborhood, don't think that you'll be able to have loud parties late at night. Big and cheap? Don't think you're going to be in the nicest neighborhood.

Appliances. How new are the appliances in the place you're scoping? Are you going to have to call the landlord a million times because the pilot on your old stove is out? Is your electric bill going to be incredible because the refrigerator they have in there is old and inefficient? Do you really want the ancient washer/dryer that cost too much to run? How many gallons is that water heater? Is it gas or electric?

With appliances, two other questions come up:

1. What kind of person/organization is my property manager?
2. What kind of utilities am I looking at?

Utilities are going to be a BIG deal! Does the owner pick up any of them? Do they have any records about what they cost?

Appliances WILL break down. When they do, do you trust the landlord or manager to replace or repair them in a timely fashion?

What changes would you like to make to the place before moving in? Remember, you can rip out carpets, paint, do whatever you want, as long as you tell the manager before hand. Get that into your lease before signing it. Actually, before I go on, GET EVERYTHING IN WRITING. I am guilty of not following that advice sometimes. I trust people to do what they are going to say, but if you ask for something in writing, and they balk, walk away from the deal. If you're willing to do the deal, you have to be willing to walk away from the deal. Say that last sentence to yourself ten times.

Finally, how much do you want to pay?
This one is interesting because it sounds simple, right? "How much do I want to pay?" Well, the truth is that you can only afford to pay a certain amount, and the amount you want to pay may be quite different from that. A good landlord has an idea in his head about what he'd like you to pay; a better landlord knows what he needs you to pay. You do not want to live in a place for which you're paying less than what the landlord actually needs. That's what makes a slumlord.
Slumlords are not born; they are made.
They take less than what a building needs to maintain, and therefore, their buildings fall into disrepair. Then, once that goes on long enough, they just stop caring about the building and take what they can get for their dilapidated investment. It's a cycle you want no part of. Don't do business with a landlord if you're not going to be compassionate about his and his building's needs. A good landlord knows exactly what he needs to make on a property so that he can fix the roof every 20-25 years, replace the floor every 10-20 years, replace the carpet every 5 years, repaint however often, treat the siding, keep the grounds, and everything else. He knows how long it will be empty after you move out. He's studied this. He has a number if he's good at what he does. That doesn't mean that he's going to give you that price. That's what negotiation is for.

So, say you ask for a per-month cost that's low, and he says he can't do it. OK. What do you want if you're going to pay what you can afford? Here's where you start talking about appliances and heating and everything else. Don't give up for nothing. Make an offer like you would on a house. A good landlord will counter offer. If he doesn't, walk away. You don't pay sticker price on a car, why would you on an apartment?

Once you move into a place

1. Communicate with your landlord. It's in his best interest to keep you there and make you happy. He doesn't want to go to court.He doesn't want to have to be a jerk. COMMUNICATE!!!
2. Report problems. People think that problems are things people want to avoid--not true with landlords. They want to know what the problems are with their buildings. They don't want something going on that they don't know about. Even if it's a problem you don't care about, email them and tell them what it is and tell them you don't care. If they feel like fixing it great. If not, that's great too.
3. Try to pay on time. Yes, everyone pays late. People who have the money pay late. Try to not make a habit of it. Let the landlord know what the problem is and make sure he knows that you're going to pay on time in the future.
4. Work out a plan. Landlords love plans. They amortize everything; they depreciate everything. They look at objects unlike other people. They look at doorknob, e.g., and they think about how long that doorknob is going to last and how much it's going to cost when it finally dies. They plan for that doorknob's failure. So, if you get into trouble with payments or anything else, write up a plan for your landlord. He'll thank you for it.

Here's three (3) more for good measure:

1. Take pictures of anything you think is nasty or bad. If things go south, you'll need them in court. Judges love pictures. Landlords love pictures. Renters, you need pictures. Take as many as you need. The more, the better. You do not want to walk into a courtroom empty-handed.
2. Keep records about your place. Make sure you keep business cards and names. Stick them in a file. You don't have to be super organized, but when push comes to shove, you're going to go to that file. Your landlord has a file on you. You need a file, too.
3. Don't be emotional. Walls and land make people crazy. Don't let it make you crazy. Don't *love* your place. Live in it.