Common Money Mistakes Renters Make

18 Feb, 2016 / By

When it comes to choosing to rent a new home, there are many factors that come into focus, both financial and personal that will help one their decision even easier. Unfortunately, most people tend to make many mistakes when it comes to renting a home. This can include everything from not reading the lease thoroughly or paying an extremely high price each month for rent. Here is a list of some of the mistakes one should avoid when it comes to renting a home.

Don’t read the lease

One of the most common mistakes that most people make is forgetting to read the lease. It’s extremely important to read the lease, even if a person has rented before because each landlord has their own set of rules and requirements that they will expect the renter to follow. Another tip one should keep in mind is to be sure to ask plenty of questions. As soon as a person finishes signing the lease, he or she should ask the landlord a variety of questions so they can receive all the answers needed before renting the place. Finally, one should make sure to ask them everything from utility costs, security deposit, neighborhood issues and concerns, pet policies and lease terms.

Renter’s insurance

One thing a person should never do is skip paying for renter’s insurance. Renter’s insurance is absolutely a must-have for anyone who decides or plans to rent. Renter’s insurance will cover and protect the renter from fires and other damages to the apartment. However, one’s personal belongings will not be covered with this plan.

In most cases, the landlord will automatically include this onto the lease, but it wise to ask the landlord first if they will include or offer this type of insurance.

No research

One of the worst things to ever doing before renting a place is not doing research. Before deciding to sign the lease to a new home, one should look into what other people are paying each month for their rent. One should also consider learning more about the building and overall structure of the potential home, as well as become familiar with the location. A renter should also consider the overall price of the apartment or home space. Is it too high for the price range? If it is, then one should consider looking somewhere else.

Don’t ever settle for more than is affordable: It’s best to evaluate ones options first before choosing a place.Whatever one does, they shouldn’t ever, in any circumstance, sign a lease that is undesirable. One shouldn’t ever sign a lease if it will prevent the renter from doing anything they had originally planned to do in the new home. This can include not allowing pets, even if a renter already has a pet or plans on getting a pet, or forcing one to stay longer than they intend to stay.

Another tip that is usually overlooked by many is inspecting the neighborhood: If one has made the decision and this is the place they plan to live, it’s a good idea to get to know the neighborhood. Is it safe? Is it lively at night? How are the neighbors? By becoming familiarized with the new neighborhood, one won’t feel like a fish out of water. Instead, one will begin to feel accustomed to the new surroundings this way.

Lastly, one should also make sure that they aren’t paying too much money on rent. Instead of blowing all of the money on rent each month, a renter could be saving a huge chunk of his money on groceries or even putting it towards retirement.

Jennifer Hamilton

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