Rent Easy With a Fair Price
Thinking of renting a new home? There are many factors that you need to take into consideration before you make a final decision. Since most leases are for at least a year, you must do your research thoroughly before renting any property.
When comparing different property options, there are many factors that you have to keep in mind. For instance, location is one of the first things you should think about. While other things about the property can be changed, the location will always remain the same. Next, look at your budget to assess whether you can afford that property. As a rule of thumb, the recommended ratio of your total income to your rent should be 3:1. However, that might not always be the case. While renting a property, consider whether the rent is appropriate. Here, we discuss how to check if a rental price is fair.
Average Rent in the Neighborhood
One of the best ways to assess if you are paying a fair price for your new home is to look at the average rent of the neighbourhood. If the price of your property is more or less than the average price, you should ask why that is the case. Is the property highly-priced because it is better than others in the neighbourhood? Or is the landlord demanding a higher price? If the pricing is less, is there something wrong with the property? Or did you get a great deal? Be sure to ask these questions to yourself and your landlord.
Use an Online Rental Property Platform
There are several platforms that gather and sort the rental prices of different properties by neighbourhood. You can go online and check out how your neighbourhood properties are priced and compared. This will give a rough idea of if the rent you are paying is fair.
Read Reviews
Reading reviews is one of the first things you should do before renting a property. You can check the online reviews of people who have lived in that neighbourhood for some time. Read those reviews objectively and search for any red flags, such as management issues, bad maintenance, and so on. Hearing from real-world experiences will help you to make the final decision.
Look at Trends for Rent Over Time
Usually, the rental prices in a neighbourhood change consistently over time. Rent is generally calculated on a yearly basis. You can check the increase in rental prices of your neighbourhood properties and compare them with the increase in price in your property. If there is a significant difference between those values, you need to ask the reason for that steep rise or fall. For instance, if the rent of other properties increased by 3-4%, but your property’s rent increased by 15%, talk to the landlord.
There are many other factors you might want to look at to assess the fair price of your property. These factors will vary depending on your budget, location, and other requirements. However, the basic factors explained above should probably be at the top of your list.
Interested in learning more about the practicalities of the real estate world? Check out what Will Doyle has to say, and contact us to see how we can help with looking for your next property.
