OK, so you’ve found the perfect suite that you want to rent and now you have to decide whether you’re willing to fork out the cash the landlord is asking for.
Depending on the situation you may have a very strong bargaining position that will allow you to delay making a decision or even negotiating a reduction in your monthly-, or first month’s rent. Of course, you may also be in a position where you best be leaving a cash deposit because the suite won’t be available in a half an hour.
What many renters don’t know (but all Landlords do know) is that the signing of the lease is actually the end of negotiating a deal. The landlord wants you to sign up for a fixed term lease for as much per month as possible and the renter wants to sign up for as much flexibility as possible (eg. month by month lease) and the lowest rent possible. Deciding these terms is the negotiation time.
TIMING is everything in the real estate rental market.
Therefore it is to the renter’s advantage to be aware of the timing of the rental market.
For example, if the suite the renter is looking at is beside a University you can rest assured that the Landlord wants the lease to start Sept 1 and run to Aug 31st. In July you can forget about negotiating any differently. The Landlord knows there are plenty of other students waiting to take the place. Like it. Leave a deposit. It’s that simple.
BUT the exact same Landlord with the exact same suite will be much more likely to negotiate with you on YOUR terms if it is Mid November. They will do anything to get back to their ideal Sept 1 - Aug 31 yearly lease and are willing to take a bit less money to get back to it. If you know this is the preferred situation you may even agree to take the property till September but at a reduced monthly fee. You may even be able to walk away from the table and have them call you if you play your cards right.
Nothing has changed but the timing of the deal.
So look around. Try to get a sense for what the timing of the rental environment is. What are they close to that would influence who else would want their suite. You can also look up vacancy rates. The higher they are the more a Landlord will negotiate. (Or call a company that deals with rental properties all the time to find out about the market.)
You can get a pretty good idea of what the Landlord is thinking by considering the timing of the deal. And always remember: before you sign the lease is your only chance to negotiate so don’t let the timing slip you by and most landlords are business people who understand that the age old sentiment of “everything is negotiable” is the king of policy.
Author Resource:-> Shamon Kureshi is a professional writer and real estate expert based in Calgary, Canada. He regularly consults with Hope Street Real Estate Corp., an industry leading Calgary Property Management and Rental Company that provides rental homes to thousands of individuals and families in a variety of markets.
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