When considering renting your first apartment, it’s natural to feel both excited and nervous. It’s normal to feel this way, with so much to consider, from finding the right place to making sure it’s within your budget and everything else.
Plan some important details ahead to make apartment hunting easier. If you follow these simple steps now, you’ll be renting your first apartment like a pro in no time.
Determining your rent budget
Before you start your apartment search, you need to figure out how much you can afford. To calculate this, you must establish a monthly budget listing your income and expenses. Afterward, you can calculate how much rent you can reasonably afford.
A helpful rule is to ensure your rent doesn’t exceed 30% of your income after taxes. Work out the exact dollar amount. Now, review your budget carefully. If your budget doesn’t leave enough money for rent after other expenses, you may need to take further steps before apartment hunting. These steps could involve finding a roommate to split the rent, cutting back on other expenses, or boosting your income.
Common upfront costs when renting an apartment
Knowing how much rent you can afford monthly is a key first step, but you should also be prepared for additional costs. In most cases, you’ll need to pay a security deposit along with the first month’s rent upfront. The security deposit amount will vary, but it is commonly the same as the monthly rent.
Additional deposits and fees, such as credit check fees, utility deposits, and other costs, may also be required. It’s important to find out if utilities are covered by the rent or if you’ll need to pay for them yourself.
You’ll need to budget for setting up utilities if they’re not included in the rent. In simple terms, you should have at least 2 – 3 months’ rent saved to ensure you’re prepared to move into your first apartment.
Prepare for the application process
When you’ve got your finances figured out, it’s time to start looking for and applying to your first apartment. Having your application materials ready in advance will enable you to act quickly when you find a place you like. Renting an apartment requires a list of documents and information.
While this list may differ depending on the location, it’s wise to have the following ready:
- Your last two pay stubs or a bank statement
- Social security number
- Driver’s license or state ID
- Credit report
- Contact information for at least two references
Understand your lease agreement
During the rental process, it’s vital to closely examine your lease documents, including the fine print. As a binding legal contract, a lease holds you responsible for everything in it once signed. Knowing your responsibilities, what your landlord is obligated to provide, and how maintenance and repairs are handled will give you peace of mind. Be sure to verify that the rental payment, security deposit, and other amounts are accurate.
Lastly, review the lease for any unexpected or unusual rules or clauses to make sure you’re comfortable following them. Reach out to someone you trust if you have questions about your lease. The more you understand about the apartment, neighborhood, and landlord before signing the lease, the better off you’ll be.
Are you in the market for your first rental home in Southampton or nearby? Get in touch with Real Property Management Tri-State Area today! Browse available rentals online for more information and to schedule a viewing.
We are pledged to the letter and spirit of U.S. policy for the achievement of equal housing opportunity throughout the Nation. See Equal Housing Opportunity Statement for more information.
