If you are a recent college grad looking to move into your new after college place, or perhaps looking to move out of your parent’s home, or just looking to move on your own altogether; there are quite a number of expenses that you need to financially prepare for.
In this post, I will touch on 6 main expenses that you need to be mindful of.
An Application fee will be charged to you for preliminary work and processing of the lease. This fee usually covers background checks, credit checks, and other verification needed. This fee can vary depending on the landlord or management company.
Security Deposit or Reservation Deposit
The Security Deposit is usually equal to one month’s rent. However, this amount can vary depending on creditworthiness.
The Reservation Deposit is usually a set amount that will usually convert to the Security Deposit. This deposit may be asked in advance before lease signing, in order to reserve the rental.
If you own a pet, it comes to no surprise that there is a Pet Deposit when trying to lease. This deposit can be refundable or nonrefundable. The amount is usually determined by the landlord/property management company depending on number of pets or pet size.
First Month and Prorated Rent
First month rent will be due usually at lease signing or when determined by landlord/property management company. If your lease begins say on the 25th of the month, then you will be also charged a Prorated Rent amount that will be due along with your First Month rent, for the given amount of days prior to the 1st of the month.
Move In and/or Move Out Fee
If you are moving into a Condo unit, you possibly will face Move In and Move Out Fees. These fees can vary and are usually for Building Key cards and elevator key access. These fees are usually nonrefundable.
Tenant Brokerage Fee
If you decide to hire a Real Estate Agent or REALTOR® to represent you in the leasing of your home rental, be prepared to pay for Real Estate services. The Tenant Brokerage fee can vary depending on your market area.
Do you have questions or comments? Please let me know!