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Money Mistakes That Most of the Tenants Commit

10/11/2016

money-mistakes-that-most-of-the-tenants-commit

When it comes to saving money for new home, most of the tenants plan it for years but usually end up at nothing. With the beginning of every New Year, we (tenants) come up with new plan to save money during the year in order to quit living in rental accommodation and with high hopes to have our own personal space. If you are also like me and want to save money – you will definitely have to be wise enough and need to avoid major money mistakes.

Not Reading Your Lease

Most of the experts suggest reading all legal documents before signing them so you must read your lease, despite the fact it is long and full of jargon. Instead of skimming it, you must read it thoroughly before it comes back and bite you hard. Again, I am emphasizing on the point because not understanding the lease document is the biggest make that tenants make.

And many tenants sign it without reading or misjudging the consequences. For instance, you might be agreeing to include automatic renewal clause and end up paying early termination fee, if you want to move out or pay non-refundable cleaning fee.

Overlooking Small Costs and Fees

While comparing two rental homes, you may end up picking a property dubbed as "rent is cheaper". However, in order to secure the best deal, you should compare all the costs including optional fees such as parking fee. When there are hidden costs or negligible costs, you will end up paying much more at the end of month than an expensive property (which you rejected due to higher rental amount).

Turning Down Useful Offers

Shortly after you finalized the rental property, your landlord might have offered you some optional services such as humidifiers, water heating system or burglar alarm but you would have to pay monthly for these services. And you simply refuse them in order to save money but remember, for a bit of extra money you should not refuse these extra but valuable services.

Nor Getting Your Landlord' s Approval

Whether you accept it or not, but most of us have tried before to sneak a small home improvement project past our landlord. Even if you try to paint the living room walls in your favourite colour or install open cabinets in walk-in wardrobe, these little things can take a chunk from your security deposit. Therefore, I would suggest you to take written approval from your landlord before making any kind of change in your rental property.