To Renew or Not to Renew? Tips for Deciding If You Should Renew Your Lease

rentalsYour lease is coming to an end soon, and now you’re wondering if you should renew or not. Sometimes it’s an easy answer, but other times you’re not sure whether or not it is the right choice. If you’re on the fence as to whether or not you need to renew, use these tips to help you decide.

How’s the Rental Market?

You might want to relocate, but what are your options? The rental market is just like the housing market – has its ups and its downs. So, you might not have a lot of open apartments to choose from. If, however, there are plenty of vacancies and you have your pick of the litter, then moving somewhere new might be a good option.

What Are the Rates Like?

Rental rates can vary. Take a look at how much you’re paying now and how much you’ll pay if you move. You might be surprised at how little or how much you’re paying where you’re at now. Also, see if your landlord plans on raising your rate if you renew.

Think About Why You Want to Move

Create a list of your likes and dislikes. What reasons are motivating you to move somewhere else? Are the dislikes something you can live with or are they more severe (such as safety issues)? Some dislikes are ones you may just have to live with, such as not having an elevator.

Are You Currently Living With a Roommate?

Eventually you’ll get to a point where living with a roommate is no longer feasible. If you’re tired of your roommate situation, moving out and getting a place of your own is a viable option. But, keep in mind that if you move out and get a place of your own, you will have to pay more rent and utilities each month – so make sure there is money in your budget for that type of expense.

Do You Have Any Spare Money in the Budget?

You will pay more upfront to move no matter what. Even if you’re saving on rent, you have the costs of switching utilities, paying a new security deposit, and the cost of moving itself. So, make sure you have some spare money for a move before you even consider doing it.

On the flip side of that argument, you may have more money each month now than you did when you got your first apartment. Maybe you switched jobs or got a raise, so you can afford to move – regardless of the added costs for the month.

It is up to you whether or not it is time to renew. Just sit down and think about what you really want and see what’s right for you.

Apr 2014