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Renters Beware of Hidden Landlord Fees

Posted on December 17, 2009 in: Renter Resources

There seems to be an unsavory phenomenon going on in Rental Land. Although rents are going down, it seems that landlords and property managers are looking to make a quick buck off of their renters and potential renters another way: fees.

While nominal application fees have always been in vogue, application fees that attempt to do more than cover the cost of pulling credit (say, $25-35) are becoming more prevalent. Also new on the radar screen are “move in fees,” “elevator fees,” “cleaning fees” and “maintenance fees,” just to name a few.

Let’s cut to the heart of it: these aren’t fees that are associated with any direct cost that shouldn’t be covered by the rent you pay. These are simply revenue generators for landlords and property managers. After all, doesn’t every new tenant have to “move in” - what cost is it to a landlord that isn’t covered by your rent? And, cleaning and maintenance? Hmmm…what’s the rent for?

We know a recent renter who was charged a whooping $350 for a move-in fee. That’s on top of an application fee. Renters, in the words of Nancy Reagan, just say no.

Empower yourselves - ask what the fees are for. When you are told that the fee is “standard” or covers their cost of having you move in, politely tell them that there is nothing “standard” about fees and that you thought your rent did that. Tell them - nicely - that you aren’t going to pay it.

Most importantly, though, find out about all the fees prior to agreeing to rent the apartment (i.e., before you fall in love with the place). These fees need to part of your cost determination. When the landlord is “throwing in” one month’s rent as a concession, it really is disingenuous to charge a huge move-in fee that recoups a good bit of that concession. (It’s also good to know how landlords are looking at rent concessions.)

Make sure that you read your lease and understand what fees, charges and expenses you are responsible for during the lease term. One renter told us that her lease says it will cost her $2 every time a light bulb needs to be changed and that she is responsible for maintenance in her unit. Wait - isn’t that one of the top reasons we rent - to not be responsible for these things? Is this a sign of how this particular landlord will behave for the next twelve months?

One last note: if they are getting you on the way in with “move in” fees, make sure that they aren’t getting you on the way out with “move out” fees. After all, isn’t that what the next sucker’s move-in fee is for?

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  1. Posted December 19, 2009 at 1:18 am

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About William Paid

My name is William Paid, Esquire and I’m a serial personal butler with 40 years distinguished service, orchestrating exceptional living experiences for exiled kings, rockstars, supermodels, and even a few “young gun” Internet executives who are now woefully overleveraged and unable to employ my services. My role is to ensure everything runs smoothly for renters and roommates. I’m at YOUR service.

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