Hidden Fees When Renting an Apartment
Application Fee
Explanation
Many landlords charge an application fee to cover the cost of background checks, credit checks, and administrative work. These fees can range from $25 to $100 or more per applicant.
Probability to Save
Low to MediumWhy and How
Application fees are typically non-negotiable, but you can shop around and apply for apartments with no application fee. Some landlords may also waive the fee if you’re referred by a current tenant. It's worth asking the landlord if they can reduce or waive the fee, especially if you're in a competitive rental market.
Security Deposit
Explanation
A security deposit is a lump sum payment required upfront to cover any potential damage to the apartment or unpaid rent. This can range from one to two months' rent, or even more in some cases.
Probability to Save
MediumWhy and How
Security deposits are typically non-negotiable, but you can ask the landlord if they will accept a lower deposit or allow you to pay it in installments. Some states have limits on security deposits, so be sure to check the local laws to ensure the deposit is reasonable. If you have a strong rental history or a high credit score, you might also negotiate a lower deposit.
Pet Fees
Explanation
Many apartments charge pet fees or pet deposits if you have a pet. Pet fees can range from $200 to $500, while pet deposits may be refundable or non-refundable. Some landlords may also charge monthly pet rent, which can be $25 to $50 per month.
Probability to Save
MediumWhy and How
Pet fees are generally non-negotiable, but you can negotiate with the landlord to waive or reduce the pet deposit or monthly pet rent. Some landlords may be flexible if you have a strong rental history or a well-behaved pet. If the apartment is already pet-friendly, try negotiating for lower pet rent or a one-time deposit instead of monthly fees.
Parking Fees
Explanation
Many apartment buildings or complexes charge for parking spaces. Fees for assigned parking can range from $50 to $300 per month, depending on the location and availability. Some properties may also charge for visitor parking.
Probability to Save
Low to MediumWhy and How
Parking fees are often non-negotiable, especially in areas where parking is limited. However, you can try negotiating with the landlord to waive the parking fee if you're not going to need parking or if there's street parking available. You may also be able to find cheaper parking options nearby, especially in urban areas where public transit is available.
Utilities
Explanation
Some apartments include utilities (like water, gas, or trash collection) in the rent, while others charge them separately. When utilities are not included, you might face additional monthly charges for electricity, water, gas, or internet, which can range from $50 to $300 per month depending on usage and the apartment size.
Probability to Save
MediumWhy and How
If utilities are not included, you may be able to negotiate with the landlord to have them included in the rent. Alternatively, you can shop around for cheaper utility providers (if available) or reduce your usage to lower costs. Some rental agreements may also include a utility cap, so it's important to understand any limits on how much the landlord will cover before additional charges kick in.
Move-In/Move-Out Fees
Explanation
Many landlords charge a move-in fee to cover the cost of preparing the apartment for a new tenant. This can range from $50 to $500. Similarly, some apartments charge move-out fees to cover the cleaning and inspection of the apartment when you vacate.
Probability to Save
Low to MediumWhy and How
Move-in fees are often standard, but some landlords may be willing to waive or reduce the fee if you’re moving in at a less busy time of year. To save on move-out fees, keep the apartment clean and in good condition during your tenancy. If your apartment is in good shape and you have been a reliable tenant, you may be able to negotiate for lower move-out fees or a refundable move-out fee.
Renter’s Insurance
Explanation
Some landlords require tenants to have renter’s insurance as part of the lease. This typically costs between $10 and $25 per month and covers damage to personal property, liability, and sometimes even the cost of temporary housing if the apartment becomes uninhabitable.
Probability to Save
MediumWhy and How
Renter’s insurance is often mandatory, but you can shop around for the best rates or bundle it with other insurance policies (e.g., auto insurance) to lower the overall cost. Sometimes, you can negotiate with the landlord if you already have adequate coverage or if you’re willing to waive certain coverage options.
Lease Renewal Fees
Explanation
Some landlords charge a lease renewal fee when you sign a new lease for the apartment after the first year. This fee typically ranges from $50 to $200.
Probability to Save
LowWhy and How
Lease renewal fees are often standard, but you can negotiate with the landlord to waive this fee, especially if you’re signing a long-term lease or staying in the apartment for an extended period. Some landlords may reduce or eliminate the renewal fee if you’ve been a good tenant and have always paid rent on time.
Late Payment Fees
Explanation
If you don’t pay your rent on time, landlords may charge late payment fees, which can range from $25 to $100 or more, depending on the terms of your lease.
Probability to Save
LowWhy and How
Late fees are usually non-negotiable, but you can avoid them by setting up automatic payments or scheduling rent payments well before the due date. If you’re consistently late with rent payments, you can try negotiating with the landlord for a one-time waiver of late fees if you’re in a difficult financial situation.
Cleaning Fees
Explanation
Some apartment complexes charge cleaning fees when you move in or out. This fee can range from $50 to $250. Move-in cleaning fees cover the initial cleaning of the apartment, while move-out cleaning fees may cover deep cleaning and repairs.
Probability to Save
Low to MediumWhy and How
Move-in cleaning fees may be non-negotiable, but you can often negotiate move-out cleaning fees if you plan to leave the apartment in good condition. You can clean the apartment yourself to avoid having to pay for professional cleaning services.
Community Amenity Fees
Explanation
If the apartment complex offers shared amenities like a gym, pool, or clubhouse, some landlords charge additional fees for using these facilities. These fees can range from $10 to $100 per month or could be added as part of the rent.
Probability to Save
MediumWhy and How
If you don’t use the amenities, you can negotiate with the landlord to remove the fee from your lease agreement. If the amenities are included in the rent, ensure that they are well-maintained to avoid paying for something you’re not getting value from. You can also look for apartments with no amenity fees if they aren’t important to you.
Parking Garage/Storage Fees
Explanation
If you need an assigned parking spot or extra storage space, some apartments charge additional fees for these. Fees for parking garages can range from $50 to $200 per month, and storage units may cost $25 to $100 per month.
Probability to Save
MediumWhy and How
You can negotiate to have parking fees waived if you don’t need a parking space or if there’s free street parking available. Similarly, you can decline storage fees if you don’t need additional space and want to store your items elsewhere.