In last weeks blog, we focused on tips and advice for landlords. In this weeks blog, we would like to switch our focus to renters. Whether you are renting for the first time or for the fifth time, there are a few things that you need to know or should keep in mind. We’ve noticed an increase in the number of rental postings, so we’ve put together a list of five items to consider just in case you’re new to this or in case you need a friendly reminder.
Decide how much you can afford
It’s important to decide how much you’re willing to spend on rent. I personally spend about 15-20% of my gross monthly salary on rent and would not spend more than 25%, 30% would be pushing it. Ultimately, you need to decide what dollar amount is comfortable for you so that you’re able to afford necessities and save some money too. If you want more details, contact your bank, they usually have free financial literacy seminars for their customers and some have sessions that are tailored specifically to post-secondary students, so this could give you more details on how much you should be willing to spend on accommodation.
Pick a good location
Based on most of our postings, most students prefer locations that are close to their schools and some key amenities such as shops, accessibility to public transport, dog friendly parks etc. It’s also very important to review the crime rating of specific neighbourhoods if you’re not from there or are new to the city you plan on living in. Most police services have crime maps that are accessible to the public. For example, the Edmonton Police Service has an online neighbourhood crime map that you can use to check how safe certain neighbourhoods are.
Research rental laws
What most people don’t realise is that a rental agreement is a legally binding contract so it’s important to know and understand the rental laws. As with anything else, it’s always important to understand and know your rights! For example, Service Alberta has the Residential Tenancies Act – Handbook and reference guide and other resources for landlords and tenants. If you have time, please go over these items since it could make a major difference in your living circumstances and overall quality of life.
This point is related to the one above. A lease is a legally binding contract, so before you sign it, make sure you understand what you are agreeing to since it could come back to bite you. You also want to make sure that your lease does not contain any terms or clauses that violate provincial or national rental laws. Always keep a copy of your lease agreement and keep it on hand. From what we’ve heard, the lease comes in handy especially when dealing with rent payments, moving, evictions or when something needs to be repaired, which leads to our next point.
Find out who is responsible for damage
Depending on where you live, the details around this may change. In some cases, your property/unit may be owned and managed by your landlord, but the building itself may be managed and owned by somebody else or by a property management company. This means the nature and location of the damage or repair may determine who is responsible for repairing it, so it is important to understand these details. In some cases, property management companies will only deal directly with the owner of the unit, and they may not communicate directly with the tenant(s) to resolve any problems since they do not have the authority
One other item to note is what your insurance will cover and what your landlords insurance will cover. If the building is damaged due to something, you did like leaving a tap running or a pipe freezes and leads to a flood or mold damage, then you as the tenant may be liable. However, if the damage is due to something that the landlord or property company refused to or failed to repair on time, then this gets into a more grey area that you may need to discuss with your insurance company.