Category Archives: Renting

Finances, Housing Advice, JumpOffCampus, Renting, Student Life

Get interest (AKA beer money) back on your security deposit!

Quick description: As a tenant, you’re entitled to interest paid on your deposits to your landlord. 

Why should I care?

As a renter, you probably had to put down a security deposit, right? And maybe last month’s rent, too. So that sucks. But you know what doesn’t suck? Beer. Burritos. And, uhm, books.

So good news: In Massachusetts, you’re entitled to get up to 5% interest on your deposits to your landlord. It’s all thanks to good old Chapter 186, Section 15B of Massachusetts general law.

In plain English

Here’s how it works, without the legal mumbo jumbo (sorry, pre-law geeks):

  • You give your landlord a deposit for last month’s rent and/or security deposit
  • At the end of the rental year, you get back the interest earned (because it’s like the deposit is still your money)
  • Interest can equal up to 5% of the total, or whatever the interest rate is at the bank where your landlord  deposited the money

For instance, if you ponied up $800 in last month’s rent, at the end of the year your slumlord is supposed to cut you a check. Assuming your landlord’s bank pays out 1% interest, that’s $8 you get back. AKA a free lunch. Or 20 lunches, if you count ramen.

Courses of action

What if your landlord doesn’t pay up within 30 days at the end of the year? You have a few options:

  • If you’re staying on as a tenant, you can deduct the amount from your next month’s rent.
  • If you’re done as a tenant, you get 3x the interest earned, plus court costs and attorney fees.

What to keep in mind

At the end of each rental year, keep a lookout for an interest check from your landlord. Or you could be missing out on a little extra cash that’s rightfully yours.

 

Standard
Housing Advice, Renting, Student Life

The Off-Campus Student Toolbox

You really don’t realize how important it is to have some miscellaneous tools around until you need to tighten a screw or hang up a picture.  This is why we’ve put together a quick list of some tools that will make sure you aren’t left in the lurch when it comes to hanging some of your favorite photos.

  • Hammer
  • Flathead screwdriver
  • Phillip’s head screwdriver
  • Measuring tape
  • Assorted screws
  • Assorted nails
  • Stud finder
  • Level

It’s a good idea to keep a small tool kit around your apartment that contains just a few basic items. However, you should always notify your landlord before doing anything major around your apartment.  This doesn’t include changing a lightbulb or tightening a screw here or there, but it will include things like fixing a door.  It’s always best to let your landlord know before you fix anything yourself; you should not take matters into your own hands unless you know what you are doing and you’ve gotten permission.

Having a really basic toolbox is a really great thing to have in any apartment you rent; it will definitely come in really handy whenever you need to fix something small.  Just be sure that before you do anything major, you check with your landlord first.

Standard
Housing Advice, Renting, Student Life

When Should I Start Looking for Off-Campus Housing for the Next Academic Year?

One of the biggest questions for many students, especially those moving off-campus for the first time, is just when should they start looking for housing.  The best answer depends on the area in which your school is situated.  If your school is in area where off-campus housing is limited, you may want to start a little earlier, maybe in November or December.  If you live in an area where housing is pretty plentiful, you may be able to wait until January or even February.  However, the idea is to start looking as soon as possible.

Before you start looking, you may want to get a group of people together to house with, or you may want to look on your own.  However, that is one decision you will want to make before you start looking.  You will also want to identify some of your main criteria for what you want in your housing, including things like location and amenities.  Figure out the things that you can live with, and what you can’t live without.  You can use our apartment checklist to ensure that you’re making the right decision for you once you’ve started your search.

All in all, it’s best to start looking for off-campus housing as soon as you can.  Before you go, just be sure to know what you want from your housing.

 

Standard
Renting, Student Life

Shopping for Renter’s Insurance

As we’ve mentioned in our previous posts, renter’s insurance is a great way to make sure the unexpected is covered.  However, it can be a little overwhelming figuring out where to start.  It’s doesn’t have to be too hard, though.  All you have to do is shop smart and find a policy that fits what you need.

The first thing to do before you even start searching for the right policy is to inventory your place.  You should put together a list of all the things you have in your place (at least those things that you would want covered by insurance), including their values and serial numbers.  This will help you figure out how much coverage you will need.  You also want to take photos of the items and of your place as it is now.  You may even want to videotape a tour of what your pad looks like.  This way you will have visual evidence as to the current condition and items you have.

You may also want to consider how much you want to pay per month and what your deductible should be.  Your deductible will be the amount you pay before your insurance company will contribute money to fix the damages or replace any items.  You want to make sure that the amounts you choose are those that are right for you.

After you’ve done your prep work, the next step is to start looking at some quotes that include the parameters you would like to have met.  If the quotes you are getting are a little off, you want to figure out if that is something you could live with or not.  You want to check around with a few different places too.  The idea is not pick the first number you see.

When looking at different plans and insurance companies, it is also a good idea to look at the terms they have for their policies.  You want to make sure that they will cover what you need and on terms that are acceptable to you.

After you’ve gathered all of your information, it is then time to compare the prices and the terms; figure out what will be best for you.  After all, this is an investment.  You may even want to talk to a representative (if you haven’t already) to clarify what they cover and how it all works.  It’s also a good idea to talk to your landlord to get their input before making your final decision.

When looking for renter’s insurance, it can be a little overwhelming.  However, it doesn’t have to be too hard, as long as you shop smart and choose the plan that is right for you, you won’t lose out.

 

Reference:

“How to Buy Renter’s Insurance” by Apartments.com

 

Standard
Housing Advice, Renting

Our New Sample Sublet Agreement

For students, subletting can be a great way to finance your apartment while you study abroad or take that internship that you’ve been dreaming of.  It’s also really beneficial for landlords, too.  We spoke with Diane St. Laurent, a property manager in Rhode Island and our expert, who tells us that if a tenant is no longer able to pay or needs to leave early, a sublet agreement can be a great idea, as a subtenant can take over and ensure that the landlord is still getting paid even when the original tenant has left.

However, putting together a sublet agreement can be confusing, especially if you’ve never done it before.  At JumpOffCampus, we try to make the off-campus experience as easy as possible, and this is why we’ve put together a sample agreement for you.

To put together this resource, we reviewed tons of different lease agreements, and drew upon the best elements of each.  Why re-invent the wheel, after all?  Our agreement outlines the basics of what you’ll need to consider when subletting, including things like liability and your landlord’s approval.   It ensures that you don’t forget the essentials, and makes room for all the provisions you and your landlord need.

Dealing with sublets doesn’t have to be stressful, and with the Official JumpOffCampus Sublet Agreement, it can be even easier.  It’s only one click away!

Added Considerations for Subletting:

For student tenants:  We strongly urge you to talk to your landlord before subletting, as your lease may not allow for it and/or your landlord may require specific accommodations for subletting in a new/revised lease.

For landlords:  St. Laurent explains that sublets will only be legally possible under specific conditions:

a)    The original lease makes provisions for subletting.

b)   If the original lease does not have a provision for subletting, the original lease is terminated and a new lease with the new tenant is made, or

c)    The original lease has a provision for modifications, in which a sublet clause could be added to legalize the sublet.

St. Laurent also explains that sublet agreements should establish proper liability for damage and payments.  She explains that with longer sublets, it is a good idea to have the new tenant liable for damages, and with shorter sublets, it is best to have the original tenant held liable.  In this way, the appropriate individuals are held accountable.

 

The material and information contained in this agreement are for general information purposes only. You should not rely upon the material or information on the website as a basis for making any business, legal or any other decisions. JumpOffCampus assumes no legal liability (to the extent permitted by law) or responsibility for any loss of damage (including, without limitation, damage for the loss of business of profits) arising directly or indirectly from the use of the agreement, or any of the material contained in it.

References for Our Sublet Agreement:

Tenant Resource Center in Madison, Wisconsin

REALTECH Real Estate Services, Inc. in Pleasanton, California

Standard
Renting

Protecting Your Security Deposit

When you’re renting, one of your biggest concerns should be ensuring that you protect your security deposit.  This is because you not only want to get back your full security deposit, but you also want to maintain a good relationship with your landlord.  To do this you will have to keep track of any current damage when you move in and ensure that you don’t cause any damage while you’re renting.

The first thing to do when you move in, before you even start unpacking, is to document the current state of the unit.  It is a good idea to go through a checklist of any existing damage with your landlord, if you can.  It’s a good idea to go through the apartment as thoroughly as you possibly can, so you won’t get the blame for damage that may already have been there.  It’s also a really good idea to take a photo or video of the current state of the apartment when you move in.  Any damage you find upon your move-in is something worth documenting visually with a timestamp.

If you find any major problems with your apartment upon your move-in, you should let your landlord know right away.  This could include any type of leak, breakages, major damage, and infestations.  You should also let your landlord know if the conditions of the apartment are unacceptable upon your move-in, i.e. the cleanliness of the apartment is unacceptable or the apartment is not up to code.  You should check your state’s requirements on these codes to see what is necessary for your apartment.

While you’re living in your apartment, you should also make a note of any damage you see that you may have missed in your first walk through.  You should also let your landlord know right away if you cause any damage to the apartment.  It’s best just to own up to your mistake; your landlord will be more understanding if you tell them right away.

Working to protect your security deposit should be one of your main goals while your living in your apartment.   While your landlord cannot charge you for normal wear-and-tear, you should document the condition of your apartment upon moving in, including documenting with timestamped videos and/or photos.  It’s also a good idea to do this with your landlord, if you can, so they are aware of the current condition of the apartment.  Be sure to let your landlord know if the condition of the apartment is unacceptable and/or not up to code.  It is in these ways that you can ensure you get your full security deposit back and that you maintain a good relationship with your landlord.

References:

“Helping You Protect Your Security Deposit” from UMass Amherst Off Campus Student Services 

“How to Get Your Security Deposit Back” from Pine Tree Legal Assistance

 

Standard
Housing Advice, Renting

What do I do when something gets broken or damaged in my apartment?

If anything breaks while you are residing on the premises, and it is not your fault, it is best to let your landlord know immediately.  This way they will not assume you damaged it, and this will prevent you from having to pay for the damage to be fixed.  Things can happen, and so it’s best to just let your landlord know right away.

If you caused damage or broke something on the premises, the best thing you can do is let your landlord know immediately, as well.  Do not try to fix anything on your own.  For while your landlord may deduct from your security deposit, you’ll be better off by letting them know.  This way your roommates will not be held responsible for any of the damages (if you have roommates), and you can maintain trust between between you and your landlord.

We should also note that it is a good idea to keep track of anything that is damaged, broken, or anything that is just not working properly, upon move-in.  If you notice something, let your landlord know immediately, and keep a record of it.  You may even want to take a photo (if you can), just in case.

Overall, breakages and damages can occur.  The best thing is to let your landlord know right away when something gets damaged or broken.  For while you may have to pay, it will help you to maintain trust in your relationship with your landlord.

To find out more information on your rights and responsibilities as a tenant, visit http://portal.hud.gov/hudportal/HUD?src=/topics/rental_assistance/tenantrights.

Standard
Higher Ed, Renting, Student Life

The Effects of Increasing Off-Campus Populations

With increasing student populations, particularly at state schools, it can be difficult finding housing for everyone.  This is why many students, especially upperclassmen, decide to make the move off-campus.  However, while the increase in population can have major effects on the universities, it can also have major implications for the cities and towns near these universities.

For many cities and towns, it can be difficult to find enough space for the students and long-term residents to live.  One example of this can be seen in the Northside neighborhood of Chapel Hill near the University of North Carolina.  In an article by the Jenny Surane of the Daily Tar Heel, she explains 500 of the rental properties in the area are student-occupied, and students account for about half of the population.  However, in a historically low-income neighborhood with only limited space for residents, both student and long-term, the town is put into a difficult place:  Do they allow new developments into the area, or keep the area as it is?

Others problems with increasing off-campus populations are the noise and other disruptions generally accompanied with increases in student residents.  In an article by Jonathan Morris of the Minnesota Daily, he explains the St. Paul City Council’s decision to implement a new ordinance to limit off-campus housing as a result of overcrowding, excessive vehicular traffic, limited parking, and noise and nuisance complaints.  While St. Thomas University (the university primarily effected by the ordinance) has not chosen to contest the ordinance, it will have significant effects on both long-term and student residents as the ordinance may force students to move elsewhere.

Increases in off-campus populations can have a major effect on an area, not in just in traffic, but also in the resources that are available to both student and long-term residents.  It is important for universities to consider the ways in which they can assist their off-campus students to make informed decisions about where and how they live off-campus.  For while living off-campus may just seem easy for students, there is certainly more to it than meets the eye.

Standard
Housing Advice, Landlords, Renting

Why Landlords Should Encourage Renters to Get Renters’ Insurance

For some landlords, it is purely the decision of the tenant on whether to get renters’ insurance or not; for renters, renters’ insurance often seems like an “unneeded expense.” However, by renters not having renters’ insurance coverage, it cannot only hurt them, but it can also hurt their landlords. This is why it is important for landlords to not only educate their tenants on the benefits of renters’ insurance, but to encourage them to get this type of coverage.

First, by ensuring tenants have renters’ insurance, landlords can prevent any unwanted insurance claims being made against them. In fact, according to survey by Joshua Tree Consulting, rental property owners deal with about eight insurance claims like this a year. By helping to educate and encourage their tenants to get renters’ insurance, it can limit the number of these claims and the associated legal expenses that may come with it.

For landlords, renters’ insurance can also help cover their deductible in cases in which their tenant is responsible for damage to the property. In fact, according to a white paper published by Joshua Tree Consulting, landlords pay an average of over $2,400 per property for tenant-caused damage, as compared to just over $1,300 in properties where landlords required tenants to carry renters’ insurance. In this way, landlords can save money by encouraging tenants to get renters’ insurance.

While there are several financial benefits to encouraging renters’ insurance, responsible landlords can also value the importance of having this type of coverage. Incidences like fire and theft are not so “farfetched” in that they are impossible. By encouraging tenants to get renters’ insurance, landlords can help ease the minds of their tenants, so that should these incidences occur, they know they will be covered..

Renters’ insurance for both tenants and landlords is smart choice when renting, as it can save both parties money and stress in the case of fire, theft, or injury on a property. Landlords should remind tenants of the implications that incidences have, and the damage and loss they can inflict. It is important to stress foresight and caution when renting, as accidents can happen. For while renters’ insurance may seem like an unneeded expense now, it is something that will help both landlords and renters get through the times in which the improbable becomes probable.

Reference

“Renters’ Insurance Protects Landlords as Well as Tenants” by Jeffrey Turk

Standard
Housing Advice, Renting

The REAL Cost of Renting

If you’re renting for the first time, you should be aware of what utilities you will have to pay, along with your monthly rent payment.  While some apartments have utilities included in the cost, others only cover some of the utilities, and some don’t cover any.  If you’re looking at apartments with either of the latter options, you want to know what those utilities will be and what they will cost.

Heat:  The three most common options you will have for heating will either be gas, electric, or oil.  The major difference between these three is that gas and electric heat will be billed monthly, while oil heat, in some cases, will be billed when the oil tank needs to be filled.  This means that you will be billed only once or twice to fill the tank, however, this bill will be reasonably large as oil is expensive.

One common misconception about oil heat is that it is the most expensive option of the three (oil, gas, electric).  This is actually false; according to an article we read by the U.S. Department of Energy, electric heat will actually tend to be more expensive, despite its high efficiency.  However, natural gas comes out to be the cheapest, as it is roughly three times less than oil heat.

While you don’t get much of choice when it comes to choosing your apartment’s heating system, you should be aware that, in many cases, your landlord may request that you keep the heat at a minimum temperature.  This is generally meant to prevent the pipes from freezing, however, this should be factored into your heating budget.

Water and Sewer:  In most cases your landlord will cover the bill, and may even factor this into your rent.  However, if they don’t cover this expense, there are some things you need to know.  First off, your water and sewer bill will come together on one bill and your average monthly cost will depend on the area in which you reside.  For example, according to the Boston Water and Sewer Commission, the average one family customer used about 180 gallons per day in 2012 and was charged around $73.70 per month.  While this price will not be the same for most states, in an article we read by Brett Walton at Circle of Blue, in 2010, rain-scarce regions actually had the lowest residential water rates and the highest water use.

Secondly, you also have to be aware that your water bill will depend on a lot of things, including how you pay the bill (does your landlord split the bill, do you pay per apartment, etc.) and how many people live with you.  You may want to factor in at least $100 per month if you live alone and about $50 per month if you live with roommates.  This way you can budget for those months where your water use was high.

Trash:  This is another expense that, in most cases, your landlord will cover.  However, if they don’t and you’re on your own, your monthly trash collection bill will depend where you are living and how many roommates you have.  For example, your bill may be around $50 if you are living in an apartment building.  If you’re renting an entire house, it may be a little higher.  This a very specific question, as it varies greatly from one town to the next, so this a good question to ask any potential landlord.

Electricity:  In an article we read at AverageElectricBill.org, your bill will depend on your consumption and the rate charged by your provider in kilowatts per hour.  The quality of your appliances will play into the average cost, as well as how often you use each appliance.

Like many of your other utilities, your state and your provider will determine your average rate.  For example, the Massachusetts Department of Energy and Environmental Affairs reported recently that the average bill for its residential customers was about $112 per month.   However, according to reports distributed by U.S. Energy Information Administration, average electric bills can range from $80 to $200 per month, depending on where you live.  This is why it’s good to ask your landlord what is the average monthly cost of electricity for your apartment.

Internet/Cable:  If you’re a student, cable may be a luxury but Internet is a necessity if you hope to do your schoolwork at home.  You’ll have to see first what your apartment is wired for, as some units are only wired for one particular service provider (Cox, Verizon, Comcast, etc.).  While each provider offers different packages, the basic packages will run from about $50 to $70 per month.  In some instances you may find that one person in the building has purchased an Internet package and is willing to share the connection with others for a lesser monthly payment.

You will also need to factor in other added costs associated with Internet and/or cable.  In an article we read by Amy Hoak at Marketwatch by the Wall Street Journal, she explains that you want to be sure to factor in costs associated with set up.  Many providers will actually tack on a cost to set up an Internet and/or cable service in your place.

In terms of paying utilities, the most important thing is to understand how they will be billed, explains Hoak.  You want to ask your landlord what utilities you will need to cover, and how the bill will be distributed.  You’ll also want to ask what the average prices will be per month so that you can get a better idea of how much money you should factor into your budget for those utilities.  You may even want to ask them what the highest price they’ve paid before so you can prepare.  The main thing is not being afraid to ask for help when you need it.  It’s better to ask a lot of questions now rather than not having trash pickup, having no water, no electricity, and getting to winter and not having heat.

Other articles we referenced:

http://www.scientificamerican.com/article.cfm?id=oil-versus-natural-gas-home-heating

Standard