4% monthly rental increase next year, is that considered high?

[renaissancewoman101]

It would equal to a increase of about $70/mo. Been living here for 8 years. It's a studio apartment on the edge of downtown.

[shes2smart]

When was the last increase? How much are they charging for similar apartments now? If they haven't upped your rent since you've been there, and this would bring your rent close to or at where their current rent for a similar apartment is, I personally wouldn't see it as a big deal.

 

If they're upping your rent every time the lease is up...or this increase would be over the going rate for a similar unit in the complex/building...well...I might start looking at what my other options are.

[90_hour_sleep]

It's 3% where I live. If you haven't had an increase in 8 years...consider yourself lucky. I lived in an apartment for 6 years, and there was a rent increase every year. If this is a one-time increase after 8 years, I think it's pretty reasonable.

[renaissancewoman101]

S2S, they raise my rent every year. Studio apartments here start off around $1300 for the lower floors (with this increase, I will be paying a little over $1400/mo). I live on a higher floor so rent is a bit higher.

 

I did read in the newspaper that rents are going up in our city due to tight rental availability.

[shes2smart]

S2S, they raise my rent every year. Studio apartments here start off around $1300 for the lower floors (with this increase, I will be paying a little over $1400/mo). I live on a higher floor so rent is a bit higher.

 

I did read in the newspaper that rents are going up in our city due to tight rental availability.

 

Ok, so what I'm hearing is that the increase will have you paying the going rate for that space? If that's the case, sure, it's an annoyance, but from their view, if they're certain they can get that rent from someone else if you leave, I don't know where there's much incentive to give you a break or charge you less.

 

Say all you want about being a good tenant, but unless your building/complex is owned by a specific individual who is a "hands-on" owner, I don't think that sort of thing holds much sway anymore. If the building/complex is owned by a large company or run by a property management company, you are pretty much interchangeable with any other tenant...which means they're looking to get as much as they can out of that unit and they don't much care who writes the monthly check. If what you read about a tight rental market is true, then it really puts the landlord/owner/management company in the power position. If apartments are sitting empty for months, then you have some leverage....but it there are potential tenants lined up around the block...well, not so much.

 

Still, if you don't want to move, you can try to negotiate under the premise of "you don't get if you don't ask." You may not be able to get a discount on the increase, but maybe you can get, say, new carpeting or have the place painted.

[RedDress]

You'll have to google your local laws.

 

Where I am, the maximum amount that a landlord can raise your rent is set by the government every year. This year, landlords are not allowed to increase rents by more than 0.8%. The rate changes year to year and it's tied to the Consumer Price Index.

[browneyedgirl36]

Wow! That's high rent for a studio! (I know you live in SoCal, though, so I guess it's not THAT high).

 

4% seems high, but my landlord raised my rent 10% one time (which is legal in CA, but the landlord has to give 60 days' notice of the rent increase if it's that high). I think he even did it twice in the ten years I lived there. He also raised my rent twice in one year. After that, I wrote to him (politely) asking if he was planning on raising it again the following year, because if so, I needed to look for another place to live. He didn't raise it again for over 4 years after that. He was a friend (more like a friendly acquaintance, I guess) who I knew before I moved into his building and he still raised the rent on me quite a number of times. I finally bought a house because my mortgage payment is only slightly more than what I was paying in rent per month ($1050/mo for a large one-bedroom with my own parking space).

 

I'm pretty sure 4% is still legal in CA, but you might want to check your local laws.

[DancingFool]

Most places don't have any restrictions on rent raises.

My advice is look up comparable places, factor in moving and deposit costs and see if this increase is really worth getting upset about. Unfortunately, most rental places are very market conscious, so you'll likely find that their rates are closely matching everyone else.

However, being such a long standing tenant, you might have a little bit of leverage for negotiating. So, as another poster said, go and see what you can get.

[paradisa]

I usually talk to the leasing office when the rent will be higher for another year lease and see if they can make any accomodations for me. It doesn't hurt to ask and I mention that I've never had lease violations, noise complaints and that I have always paid my rent in full on time. There has only been one time that I was unable to get a better lease renewal offer after that.

I also think it's well worth it to check out what the prices for comparable places are in your neighborhood because I found that I was actually still paying significantly less to stay where I was at than I would be if I moved down the street. Rent rates fluctuate throughout the year in my area too, so signing a year lease in July was costing me more for the same exact unit than it was to sign a year lease in the winter months (more housing demand in summer than winter) so also see if that may be the case in your area.

[ParisPaulette]

It depends, but when I lived in L.A. I was in rent-controlled housing and the landlord could, and did, raise the rent 3 percent every year. If your landlord hasn't given you a raise rent in 8 years consider yourself fortunate. Just look up the local laws and find out if you're living in rent-controlled housing or not. Your city should have a housing division of some sort you can contact, but I think 4 percent isn't that big a deal. When I talked to my landlord about it at the time he was raising the rent, because water and utilities that he provided kept going up plus taxes on the property. He had to make that extra money somewhere, so I felt it was fair to give him that increase.

 

Sorry, housing issues just suck no matter where you live. But if you're in SoCal I think looking around at whatever else is around you might just make you decide to stay put and count yourself lucky. I have friends out there and understand the rents have seriously spiraled out of control.

[annie24]

check the laws in your city. it may be legal.