Many of our clients are surprised to find out how strong the North Dallas rental market is. With the explosive growth that is taking place in our city we find that there is a large demand for rental properties and very little supply, making the rental market very competitive. Here are the top five things you should know before leasing a home.
1. When can I start my search? While you may need to give a 45 or 60 day notice with your current landlord, we recommend that you start your search no more than 30 days from your anticipated move date. In the current market landlords will not hold properties for more than 30 days for a prospective tenant.
2. Can I lease if I have bad credit? The answer is absolutely however, it will come at an increased cost. The typical security deposit with good credit is equal to one month's rent. If your credit falls below the median 620 you may be subject to a double or the rare triple security deposit. This means on a home that rents for $1200 per month your security deposit would be between $2400-$3600.
3. How much will it cost to lease a home? The typical fees you will see are application fees, security deposit, first months rent and any applicable pet deposits. Application fees can range from $35 to $50 dollars per applicant. Security deposits are equal to one month's rent and are based on good credit, income and rental history. Pet deposits can range from $350 to $500 per animal and typically landlords will not accept more than 2 pets. This means that if you are looking at renting a home for $1200 per month your total move in cost would be:
Application fee $50
Security Deposit $1200 for good credit $2400 for bad credit
First Month's Rent $1200
Pet Deposit $500
Total due before moving in would be $2950 to $4150
4. Can I negotiate on the rent? With the shortage of homes and increased demand in today's market we prepare our clients to offer the full rental amount. Many times there will be multiple applications on each property therefore by offering the full rental amount your application will be more favorable to the landlord and has a higher chance of being selected.
5. Is there a benefit to using a realtor to find a rental home? The answer is most certainly yes! A lease agreement is a binding contract with steep penalties for breaking the lease. It is in your best interest as the tenant to have a realtor represent you so that your interest are protected. Lastly using a realtor is risk free and usually costs you nothing, the commission is paid by the landlord not the tenant.
Contact us at 214-227-6626 if you have any questions or need more information.
Photo - Licensed from iStockPhoto | Written by Ryan Sparks with The Branch Team
Originally posted at http://www.thebranchteam.com/wordpress/2014/05/03/the-top-5-things-you-should-know-about-leasing-in-north-dallas/