1. Renting an Apartment You will soon be out on your own, possibly needing to find housing. Today’s lesson will help you understand the many factors that go into renting an apartment or house.
We will cover:
Expenses
Terms & Conditions
Advantages
Disadvantages
The Lease Agreement

2. Renting Expenses How much is rent?
Read through the Scenarios from your packet
Determine what’s important to you
Will you need a roommate?
What is a Security Deposit?
Usually required to sign a lease
Covers anything beyond normal wear & tear on the unit
All or part is reimbursed depending on condition of unit when you leave.
Some rental agreements will require first/last month’s rent
Do I need Renter’s Insurance?
Some rental properties require it
Protects your property in the unit if there is any damage due to flooding/fire, etc.
How much are utilities?
See the Monthly Budget on the next page of your packet
Renting Expenses
Monthly Rent
Security Deposit
First/Last Month’s Rent
Renter’s Insurance
Utilities
COST OF HOUSING SHOULD BE NO MORE THAN 1/3 YOUR SALARY
Renting Expenses generally include: Monthly Rent, a Security Deposit, sometimes properties require you to pay first and last month’s rent upfront, Utilities, Renter’s Insurance. Keep in mind that the cost of housing should be no more than 1/3 your salary.

3. Advantages & Disadvantages of Renting
Low move-in costs
Fixed monthly expenses
Easy to move
Location choices
Less maintenance & repair
Fewer responsibilities
May offer extra amenities (pool, fitness center)
Typically less expensive then home ownership
Other expenses may be included: electricity, water, sewer and/or garbage
Subject to terms of the lease
Rent may change with little notice
Less privacy and transient neighbors
Restrictions on noise level and/or pets
Options to upgrade apartment are limited
No tax deduction
May lose rental if property is sold

4. What is a Lease?
A legal contract between the tenant (you) and the landlord (owner of the rental property) specifying the responsibilities and rights of both parties.
Lease agreements identify the rent amount, security deposit amount and details on items such as: payment for utility bills, late payment penalties, length of lease and eviction terms.
Read through the next 2 pages in your packet: “Terms & Conditions of a Rental Agreement”

5. The Rental Lease Agreement
On the next page of your packet, read through items 1-7 on the Lease Agreement.
It’s important that you read and understand lease agreements before you sign them
Take the rest of the time today to read through the remainder of the lease agreement.
What questions do you have?