Sometimes, the cards fall in our favor. Other times, a little help is necessary to bridge the gap. This is where a sympathetic landlord a rent reduction letter comes into play.
Most people don't request a rent reduction because they don't know that it's an option, but with the right approach, it's certainly feasible to negotiate rent to a rate that's better suited to your budget. Will your landlord agree to your terms? Maybe, maybe not. But you have nothing to lose by asking and everything to gain.
If you're interested in negotiating your monthly rent payment, but don't know how to get started, don't worry! To help you negotiate for a lower rent price, we've put together a rent reduction letter template and additional information to consider when making this request.
Aside from wanting to cut down on your cost of living, there are a few situations that will cause you to ask for a rent decrease.
Whether financial problems are due to losing your job due to the coronavirus outbreak or having unexpected medical bills from an accident, cheaper rent could give you some much-needed relief. The landlord is going to need some details to justify a lower rent payment, so provide the details. Also, include information on your plan of action going forward. The landlord needs to know that you'll be back up on your feet, financially speaking, at some point. Highlight that, as responsible as you are, you could not have planned for this situation. Also, point out the many other ways that you are a good tenant!
If your current apartment complex doesn't have the amenities (like on-site laundry or a gym) that similar apartments in your area do, bring this to the attention of your property manager. Or, perhaps there's never a parking space when you need one, which is a serious inconvenience. The apartment manager might consider adding these amenities or reducing your rent price in order to keep you on as a tenant. If the other apartment complex is a serious competitor, the landlord will likely be more motivated. Empty units don't benefit the community as a whole!
The amount of decrease you ask for during rent negotiation will make or break your case. Be sure to ask for a realistic reduction based on the going rental rates in your neighborhood (both in your complex and others in the area).
A little research in the nearby rental market is necessary to justify a lower cost. Ask your friends who live in your area what they're paying and if they've successfully been able to negotiate their rent. Don't be afraid to canvas some neighbors to get an idea of what they're paying — it's not impolite. In fact, if they're paying too much, they'll be happy to know so they can send a rent reduction letter themselves. Thorough knowledge of rent prices in the area is a key piece of the negotiation and is likely what will ultimately win over your landlord
You can request a rent reduction from property managers at any time, but your landlord will take you most seriously when you are renewing your lease because you'll have more leverage right before the lease ends. You can also work other sticking points, like pet fees and the security deposit, into the discussion when you negotiate your rent. Quiet, clean tenants are tough to find, so chances are the landlord wants you to continue renting! Use our sample rent reduction letter during the negotiation process when renewing your lease. If you make a good case, the landlord will be more likely to lower the monthly amount.
However, if you've fallen under an unexpected financial hardship, as many have with the spread of coronavirus, ask for a rent reduction as soon as possible. Showing that you're planning ahead for the next month will make you appear more reliable and display you're working to fix your situation.
Another option when negotiating rent is to ask for a temporary reduction to help with adverse financial circumstances. If your work has halted during quarantine, you may need a little rent relief during this time. Ask your landlord if they would be willing to reduce your rent for these couple of months until you can get back on your feet again.
In addition to comparing rental prices in the area and pointing out lacking amenities, there are a few arguments that make a big difference during rent negotiation.
If you reliably pay rent on time, your landlord will be more willing to hear your case. If you haven't made rent on time, the chances of them wanting you to stay will be slim.
Tenants who keep a clean apartment are one in a million. Mention that you've kept the apartment in good condition and offer to take photos or have a walk-through to prove it. This makes less work for the landlord when you move out eventually.
Being a good neighbor goes a long way. If your apartment manager hasn't had to remedy any situations with you and your neighbors in the past, they'll likely want to keep you right where you are. If you're still relatively new to the property, encourage the current management to contact previous landlords for character references.
When an apartment is vacant, the owner is losing money. Remind the landlord that it costs money to replace you, in the form of cleaning/maintenance, as well as the time and fees that finding a new tenant will entail.
Negotiating lower prices is all about give and take. Be sure to mention what you're willing to give in return for this rent relief. For example, offer to sign onto a longer lease term (a one-year lease or more) to ensure they'll be paid rent consistently for a longer period of time. You can also offer to pay for the first few months upfront if that fits into your budget.
No matter the reason for the request, here's a sample letter to ask your landlord to lower the rate. They're not legally obligated to do anything about it, but most will respond. Simply fill in your specific information and personalize it based on your situation (this sample letter has financial hardship in mind). Then, mail or email this letter to your property manager. Be sure to keep a version on file for yourself.
Your Name
Current Address of Your Apartment with Unit Number
City, State, ZIP Code
Landlord Or Apartment Company's Name
Address as Printed on Your Lease
City, State, ZIP Code
Re: Request to Lower Monthly Rent Payment
Dear (Contact's name),
I am contacting you to discuss lowering my monthly rent rate. I love living here, but lately, situations out of my control have impacted my monthly finances. A reduction in rent would go a long way to help me get back on track.
Prior to this, I have been a model tenant. I have always paid my rent on time and in full. I've maintained the apartment in good condition and I have been kind and respectful to both you and my neighbors. I don't believe you could ask for a more conscientious resident.
I have done my research into rents in the area, and I believe a slight reduction is reasonable compared to what others are paying. After speaking with some of my neighbors and examining rates for similar units in the neighborhood, I have a good idea of what is realistic, given the local market value.
I would like to request a [dollar amount here] reduction of my monthly rent, which is in line with the neighborhood average. I believe this is a fair rate and would help me retain residence here, which is very important to both of us.
There are also many benefits to you if I stay, including avoiding the expense and hassle of listing the vacancy, readying the apartment for a new tenant, going through the application process and the possibility of lost rental income while you search for a new tenant.
In exchange for your generosity, I would like to know if there is something I could do for you, as well. If you wish, I could pre-pay the first month or two of the new rate, sign a longer lease commitment or extend the termination notice time an extra month or two. I'm open to ideas.
I do enjoy living here, but I can save money by moving elsewhere. I am hoping it doesn't come to that and we can agree on new terms. Please let me know your thoughts about a lower rate as soon as possible.
Your Name and Signature
Apartment Address and Unit Number
Phone Number
Email Address
There's always a chance that your property manager won't want to lower the rent and rewrite the lease agreement. If you've made your case and they still won't lower your rent, you have a few options.
If you decide to stay, be sure to let your apartment manager know in the timeframe outlined in your lease. This is usually 30 days before the end of the lease.
If you're asking for a price decrease because other properties in your area have a lower rental rate, you may consider moving to one of them. You've already done the research and found a comparable option that will end up saving money.
In the end, asking for a rent reduction can only work to your benefit, as long as it's done professionally. Your landlord is human and understands where you're coming from. The worst they can do is say no.
