You are in financial difficulty and cannot pay your monthly rent. You have every right to ask your landlord for a rent discount to help you save and keep your lease going.
Most of us think: I signed the contract and agreed the price, now ask for a rent discount – it’s confusing. That’s why most tenants don’t ask for a rent discount because they think they can’t. In fact, landlords always want tenants to stay with them for a long time and share with them the difficulties that tenants are facing. Landlords are available to assist tenants if the reason is appropriate and the tenant is a great tenant.
Request a rental discount: 6 scenarios common & Rent reduction letter template
JHouse had many directly discussions with loyal landlords and tenants to create this rental discount guide. This guide will show you common reasons for asking for a rent discount. When and how much rent discount is appropriate. And, what to do when rejected, you can refer to the “Rent reduction letter template” that JHouse shared in this article.
6 common reasons to ask for a rent discount
1. Losing a job
You have a steady job at the time you sign the rental contract, but no one knows what will happen in the future. Unfortunately, you lost your job and can’t pay your monthly rent until you find a new job. In this situation, you can discuss or write a rent reduction letter explaining your problem to the landlord.
2. Financial difficulties
If you are in an unforeseen financial situation, maybe you need to pay a large sum of money for something or because of the Covid-19 or any other reason that put you in financial difficulty. Negotiating lower rent will ease your financial burden – you’ll breathe easier and have more clarity. Explain your problem clearly and show the landlord that the problem is unpredictable and you cannot anticipate.
3. Roommates move out
Another common reason is that your roommate moves out suddenly and you need to pay all of your rent. This is the time to write down your rent reduction letter.
4. Other apartments in the same area have lower price
In general, similar apartments in the same area will have roughly the same rent. It creates a common ground for the market. However, you find that your friend pays less for rent or other similar apartments have lower price or supply exceeds demand. You can address this issue in your rent reduction letter.
5. Lack of common facilities
Normally, the rental price will be formed from the equipment inside the apartment and the common facilities in the building such as: swimming pool, gym, ping-pong court, basketball court or tennis court, etc. If your building does not have the same amenities as comparable apartments in the same area, you can discuss and send rent reduction letter to landlords.
6. Bad property management
All tenants expect to live in a clean, noise-free, mold-free, odor-free, insect-free, …, and safe space. It’s great if your building is operated by the landlord in a good and stable way.
But in fact, a few buildings were not operated in a good process. It causes a lot of inconvenience to tenants. This is when you need to talk to your landlord to resolve the issue and you can also use this to negotiate rental price with landlords.
When your reasons are compelling and urgent enough, it’s time to negotiate lower rent with your landlord and “When is the rent discount most effective?” and “How much discount is appropriate?”. Follow along with the content below.
When is the rent discount?
You can request a rental discount at any time.
- The best time is when you are going to renew your lease. Preferably 30 or 60 days before renew the lease agreement. It’s always better to continue with an existing lease and serve old tenants than to start from scratch with a new one by seek and follow up new tenant.
- The second best time, is when you have financial difficulties. Do it now and plan for the following months. The owners need time to think and make a final decision and you don’t want to have a bad payment history record because of late rent payments. It’s time to draft your rent reduction letter and send it to your landlord right away.
Your request a rental discount will be positively responded to by your landlord when you offer a rent discount of the right rate and prove you’re worth the rental discount.
How much rent discount is appropriate?
This is a difficult question that you need to consider carefully. Make sure your request for a discount is grounded and relevant. This is an important factor for a landlord to agree or disagree with your request a rental discount. This will depend on a few factors, it requires you to do small surveys.
- Explore rental rates for apartments in the same building. Ask your neighbors about the rent. This is how you will know if the rent is the same in the building.
- Look at the rents of similar apartments in the area. Ask friends or realtors about rents in the area. You will know the average rent price for an apartment type similar to yours.
- Based on your current financial ability but don’t let the rent get too low because you will be rejected by the landlord immediately.
The landlord will consider the following factors to decide: How much to reduce? How long is the discount? And why give you a discount?
Advantages when negotiating lower rent
To get your rent reduction letter approved, besides the amount you request a suitable discount amount of money, you also need to prove to the landlord that you deserve the discount. You need to answer the landlord’s question “Why reduce the rent”. Here are the advantages when negotiating lower rent to get a rental discount:
1. History of paying rent on time
You always pay your rent on time, even earlier. You have a great payment history in the past. Show your landlord your payment history and use this to prove your advantage, the host is more likely to be sympathetic and understanding of the problem you’re having and may agree to give you a discount.
2. Always maintain and preserve the apartment in good condition
Keep and preserve the property inside the apartment or common property in good condition. Here’s how to enjoy your life and be different. Landlords will have regular visits and you need to show them the properties are well taken care of by you. Landlords will understand that they don’t need too much effort and money to renovate the apartment if you move out.
3. No complaints from neighbors
You are a kind and friendly neighbor. No complaints from your neighbors. This helps you have a comfortable life and credit points in the eyes of the landlord. Every landlord wants to keep good tenants in the apartment.
4. Longer rental period
If you submit a request a rental discount on the apartment rent at the time of contract renewal. This is your time to negotiate rental price. You want a better rent for a longer contract. You can also offer to pay months in advance, if your budget allows.
5. High cost when the apartment is vacant
The apartment has no tenants, which means the landlord is at a loss. Owners do not want this situation, especially when they are business professionals.
The apartment is vacant, the owner needs to find a new tenant. They lose money during periods of absence and have to pay real estate agents to find new tenants.
The more the apartment is left empty and vacant, the more a gloomy atmosphere is created and assets will quickly degrade without users.
In most cases, the landlord is the person doing the business. The owner’s business goal is to make money. That means they are not interested in making things more difficult or troublesome.
Rent Reduction Letter template – How to write a rent reduction letter?
You are experiencing financial difficulties or going through a period of crisis because of the global impact of the Covid-19 coronavirus pandemic. This is when you need to write down your rent reduction letter and send it to your landlord right away. So, how to write a rent reduction letter? Here is a rent reduction letter template below. Please fill in the information and adjust to suit you. Then send it to the host by direct mail or email.
From:
[Your name]
[Room number & building name]
[Address of the apartment or building]
[Day month Year]
To:
[Landlord or rental company name]
[Address printed on your lease]
Re: Request a rental discount payment
Dear: [Name of landlord or rental company name]
I’m [your name] and I’m a tenant in [room number, building name]. I would like to reach out today to ask if we can discuss reducing my rent. Ever since I moved in [month, year you moved in], I’ve enjoyed and loved everything about living here. Unfortunately, my finances have been in trouble lately and I really want a rent discount from landlord.
I believe I have been an attentive and friendly tenant throughout my tenancy. I always pay my rent on time and in full. I have kept the apartment in good condition and have been very kind and respectful to my neighbors.
My financial situation has changed dramatically because of COVID-19, as the government advised to close all schools (both public schools and English centers). I am an English teacher at [school’s name], and my school has been closed since [the date your school closed]. I have not received a salary from my school. I was trying to find a job online, luckily I found one. However, the salary is quite low and not enough for me to pay the rent, electricity and other living expenses.
I would like to discuss the possibility of reducing my monthly rent payments by [set how much rent you want/month] for the next two months. The rent discount will help me settle down once schools are allowed to reopen.
I love this place so much, it feels like home. I don’t want to break my contract or have to leave. I would be very grateful if this rent reduction letter is approved by you. Please let me know what you think when you are available. If you would like to discuss this further, please contact me.
Thanks!
[Your name and signature]
[Apartment code & building name]
[Address of the apartment or building]
[Your phone number or email]
What should you do when your rent reduction letter is declined?
The landlord is still the final decision maker, they can decline your rent reduction letter. Landlords also have their own advantages when they consider your request a rental discount. You did try your best, don’t be stressful because you still have some other options.
Stay in – adjust your budget
Maybe this is the best option for you because the cost of moving to a new place can be high and finding a new house that’s right for you can take a longer time. If you are satisfied with your apartment now, you can continue to stay and of course, you need to adjust your budget and cut your unnecessary expenses.
Looking for more roommates
Finding more roommates is a good way to share your rent during a tough time. However, you need to review the contract and make sure that finding a roommate has been stated and agreed in the contract.
[See more: Breach of contract: 15 common violations & How to safely break a contract?]
Search for a sub-tenant – early termination of tenancy
This is a good way of a termination of tenancy agreement early and gets your deposit back. The search for a sub-tenant should be agreed upon and stated in the contract. You can seek consent by chatting with the host. An open discussion is always welcome.
[See more: Termination of tenancy agreement early: How to minimize penalties]
Looking for a new place to live with cheaper rent
If your budget can not be flexible to continue to stay, you can look for a new place to live with cheaper price. You need to wait until the rental contract ends or you can end the lease early with penalties. You don’t want this, but maybe this is the best way for you to save and maintain your life.
Note: These suggestions are for informational purposes only. No guarantees of legal or financial advice are made. Readers are encouraged to seek legal advice from an attorney or financial advice from professional expert.
©JHouse Team
Website: https://jhouse.vn/
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