How to negotiate rent price?

eloy7

This is the first time I rent in the UK. How flexible is the rent prices quoted in the listings?

How should I negotiate the monthly rent to bargain but not to lose the house?

Old_Git

eloy7 wrote: »

This is the first time I rent in the UK. How flexible is the rent prices quoted in the listings?

How should I negotiate the monthly rent to bargain but not to lose the house?

A lot depends on the area .If there is high demand you wont have much room to negotiate .

As a landlord I have never had to negotiate on the first year .

HappyMJ

eloy7 wrote: »

This is the first time I rent in the UK. How flexible is the rent prices quoted in the listings?

How should I negotiate the monthly rent to bargain but not to lose the house?

It's quite difficult to negotiate on the asking rent. If it's clearly overpriced then the landlord will have an empty property. If you did negotiate it down will the rent be increased at the LL's earliest opportunity forcing you to leave if you can't pay it.

There's usually quite a few people willing to let the property.

If it's empty and you can move in straight away you might be able to get a few weeks free but that's about it.

The rent may seem higher than what other people are paying fot the same property and that is because most landlords do not wish to raise the rent too soon or too often so it's set slightly higher at the beginning. It's much easier to negotiate a rent reduction when the landlord wants to raise the rent and you are in the property. Landlord's want to avoid void periods as much as possible.

alchemist.1

Some will accept a lower level of rent if you pay upfront for a six month period.

HappyMJ

alchemist.1 wrote: »

Some will accept a lower level of rent if you pay upfront for a six month period.

With interest rates as low as they are that's not going to save much interest or earn more interest for the landlord.

If the rent is £1,000 per month then £5,000 will be put into a savings account for 5 months, £4k for 4 months, £3k for 3 months, £2k for 2 months and £1k for 1 month. The expected interest to be earned on that amount at 2.4% after tax assuming landlord pays basic rate tax on interest would only be about £15. Splitting that equally with the tenant would be £7.50 off the rent paid in advance. I would not consider it.

ognum

eloy7 wrote: »

This is the first time I rent in the UK. How flexible is the rent prices quoted in the listings?

How should I negotiate the monthly rent to bargain but not to lose the house?

There are many factors influencing this.

Location- how quickly is property letting in the area
Finance- are you employed/unemployed/on benefits
Rent in advance- can you pay several months rent up front
References - do you have any or a guarantor.

How much rents do you want reduced?

As a LL I have never reduced an asking price rent, I have also never increased one despite being offered more.

alchemist.1

HappyMJ wrote: »

With interest rates as low as they are that's not going to save much interest or earn more interest for the landlord.

If the rent is £1,000 per month then £5,000 will be put into a savings account for 5 months, £4k for 4 months, £3k for 3 months, £2k for 2 months and £1k for 1 month. The expected interest to be earned on that amount at 2.4% after tax assuming landlord pays basic rate tax on interest would only be about £15. Splitting that equally with the tenant would be £7.50 off the rent paid in advance. I would not consider it.

To be honest, i thought it was more to do with the security of having the money upfront for that period. Havent even thought of interest rates etc.

I know a couple of people where this approach has worked. Ive had a similar offer declined too.

elverson

Conversely I've been advised (as a tenant) during viewings with the letting agent to offer less than the asking rent, and the lower offer has been accepted.

The idea being that nobody will offer higher than the asking rent so the landlords have set the maximum that they might get if they're lucky, but will accept less to get someone into the property.

HouseBuyer77

The idea being that nobody will offer higher than the asking rent so the landlords have set the maximum that they might get if they're lucky, but will accept less to get someone into the property.

This depends on the area. Certainly I've heard stories of people having to offer above the stated rent to secure a property. If you're in a popular area where any reasonable property will have multiple interested parties you don't have much of a hope negotiating the rent down.

PasturesNew

It depends on your choice. If there is one you are viewing and it's the cheapest for rent, and that's all you can afford, then almost no choice. You have to offer full price to get it. You can't afford to lose it.

If you are viewing and choosing form 6-10, then you can at least try to negotiate as you will have other choices available to you is you get told "no" and you miss out on it.

So, like everything, the more money you have, the greater number of properties you could afford to rent - so you can view more. You can increase your ability to negotiate as you have choices and it won't be "the end of the world" if one says no to you.

elverson

eloy7 wrote: »

This is the first time I rent in the UK. How flexible is the rent prices quoted in the listings?

How should I negotiate the monthly rent to bargain but not to lose the house?

Whereabouts are you looking and what type of property?