What Bills Do You Pay When Renting An Apartment?

Let’s take a detailed look at what bills you will need to pay when you rent an apartment.

What Bills Do You Have To Pay When Renting An Apartment?

There will be several costs associated with renting an apartment. Make sure you budget for the following costs:

• Security deposit.
• Monthly rent.
• Utilities.
• Renter’s insurance.
• Pet fees.
• Parking fees.

*Renter’s insurance, pet fees, and parking fees will only be charged if required by your landlord/property manager. 

Security Deposit

Along with a usual application fee, security deposit is one of your first charges as a tenant. This one-time expense must be paid when you initially move in. The amount will be close to if not equivalent to the cost of one month’s rent. As long as there is no damage to the unit upon move out, this deposit will be returned to you in full.

If, however, the landlord determines that they need to apply the security deposit to repair any damage, they do reserve that right. Most landlords will ask you for first month’s rent in addition to the security deposit prior to your move-in date.

Rent

After a month of living in your new place, you will need to make your first rent payment. Rent will be due at the agreed-upon date on your lease, typically the first of the month, every month. Rent will be paid via cash, check, or through an online portal.

The majority of leases are year-long or more. The good thing about a long-term lease is that you will be locked into that rate until the lease agreement expires. However, moving out before your lease expires can be very costly.

Utilities

In some cases, your landlord or property manager may take care of some of the utilities. However, that is not guaranteed, so it’s wise to include average utility costs in your budget. Prepare to pay for the following each and every month:

• Electric bill.
• Natural gas.
• Water bill.
• Wifi.
• Trash and recycling.
• Laundry services.
• Streaming services and/or cable.

The average cost in the U.S. for utilities is around $240 for apartments. These bills are important to pay on time, because they could show up on your credit report.

Renter’s Insurance (If Applicable)

Some landlords will require their tenants to pay for renter’s insurance. This insurance will protect all personal belongings in the event of a burglary, fire, or natural disaster. The cost of renter’s insurance varies between $15-$20 per month.

Pet Fees (If Applicable)

There can be extra monthly charges in the event you have a pet living with you. Pet fees are more common with apartments and condos when compared to homes. These fees can range anywhere from $20-$50 per pet per month. It’s possible that there will be an additional amount added to your security deposit if you have pets.

Parking Fees (If Applicable)

You may be required to pay for parking, depending on where you choose to live. These costs will likely fall between $20-$200 per month.