Author Topic: Silver Spring, MD rent increase?  (Read 2241 times)

J2

  • 5 O'Clock Shadow
  • *
  • Posts: 18
Silver Spring, MD rent increase?
« on: March 24, 2018, 10:59:06 AM »
I live in a high-rise apartment complex in Silver Spring, MD. I am currently paying $1,755 in base rent for a 1 bed, 1 bath apartment (~750 sq. ft). In addition, I have to pay $50 in pet rent and $145 for parking (wife works somewhere not accessible by public transport). The apartment is within walking distance of the metro.

The management at my apartment wants a 7% increase for 12 month lease, which is on top of a 7% increase last year. A two-year lease is possible, but they want a 14% increase upfront for that option. Month-to-month would be a 25% increase.

I realize the DMV area is expensive, but do the pace of these rental increases seem reasonable? It's more than 3X the rate of general inflation. And when I first moved in, the leasing office said rents usually go about 4-5% annually.

I've thought of challenging management on this, but apartment complexes run by big property management companies usually aren't willing to negotiate from what I've read. 

Any advice or stories about people's own recent rental experiences would be helpful.
« Last Edit: March 24, 2018, 01:11:28 PM by J2 »

Kwill

  • Handlebar Stache
  • *****
  • Posts: 1434
Re: Rent increase: is it fair?
« Reply #1 on: March 24, 2018, 11:12:51 AM »
I don't know whether fair is the right question. From the apartment management's perspective, the right price is as high as people will pay. If it seems too high, then it might be a good time to look for a different place. I had good luck in the past with Padmapper. At least if you know how much other places are, you'll have a good sense of whether you rent is fair for the area.

Laserjet3051

  • Pencil Stache
  • ****
  • Posts: 754
  • Age: 91
Re: Rent increase: is it fair?
« Reply #2 on: March 24, 2018, 11:18:51 AM »
As you probably already know, our power to negotiate rents is typically much higher when we rent from a person (who owns the unit) rather than from a mega-company. As such, I've avoided the latter completely. As a consumer our greatest power is to walk away from a transaction. Unfortunately, when it comes to renting, this can be a major pain in the ass but sometimes the only/best strategy.

Personally, I would not subject myself to 2 -back to back 7% annual increases. In fact, over the past 2 years our rent has not increased at all in our HCOL area. Nationally, rents are stabilizing, so you may have a better shot at negotiating with current landlord, or finding better value with another unit in the area.

P.S. Doesnt matter if its "fair". Owner will get whatever the market will bear.
« Last Edit: March 24, 2018, 11:21:22 AM by Laserjet3051 »

J2

  • 5 O'Clock Shadow
  • *
  • Posts: 18
Re: Rent increase: is it fair?
« Reply #3 on: March 24, 2018, 12:14:32 PM »
I agree fairness is the wrong lense, as landlords will charge whatever they think the market will bear. So ultimately, I am asking if this increase is in line with the rental market in my area. From what Ive read, rents are stabilizing after years of scorching increases. What Id be interested in hearing from people, is whether they are still getting hit with these high rental increases. If not, that would provide me with a sense of whether I should move.

I should also add that utilities are not included in the base rent.

Case

  • Pencil Stache
  • ****
  • Posts: 755
Re: Rent increase: is it fair?
« Reply #4 on: March 24, 2018, 12:31:18 PM »
I agree fairness is the wrong lense, as landlords will charge whatever they think the market will bear. So ultimately, I am asking if this increase is in line with the rental market in my area. From what Ive read, rents are stabilizing after years of scorching increases. What Id be interested in hearing from people, is whether they are still getting hit with these high rental increases. If not, that would provide me with a sense of whether I should move.

I should also add that utilities are not included in the base rent.

My guess for that area is that they will be able to fill the vacancy without too much difficulty.  I would be surprised if the rents actually stablized.  $1750 for a 1br sounds normal, depending on quality and location details, etc..

The DMV area is growing at an insane rate.  I cant think of another area of the country growing at such a rate, except maybe Houston, which is less population dense.

Agreed that fairness is the wrong term.  A seperate question is if the DC area, as a governent funding dependent region (sucking off the public teet and all that), deserves all that wealth.  It doesnt manufacture much of its own, though maybe some exceptions.  Also, not sure the government pay scale and incentives system really  most for its money, compared to private industry.  Very easy to get away with poor performance... in fact govt has a reputation for this.

joonifloofeefloo

  • Walrus Stache
  • *******
  • Posts: 5128
  • On a forum break :)
Re: Rent increase: is it fair?
« Reply #5 on: March 24, 2018, 12:38:08 PM »
...ultimately, I am asking if this increase is in line with the rental market in my area. From what Ive read, rents are stabilizing after years of scorching increases. What Id be interested in hearing from people, is whether they are still getting hit with these high rental increases.

I recommend editing the title of your post to that (e.g. "rent increase in Silver Spring, MD?"), so that you might snag the responses of other forumites living there.

Though I think your best bet overall is to look at listings -and go visit some of them- to find out what current market seems to be, compare the proposed rent against those, then make your decision.

FINate

  • Handlebar Stache
  • *****
  • Posts: 1359
Re: Rent increase: is it fair?
« Reply #6 on: March 24, 2018, 12:40:30 PM »
@Kwill thanks for the link to Padmapper...cool site.

OP, Padmapper can display the distribution of 1/1 apartments for your area (see attached). A 7% increase puts you at about $1878, so slightly higher than average for your metro (a little to the right of the meaty middle), but probably "fair" for your specific neighborhood since you're walking distance from transit.

IMO big management corps are better about keeping up on market trends and changing rents accordingly. Two years of 7% increases just indicates that there's a lot of demand in your area.


J2

  • 5 O'Clock Shadow
  • *
  • Posts: 18
Re: Silver Spring, Md rent increase?
« Reply #7 on: March 24, 2018, 12:56:58 PM »
Good idea, just retitled the post.

joonifloofeefloo

  • Walrus Stache
  • *******
  • Posts: 5128
  • On a forum break :)
Re: Silver Spring, Md rent increase?
« Reply #8 on: March 24, 2018, 01:01:18 PM »
Good idea, just retitled the post.

For it to "take" in the thread title, you need to make the change to the first post in your thread.

Catbert

  • Handlebar Stache
  • *****
  • Posts: 1716
  • Location: Southern California
Re: Silver Spring, MD rent increase?
« Reply #9 on: March 24, 2018, 01:18:58 PM »
As previously noted these big property management firms pretty much have figured out what the market price of units are and aren't willing to negotiate.  It's also instructive that on a 2 year lease the increase is even more than a one year.  That tells me that they project that prices in your area will continue to increase.

Just for kicks you might have a friend inquire about rentals in your complex.  What are they charging new tenants?  Are there vacancies?  How long is the waiting list?  Do they have any incentives (e.g., 6th month free)?  That could tell you how flexible they could be to you.  I'm guessing not very.

joonifloofeefloo

  • Walrus Stache
  • *******
  • Posts: 5128
  • On a forum break :)
Re: Silver Spring, MD rent increase?
« Reply #10 on: March 24, 2018, 01:21:43 PM »
Just for kicks you might have a friend inquire about rentals in your complex.  What are they charging new tenants?  Are there vacancies?  How long is the waiting list?  Do they have any incentives (e.g., 6th month free)?  That could tell you how flexible they could be to you.

Smart!! :)

PBandJelli

  • 5 O'Clock Shadow
  • *
  • Posts: 39
Re: Silver Spring, MD rent increase?
« Reply #11 on: March 24, 2018, 01:33:50 PM »
second what catbert said.

My brother did just that and learned of incentives, then used that information to renegotiate the proposed increase in rent.  (From 150 to 75 per month in Arlington, VA)

mozar

  • Magnum Stache
  • ******
  • Posts: 3001
Re: Silver Spring, MD rent increase?
« Reply #12 on: March 24, 2018, 01:44:10 PM »
Are you in one of those new swanky buildings? You can move to a cheaper older building.

J2

  • 5 O'Clock Shadow
  • *
  • Posts: 18
Re: Silver Spring, MD rent increase?
« Reply #13 on: March 24, 2018, 05:58:47 PM »
It has a washer and dryer in-unit and is relatively, so yes. I am considering moving to an older building.

hdatontodo

  • Bristles
  • ***
  • Posts: 283
  • Location: Balto Co, MD
Re: Silver Spring, MD rent increase?
« Reply #14 on: March 24, 2018, 06:19:00 PM »
Near the SS Metro seems pricey for home buying too

https://www.redfin.com/city/26038/MD/Silver-Spring/filter/min-price=150k,max-price=500k,viewport=39.00191:38.9769:-77.00725:-77.04484

I have a relative who lives near the Vienna VA metro and his split level house that was $170K in 1990 is now $700K.

Even the 1 BR apts are not cheap here in SS http://www.blairapartments.com/floor-plan/

GrumpyPenguin

  • Bristles
  • ***
  • Posts: 288
Re: Silver Spring, MD rent increase?
« Reply #15 on: March 26, 2018, 04:25:40 PM »
I live in a MegaCorp apartment building in a HCOL area.  When I get renewal offers, I ALWAYS reply to management with a counter-offer that I find to be on the lower end of what I think is reasonable.  The last three years I have done this and always received a reasonable counter-offer back.

That said, your rent is already in the ballpark of market rates for that area I think.  The counter-offer thing still probably depends a bit on where your current rent is compared to what they think the market rent is. Never hurts to ask though.


cawiau

  • 5 O'Clock Shadow
  • *
  • Posts: 76
Re: Silver Spring, MD rent increase?
« Reply #16 on: March 26, 2018, 04:36:33 PM »
Not too far from you in NE DC. You are paying about market rent for 1 bedroom for this area (even with the increase); access to metro being the key seller.

You will have a hard time negotiation (good luck) and to decrease your rent or stabilize it you would need to:
- move to a person owned property like someone mentioned.
- move further out into MD which may increase your commute time.

Our home came at a premium because we are within 1 mile of the metro that has access to 3 lines. With the DMV traffic what it is ; it is convenient to be near metro


Sent from my iPhone using Tapatalk

aspiringnomad

  • Pencil Stache
  • ****
  • Posts: 810
Re: Silver Spring, MD rent increase?
« Reply #17 on: March 26, 2018, 10:10:49 PM »
Summit Hills just west of Colesville Road used to offer apartments well below average market rents because it was a massive, old, and relatively dilapidated apartment complex. I lived there for a couple years as a grad student and loved it, especially because I was too poor to afford market rents elsewhere. But also because despite, or probably thanks to, its old age the complex had a pool, tennis courts, and even its own convenience store. Just a 10-15 minute walk to the SS metro. Not sure if they're still the great deal they used to be (heard rumors of them planning to renovate the units over a decade ago, so probably not), but as with anywhere it helps to split multiple bedrooms with roommates using Craigslist if necessary.