April 26, 2022

How to Avoid Hidden Fees When Renting

Carrie and Ryan found the perfect apartment home to start their life as a married couple. They were so excited about the layout, the location, the dog park…everything was falling into place. After touring the community, the leasing agent printed out a price quote showing the monthly rent. She informed them that the quote would be good for 24 hours and after that she couldn’t guarantee the price would be the same. The rent was right at their budget, but they felt like they could make it work. They came back the next morning eager to apply. They had taken time the night before to look over their finances to ensure the fees aligned with their budget.

After submitting their application and as they were signing the lease, Carrie noticed a section that said valet trash fee, pest control, admin fee, and pet fee. The charges were adding an additional $48 per month to their rent along with $500 in fees for their pet and admin fee. Carrie asked the leasing agent what these fees were to which she replied nonchalantly, “Oh those are the fees that are added to the rent as part of your lease.” Just like that, their excitement for this apartment dwindled. This would surely push their monthly costs over their budget. They paused the application and decided to take some more time to look.

Does this scenario feel familiar at all? How often do you discover too late that the price you think you’re paying is actually the base without taxes and fees included? In a world where many companies are striving to be more transparent, we still get caught off guard with hidden or unknown fees.

While those who have been renting for years are familiar or used to fees being tacked onto the monthly rent, those new to renting or who haven’t rented in a while may be in for a shock. Apartment management companies may justify it as being “the price of renting”. And while that may be true, energetically it feels a little misleading.

A “fee” may dissuade someone from leasing even if the overall pricing with rent is the same. As consumers we get turned off by extra fees and conditions. Companies are even having to be more competitive about free shipping (for example) because our society is used to having shipping free or included. When we live with those type of expectations, we expect the same to be with other purchases we make.

So how do we find a balance between being upfront with prospective renters about fees while maintaining structure within the systems in place? Let’s go back to Carrie and Ryan. How would their experience have been different if the leasing agent had told them during their tour about associated fees or when they were going through the price quote with them? It would have given Carrie and Ryan more pause (and trust) to look at their budget with the fees in mind to see if they really could make it work financially.

At Venterra, we choose to be upfront with our prospective residents about fees. We want them to know what to expect in all areas including what fees and extra costs to expect. We talk about the benefits of having valet trash and how we love our resident’s furry friends. We start talking about what to expect while touring the community. And when we provide a price quote, we include all of the associated fees, so there are no surprises. This goes for both in-person and virtual tours.

“We put all of our fees on our Price Quotes and our competitors don’t for the most part. This may leave renters feeling like we charge more in fees when in reality, we probably don’t. We’re just upfront with our costs once we capture them as a lead and can explain what those fees are,” Stephanie Gonzalez, Vice President, Property & Customer Innovation

It’s important for us to educate our prospects and let them know what to ask and look for whether they choose to live at a Venterra community or not. While it may feel like showing all the fees could be a turnoff, it’s actually supporting our prospects in what to expect. We’ve witnessed too many scenarios like Carrie and Ryan’s where they think they’re getting a better price because of how our competitors are showcasing the rent price only to find out that they’re paying more simply because the fees weren’t communicated upfront. It’s important to share this knowledge with prospective residents so they are not caught off guard when choosing the “cheaper” option.

So, what type of fees can you expect to find when renting an apartment? Every community will have some combination of rent, utilities, and charges regardless of whether they make them apparent or not. Fees can range from:

• Common Area Electric
• Amenities
• Valet/Trash Fees
• Billing Administration Fees
• Technology Package Fees
• Water/Sewer
• Electric/Gas
• Cable/Internet
• Storage/Garage
• Pet (optional)
• Parking
• Community Bundle (some combination of the above)

At Venterra, we breakdown all of the fees and extra costs in the price quote and go through it in detail with our prospective residents. Transparency is important to us, and it builds an extra layer of trust between us and our residents.

It’s important that you as a customer are informed of what each community you’re interested in charges in additional fees so you can make the best decision in line with your overall budget.

So, if you’re looking at an apartment in the near future, make sure to ask about fees! And know with confidence that at a Venterra community, you’ll know all costs up front! They are listed out on every Price Quote so you’ll be well informed about what you’ll be paying each month.

If a community says they don’t have fees, you can bet they are built into the rent price. When comparing communities and rates, make sure to consider fees, whether hidden or not!

So if you’re looking for an apartment with no surprises – check out Venterra’s communities and put in an application today!