Thursday, February 21

Make sure you will cope financially before leaving mom and dad

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Those determined to gain this independence in 2019 should ensure they do not spend beyond their means.

Those eager to rent their own places should stay at home for as long as possible, providing their parents will let them, says Tyson’s Jonathan Davies.

“Save as much money as you can while living at home. Moving out can often be a costly exercise.”

Those determined to gain this independence in 2019 should ensure they do not spend beyond their means.

“Settle for something smaller at first while you work out your budget. It may be great having the home of your dreams, but if you can’t afford it you may place yourself in a vulnerable financial position,” Davies warns.

“Budget carefully before moving out and know exactly what you will be spending. There is a lot more to independence than just the rent. You will need to budget for food, petrol, clothing and so on, and leave yourself with discretionary income for unexpected expenses.”

Young people entering the rental market must go into the exercise with their “eyes wide open”, says Lorraine Dellbridge, southern suburbs rental specialist for Lew Geffen Sotheby’s International Realty.

Before they begin their property search, they should ensure their finances are in order, without defaults or judgements.

“Agencies won’t look at an application if the credit check is unfavourable. They will need the deposit, a lease fee in most cases, and the first month’s rent.”
Timing is key in most markets, she says.

“Make sure you have the required documentation ready to submit as even a day’s delay could see the property let to someone else.

“It is first-come, first-served in most cases, especially in sought-after areas.”

For many youngsters moving out of their parents’ home, an apartment is often their first foray into the property market, says Dexter Leite, Pam Golding Properties rental manager for the Cape region. But there are issues to consider when making the move.

These include:
Location: Is the property close to work and amenities?

Affordability: How much are you able to afford? Be mindful of the upfront and hidden costs.

Safety and security: Find out about crime in the area from the local community policing forum or neighbourhood watch. Look at the security available in the home you intend to rent.

Furniture and fittings: Have a good idea of what furniture and fittings will be needed.

Hidden costs: Look at the state of the property and ask questions about possible damage and the upkeep required.

Understand your lease

CAREFUL: Tenants should be familiar with the provisions of the Rental Housing Act. Picture: Jaymane Jdidi

Tenants should ensure they inspect their new homes properly and assess upfront what the landlord is prepared to do in terms of any defects. They should ensure these defects are listed in the lease with a repair date by which they must be fixed, says Lorraine Dellbridge of Lew Geffen Sotheby’s International Realty.

“Next, they should make sure they know the law. The Rental Housing Act lays out how a proper lease should be written.” It is also a good idea to get someone to carefully read the lease before the tenant signs.

Tenants are also advised:

◆Not to get caught in a lease that is not in line with relevant laws.

◆To be aware of “hidden” costs, such as late rent payment fees.

◆To know when and where the rent must be paid.

◆“Often tenants do not understand these details and are surprised to receive an invoice for late payment when they pay late,” Dellbridge says.

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