Inflation is driving up the costs of everything from gasoline to groceries to clothing these days. And now the rising rents can be included in this list.
Rents for single-family homes rose 10.2% on an annual basis in September, according to a new CoreLogic report. Many people are now struggling to keep up with the rising costs.
Why have rents skyrocketed? There are a few reasons.
First, rental demand is on the rise now that the economy has improved and more and more people are in a strong enough position to apply for a lease. Additionally, many landlords suffered a financial blow during the pandemic when eviction bans prevented them from replacing non-paying tenants with paying tenants. Some landlords may increase rents in an attempt to help recoup some of these losses.
Either way, if your rent has skyrocketed recently, it’s important that you find ways to avoid going into debt. Here are a few ways to cope.
1. Reduce your other expenses
You might already be leading a fairly frugal lifestyle, so you might not have a lot of options to cut back on your spending. But if you have to make up for higher rent costs and find it impossible to move out, cutting a few bills may be your only choice.
To that end, take a look at your budget and see what options you have. While offering you a streaming service that costs $ 15 per month is by no means an unreasonable expense, if you need that extra $ 15 to cover your rent increase, you may need to temporarily cancel that service until. so that you can find a better Solution.
2. Find someone to share your rent with
If you can’t convince your landlord to avoid a rent increase, you may be able to reduce your rent by finding someone to share it with. Getting a roommate might mean less privacy, but it could also be a smart financial move if your rent increase could otherwise put you at risk of debt.
That said, you should consult with your landlord and check the terms of your lease to make sure you are allowed to bring in someone else to share your home with. And absoutely get permission if you are going to build a temporary wall or make changes to your tenancy to accommodate a roommate.
3. Increase your income with extra work
The money you earn from a sideline could well supplement your paycheck. This extra income could help you not only cover a rent increase, but also boost your savings account and pay off any debt you may have already accumulated.
The side concert you choose can be based on your schedule and preferences. If you want a job you can do from home, look at remote customer service roles or data entry. If you want flexibility, driving for a rideshare service is a great bet, as you can set your own hours and work less or more depending on your level of activity.
In an era when many people haven’t even recovered from the pandemic, a rent increase can be a big blow. Take these steps to offset a higher rent and prevent it from ruining your finances completely.