20. Strategies for Reducing your Housing Expenses

Blog #16 in the series on wealth accumulation, Context: Male, 29 years old

For many people, a large portion of their monthly spend is dedicated to keeping a roof over their head. And while this is an incredible important portion of your monthly spend, given its magnitude (likely several hundred to thousands per month) it is worth taking a hard look at. Before we get into the negotiation component of this blog it is important to call out the full suite of tactics available to individuals if they are looking to reduce their rent or housing expenses.

1. Track the Market - Like any market the cost of housing can fluctuate over time. Because prices change over time it is important to check the available listings in your area periodically to determine if deals pop up which you can take advantage of. Large macro changes like COVID-19 or a recession can promote large downward swings in prices that can lead to more opportunities to save. Don't get caught overpaying just because you haven't been tracking market rates.
2. Move Further from City Centers - Living in highly desirable and centralized locations can translate to considerably higher rent. Consider moving blocks or miles from these high demand locations to save more on monthly rent while still retaining access to the amenities you love. 
3. Downsize - One of the most intuitive but uncomfortable options for many individuals is to move into a smaller unit or house altogether. The reduced foot print will lead directly to lower costs on your monthly rate and can also reduce bills associated with the maintenance of your property like heating or ac bills and cleaning costs.
4. Negotiate Down your Current Rent - The last option you have available to you is negotiating down your current rent which may be the most palatable of all your options. This obviously allows you to retain your unit and pay less on a monthly basis. 

Read on for a tactical plan to negotiate your rent.