Lately Sal and I have both been thinking about how quickly the months have passed while living here, and what we will decide when the time for renewal comes.
It turns out, decision time will be here much sooner than we thought.
It’s a little weird, because yesterday in particular we were both thinking about the choice that we’d have to make in a couple of months. When Sal got home from work we actually chatted about it over dinner, both of us glancing around at the living room while we discussed.
And then right before bed, we checked the mail… And found the renewal paperwork waiting for us to review. It turns out we have until August 15th to decide from three options:
- Pay $55 a month more for a one-year durati
- Pay $100 a month more for a two-year duration
- Move out at the end of September
At first I was surprised — isn’t the point of a two-year lease that you pay less per month than ina one-year lease, in exchange for being stuck there longer? When I first read the paperwork I was dismayed, thinking I’d have to commit to two years if I wanted to avoid a $100 hike each month… But on a second reading, I realized it was cheaper per month to only commit to a year.
That means I have more flexibility if I want to move to a different home — or outside of New York — after the lease would end in 2013. Of course, it also means that I theoretically could find myself in late 2013 looking at a giant monthly increase if it isn’t such a friendly rental landscape. (However, after subtracting 12 months’ worth of $45 higher payment each month, the impact of a later increase would be less than it seems at first glance.)
So we can pretty well eliminate option 2 — I’m not going to sign a two-year lease unless there’s a strong and knowable financial incentive (i.e. the per-month cost is lower than with a one-year lease) — but there is still the question of what the choice will be between #1 and #3.
More to come as we work through the thought process. Stay tuned, and get those words of wisdom ready!