When your child moves out, it’s likely he is moving in someplace else, usually a first apartment. Review this list of important considerations before he signs on the dotted line:

• Landlords often require first and last month’s rent, as well as a security deposit. Encourage your child to find out how much the landlord can legally charge for a deposit. (Each state has different limits, ranging from one month’s rent to no statutory limit.)
• Depending on local and state regulations, the money you put down (last month’s rent and security deposit) may be required to be placed in an interest-bearing account. Be sure to inquire about this before signing the lease.
• Rental agreements should always be in writing. Keep receipts for all cash deposits and record the condition of the apartment when moving in.
• Look into renter’s insurance to cover the cost of personal property and prepare for the unexpected. This relatively inexpensive coverage could prove critical someday.
• Know renters’ rights. There are many great online sources about how renters can protect themselves. Encourage your child to be informed.

 

The information provided here is for general informational purposes only and should not be considered an individualized recommendation or personalized investment advice. The type of savings and investment strategies mentioned may not be suitable for everyone. Each investor needs to review a security transaction or strategy for his or her own particular situation. The examples mentioned are for informational purposes only and are not intended to represent results you should expect in the future. Data contained here is obtained from what are considered reliable sources. However, its accuracy, completeness or reliability cannot be guaranteed.