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How to Write a Rent Reduction Letter [Template]

September 10, 2023
Are you struggling to pay rent and need a reduction? Learn how to write a simple rent reduction letter that could help you secure a reduced rent.

With inflation and costs rising, it’s more important than ever to simplify your budget, negotiate on rent, and cut costs where possible. But, did you know you can even save on your apartment by writing a simple rent reduction letter to your landlord?

Here are some tips and a template to increase your chances of reducing rent payments and keeping more in your bank account.

Man using calculator and looking at bills - Write a Rent Reduction Letter

Reducing Your Rent

7 Reasons to Ask for a Rent Reduction

If you don’t know how to ask for a rent reduction, there are a few sound reasons to ask. Depending on your situation, your landlord may extend some sympathy and understanding and grant the rent decrease.

1. Unresolved Property and/or Maintenance Issues

You might need to send a letter to negotiate rent if unresolved property and maintenance issues occur in your apartment or complex. Point out the problems and ask for a reduction until the repairs are made.

2. Competitive Rental Prices

Depending on your market, you may discover the apartments in nearby complexes are cheaper. In addition, your landlord probably won’t want to deal with finding and signing a new tenant and may be agreeable to the rent decrease.

3. Lack of Amenities

Even if your apartment is competitively priced, it may lack the amenities of nearby complexes. Write a rent reduction letter detailing the lack of amenities, including parking, on-site laundry, and other standard options for your neighborhood.

Annoyed angry disappointed customers clients couple holding paper arguing with bank manager fight complain on bad contract terms - rent reduction letter

4. Lease Violations

If your landlord regularly violates your lease, like not making repairs or entering without giving proper notice, you could ask for a rent decrease to help resolve the distress. If you are willing to live without certain repairs, you can offer reduced rent in exchange for not completing this work.

However, keep in mind that your landlord may take this negotiation as a sign that they can continue unwanted behavior (like entering your property without notification), so make sure to state your terms clearly in writing.

5. Lack of Prospects

If your landlord's property lacks new rental prospects, or if your landlord is highly motivated to keep you on the lease, they may be more inclined to agree to a reduction. You may be able to inquire to your landlord or within their office about prospects, but you can also gauge relative interest by determining how competitively priced the property is for its area and offerings.

6. Financial Troubles

If you’re experiencing financial troubles due to a pay cut or medical bills, you may be able to secure a rent reduction. It also helps if you already have a plan for resolving the financial issue and ask for a temporary reduction.

7. Unemployment

Unemployment is a fact of life, especially during a merger or if a business shuts down. However, if it’s not your fault,, your landlord may extend a rent decrease if you can guarantee you’ll still pay your rent.

When to Ask for a Rent Reduction

You’ll have the most leverage when re-signing your lease, especially if you live in a renter’s market where landlords compete for tenants. It's always easier to create a new lease then it is to rewrite an existing one.

Other options include

  • When negotiating with a landlord about resolving needed repairs on the property.
  • When life circumstances arise that make it difficult for you to pay your rent, and you're considering breaking your lease.
  • If your landlord sells the property.

Things to Leverage When Asking for Reduced Rent

Beyond negotiating a lease renewal, you can make your request for lower rent more compelling with a few essential tips.

On-time Payments

Your property manager or landlord appreciates responsible tenants who pay their rent on time. Point out your history of punctuality to remind them you’re a desirable renter.

Interest in Extending Your Lease

Don’t wait until it’s time to sign your new lease to ask for reduced rent. Instead, send the letter in advance and let your landlord know you want to extend your lease and will continue your on-time payments and caring for your unit.

Room full of box containers and stuff for cleaning. Move, packing and unpacking. - rent reduction letter

Vacant Unit Costs

If vacant units are in your apartment complex, point out how much money the building is already losing. You can also illustrate even a temporary vacant unit will cost more than the request for your rent reduction.

An Apartment Kept in Good Condition

Ensure your apartment is in excellent condition and that you address any minor repairs. For example, you might want to deep clean your apartment, patch up nail holes, and touch up paint before talking to your landlord.

Cheerful female friends laughing at home, having fun together, relationship

Positive Relationships with Neighbors

Landlords often deal with issues like problems between neighbors and noise complaints. However, if you get along with your neighbors and have a positive relationship, you can turn it into a selling point.

How to Write a Letter of Reduction for Rent

If you’re unsure how to ask for a rent reduction, here’s a template to help guide you through the process.

Rent Reduction Letter Template

[Your name]

[Your phone number] (optional)

[Your email address] (optional)

[Your Current Address]

[City, State, Zip Code]

[Landlord’s Name Or Apartment Company’s Name]

[Landlord’s Address]

[City, State, Zip Code]

Re: Request to Reduce Monthly Rent Payment

Dear [Landlord’s name/Property Manager’s name/Apartment Manager’s name]:

I am writing regarding the renewal of my lease at [Your Address].

I moved into my unit on [Lease Start Date], and my lease ends on [Lease End Date]. It came to my attention that since last year median rent prices for [Your Apartment Type, e.g. studio, one-bedroom etc. ] apartments decreased by [Amount or Percentage of The Increase].

[Optional: Write about vacancy rates in your neighborhood if you know units that have been vacant for a long time, deals offered by other landlords, or apartment complexes].

[Optional: Mention if other tenants pay less for similar units]

For the reasons mentioned above, I am asking you to lower my rent from [Current Rent Rate] to [Desired Rent Rate].

I like my apartment and have become friends with other tenants. However, it would be unreasonable to continue paying the same rate since [Reason, e.g. “it’s higher than the neighborhood average for comparable apartments” or “it’s higher than other tenants pay for comparable apartments”].

[Optional: Mention if your unit hasn’t been renovated in a while and compare your amenities with those in comparable units in new apartment complexes].

I have always been a responsible and trustworthy tenant. I have always paid my rent on time and kept my unit and surrounding areas clean. From what I know, finding new prospective tenants, screening them and doing background checks can be quite expensive. Additionally, I believe renting out my unit at its current price would require substantial investments in its renovation.

Also, to help you avoid these expenses for the next two years if you agree to lower my rent, I am willing to [Your Counteroffer e.g. “sign an extended lease”, “increase my security deposit”, “forego renovations” etc.].

Finally, if you have any other ideas on how we can make this work, please let me know. You’ve always been a good landlord. I love my apartment and, ideally, would like to continue renting it.

Please let me know what you think. I’m happy to continue this conversation in person.

Sincerely,

[Your Name]

Confused frustrated young man reading letter in cafe, debt notification, bad financial report, money problem, money problem, upset student receiving bad news, unsuccessful exam or test results

Sample Letter to Landlord to Lower Rent

John Smith

1 Underhill Ct

Apt. 3

San Francisco, CA 94101

04/01/2019

Andrew Williams

2 Cherry Blossom Ave

San Francisco, CA 94108

Re: Request to Reduce Monthly Rent Payment

Dear Mr. Williams:

I am writing in regard to the renewal of my lease at 1 Underhill Ct, Apt.3.

I moved into my unit on 05/29/2018, and my lease ends on 05/30/2019. It came to my attention that since last year median rent prices for one-bedroom apartments decreased by 5%. Additionally, I couldn’t help but notice that a few units in our apartment community have been vacant for the past two months. In general, vacancy rates in the area are high, which could be attributed to three new apartment complexes built in our neighborhood. As far as I know, at least one of them is offering a free month of rent for 12-months leases.

For the reasons mentioned above, I am asking you to lower my rent from $2500/month to $2400/month.

I like my apartment and have become friends with other tenants. However, it would be unreasonable to continue paying the same rate since it’s higher than the neighborhood average. Additionally, my unit hasn’t been renovated in years, while the aforementioned apartment complexes offer new amenities.

I have always been a responsible and trustworthy tenant. I have always paid my rent on time and kept my unit and surrounding areas clean. From what I know, finding new prospective tenants, screening them, and doing background checks can be quite expensive. Additionally, I believe renting out my unit at its current price would require substantial investments in its renovation.

Also, to help you avoid these expenses for the next two years, I am willing to sign an extended 2-year lease. If you agree to lower my rent, I can also pay for the first two months up-front.

Finally, please let me know if you have any other ideas on how we can make this work. You’ve always been a good landlord. I love my apartment and, ideally, would like to continue renting it.

Please let me know what you think. I’m happy to continue this conversation in person.

Sincerely,

John Smith

How Likely is a Landlord to Accept a Rental Reduction Request?

The odds of your landlord accepting your request depend largely on the fairness of the current rate, your history as a tenant, and the extent to which your landlord wishes to keep you on the lease. That's why it's vital that you do your research to understand your landlord's prospects, and to offer a mutually beneficial arrangement by making some concessions in exchange for reduced rent.

What Are Your Options if a Landlord Denies Your Rent Reduction Request?

Unfortunately, even a persuasive and compelling rent reduction request could be denied. Here’s what to do when your landlord says no.

Young couple unpacking cardboard boxes at new home.Moving house.Real estate. - rent reduction letter

Look for a New Apartment

Start looking for a new apartment as soon as your request is denied. If you find a new apartment immediately, your landlord may see you’re serious about moving out to find cheaper rent.

Move to a Cheaper Neighborhood

It’s challenging to secure a rent decrease if everything in your neighborhood is just about as pricey as your current lease. So instead, look at cheaper neighborhoods where you won’t need to contemplate rent decreases and enjoy a more comfortable quality of life.

Find a Roommate

If you want to stay in your current apartment, you can also look for a roommate to split the costs. Make sure to clear it with your landlord, as the new roommate will need to be added to the lease.

Hands of financial manager taking notes when working - rent reduction

Create a Budget

Before you decide you absolutely cannot afford your apartment, create a budget. You may find that trimming down eating out, online shopping, or cutting back on subscriptions and cable will offer the breathing room you need to stay.

Make Bi-weekly Rent Payments

Your landlord may be agreeable to biweekly rent payments instead of monthly. They immediately improve their cash flow and get paid more over the course of the year. Meanwhile, you may find it easier to stay on top of your budget when you pay rent bi-weekly.

Live Somewhere You Love

With some research and the right approach, you can provide compelling reasons to get your landlord to agree to a rental reduction. But even if they say no, you have the opportunity to decrease your expenses in other ways, like finding a roommate or moving to a cheaper neighborhood to keep your budget in check.

If it's time to move on, take our quiz to get matched with a new apartment that's a better fit for your life.

Rent Reduction Letter FAQs

Can I Write a Rent Reduction Email?

Yes, you can submit your rent reduction request as an email, especially if your landlord prefers this form of communication. If you are going to write a hard-copied letter, consider hand-delivering it when possible. Either way, try to submit the letter a couple weeks before you are scheduled to renew your lease.

What Are Some Reasons Why a Landlord Might Deny a Rental Reduction?

Landlords generally do not like to reduce their income regardless of the circumstances, so they may be inclined to reject a reduction. Generally, if they think they can charge the same price to other tenants, they will be inclined to keep the same rate and suggest you do not renew. That's why your case should focus on reasons the unit may be priced too high for the market (in addition to your solid history as a tenant).

What Are Some Reasons Why a Landlord Might Agree to a Rental Reduction?

If your apartment is priced too highly for the current market, and your landlord is already struggling to attract new tenants, they may agree to a rental reduction, especially if you have a good history as a tenant. Additionally, if you have extenuating circumstances affecting your finances, and they would like to keep you on the lease, they could agree to a reduction.

What Are the Legalities of Asking for a Rental Reduction?

There are no particular legal constraints on asking for a rental reduction as it's simply a negotiation between two parties for the price of a service. However, if you do not pay the agreed upon amount in the lease that you signed, that will become a legal issue.

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Dr. Katherine Blake
CONTENT EDITOR
Dr. Katherine Blake is a content editor with Apartment List, where she helps ensure our renter and rental management content is fresh and informed by the latest data. Read More
Sania Tran
AUTHOR
Sania is a highly skilled content manager and author with a wealth of experience in the apartment rental and real estate markets. As a valued member of the Apartment List team, Sania brings her expertise and insights to a wide range of content, including blog posts, guides, and research reports. Read More

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