IAC LEASE RENEWAL NEGOTIATION QUESTIONS

CaliGirl628

New member
Hi everyone,

I am a new member. I found this board while scouring the net in desperation. It's time for me to renew my lease, and so far, I'm not excited about my options. Any help out there?

I've lived at Los Olivos for 18 mos paying $1665. I moved in while they were still doing construction, which is now complete. My unit is currently listed at $1900/mo on the site, but it's a floor plan variation. I don't have a coat closet shown (and wow could I use it!), so I'd imagine actual market rate would be around $1880. My lease renewal options are:
5 mos: $1810
18 mos: 1845


I feel like a $180 increase is excessive for the long term, and even $145 for just 5 months is high. I'd prefer the longer term if I'm going to stay...isn't the longer term usually less?

Does anyone have any tips with negotiating with IAC? This will be my first time, as I've usually rented condos from private owners. I'm a great tenant. Never paid late, no complaints, solo resident in this 1 bd. what would be fantastic is if there is a former IAC employee who is altruistically giving pointers ((((in my dreams, I know)))).

One last thing. As I've been reading this board, again and again posts refer to a "lease break fee", even when talking about lease renewal. Do I have to pay a weird moving fee, even if I've been here for the full length of my lease?
 
thats a big increase in 18 months.  normally longer leases are lower than shorter length so that is odd.  based on the direction they are going a month-to-month situation may be your cheapest option :)

actually their month to month rate (after your lease expires, if you did not want to sign a new lease) is absurd.  regarding the lease break fee, you dont have to pay that if you move out on when your lease is up, you only pay it when you want to move out before the end of your lease.  you probably wont have much luck negotiating. you can threaten to walk during your negotiations but they wont care, they will let you walk. they will rent your apartment at the new higher rate to you, or someone else. either way, IAC gets their money.
 
I still feel CA law doesn't let them collect a lease break fee after you move out if they re-rent your unit.  You should only be responsible for the amount of time the unit is vacant.

I've read through the laws multiple times and it doesn't say anything about lease breaks.  I'm sure IAC has high priced lawyers that feel since they work this into the contract it is valid.  Regardless of that, if it contradicts CA law, it's not valid.

If it were me I'd let them sue me and let the judge decide if I was responsible for that lease break fee assuming the unit is rented out before my lease ends.  The law is clear that you owe for the time the unit is vacant, but nothing beyond that.

Sorry a bit off topic, just venting about IAC absurdities.
 
aquabliss said:
I still feel CA law doesn't let them collect a lease break fee after you move out if they re-rent your unit.  You should only be responsible for the amount of time the unit is vacant.

I've read through the laws multiple times and it doesn't say anything about lease breaks.  I'm sure IAC has high priced lawyers that feel since they work this into the contract it is valid.  Regardless of that, if it contradicts CA law, it's not valid.

If it were me I'd let them sue me and let the judge decide if I was responsible for that lease break fee assuming the unit is rented out before my lease ends.  The law is clear that you owe for the time the unit is vacant, but nothing beyond that.

Sorry a bit off topic, just venting about IAC absurdities.

This is accurate. However, they need to collect the amount when you break the lease as there is no guarantee they will lease your unit. However, the difference between iac and a private landlord is the landlord would typically try to collect the entire amount of the remaining lease (unless u negotiate), IAC charges a much lower amount. You can have a year left and iac will charge a lease break fee of say 3000. About 1.5 months worth of rent. So they may not rent out your unit in 1.5 months and therefore keep all of your money.
 
aquabliss said:
I still feel CA law doesn't let them collect a lease break fee after you move out if they re-rent your unit.  You should only be responsible for the amount of time the unit is vacant.

I've read through the laws multiple times and it doesn't say anything about lease breaks.  I'm sure IAC has high priced lawyers that feel since they work this into the contract it is valid.  Regardless of that, if it contradicts CA law, it's not valid.

If it were me I'd let them sue me and let the judge decide if I was responsible for that lease break fee assuming the unit is rented out before my lease ends.  The law is clear that you owe for the time the unit is vacant, but nothing beyond that.

Sorry a bit off topic, just venting about IAC absurdities.


They won't sue, it will just go to collections and you won't be able to rent anywhere decent if you owe another landlord money. 


Regarding the renewal, each property is different.  It really depends on how full the place is as to if you can negotiate.  If they are hurting, then you can haggle and generally keep something similar to what you were paying.  If they are full, then your out of luck.  From talking to a lot of properties right now they are full and raising rents.  Haven't been to your property so am not too sure.  Sometimes if you can't haggle on the rent, you can at least have them throw in a free carpet clean, free accent wall, or something similar.  What I would do is make an appointment to meet with the manager as LATE as you can.  I'm assuming your lease is up in 1-2 months, which as you get further away from summer things start to slow down.  Wait as long as possible then go in and see if they really want you to stay. 

I worked for IAC for 4 years (left about 3 years ago to start PiggyBoxes).  A lot has changed since I was there but hope this info helps!
 
The reason the 5 month lease is cheaper than the 18 month is TIC believes they can raise the rent in five months above the 18 month rate.
 
It depends on your property and how popular it is.  Check out what if any specials they're running in the community and for your floor plan.  You can look at the apartment community on the rental-living site.

You should always counter and note what you paid previously.  They'll usually drop the price but the amount depends on how popular the community.

Lease break thing is real...I believe it's like a month or two worth of rent.
 
gladiacmx said:
Hi CaliGirl

Now, forgive me if I sound like I'm trying to solicit a sale, because I'm not.  I'm just curious for my own education, if, hypothetically, if I were to one day rent out my 1bedroom home in Woodbury, would you pay $1845 for it instead of to Los Olivos?  Of course, I'm still living here and no intention to rent it anytime soon. Just want to feel whether the "market" (which is you) would consider it or not? 

Do you feel like this is a good deal from your perspective?

I attached the floor plan and stuff.  It's like 1100 sq. ft. with attached 1-car garage.  All amenities, pools, tennis courts. 

I still live here with my fiance, but in two years, we intend to move out and rent this place.  It is crazy what IAC is charging at some of these places, especially for 500-600 sq ft. 

Thanks

totally off topic but easiest way to gauge rent is look at the woodbury apartments and subtract 10% to be safe.  for better analysis, look at actual rental comps

like this one looks very close to yours and rented for $1900 in 2 weeks.  $1845 for yours seems like a very safe bet.http://www.arbor-re.com/listing/oc14227569-37-regal-irvine-ca-92620/
 
So living in a number of IAC apartments, each one acts as it's own independent entity.  So while living in Palmeras, the staff was much friendlier and willing to negotiate a better rate. Other apartments said no negotiations what you see on that paper is what you get.  It never hurts to ask, the worst that can happen is they say no.  I always mentioned paying rent on time, and being a model tenant. And that i love the complex and would hate to move just to get cheaper rent.

Good luck..
 
gladiacmx said:
Do IAC rental agents get commission for bringing in customers and/or renting units?

Just post an ad on craigslist. You don't need an agent to rent your 1 bedroom unit.
 
eyephone said:
gladiacmx said:
Do IAC rental agents get commission for bringing in customers and/or renting units?

Just post an ad on craigslist. You don't need an agent to rent your 1 bedroom unit.

He was asking about IAC communities.  I believe they are salaried as they didn't care which agent we met with or continued the app with but this was 7 years ago.
 
rkp said:
eyephone said:
gladiacmx said:
Do IAC rental agents get commission for bringing in customers and/or renting units?

Just post an ad on craigslist. You don't need an agent to rent your 1 bedroom unit.

He was asking about IAC communities.  I believe they are salaried as they didn't care which agent we met with or continued the app with but this was 7 years ago.

True. If you read his previous posts he's talking/thinking about renting out his one bedroom. So I thought he may have even talking about his place.

#readbetweenthelines
 
My Lease at Woodbury Square is up in the end of May. And they're asking for $1685 (8 months lease) or $1745 (12 months lease) for my 1-bdrm. Huge increase!

Instead of my leasing office, now they centralize the process and asked me to call their corporate office. I called this afternoon, but the guy refused to negotiate, even though:

1. There's a brand new Avella just around the corner, which is offering 1-month free (better rate with brand new better amenities). Also other brand new ones in Irvine and Lake Forest.
2. Quite a few vacancies with same floor plan in my complex
3. They're running ads (similar floor plan/size) on Craigslist with much lower rate

What I don't understand is... if they insist on the no-negotiation policy, why do they hire a guy to tell us over the phone? Our management office could've done this job.
 
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