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I'm coming into town a month ahead of my move to check out five places I found online and possibly sign a lease. Ahead of my trip, I have two important questions:
1. I know in Philly (where I'm from) the asking rate is higher the going rate for rental apartments. Is this the case in Washington/Arlington as well? Will most people accept slightly less than what they're asking just to get someone in or is there enough demand that there's no need to do that?
2. Regarding taxes--generally, is it cheaper to live in Washington or in Arlington? I don't know anything about taxes, but if I'm working in DC, would it be cheaper for me to live there or in Arlington?
1. I usually ended up paying the asking rate here. I'm guessing that's the norm, but it also seems that rental prices have decreased slightly, so it might be worth feeling it out.
2. Virginia is cheaper than DC. There's no wage tax, like Philly, so if you work in DC and live in Virginia you just pay Virginia taxes. When I moved from VA to DC my taxes went up, but it really wasn't too drastic. Being able to walk to work was worth it to me.
A lot of rental companies are offering promotions like "one month free" or "two months" free. Pick up the Sunday Washington Post Real Estate section -- it's very valuable for someone looking for a place.
And Arlington is going to save you maybe 2-3% in terms of taxes. Not a huge amount, but on a $100k salary, that's still about $2-3k, which is not small change either. I had posted a really good analysis that the DC CFO's office does on tax burden in the DC metro area, so if you want more detailed info, do a forum search and it should be pretty easy to find. It basically showed exactly how much more (or less) taxes a resident pays for various income bands in DC, VA, and MD.
It's rare to get someone to negotiate on the apartment. There is a constant turnover of people in DC as it is a very transient town, so apartments don't necessarily go begging for tenants. That said it's worth asking.
What's cheaper? That's a whole crazy system. VA is generally regarded as lower tax than DC, provided you don't own a car. If you live next to your office in DC you can consider the cost of commuting a 'tax', but it can also apply if you live in a part of DC that requires commuting. If you are buying a house in DC proper than other factors come into play.
My advice--live where you feel comfortable. Where it is easy to get to work and there are places to play / go out / your friends, etc. Don't worry about a few bucks here or there.
If you plan on owning a car in the area, be aware that insurance in DC is a lot more than in Virginia.
Mine went up ~$150 a year. Higher than VA, but still a steal compared to Philly.
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