Essential financial tips to effectively
move out of the dorms.
Airman & Family Readiness Center
Building 1650
256-8668
R.S...
 Introductions
 Nature
 Expectations
 Agenda
 Timing
 BUDGETING
 Research Neighborhood
 Rental Process
 BUDGET, BUDGET, BUDGET
 Do your homework:
 Know how much you can afford
 Know where you want to live
 Understand the...
On-Base:
 Housing Office
 Base housing now privatized
Off-Base:
 Automated Housing Referral Network (AHRN)
 www.ahrn.c...
 Determine price range
 Create a budget (see example)
 Spend about 25% of your take-home pay on
rent (Worksheet B)
 Ad...
 Budget Elements (Worksheet G)
 Income
 Credit Rating
 Expenses (all)
 Deposits
 Payments of security deposits and other
expenses required to move out of the dorms
DO NOT constitute valid requests for ...
Rent/Mortgage
Application Fee
Security Deposit
Electric/Gas
Water/Sewage/Trash (some properties
include this in the r...
Consider the following: (Worksheet F)
 Crime rate, safety
 Location
 Commute time
 Neighbors
 Military community
 Ac...
 Traffic
 Children
 Word of mouth
 Interview neighbors
 Time of day
 Noise
 Visual aesthetics
 Who can move out of the dorm?
 Pick up a Request for Application
For/Authorization of BAH from Dorm Mgt.
 Follow steps...
Before showing up to sign the lease, find out
what documents your new landlord will want
to see, possibly your:
 LES
 Ba...
 Security deposits
 Waiver programs
 Purpose
 Refund
 Role of legal and housing office
 Property checklist (Workshee...
 Who pays for what?
 Really read your lease before you sign it.
 If you don't understand it, sit down with
someone who ...
 Description of property
 Duration of lease
 Military clause (Worksheet D)
 Rent due
 Deposits
 Late charges
 Maint...
 Your responsibility
 Personal property
 Personal injury
 Fire, theft
 Apartment security
 Property responsibility
...
 Your landlord's insurance protects his stuff,
not yours.
 Your stuff is worth more than you think.
 It can happen to y...
 Renters insurance differs from company to
company, so compare benefits before buying.
 Some key features to look for:
...
 From USAA
 In Dorm, SAFB OFallon, IL
 $5,000 $4.00 $5.09
 $10,000 $4.89 $6.11
 $15,000 $5.44 $6.80
 $20,000 $5.99 $...
Basic Allowance for Housing (BAH)
Without/With Dependents (2013 rate)
E-2 – $789/$1053
E-3 – $789/$1053
E-4 – $789/$105...
BAH + BAS $1,141
Rent ($765)
Electricity/Gas ($85)
Cable ($60)
Internet ($20)
Renter’s Insurance ($7)
Gas/Transportation (...
House
Advantages
 Privacy
 Space
 Storage
 Parking
Disadvantages
 Absentee landlord
 Additional costs (utilities, ...
Furnished Apartments*
 1 Bedroom $500-$1,000
 2 Bedrooms $600-$1,500
*Scott AFB 2012 Newcomer’s Guide and Telephone Book
Unfurnished Apartments*
 1 Bedroom $350-$900
 2 Bedrooms $425-$1,000
 3 Bedrooms $625-$1,250
*Scott AFB 2012 Newcomer’s...
Houses*
 1 Bedroom $450-$550
 2 Bedrooms $525-$950
 3 Bedrooms $725-$1,800
 4 Bedrooms $900-$2,000
 5 Bedrooms $1,000...
Application Fee (credit and criminal)
 $30-$40 (will not be refunded if denied)
 Some complexes will not rent to you if ...
Security Deposit
 Average $300, but many have military special
of $99.
 Some complexes make you forfeit your
security de...
Occupancy Permit
$30 Per Apartment (one-time fee)
 Utility Activation Fees
 Required if low/no credit
 May be split and billed over several months
 Amount depends on cr...
Utilities (electric & gas)
 Estimates:
 1 Bedroom $85
 2 Bedrooms $100-$125
 3 Bedrooms $150
Water, Sewer and Trash
 Estimates: (many complexes include these
expenses, Example D does not)
 1 Bedroom $46
 2 Bedroo...
Cable, Internet and Phone
Estimates:
(based on services obtained)
 $99 special for one year (not including taxes
and fee...
Pet Fees
 Pet Deposit of $300, with $150 nonrefundable
 Pet Rent of $20-$30 per pet, per month, 2 pet
maximum, under 25 ...
 Early Termination Charges (be sure military
clause is in rental agreement).
 Short Lease—additional fees of $50 per
mon...
 Example A-small, older complex (as of 5/11)
 No pool or other amenities
 Water, sewer & trash inc.
 2 BR, 1B, no WD $...
 Example B—large, older complex with pool
Water, sewer & trash inc. (as of 5/11)
 2 BR, 1B $719-$794; 720 sq ft.
 2 BR,...
 Example C—(large, older complex with pool),
Water, sewer and trash included (as of 5/10)
 1 BR, 1 B $675; 735 sq. ft.
...
 Example D—new, luxury complex with pools,
movie theatre, business center, & fitness center
 Water, sewer & trash not in...
 Bills must be put in renter’s name on the day the lease is
signed.
 No credit is okay, better than bad credit.
 Most p...
 Do not pour grease down your garbage
disposal. You will be responsible for repairs.
 Do not put aluminum foil in microw...
 If you choose to move off base, do not make
this decision lightly, consider:
 Have your finances in order
 Setup a bud...
A. Requirements for a New Apartment
B. Determining Your Affordable Rental Range
C. Apartment Hunting Worksheet
D. Military...
RSVP - My New Space
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  • Most military families choose to rent if they cannot live on base. Renting is usually easier as they will generally be receiving orders again soon. Because over 80% of the military population rents, let’s look at how to rent an apartment or house in detail.
  • Moving into that first apartment is a big undertaking. Do your homework which can save you time and frustration.
  • The military has a government housing office that is responsible for assisting in obtaining housing quickly and efficiently. The housing office manages government housing assignments and terminations and referral to local community rental properties. Mostly the rental program has been automated through the Automated Housing Referral Program (AHRN). AHRNis sponsored by the Department of Defense and is designed to improve the process of securing available housing for relocating military members and their families. The Housing Management Office is a partner with the property owner/manager and ensures the property owners is in compliance with the housing privatization closing documents.
  • Exercise: Instructor: Ask the participants to brainstorm the considerations that come into play when determining a budget for rent. Write the ideas on a white board or chart paper and incorporate them into the following discussion.Rent will be a big portion of your monthly expenses, but you should create a budget to know exactly how much you'll have to work with. A good rule of thumb is to spend about 25% of your take-home pay on rent. Remember, you'll still have other expenses like groceries, a car, insurance, gas, household supplies, clothes, laundry, entertainment and other incidentals.
  • Instructor: Take a moment to use the white board or flip chart to ask the participants to share some of their wants/needs in a new neighborhood. Try to tie the participant’s responses into the discussion of what to look for in a new neighborhood.Crime rate. Check statistics on the police department's website.Commute time to and from work and/or school.Neighbors--will you be surrounded by families, students or singles? Should shop the commissary and use the base gym facilities, if your complex does not have free equipment usage.http://www.neighborhoodscout.com/il/ofallon/city-center/#desc
  • E1-E4 with less than 3 years of service are space required; after 3 years of service, are put on BAH Waiting List, with date of rank having priority; Waterfall program could be available (moving in privatized housing) if space availableDorm resident completes blocks 1-9Sq CC or 1st Sgt completes blocks 12-14Bring in copy of Date of Rank (DOR)If selected for release, this form is then taken to the Housing Office for blocks 18-20Then to Sq CC or lst Sgt for approval and signature in blocks 21-23
  • The lease is a binding contract that includes your monthly rental price, payment due date, length of the lease, and the consequences of breaking the agreement.1. How long is the lease? What is the penalty for breaking the lease?2. What is the deposit?3. Are any utilities included in the rent? If so, which ones — gas, electric, water, cable?4. Are pets allowed? How much is the pet deposit?5. What sort of security does the complex have?6. Does it have laundry facilities?7. How are repairs handled?8. Will you need special permission to make cosmetic changes, such as painting or putting nails in the walls to hang pictures?9. Can roommates co-sign the lease or will they need separate leases? If a roommate defaults on the lease, what are the consequences for you?
  • Subject to certain conditions, renters insurance policies pay to repair or replace personal property that is stolen, damaged or destroyed due to fire, severe weather events and other causes. It can also protect your financial assets if you are found liable for property damage or personal injury.
  • Your landlord's insurance protects their stuff, not yours.Too many people forego renters insurance because they think their landlord's insurance covers their personal possessions. The blunt truth? It doesn't. The responsibility is all yours.Your stuff is worth more than you think.Even if you're just starting out in life, what you own is probably worth a small fortune. When you consider what it would take to replace your clothing, books, furniture, MP3 player, laptop computer, television, bicycle, cell phone and everything else you've accumulated, it can easily add up to thousands of dollars.It can happen to you.It's tempting to assume you won't be the victim of a fire, theft or other property loss, but wishful thinking may lead to financial woes. Renters insurance protects more than just property.What if someone visiting you trips on a rug and breaks an arm? If you have a renters policy, you can breathe easy. That's because, in addition to property protection, a good renters policy includes:Medical expense coverage. This helps reimburse guests for medical expenses related to injuries that happen at your place. Liability insurance. If an injured guest sues you, liability coverage helps with legal bills and pays damages you're found liable for. It's surprisingly affordable.Believe it or not, you can buy a renter’s policy for the price of a pizza or two — just $10 or $15 a month.1
  • Replacement cost coverage. This type of policy gives you the money you need to buy a new item to replace what you've lost. That's much better than a policy that only covers an item's actual cash value. For example, if your 10-year old television is destroyed, a replacement cost policy would cover the cost of a brand-new set. An actual cash value plan would only give you what the TV was worth before it was destroyed. Coverage for items in transit. Competitive policies cover your possessions if they are lost in transit. Flood protection. Make sure your policy covers property damaged or destroyed by rising water. Very few insurance companies cover flood in a renter's policy. USAA does.Financial strength. Insurance is only as reliable as the company that stands behind it. Make sure the company has high financial strength ratings and a reputation for outstanding service.
  • The complex can still charge a small termination fee of approximately $25 with military clause. Early termination without orders can range from $1,500 to $2,500 to break the lease.
  • RSVP - My New Space

    1. 1. Essential financial tips to effectively move out of the dorms. Airman & Family Readiness Center Building 1650 256-8668 R.S.V.P Research, Save, Vacate, & Plan for My New Space
    2. 2.  Introductions  Nature  Expectations  Agenda  Timing
    3. 3.  BUDGETING  Research Neighborhood  Rental Process
    4. 4.  BUDGET, BUDGET, BUDGET  Do your homework:  Know how much you can afford  Know where you want to live  Understand the lease terms  Understand your rights as a renter http://www.servicememberscivilreliefact.com/link /scra.php
    5. 5. On-Base:  Housing Office  Base housing now privatized Off-Base:  Automated Housing Referral Network (AHRN)  www.ahrn.com
    6. 6.  Determine price range  Create a budget (see example)  Spend about 25% of your take-home pay on rent (Worksheet B)  Additional expenses  Conduct housing search (Worksheet A)  Lease process  Insurance  Moving out
    7. 7.  Budget Elements (Worksheet G)  Income  Credit Rating  Expenses (all)  Deposits
    8. 8.  Payments of security deposits and other expenses required to move out of the dorms DO NOT constitute valid requests for Air Force Aid Society assistance (aka ―Falcon Loans‖).  If you don’t have enough money saved up to cover your security deposit and related moving costs, your request to move out will be denied and your name will be moved to the bottom of the list.
    9. 9. Rent/Mortgage Application Fee Security Deposit Electric/Gas Water/Sewage/Trash (some properties include this in the rent) Cable TV Internet Renter’s Insurance Moving expenses Move-in expenses (furniture, kitchen, etc.) Short lease fees Lockout fees
    10. 10. Consider the following: (Worksheet F)  Crime rate, safety  Location  Commute time  Neighbors  Military community  Access to the Metro  Nearby stores, dry cleaners, shops and gyms
    11. 11.  Traffic  Children  Word of mouth  Interview neighbors  Time of day  Noise  Visual aesthetics
    12. 12.  Who can move out of the dorm?  Pick up a Request for Application For/Authorization of BAH from Dorm Mgt.  Follow steps (1st Sgt., Housing, etc.)  Return completed form to Dorm Mgt.  You are now put on the waiting list  Intended Marriage Instructions
    13. 13. Before showing up to sign the lease, find out what documents your new landlord will want to see, possibly your:  LES  Bank statements  Personal references
    14. 14.  Security deposits  Waiver programs  Purpose  Refund  Role of legal and housing office  Property checklist (Worksheet E)
    15. 15.  Who pays for what?  Really read your lease before you sign it.  If you don't understand it, sit down with someone who does.  Make sure lease contains military clause.
    16. 16.  Description of property  Duration of lease  Military clause (Worksheet D)  Rent due  Deposits  Late charges  Maintenance responsibilities  Utilities included  Parking  Laundry facilities  Use of common property  Pet policies
    17. 17.  Your responsibility  Personal property  Personal injury  Fire, theft  Apartment security  Property responsibility  Property  Injury  Fire  Security
    18. 18.  Your landlord's insurance protects his stuff, not yours.  Your stuff is worth more than you think.  It can happen to you.  Renter’s insurance protects more than just property.  It's surprisingly affordable.
    19. 19.  Renters insurance differs from company to company, so compare benefits before buying.  Some key features to look for:  Replacement cost coverage  Coverage for items in transit  Flood protection  Financial strength HOT TIP: Consider bundling with your car insurance company for added savings!!
    20. 20.  From USAA  In Dorm, SAFB OFallon, IL  $5,000 $4.00 $5.09  $10,000 $4.89 $6.11  $15,000 $5.44 $6.80  $20,000 $5.99 $7.48  As of 7/12, $250 deductible  Worldwide coverage, if you get deployed and take your laptop to Iraq, it is covered  Figure your coverage based on everything you own, without shopping on sale to replace  Full replacement coverage, with $300,000 liability and $5,000 medical payments per person  Also covers earthquakes, with 10% deductible
    21. 21. Basic Allowance for Housing (BAH) Without/With Dependents (2013 rate) E-2 – $789/$1053 E-3 – $789/$1053 E-4 – $789/$1053 Basic Allowance for Subsistence (BAS) Enlisted: $352.27 month
    22. 22. BAH + BAS $1,141 Rent ($765) Electricity/Gas ($85) Cable ($60) Internet ($20) Renter’s Insurance ($7) Gas/Transportation ($50) Food/Other $154
    23. 23. House Advantages  Privacy  Space  Storage  Parking Disadvantages  Absentee landlord  Additional costs (utilities, yard)  No protection under Fair Housing Laws
    24. 24. Furnished Apartments*  1 Bedroom $500-$1,000  2 Bedrooms $600-$1,500 *Scott AFB 2012 Newcomer’s Guide and Telephone Book
    25. 25. Unfurnished Apartments*  1 Bedroom $350-$900  2 Bedrooms $425-$1,000  3 Bedrooms $625-$1,250 *Scott AFB 2012 Newcomer’s Guide and Telephone Book
    26. 26. Houses*  1 Bedroom $450-$550  2 Bedrooms $525-$950  3 Bedrooms $725-$1,800  4 Bedrooms $900-$2,000  5 Bedrooms $1,000-$2,000 *Scott AFB 2012 Newcomer’s Guide and Telephone Book
    27. 27. Application Fee (credit and criminal)  $30-$40 (will not be refunded if denied)  Some complexes will not rent to you if you have anything in collections.
    28. 28. Security Deposit  Average $300, but many have military special of $99.  Some complexes make you forfeit your security deposit if you are approved but don’t rent from them after making application.
    29. 29. Occupancy Permit $30 Per Apartment (one-time fee)
    30. 30.  Utility Activation Fees  Required if low/no credit  May be split and billed over several months  Amount depends on credit & the rental property  Call the utility company with the address, they should be able to provide a reasonable estimate of the deposit that will be required
    31. 31. Utilities (electric & gas)  Estimates:  1 Bedroom $85  2 Bedrooms $100-$125  3 Bedrooms $150
    32. 32. Water, Sewer and Trash  Estimates: (many complexes include these expenses, Example D does not)  1 Bedroom $46  2 Bedrooms $56  3 Bedrooms $66
    33. 33. Cable, Internet and Phone Estimates: (based on services obtained)  $99 special for one year (not including taxes and fees—approx. $115)  These fees do heavily increase after one year  Two local competitors in area  If using satellite dishes, cannot be installed permanently and will only work in some apartments
    34. 34. Pet Fees  Pet Deposit of $300, with $150 nonrefundable  Pet Rent of $20-$30 per pet, per month, 2 pet maximum, under 25 lbs. and some breeds are excluded  Veterinary expenses  Food, toys and treats
    35. 35.  Early Termination Charges (be sure military clause is in rental agreement).  Short Lease—additional fees of $50 per month can be charged for a 6-mo. lease.  Lockout fees—some will charge you a fee of $45 or more to unlock your apartment.
    36. 36.  Example A-small, older complex (as of 5/11)  No pool or other amenities  Water, sewer & trash inc.  2 BR, 1B, no WD $590, 1000 sq. ft.
    37. 37.  Example B—large, older complex with pool Water, sewer & trash inc. (as of 5/11)  2 BR, 1B $719-$794; 720 sq ft.  2 BR, 1B, WD hookup $810-$885; 920 sq. ft.  3 BR, 1.5B $929-$989; 1,280 sq. ft.  4 BR, 2B $1,234; 2,220 sq. ft.
    38. 38.  Example C—(large, older complex with pool), Water, sewer and trash included (as of 5/10)  1 BR, 1 B $675; 735 sq. ft.  These are specials on 2 BRs  2 BR, B, WD $720; 950 sq. ft.  2 BR, 2B, WD $880; 1,165 sq. ft.
    39. 39.  Example D—new, luxury complex with pools, movie theatre, business center, & fitness center  Water, sewer & trash not included ($46-$66)  8% discount for military (not inc.)  Will take ages 18 and up, most want 21 yr. olds  1 BR, 1B $895-$950; 800-823 sq. ft.  2 BR, 1B, WD $1,025-$1,170; 1,042-1,165 sq. ft  3 BR, 1B, WD $1,280-$1,325; 1,330 sq. ft.
    40. 40.  Bills must be put in renter’s name on the day the lease is signed.  No credit is okay, better than bad credit.  Most popular size of apartment is the 1BR, many complexes don’t have any available.  If two people sign the lease, and one leaves, the other is responsible for all the rent. You may be able to recover from your former roommate, but the landlord still expects all the rent.  You are responsible for anything done to the apartment by one of your guests.  Use common courtesy about loud music, etc.  Renting furniture will be very expensive. Do not rent from rental agencies. Shop yard sales, Craigslist, thrift shop, Airman’s Attic, etc.  Two occupants per bedroom.
    41. 41.  Do not pour grease down your garbage disposal. You will be responsible for repairs.  Do not put aluminum foil in microwave. You will be responsible for replacing the microwave. (Cost approx. $250)  Called emergency maintenance—―heat not working‖—windows were left open.  Wore shorts and t-shirts in below 0 degree weather, and kept heat constantly running, for major utility bill of over $275.  Pet took chunk out of wall—repaired with toothpaste.
    42. 42.  If you choose to move off base, do not make this decision lightly, consider:  Have your finances in order  Setup a budget  Have an emergency fund (3-6 months of living expenses)  Poor financial choices—can wreck your career  Can receive LOC  Can receive LOR  Can lose a stripe  Potential discharge
    43. 43. A. Requirements for a New Apartment B. Determining Your Affordable Rental Range C. Apartment Hunting Worksheet D. Military Clause E. Apartment Pre-Move-In Damage List F. Housing: Needs vs. Wants G. Budget Form H. Financial Wellness Assessment Tool

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