Traditional Renting vs PadSplit: What You Should Know

July 06, 2020

According to RentCafe’s Atlanta 2020 Rental Market Report, the average rent for an apartment in Atlanta is $1,467 per month. That adds up to roughly $17,604 per year and doesn’t include basic utilities or internet access. Fortunately, there is another option – PadSplit. PadSplit is a membership program that allows you to rent killer rooms with utilities included for a low, fixed weekly payment. Here’s how much PadSplit costs compared to traditional renting.

*Data taken from RentCafe’s Atlanta 2020 Rental Market Report.
**Data taken from Numbeo’s 2020 Atlanta Cost of Living Report.

Before we take a closer look at PadSplit and how it works, let’s take a look at how traditional renting works.

How Traditional Renting Works

Traditional renting is what most people think of when they think of renting. You submit an application and, if you’re approved, sign a lease, pay a security deposit, and move in. Let’s take a closer look at two of those key steps: sign a lease and pay a security deposit.

A lease is a binding contract between a tenant and landlord. It gives a tenant the right to live in a property for a fixed period of time, usually 12-months. A lease often includes stipulations that protect the landlord’s financial interest should the tenant break the agreement early. This can include allowing the landlord to keep the security deposit or requiring the tenant to pay rent even after they move out. Leases help protect tenants as well but can make it a challenge if the tenant needs to relocate at any time during the fixed time. A security deposit is an amount of money a renter pays when beginning to rent a property. The landlord keeps the money and may use it to pay for any property damage caused by the tenant. The amount of security deposits varies, but it is often two months’ worth of rent (first and last month). Take the average monthly rental in Atlanta of $1,467 and multiply it by two and you get a $2,934 security deposit. While security deposits help protect a landlord’s property, they can make it challenging for people to rent the property.

Traditional renting can get expensive and make it even more difficult for individuals to reach their personal and financial goals.

How PadSplit Works

PadSplit is a membership program. For a fixed weekly payment, you get a private, furnished room, utilities, internet access, and laundry facilities. The rooms are hosted by property owners. PadSplit facilitates the relationships between everyone and manages all the paperwork like payment processing and background checks.

Unlike traditional renting, PadSplit doesn’t require you to sign a lease or pay a security deposit. To become a Member, you fill out background and employment verification forms. You also pay a $29 fee to cover your background check. The process takes 2-5 business days. Once approved, you can book a room and move in immediately!

PadSplit is designed to help Members achieve their personal and financial goals. Our Members save an average of $420 a month, allowing them to save up to purchase a car. It’s not like traditional renting at all.

The Benefits of PadSplit

At PadSplit, we believe affordable housing shouldn’t be a barrier to building your life. To recap, here’s what renting at PadSplit gets you:

  • No long-term lease agreements
  • No security deposits
  • Great rooms in great neighborhoods
  • Weekly rent includes a fully furnished private room, utilities, internet, and access to laundry

But, wait! There’s more. In addition to the benefits above, we also offer our Members:

  • FREE access to telehealth services
  • Ability to build your credit
  • Advice on achieving your personal and financial goals
  • 24/7 Member support from our team

Ready to get started? We have rooms available in homes across cities all across the country. Find your next home today.

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