How to negotiate rent.

Check the rules where you live

Before anything else, find out what's allowed where you live. Notice periods, caps on increases and renewal rights vary a lot from country to country, and often from city to city. If the increase breaks the rules, you don't need to negotiate at all. A tenants' association or your local housing authority can tell you where you stand.

Get the market facts

Cohen argues that information, time and power drive most negotiations, and that we usually assume the other side has more of all three than it really does. With rent, the information part is easy. Look up places near you that are a similar size, in similar condition, with similar features, and keep an eye on how long they've been advertised. A flat that's been sitting on a listings site for six weeks tells you something.

Then put what you find in writing. G. Richard Shell describes doing just that in Bargaining for Advantage, when he negotiated a property deal by email. His opening offer went out with comparable listings and recent sales attached. The other side came back with a counteroffer that was just as well researched, and the two of them narrowed the gap from there.

Think about your landlord's alternative

It's easy to forget that your landlord has something to lose too. If you move out, they're probably looking at weeks or months with no rent, cleaning and repairs, advertising or agent fees, and the chance that the next tenant pays late. That's their BATNA, and for a lot of landlords it's worse than taking a little off the increase for someone they already know.

You don't have to spell this out as a threat. Something like "I've paid on time for three years and I'd really like to stay" makes the point perfectly well. If BATNA is a new term for you, our explainer covers it.

Trade, don't just haggle

A good example comes from Beyond Winning, by Robert Mnookin, Scott Peppet and Andrew Tulumello. A deli owner was sued by his landlord after a competitor wanted to open a diner two doors down, and it looked headed for court. Instead, the lawyers worked out a deal that had nothing to do with meeting in the middle. The deli owner got permission to install cooking equipment so he could serve hot food, a lower rent and two five-year options to renew. The landlord got the lawsuit dropped and the new tenant in.

Your situation will be smaller, but the same idea applies. Look for things that cost one of you very little and matter a lot to the other. You could offer a longer lease in return for a smaller increase, take care of minor maintenance yourself, agree to a stepped increase, or move your renewal date to one that suits the landlord better.

Ask early

Time pressure lands on whoever has fewer options. Start the conversation a week before your notice runs out and that person is you. Raise it two or three months ahead instead, while you've still got time to look around and your landlord still has time to picture an empty flat.

Know your own walk-away number

Before you talk, work out what moving would really cost you. Think about a new deposit, movers, a month of overlapping rent, time off work and maybe a longer commute. Add that to the rent on your best realistic alternative and you've got the most that staying is worth. If your landlord won't come in under that, moving is the better deal. If they will, you're negotiating over how much of the difference you get to keep.

What the conversation can sound like

Keep it short and specific. Thank them for letting you know, say you'd like to stay, mention what similar places nearby are going for, and ask whether they'd be open to a different arrangement. Then put a package on the table, such as a longer lease with a smaller increase. Once you've asked, stop talking. The pause will feel long. Let your landlord be the one to fill it.