How to Choose Financially Responsible Roommates

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As we move closer to the new school year, this might be your first year off-campus when your roommates are not assigned for you. A new step in adulthood is figuring out who you want to room with for this year and beyond, without falling into the typical roommate from hell scenarios of unpaid light bills, paying for groceries solo, or leaving you to figure the rest out if they decide to leave early. But how do you find the right roommates who are financially responsible and are not friends with whom you can go out but can’t rely on to buy the toilet paper when it runs low?

We have a step-by-step process to help you pick the best roommates who prioritize finances first, friendship second, and treat your living arrangements as a business partnership. This article is divided into three sections: Financial Screening, Fair Shared Expenses Splits, and a Formal Roommate Agreement.

Financial Screening

This is your top priority when you’re vetting potential roommates. The worst thing you can do is not vet them and then find out later that they have several eviction notices for nonpayment of rent, leaving you high and dry. To check them thoroughly, be sure to:

• Credit and Background Checks: Background checks will cover all bases, from criminal records, income verification, eviction history, address history, and their credit report. Their credit check will show any active debts, their payment history, collections, and judgments/liens, to better assess whether they are someone who pays their debts on time or racks them up.
• Proof of Income: To avoid surprises later on when the rent is due, have them provide proof of their income. A recent pay stub is your best bet, but if they are starting at the job, you can refer to their employment offer letter to ensure it’s legit. From there, you can better assess which rent and shared household expense splits will work best for everyone and their income.
• Conduct an Interview: Even if they pass the background check with flying colors, it may not be enough to ensure that they are financially compatible with you, as they might prioritize a budget for clubbing more than you budget for the farmer’s market. In this case, having a meeting with them can help break the ice if they are a new person you’re living with and give you a better idea of long-term financial compatibility. Some questions to ask are:
• What are your top financial priorities each month?
• How do you plan to split common-area items like TVs among the other people?
• What do you spend on average for groceries vs eating out?
• Have you ever been late paying rent or utilities? If so, what happened?
• How do you prepare for an emergency?

Fair Shared Expenses Splits

Once you’ve verified that they are trustworthy to pay the bills, you will need to work together to create a realistic expense split that is fair for everyone. While 50/50 is often the default in a two-person household, that is not the same for 3-4 people in a place or for two people with widely different incomes. To ensure fairness, focus on:

• Square Footage Adjustments: In a two-bed apartment, the primary will likely be bigger than the secondary, especially if there is a private bathroom. If you know you’ll be taking the bigger room and the roommate will be left with the smaller room and bathroom, it’s reasonable to pay a little more for the rent than they will, and vice versa. This also applies if it’s a three-bed, with the third being used as a shared or solo office space.

• Utilities: The discussion should be based on splitting it evenly, having one person cover it all, or, if it’s based on usage. In some cases, one person might cover the gas bill, another covers the light bill, and another covers the water bill. If you’re splitting it based on usage, the roommate working from home will likely pay more than the two other roommates who work in person, or the person who uses the AC or heating more during the summer and winter months.
• Groceries and Supplies: For cleaning supplies and groceries, this is a good area to decide on alternating weeks or months to keep it fair for everyone. Some common essentials, such as toilet paper and dish soap, can be shared, with one person buying it the first week and another buying it the second week. For groceries, decide if you’ll be cooking for the whole household or if people will buy their own groceries, especially if one roommate is more of a “deliver during midterms” student, whereas the other is meal-prepping weekly.

Formal Roommate Agreement

With all the details ironed out, it’s time to make a roommate agreement that details common areas, shared items, cleaning schedules, and everything in between to keep everything in writing. In the finances section, clarify:

• Security Deposits: Divide the security deposit evenly among all roommates and discuss payment methods upon moving out to ensure everyone gets their fair share back promptly.
• Moving Out Early: Outline a concrete penalty or notice period if someone needs to break the lease early, including who is responsible for finding a replacement. In addition, go over how shared household items, such as air fryers and TVs, will be split, such as repayment or taking the item altogether.
• Lease Liability: If your landlord is unable to provide separate leases and sees all parties as jointly liable for damages and expenses, then go over the next legal steps if you are held financially responsible to uphold all of the rent, even if one or all roommates decide not to pay the rent.
• Make Multiple Copies: Above all, you should have both digital and physical copies of the lease and roommate agreement for reference in case there is a disagreement down the line over rent or shared expenses.

While this process may feel uncomfortable, especially if you discover that your friend from Calculus isn’t the most financially responsible person to live with, treating your living arrangement like a business partnership rather than relying solely on friendship can protect your finances, preserve your relationships, and create a more successful roommate experience. With your roommate’s agreement and lease signed, you now have the keys to your new place and a secure partnership to make your experience smooth sailing. Good luck this semester!

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