Money Rehab with Nicole Lapin - "I'm in LOVE with an Apartment I Can't Afford. Can I Negotiate?"

Episode Date: September 16, 2025

Let’s set the scene. You just toured four apartments with a broker. It’s the end of the day and you’re tired. You liked all of the apartments, but weren’t crazy about any of them. Then, your broker says: “Actually, there’s just one last apartment I want to show you.” And then, all of a sudden, you’re there. In your dream apartment. There’s just one tiny detail: it’s out of your budget. Sound familiar? That’s what one of our producers Mike is going through now. Today, Nicole helps him make his next move (literally). Originally aired 3/3/22

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The only financial expert you don't need a dictionary to understand. The Cole Lapin. Today's listener intervention is with our very own producer, Mike Koskewerelli. Mike, welcome to money rehab, although you're always here. So like, what's up? Hi, Nicole. Thank you so much. First time caller, long time listener. I've been looking for an apartment. I live in New York City. I currently live in Brooklyn. I live with a bunch of roommates and my plan was to, now that I'm making enough money, you know, because I mean, we're all rich working on this show. Duh. I figured it was time to move out, stop living with roommates,

get my own place in New York City. That's a really, that's like a big, milestone and it's pretty hard to be honest just based off of price and everything like that this is such an expensive city to live in that you have to be making a good amount of money to really take that chance unless you do the smart thing which is what our other producer Morgan did and live with like a partner you know but this is a really good next step to getting a partner yeah the upgrade of having your own space and your own place because yeah i mean for me I don't want to make it, you know, I don't want to say anything. Everybody's choices are their own choices.

But for me, I feel a little bit like a bum living with three other guys still. That's how I feel personally. Now, that doesn't mean that everybody feels that way. And I understand. I don't want, I'm not coming for anybody. That's just how I feel. You're not a bum for doing that. But from a lady perspective, and I'm going home with a dude, having some other roommates,

like is less appealing. Yeah. And I do think, frankly, if you are in a situation where you find somebody that you begin to like and hang out with, like, it is hard to be taken seriously if the reality of your situation is that you still live with a bunch of guys. And, you know, I think of what I'm in my 30s. I think a woman in her 30s when she's dating somebody wants to see that a guy kind of has a plan to get the hell out of a situation like that.

And it's just, I don't want to live amongst, you know, one of my roommates spends every morning, you know, an hour and a half in the shower that seems unnecessary. I don't like living with that. You know, I don't like waking up and wondering if I'm going to be able to brush my teeth before the sky gets into the bathroom because otherwise I'm going to have to wait until noon to do it. I really wanted to stay in Brooklyn. I really love Brooklyn. I have a car. It's not really easy to have a car in Manhattan just because of the parking situation and everything. And Queens is Queens.

I mean, you know, there's a stigma with living in Queens. It's just not as cool as Brooklyn. And I'm a cool guy. So that's where I want to be. And I thought at the price point that I have entered into, that I would be able to really have my pick of a pretty nice apartment almost anywhere in Brooklyn. Just because I figured that, you know, I've never paid even remotely close to this amount of rent that I'm willing

to pay. And I was just wrong, completely wrong. I couldn't be farther from the truth. Currently, there is a, it is a, it's a market for people that are renting and not for renters. There's not a lot to rent. Yeah. So what have you been spending on rent? $915 or something on rent. Okay. Morgan just made a face. But that's because I live with three other fucking people. Morgan did not make a face. Morgan made a face like, wow. $900-something dollars. So now you have increased this budget threefold or more? Yes.

I'd say, yeah, a little bit more than three-fold. Baller. Yeah, our show is very successful, Nicole. I mean, yes, we're nominated for an ambi, goddamn it. That's right, and we're going to win it. Yeah, we are. Yeah, and you've gone through your own money rehab. Everybody is winning here.

So you're looking for a pad. a sweet solo pad in the city with, what, 3,500 as a maximum budget? As a max. When I started the search, I thought that 3,500 was going to get me like a beautiful, I was like, I'll go to 3,500 if I see a 1,200 square foot apartment somewhere in like downtown Brooklyn where, like, I really thought that that's what that was going to get me, because I've just, I just figured that much fucking money was, that's what you'd get. But now I'm learning that 3,500 is apparently not even really that much, which sounds insane to me.

I told my mom that I was looking at that apartments for that price. And she said it was like $1,000 more than her mortgage. Granted, she lives in New Jersey, which is so expensive, but like it's more smelly and not as fun, you know. So that's sort of the payoff that you can live a little better in a place where that's, you know, not New York City. But it does, like when you put it in that perspective, it does seem kind of crazy that you're going to spend that much money for something in a neighborhood that I've, you know, these neighborhoods that I've been seeing for, you know, less than a thousand square feet. It seems a little nuts. It does seem nuts. So you went out to look for apartments and you then realized that $3,500 would get you what? Depending on where in the city, you know, it could get you a two-bedroom, but it's a two-bedroom that's really a one-bedroom with this little wall that they just put up. So it's the same amount

of space as just kind of like a normal-sized one-bedroom. I like my neighborhood right now because there is a neighborhood feel. I kind of have my normal coffee shops. I have my normal restaurants. I know people in the neighborhood. Okay. So you found a place that you can walk to get coffee from so you said you drafted an email that you were about to send and then you pasted it in the text and then i looked at it and it felt eager and so it had a lot of exclamation points wait did you write that or did morgan write that i wrote it but i think because i spend so much time with morgan and read so much of her writing that i've i've caught exclamation point fever yeah That's true.

I thought it could have been Morgan because you don't even put exclamation points when you're chatting girls up. So yeah. Now, like, okay, so you put, you put exclamation points. You're a very exclamation point happy. It's like, hey, I love this place. Yeah. Yeah, yeah.

Woohoo. And then I took out the exclamation points. I scrubbed them. And I was a little more aloof. It wasn't like, this is the only place. I tried to make it say, like, I'm looking at a lot of places. There's a lot of inventory on there. This is not special.

Okay, so read me the whole thing. You have it in front of you. So we're emailing a woman named Katrina. Hi, Katrina. Thank you for setting up the tour. I'm looking at a few other similar units today in the area, but I'm interested in seeing what more we can do to make apartment. I'll keep that blank.

The winner. I am ready to move quickly. I have noticed that there is quite a lot of inventory at the building and that the unit previously rented for approximately $3,400, which was true. We did research on that. If we could come in there with the application fee waived and the building amenities included, I could be ready to move forward immediately. Considering the fact that the Avalon is billed as a building with views of the Empire State Building, this is an equitable offer for a third floor unit that does not offer what is marketed. Looking forward to continuing the conversation to make this a win-win and a smooth process for everyone. I am available between time and time today to discuss further regards Mike.

Right. So I wanted you to research how many units in that building were available because then you're getting into their psychology of them needing to get to their quotas or whatever they have as a bigger building and a bigger company or management system. And also that you should not come across as thirsty and put out a negotiating offer because a negotiation is a give take, give take, dance. And so if, you know, you say that you want your application fee wage, which was like, what, 20 bucks or something like that, I looked at the website and the amenities, I mean, that was a throwaway thing. They are going to feel good if they can cross something out. if they can be like, okay, well, definitely know on this.

We'll see what we can do on this. So when you go in with something that you don't really want and you hope that they're going to cross that out, that actually is what happened. They're like, we can't move on this, which is what I was expecting because they're a corporate-type operation. You're not dealing with like some dude who's renting out his apartment. And so they said, we can't do anything on that because they're rules follower-type people, but they didn't respond to the 3,400, which was,

where it rented before. So you didn't just pull that number out of your ass. It was what you researched the apartment had already gone for. That's right. And then I told you not to put in the longer lease negotiating chip because you could use that later on. So the latest is that you called, which I told you to do this weekend, but you have shit to do. Dates to go on and things like this. Yes.

So it wasn't in the top of the priority list, fine. But you then ultimately called and you, what, ask for a manager? Yes. And they just said put an application in and, but that price is the price. Did you put the application in? No, because I can't afford these apartments now. And I'm also just kind of soured by this experience and it's making me not as excited. Wait, you can't afford the, you can't afford the one that the third floor one.

The third floor one was the one I liked. No. Right. So what's a problem? Yeah. It was originally, it was over my budget originally. That's why I was trying to negotiate it down into my budget. Because I was willing to hit the top of my budget for that because it had, it was like 700 and something square feet.

It was pretty big. So, but you need to put the application in, dude, because they're not going to negotiate with you before they know you're qualified. Is that what it comes down to? I have to put the application in and see. Yeah. Because they have to run a credit check and stuff like that. that. So they can't negotiate before they know if you're qualified to even

move in. So you should have put the application in. Oh, I didn't know I was supposed to do that. So do that like ASAP. What do you mean? I thought that you, like I thought I didn't want to put the application in for that price because then I thought that that would be the price.

No, they need to verify that you can afford it first. If I'm a landlord, I'm not going to negotiate with any schmo off the street. I want to make sure that you have money. Yeah, that does seem to make sense. Get your fucking application in, Mike. Okay. Hold on to your wallets, boys and girls. Money rehab will be right back. So, how do you feel about fees? Because I hate them. Seriously, I always try to warn listeners about fees. It doesn't

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Two weeks later. So, did you apply? I did apply. And I got approved. Yay! But part of the issue was that they have this sliding price scale, which I've talked to a handful of people now. Nobody's ever seen something like this before.

But when I saw the apartment that I wanted, it was listed at $3,600 per month, which was a little above my price range. That's like the whole conversation that we've been having. And the whole reason why it felt necessary to try to negotiate a little bit of that off the price. And after I had selected that I wanted a March 1st move-in date, after having seen the apartment a week and a half prior to putting the application in, the price went up $200 a month for the apartment.

So went from $3,600 to $3,800 in less than two weeks. and that's why they that's just the way their scale is that for whatever reason their system is in this building i won't name names in new york city but a building in long island city in in queens in new york has a scale that it's just every single day the price increases a little bit whether it's $35 or whatever. So by the time it got to the application being approved, it got raised to $3,800, which obviously I could not afford. So wait, wait, wait.

The scale, is it also depending on what day you choose to move in? It is, but it's obviously more expensive. Basically, if you make the choice to move in tomorrow, you get it for the list price. Did you ask them what the scoop on that is? Yep, they couldn't get me an answer. I tried to ask them because I asked the woman on the phone

I called them I did everything I emailed them I called them I finally got somebody on the phone once the application was approved and was in so once I got approved for it

I basically said guys so this price obviously can't be the price right because I saw it at 36 and now it's at 38 and she's like yeah no no that's the price because you wanted to move in date

of March 1st and I was like So what? If I don't take this apartment and it just stays on the market, this apartment's going to be $4,200 for this apartment. You're going to raise it almost $1,000 in a month. That doesn't seem to make any sense. And the woman was just like, I don't know. I'm just kind of new to this building. I don't really know. She gave me some bullshit stutter answer. I really did think this was a tactic for them to kind of open a conversation. I really thought that when I hung up the phone, she was just going to go, all right, so this guy's approved. He can be in the building. Can we talk about, like, and I thought I was going to get a call from somebody in the leasing office. That's like, hey, Mike, we just talked to so-and-so. You know, we want you in the building. You're approved already. Like, what can we do to make this work?

And they just didn't. So I just pulled out of it. So I just kind of started looking for more apartments. And now I have an application in another building next to it. I found an apartment that I liked. This broker showed me around. It was 37. I told him that I had another apartment that I liked just as much, but I liked that apartment.

And I was willing to put an application in, but I wasn't willing to spend more than $3,600. And also they have a couple of their amenities in this building because it's one of those high-rise buildings. There's a couple of amenities that are still under construction. Like they're redoing the pool. They're redoing like their locker rooms or whatever. So I also said that I needed to have the amenities waived, which is another $50 a month. And then what happened? He said the building probably wasn't going to do $3,600 for the apartment.

So what he said was he was going to give me a $1,200 rebate. He was basically going to write me a check for $1,200 to take the apartment at $37 so it would even out. Where is your head now? You want this other apartment for $3,600, which was your... budget and then ultimately like somehow you're getting it at 3600 um so is there a problem now i i make enough money to cover um the rent or what 40 times the rent whatever the stupid metric is i can cover it between this like working on this show and the other i heart shows that i work on and all these you know all these other projects but um i don't have a lot of tax information that

backs that up because a lot of this work that I started getting didn't start until probably halfway through last year. I've given them pay stubs and copies of invoices and stuff like that. They want, it's just a major hoop to jump through to get freelance income approved, it seems like. They want me to get a CPA letter. I don't even have a CPA. Why don't you have a CPA? I mean, I have a guy that has done my taxes. I have a guy in Jersey. I have a guy. I have a guy. Yes. Of course you do. You're Mike Costcarelli. You're a guy for everything. No, I have, so a friend of mine who, you know, one of my first freelance gigs was in 2018, but I didn't freelance for long. I probably freelanced for a couple of months. And then the

company that I was working with made me full time. So there was a couple of months of income that I had to sort of figure out what I owed in taxes. He helped me do that. And he, he, he has done my taxes for me, I think the last three years, but they've been, for the most part, I've just worked at a company and they send me a tax return. And then it's not, they're not difficult. This is the first step for me where as a producer, I've, I've like gone out on my own as opposed to like had a salary job. And I didn't, there's things that I have planned for the next year that are obviously going to require a real accountant or CPA that can help me get set up, setting up an LLC, setting up, that's on my slab. I just didn't think that I was going to need

all that stuff to get an apartment. This has been the moral of a lot of our interventions, not that this is a classic intervention of sorts, but usually it's not the thing that we start talking about. It's something else. That's the issue. And I think the issue has, has come to the forefront that you might not have been expecting, but is the real issue we should be talking about and addressing. And this rent debutante ball that you've done around Long Island City has catalyzed it, has pushed it to the forefront, importantly so. Because, you know, thank you.

Hopefully, it's just dealing with the rents with these, you know, whatever corporatey buildings. That is not as much of an issue as, let's say, an audit or some other, you know, like I just got a super lovely bill from the New York Labor Department for some fucking form or something or other. it's really annoying to set up all the things that you need for various entities and keep up with that. If you're going to do that this year, like, let's do that right now. And yes, get a CPA and yes, either get a LLC or an S corp and get that situated so that it doesn't cause you greater issues in the future. You know, worst case scenario here, if we fast forward the videotape is that you stay with your roomies, which is, granted, high class problems, you still have a roof over your head, all the things. You know, fast forward a videotape,

if you get into some other financial shit, less, less fancies. So I think that if you are comfortable with this building and you can prepay. That's a way that I see getting around it. And by the way, if you didn't have this wake-up call, then you would probably have procrastinated more. So I'm glad that you had this wake-up call. And so I think that all of this is ultimately going to put a little pep in your step to get it together and get it all.

For today's tip, you can take straight to the bank. Mike, what did you learn today? What did I learn today? I learned that waiting to the very last minute to find a CPA to write you a note to get an apartment is a really bad idea. I got to get my shit together, man. We spend my money, money, money.

Money rehab is a production of IHeart Radio. I'm your host, Nicole Lapin. Our producers are Morgan LaVoy and Mike Koscarelli. Executive producers are Nikki E-Toror and Will Pearson. Our mascots are Penny and Mimsy. Huge thanks to Oh, OG money rehab team Michelle Lanz for her development work, Catherine Law for her production and writing magic,

and Brandon Dicker for his editing, engineering, and sound design. And as always, thanks to you for finally investing in yourself so that you can get it together and get it all.