Apartment complexes glossary
Short, plain-English definitions of the terms you'll meet when choosing a apartment complex provider in Greater Austin.
- What is a bed-bath ratio?
- The bed-bath ratio is the numerical comparison of bedrooms to bathrooms in an apartment or rental unit, expressed as a format like 2:1 or 3:2.
- What is a by-the-bed lease?
- A by-the-bed lease is a rental agreement in which each resident signs an individual lease for their own bedroom and pays rent separately, rather than one person leasing the entire unit and collecting money from roommates.
- What is a certificate of occupancy?
- A certificate of occupancy is an official document issued by a municipality certifying that a building or unit meets all applicable building codes and is safe and legal for occupancy.
- What is a Class A, B, or C apartment?
- A classification system that rates apartment communities by construction decade, physical condition, unit finishes, and amenity offerings, ranging from Class A (newest, highest-end) to Class C (older, basic stock).
- What is a concession in apartment leasing?
- A concession is a rent reduction, waived fee, or gift incentive offered by an apartment complex to attract or retain a tenant, lowering the effective cost of the lease.
- What is a continuing care retirement community (CCRC)?
- A continuing care retirement community (CCRC) is a senior living campus that provides independent living, assisted living, and skilled nursing care under one management.
- What is a habitability standard?
- A habitability standard is the baseline set of livable conditions Texas property law requires landlords to maintain in rental units, including functioning plumbing, adequate heat, and freedom from health hazards.
- What is a Housing choice voucher (Section 8)?
- A Housing choice voucher (Section 8) is a federal rental subsidy that allows low-income tenants to pay a percentage of their income toward rent while the government covers the difference at participating properties.
- What is a lease renewal increase?
- A rent increase applied when an existing tenant renews their lease at the end of the current lease term, typically requiring landlord notice 30 to 60 days before renewal.
- What is a lease-up community?
- A newly constructed apartment community during its first phase of tenant acquisition, typically offering competitive rates and move-in incentives to fill units quickly.
- What is a resident benefit package?
- A resident benefit package (RBP) is a bundled set of mandatory services and amenities included as an add-on fee in apartment leases, typically covering pest control, HVAC filter replacement, credit reporting services, package locker access, and similar convenience offerings.
- What is a security deposit?
- A security deposit is money a tenant pays upfront when signing a lease to protect the landlord against unpaid rent, damage beyond normal wear, or lease violations in Texas.
- What is a submarket in apartment rental?
- A submarket is a geographic subdivision of the apartment rental market used to analyze rents, occupancy, and inventory within a specific region, such as North Austin or Domain.
- What is a surety bond deposit alternative?
- A surety bond deposit alternative is a third-party financial product that replaces a traditional cash security deposit, allowing renters to post a smaller upfront fee instead of the full deposit amount.
- What is an amenity fee?
- An amenity fee is a monthly charge billed separately from base rent that covers the cost of shared facilities and services within an apartment complex, such as pools, fitness centers, valet trash, and common area maintenance.
- What is area median income (AMI)?
- Area median income (AMI) is the midpoint income level for a geographic area that the U.S. Department of Housing and Urban Development uses to determine eligibility thresholds for affordable housing programs in that region.
- What is breed restriction?
- A lease provision that prohibits or limits certain dog breeds or weight classes, typically enforced by landlords based on insurance underwriting requirements and liability risk assessment.
- What is effective rent?
- Effective rent is the actual monthly rent paid after accounting for concessions such as free months, reduced deposits, or other lease incentives offered by a property.
- What is income restriction (LIHTC)?
- Income restriction is a requirement that tenants in Low-Income Housing Tax Credit units earn no more than a specified percentage of the Area Median Income (typically 50-80% AMI) for their household size in that geographic area.
- What is joint and several liability in a lease?
- A lease clause that makes each tenant individually liable for the entire rent amount and property damages, allowing the landlord to collect full payment from any roommate.
- What is pet deposit vs pet rent?
- Pet deposit is a one-time refundable fee collected upfront to cover potential pet damage, while pet rent is an ongoing monthly charge for keeping a pet in the unit.
- What is Texas Property Code Chapter 92?
- Texas Property Code Chapter 92 is the state statute that defines landlord and tenant rights and responsibilities, including obligations for maintenance, security deposit handling, and livable conditions in residential rentals.
- What is the difference between independent living and assisted living?
- Independent living serves active older adults in self-sufficient apartments with minimal staff support; assisted living provides hands-on help with activities of daily living like bathing and medication management.
- What is walk score?
- Walk Score is a 0-100 rating that measures how walkable an address is based on its distance to nearby amenities like grocery stores, restaurants, parks, schools, and public transit.