Renting a Home Abroad: The Expensive Mistakes Families Make (and How to Avoid Them)

Lessons from many years of relocation

Last checked: September 2026. Deposit limits, lease registration rules and payment customs change often, especially in fast-moving rental markets. Treat figures as a starting point for your own research.

For most families, rent is the biggest monthly cost of living abroad. The lease is also the contract you are most likely to sign in a hurry, in a language you may not read, while tired, jet-lagged and trying to keep children fed. That is why renting is where so many expensive mistakes happen.

Most of these mistakes are predictable. They happen to careful people because rental customs differ so much between countries. Below are 13 common ones, with why each happens, what it can cost and what to do instead, plus a "before you sign" checklist.

Mistake 1: Why is signing a long lease straight away such a risk?

Why it happens. You want stability. The children need a home, you are tired of suitcases, and a 12-month lease feels like progress. Some landlords also offer better prices for longer contracts.

What it costs. You choose a neighbourhood from a map and a few online reviews. Three months later you realise the commute is 70 minutes each way, the school run crosses the city, or the area is empty at weekends. Breaking a lease can mean losing your deposit, paying rent until a new tenant is found, or paying a fixed penalty.

How to avoid it. Plan for one to three months of temporary housing first. This could be a serviced apartment, a furnished short let or a corporate apartment. It costs more per month, but it buys time to learn the city and try the commute before you commit. Our guide to the trial month explains how to use this time well.

From experience: We found our home after about two weeks in the country. It was the last place we visited: we tried several agents and looked at about 20 houses. Our temporary place was central, which made it easier to get a feel for the city.

Mistake 2: Should you choose the house or the school first?

Why it happens. House hunting is exciting and school applications feel like paperwork, so families often choose a house first.

What it costs. In many countries, state school places depend on your address, known as the catchment area. If you rent just outside it, your child may be placed in a different school, or on a waiting list. Even with international schools, a long school run shapes the whole family's day.

How to avoid it. Decide on the school, or at least a shortlist, first. Then search for homes within a sensible commute. Ask each school for its catchment rules or bus routes. Test the journey at school times, not on a quiet Sunday. Our guide to choosing a school abroad covers the questions to ask. See also where you live is the biggest decision.

Mistake 3: How do you spot a rental scam from abroad?

Why it happens. You are searching from another country, often under time pressure. Scammers know this. They copy real listings, add a lower price and wait for people who cannot view in person.

What it costs. The deposit and first month's rent, often sent by bank transfer, which is hard or impossible to recover.

The US Federal Trade Commission lists common warning signs that apply in most countries:

• A price well below similar homes in the area. If it looks too good, check it very carefully.
• Payment before you or a trusted person has seen the property. Especially a request for a deposit to "hold" the home.
• Payment methods you cannot reverse. Wire transfers, money transfer apps, gift cards or cryptocurrency.
• Pressure to decide fast. "Many families are interested, I need an answer today."
• A landlord who cannot meet or show the home. Often "working abroad" or "travelling".
• The same photos listed elsewhere under a different name, price or address.

How to avoid it. Never pay before someone you trust has seen the home and confirmed the person renting it has the right to do so. If you cannot visit, ask a colleague, your employer's relocation provider or a paid viewing service to go for you and do a live video call. Reverse-search the listing photos, and pay only through traceable channels once you have a written contract.

Mistake 4: What upfront costs should you expect, and do they vary by country?

Why it happens. You budget for a deposit and first month's rent, because that is normal at home. Then you learn the local system works differently.

What it costs. Moving-in costs can range from one month's rent to a full year paid upfront.

How to avoid it. Research local norms before you set your housing budget. Here are a few examples, which show how different the rules can be:

Country	What to expect	What to check
Germany	The deposit (Kaution) is capped by law at three months' "cold" rent, meaning rent without heating and service charges. Tenants have the right to pay it in three monthly instalments. If the landlord hired the agent, the landlord pays the agent's fee.	Whether the deposit is held in a separate account, and who hired the agent.
Japan	Move-in costs often total several months' rent. These can include a refundable deposit (shikikin), non-refundable key money (reikin, often 1–2 months where charged), an agency fee (legally capped at one month's rent plus tax), a guarantor company fee and fire insurance.	Whether key money is charged (many listings now have none) and what cleaning costs come out of the deposit.
Dubai (UAE)	Leases are usually annual. Rent has traditionally been paid by post-dated cheques, often one to four for the year, though more landlords now accept more cheques or digital payments. Security deposits are commonly around 5% of annual rent unfurnished and around 10% furnished. Agency fees and Ejari registration are extra.	How many cheques the landlord accepts. More cheques can mean a higher rent. Check current rules on bounced cheques, which have serious consequences.
Portugal	Since 2023, landlords can ask for no more than two months' rent as a deposit and two months' rent in advance. In practice, newcomers without local income or a Portuguese guarantor (fiador) are sometimes asked for more, or for a bank guarantee.	What the contract says about deposits and advance rent, and whether any extra request is lawful.

Rules change, and local practice does not always match the law. Our family relocation budget guide shows where moving-in costs fit.

Mistake 5: Does "unfurnished" mean the same thing everywhere?

Why it happens. You assume "unfurnished" means no sofa or beds, but a working kitchen and light fittings.

What it costs. In Germany, an unfurnished flat often comes without a fitted kitchen. That can mean no cupboards, no cooker, no sink unit and no fridge. Sometimes the outgoing tenant offers to sell their kitchen, which can cost thousands of euros. Elsewhere, "unfurnished" may mean no light fittings or wardrobes, and "furnished" can mean anything from a full home to a bed and a table.

How to avoid it. Ask for a written list of what is included. Ask about the kitchen, appliances, wardrobes, light fittings, curtains or blinds, and air conditioning units. If you arrive with very little, our guide on how to set up a home in a week when you have nothing will help.

Planning your own move? Get our free 120-task family relocation checklist and cost planner, so you can see every step before you start. Get the free checklist

Mistake 6: Why does a move-in inventory matter so much?

Why it happens. Move-in day is chaotic, and nobody wants to spend two hours photographing walls.

What it costs. Deposit deductions when you leave, for marks, stains or damage that were there before you arrived. In countries where deposits are large, this can be a significant sum.

How to avoid it.

• Ask for a written inventory and condition report. If the landlord does not provide one, make your own.
• Take dated photos and a slow video of every room, including floors, walls, windows, appliances and bathroom seals.
• Note existing damage in writing and send it to the landlord or agent by email within the first few days. Ask them to confirm they received it.

Mistake 7: What should you check about utilities, water and internet before signing?

Why it happens. Viewings focus on rooms and light, not fuse boxes or water pressure.

What it costs. A home that is cheap to rent can be expensive to run. Old heating systems, poor insulation or electric-only heating can double your bills. In some countries, power cuts are regular, and a home without backup power or a water tank changes daily life. Slow or unavailable internet can make remote work impossible.

How to avoid it. Ask:

• What are the typical monthly utility costs? Can the landlord show recent bills?
• Which utilities are included in the rent, and which are separate?
• Are there regular power cuts or water shortages here? Is there a generator, inverter, solar system or water tank?
• Which internet providers serve this address, and what speeds do they offer? Check with the provider, not just the landlord.

From experience: In our last home, everything was included. Here, we pay separately for utilities, internet, gas and so on. In developing countries, I would now always factor in getting solar power and batteries.

Mistake 8: What happens if you need to leave early?

Why it happens. Nobody plans to leave early, but assignments end and plans change.

What it costs. Notice periods and break rules vary widely. In some countries, tenants can give a few months' notice at any time. In others, you owe rent for the full fixed term unless the landlord agrees otherwise.

How to avoid it. Before signing, find out:

• How much notice you must give, and whether it must be in writing, by registered post or in a specific form.
• Whether there is a minimum period before you can give notice.
• Whether you can add a break clause. Some expat and corporate leases include a "diplomatic" or "job transfer" clause, allowing you to leave early if your employer moves you.

If your move is employer-led, check whether your package covers lease break costs. Our guide to what to ask your employer about your relocation package covers this.

Mistake 9: What are the risks of paying rent in a foreign currency?

Why it happens. You are paid in one currency and rent in another. Or the landlord asks for rent in US dollars or euros, while your salary is in local currency.

What it costs. If exchange rates move against you, your rent can rise by 10% or 20% without the landlord changing a thing.

How to avoid it. Where possible, match your rent currency to your income currency. If you cannot, build in a buffer. Our guide on how to open a bank account in a new country before arriving explains the options. If you are negotiating a package, ask whether your housing allowance is paid in the currency your rent is due in.

Mistake 10: Why does it matter whether your lease is registered?

Why it happens. Some landlords prefer informal arrangements, often to avoid tax, and it can feel easier to agree.

What it costs. In many countries, a formal, registered lease is not just paperwork. You may need it for your residence permit, to register your address, to open a bank account, to connect utilities or to enrol children in school. Some examples:

• Germany: You must register your address within two weeks of moving in. To do this, you need a confirmation form from your landlord (Wohnungsgeberbestätigung).
• Portugal: The immigration agency (AIMA) asks for proof that a lease is registered with the tax authority (Finanças), not just a signed contract. Since August 2025, tenants can register the lease themselves if the landlord does not.
• Dubai: Tenancy contracts are registered through Ejari. A registered contract is commonly needed to connect utilities and is often asked for when sponsoring family visas. Check the current requirements for your situation.

How to avoid it. Ask the landlord, in writing, whether they will register the lease and provide the documents you need for your visa and address registration. If they refuse, treat it as a serious warning sign.

Mistake 11: Why should you visit the neighbourhood at night?

Why it happens. Viewings happen in daylight, often on weekday mornings. Everything looks calm.

What it costs. You may discover that the street is poorly lit, that a bar opens below your window at 10pm, or that walking home from the bus stop does not feel safe.

How to avoid it. Visit the area at different times: early morning, school pick-up, evening and a weekend night. Walk the route from the nearest shop, bus stop or school. Ask local parents which areas they would choose. In some cities, ask about building security, guards, gated compounds and what they include.

Mistake 12: How do you spot noise, damp and seasonal problems?

Why it happens. You view a home once, in one season, at one time of day. Many problems only show up later.

What it costs. Damp and mould can damage belongings and make a home unpleasant to live in, especially for young children. Noise from traffic, building work, neighbours or a flight path can wear a family down. A flat that is lovely in spring may be freezing in winter or unbearably hot in summer.

How to avoid it. Try what we call the "wet Tuesday test". Imagine the home on an ordinary, grey weekday in the worst season. Where do the wet coats and shoes go? Where does laundry dry? Is there enough light? Can the children play inside without disturbing neighbours? Then look for clues:

• Black spots on window frames, ceilings or behind furniture, and a musty smell.
• Freshly painted patches, which can hide damp.
• Single glazing, no insulation, or no air conditioning in a hot climate.
• Traffic, trains, nightlife or flight paths. Open the windows during the viewing and listen.

If you can, ask a neighbour. They often know more than the agent.

From experience: Because we were used to everything being included, we did not pay enough attention to these extra costs. If we had, we could have negotiated a better price. We also find that renting semi-furnished works best for a posting of limited length.

Mistake 13: Do you need a relocation agent to find a home?

Why it happens. The whole process feels overwhelming, and a relocation agent promises to take it off your hands.

What it costs. Fees can be significant, and you may be paying for help you do not need, sometimes on top of a letting agent's fee.

How to avoid it. A good agent is valuable in a tight market or if you do not speak the language. Be clear about what you are paying for. Ask:

• Exactly which services are included, and which cost extra.
• Whether they receive commission from landlords or letting agents.
• Whether they will check the lease, attend the move-in inventory and help with registration.

If you are paying yourself, consider paying only for what you cannot do, such as lease review or translation.

Before you sign: a checklist

Area	What to check
Location	Commute to work and school at rush hour. Catchment area for state schools. The area at night and at weekends.
Landlord and listing	The person renting has the right to do so. The home has been seen in person by you or someone you trust. The price is in line with similar homes.
Upfront costs	Deposit, advance rent, key money, agency fees, guarantor fees and registration costs. Whether these match local law.
Payment	Payment method is traceable. Currency matches your income, or you have a buffer.
What is included	Written list of furniture, kitchen, appliances, light fittings and window coverings.
Running costs	Recent utility bills. Heating and cooling system. Power backup and water supply. Internet providers and speeds.
Condition	Signs of damp or mould. Noise at different times of day. How the home will feel in the worst season.
Contract terms	Length of lease, notice period, break clause, rent increases and who pays for repairs.
Paperwork	Lease will be registered. Landlord will provide documents for address registration, visas and utilities.
Move-in	Written inventory, dated photos and video, and a record sent to the landlord.

From experience: Always have a conversation about what is included before the contract arrives, and about who is in charge of maintenance. Talk about upgrades to the house as well: who pays for them, and what happens to them when you move out.

Not sure which city or country fits your family best? Take the 2-minute family destination quiz to see which destinations match your priorities, before you start looking at homes.

Frequently asked questions

How long should we stay in temporary housing when we move abroad?

One to three months is a common range. It gives you time to learn the city, test commutes and visit schools.

Is it safe to rent a home abroad without seeing it?

It is risky. If you must, ask someone you trust to view it for you on a live video call. Check that the landlord has the right to rent it, and never pay by a method you cannot reverse.

How much should we budget for moving-in costs?

It depends on the country. It can range from one or two months' rent to a full year upfront. Research local norms, including deposits, key money, agency fees and advance rent, before you set your budget.

Do we need a registered lease for a residence permit?

Often, yes. Many countries ask for a formal, registered lease to issue residence permits, register your address or open bank accounts. Check the exact requirements with the immigration authority in your destination.

What is a diplomatic clause in a lease?

It is a clause that lets you end the lease early if your employer moves you to another country. It is common in some expat markets but not guaranteed. Ask for it before you sign, and get it in writing.

A few careful questions early on can save a great deal of money and stress. The right home makes everything else about the move easier.

Want the whole move in the right order? The Global Relocation System takes your family through all five stages, Decide, Prepare, Transit, Arrive and Thrive, with a master checklist, planning templates and a budget tool. See what is inside the system