Imagine that you're renting an apartment and the terms of the lease require paying your landlord $2,000 every month.
Now, imagine that the lease expires at the end of this month. Here you sit, on July 1, with no lease signed for the month of August. Congratulations, you've now got $2,000 extra dollars that you can spend on anything else. Take a vacation! Buy a fancy new computer! Eat 1,300 Costco hot dogs!
"Wait a minute," you might be thinking, "where am I going to live in this hypothetical situation? Surely, I'll have to sign a new lease that will cost somewhere around the same amount as the one I've been paying. I'll need that $2,000 when I renew this lease or sign a different one."
