Getting an Apartment on Rent Even With a Poor Credit Score: A Step-by-step Guide

Realtor analyzing financial planning of a house at office

Searching for an apartment on rent when you have a poor credit score can be a tricky task. This is because property owners expect a fixed, and regular return from their property in the form of rental payments and will take every necessary step to protect their investment. Most, if not all landlords, will run a detailed background check when you approach them with a proposal to rent their property. They will talk to your previous landlords and employers, to make sure that you’re capable of honoring payment commitments in time. Others might want to be extra safe and cover themselves by delving deep into your credit history to ensure that you don’t have any outstanding payments and have a sound financial standing. There is, however no reason for you to lose hope. Even if you have a poor credit score, it’s still possible to live in the rental property of your choice such as Windmill apartments or elsewhere. All you need is to do is to follow the right steps discussed in this blog. Let’s begin.

1. Fix Errors in Your Credit Report

Before approaching landlords make it a point to request a copy of your credit report from the three major credit bureaus: Experian, TransUnion, or Equifax. Once you receive the report, first make sure to check the report for any inaccurate information. In case, there is any late payment issue that is reported inaccurately, bring it to the attention of the concerned parties. Next, you should get in touch with the credit bureau in case the seller/lender fails to react in time. The credit bureau will remove the item from the list, boosting your credit score.

2. Be Honest in Your Disclosure

Always be upfront and honest with your landlord in all your communications. Remember that they might check your report anyway and concealing any information will not only embarrass you but also weaken your case. Make sure to mention genuine and unavoidable reasons for late payments.

3. Arrange for a Cosigner

Request a friend or a family member with good credit to sign the rental agreement as a cosigner (one who guarantees to honor payment commitments in case you default). By involving a consigner, you assure the landlord of regular payments, which acts as an incentive for the homeowner to seriously consider your case.

4. Don’t Hesitate to Pay More

Be ready to pay a higher amount as a deposit if you have a poor credit score. Be open to paying an additional risk fee that some landlords demand when renting out property to tenants with a poor credit score. A higher than average deposit assures the homeowner that they’ll be able to recover lost rent even if you default on payments. You can also try offering a slightly higher monthly rent which also acts as an incentive for the homeowner.

5. Show Proof of a Steady Income

A poor credit score can be the result of unhealthy practices in the past and the absence of a reliable source of income during that period. Most landlords are willing to accept renters with a poor credit score if they can prove the existence of a steady source of income. Recent salary slips and tax returns do the trick, and you can also attach a recommendation letter from your employer acknowledging your employment status and salary.

Always remember that to be accepted as a renter, especially when your credit is not in good shape, the landlord needs extra incentives. Be truthful in all exchanges and ready to fork out a little bit extra in security deposit and rental payments. In case, you’re looking for an apartment on rent or need information on a property in Windmill Apartments or elsewhere, contact Kington Properties by filling this form and our manager will get in touch with you.

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