While most Americans still own their homes, there is a growing number of people deciding to rent. Over 35% of Americans are renters, which is higher than at any time in recent decades. Renting an apartment provides benefits such as having more mobility and flexibility, and not having to worry about maintenance.
While it is often easier to rent an apartment than it is to buy a home, this isn’t always the case. This is especially true if you have troubled or bad credit. Bad credit can make you more risky to lenders and landlords alike, and most might not be willing to work with you. As you could imagine, this can make it difficult to rent an apartment.
However, having bad or troubled credit doesn’t make it impossible. There are some things you can do and tips you can follow to still be able to rent with bad credit. With that in mind, this article is going to go over a few tips to help you rent an apartment with troubled credit. Whether you are looking at apartments in Dallas or any other city, these tips should be able to help you out.
Offer to Pay More Upfront For An Apartment
A big reason that those with bad credit struggle to rent apartments is because bad credit signifies they are a risk to default on rent. This can make some landlords understandably worried. But one of the things you can do to lessen their worries is to offer to pay more upfront. This can be in the form of a larger security deposit or paying for multiple months rent upfront.
Doing either of these things will help lessen the concern of the landlord. It will also show that you are committed and willing to be a good renter. Some landlords may even want you to pay more every month, in the form of a risk fee. It is up to you whether you decide to do it or not. However, if you really love the place, paying a little more every month might be worth it.
Have a Cosigner
If your credit is bad and you’re having a hard time finding an apartment to rent, having a cosigner can often help. A cosigner is someone who will sign your rental application with you and agree to take over or cover the payments if you default. This will significantly lower your risk in the eyes of the landlord.
Of course, the cosigner you have will need to have decent credit for this to work. Because of the major risk of being a cosigner, a cosigner will often need to be a family member or friend. If you are able to find someone kind enough to cosign for you, be careful and always make your payments. If not, a relationship could easily be ruined.
Have a Strong and Stable Income
If your credit history is a little troubled, showing that you have a solid income can help eliminate the credit concerns of a landlord. Showing that you make more than enough to cover your rent during any given month will go a long way in landlords feeling more comfortable renting to you.
Of course, be prepared to prove your income with pay stubs or bank statements, as not every landlord will simply take your word for it. Also, if it is an option, agree to have your rent automatically taken out of your bank account. By doing this, you are showing the landlord you intend to pay the rent on time and in full every month.
Show References or Recommendations of previous Apartment owner
One of the best ways to prove that you are a solid renter despite your rocky credit history is to show recommendations or references. Just like hiring managers will want references from previous employers, landlords would enjoy seeing recommendations from other landlords. Bringing these along can show that you’re a responsible renter and won’t cause any problems.
While notes from previous landlords are the best, even having notes from employers or even roommates can help bolster your chances of being accepted. Any endorsement can help your case and make you a more attractive renter.
In conclusion, this article will be able to help you rent an apartment despite your bad or troubled credit.