Bad credit can be detrimental to your chances of renting a decent apartment. Reason: the majority of landlords check a rental applicant’s credit report to ensure if he or she will be able to pay the rent on time, if at all. If you have an eviction or any other serious issues appearing on your credit report, it becomes even more difficult to convince a landlord that you’ve turned over a new leaf.
At Accurental, we come across many applicants who feel helpless when they try to find an apartment just because they have bad credit. It’s true that they are likely to face difficulty getting a rental, but bad credit is not an insurmountable problem.
Below are a few steps you need to take while looking for an apartment with bad credit:
Referrals and co-singer may play an important role
Many landlords will allow your friend or relative to co-sign the rental application with you. However, you would need to find a very reliable and trusted friend with a good credit score because co-signing a rental application means that if you are in default on your monthly rent payments, it will be responsibility of the co-singer to cover them.
Besides, you should be able to provide a couple of referrals who can vouch for you. They should be able to convince the landlord that you went through a bad phase in life, but now you have your finances in order.
Be upfront about your past
Trying to cover up a bad credit history can be very damaging. You should not wait for the landlord to find out about your bad credit history through a credit check. Instead, be upfront and tell the landlord everything while submitting your rental application. However, you should clearly explain what circumstances caused bad credit. Some landlords may be impressed by your honesty.
Demonstrate your ability to pay rents on time
You might have had a shaky credit history in the past, but you should be prepared to show to the landlord that your financial condition has changed. In order to demonstrate that you would be able to afford the rent, you can increase the amount of security deposit. Besides, you should be able to establish that you now have a steady job and strong income.
Be prepared to compromise
You won’t be in a position to negotiate over various terms and conditions laid down by the landlord due to your bad credit history. The landlord is already giving you leeway by accepting your rental application. So be prepared to compromise a little.
A roommate can solve all your problems
Last, but not the least: you should consider finding a roommate who has a good credit history. Try to find out if the landlord would allow him or her to sign the lease solo. Another advantage of having a roommate is that your expenses related to the rental come down substantially because you share them with your roommate.