You can get an apartment with bad credit, but it may take some strategizing. Low-credit applicants can increase their chances of getting an apartment by using a cosigner, paying more up front, providing references, or modifying the kind of unit they apply for.
In today’s housing market, you want every possible advantage on a rental application. More and more landlords are requesting a high credit score, even though recommendation letters and a clean rental history will still get you far. As a result, it isn’t uncommon to ask if you can get an apartment with bad credit.
While it takes some strategizing, you can get an apartment with low credit. We’ll walk you through how credit affects your application, what you can do to make up for bad credit, and how to raise your score to assist you.
You would like to move into a new apartment, but your credit score is only 500, which isn’t great. You can still find an apartment with a 500 credit score, even though it may be a little more difficult. You just need to be strategic and prepared.
Why Does Credit Matter for Renting an Apartment?
Landlords use credit checks to assess potential tenants’ financial responsibility A high credit score indicates a history of paying bills on time, which suggests you’re likely to pay rent reliably A low credit score, on the other hand, raises concerns about your ability to fulfill your financial obligations.
Can You Get an Apartment with a 500 Credit Score?
The answer is a resounding yes! While a 500 credit score might limit your options, it doesn’t mean you’re doomed to couch-surfing Here’s what you need to know:
- Average Credit Score for Renting: The average credit score of approved rental applicants in 2017 was 650. This means you’re starting from a lower baseline, but it’s by no means insurmountable.
- Landlord Discretion: Ultimately, it’s up to the landlord to decide whether to accept your application. Some landlords are more lenient with credit scores, especially if you have other strengths like a steady income or positive references.
Tips for Renting with a 500 Credit Score:
1. Be Upfront and Honest:
Don’t try to hide your credit score. Instead, be upfront with the landlord about your situation. Explain that you’re working on improving your credit and provide evidence of your efforts, such as a recent credit report showing positive changes.
2. Offer a Larger Security Deposit:
A larger security deposit can give the landlord peace of mind and show your commitment to responsible tenancy.
3. Find a Cosigner:
If you have a friend or family member with good credit, ask them to co-sign your lease. This essentially guarantees the rent will be paid, making you a more attractive candidate.
4. Build Your Credit:
While you’re apartment hunting, take steps to improve your credit score. Debt reduction, disputing inaccuracies on your credit report, and on-time payment of all upcoming bills
5. Highlight Your Strengths:
Focus on your other strengths as a potential tenant. Do you have a steady income? Positive references from previous landlords? Highlight these aspects of your application to showcase your reliability.
6. Be Prepared to Pay More:
Some landlords might charge a higher rent or security deposit for tenants with lower credit scores. Be prepared to negotiate and find a solution that works for both you and the landlord.
7. Consider Alternative Options:
If you’re struggling to find a traditional apartment, consider alternative options like subletting, renting a room in a shared house, or looking for private landlords who might be more flexible with credit requirements.
Remember, renting with a 500 credit score requires extra effort and preparation. However, with the right approach and a little bit of hustle, you can absolutely find a great place to call home.
Additional Resources:
- How to Rent an Apartment with Bad Credit: https://www.self.inc/blog/renting-apartment-with-500-credit-score
- How to Pass a Rental Credit Check: https://www.turbotenant.com/blog/how-to-pass-a-rental-credit-check/
Don’t let your credit score hold you back from finding your dream apartment. With these tips and a positive attitude, you can secure a great place to live, even with a 500 credit score.
Find a Guarantor or Cosigner for Your Apartment
You can get someone to sign your lease with you if the landlord doesn’t think you can pay them. Someone with a great credit score who signs on with you can assuage a property manager’s worries. However, remember that the person who helps you takes on financial risk. You have two options for this approach:
- Cosigners affix their signature to a rental agreement and split the cost with you. If you are unable or unwilling to pay the rent, they must act on your behalf.
- Guarantors share cosigners’ responsibilities, but they have fewer rights. More precisely, they attest to your behalf and have the authority to accept payments. However, they aren’t entitled to reside in your unit.
FAQs on Renting an Apartment with Bad Credit
You may still have questions about getting approved for an apartment. To help you out, we’ve answered FAQs on renting apartments with bad credit.
Can I get an apartment with a 500 credit score?
FAQ
Is 500 credit enough for an apartment?
What is the lowest credit score to rent an apartment?
Is 550 a good credit score for an apartment?
Can you get an apartment with a 400 credit score?
Is 600 a good credit score to rent an apartment?
A credit score of 600 isn’t ideal, but it’s far from disastrous for renting an apartment. While you may not qualify for apartments with strict credit requirements, many landlords will consider scores in this range, especially if you can show a stable income and good rental history. What is an OK credit score to rent?
Can you rent an apartment with a 500 or below credit score?
– However, if your credit score is **600 or lower**, it may be more challenging to get approved.- Keep in mind that credit scores are not the sole factor landlords consider. They also look at
What credit score do I need to rent an apartment?
Generally, you’ll want a minimum credit score to rent an apartment of 620 to 650. Landlords or property management companies want reassurance that you can pay your rent on time and you’re responsible, and a solid credit history and excellent credit score are two ways to show this. The general range of FICO credit scores are as follows:
Do apartment owners consider more than your credit score?
Apartment owners may consider more than your credit scores when conducting a background and credit check. Stay on top of your credit reports so they accurately reflect your credit history, and find alternative proof that you’ve paid accounts on time, if necessary. Ready to start improving your low credit score?