topic Re: Apartment Rental in General Credit Topics

Apartment Rental

Anonymous — Wed, 19 Sep 2007 19:01:18 GMT

I am trying to rent my first apartment as I am in the middle of a seperation of over 15 years. My FICO score is a 561, will this hinder my chances of getting approved? I called to schedule an appointment at a complex and they asked how my credit score was and I said fair, so they scheduled the appointment. I am sure they will run it when I fill out the paperwork.

Re: Apartment Rental

PayYouNever — Wed, 19 Sep 2007 19:03:55 GMT

you're going to get screwed. I've been in the same boat you're in for the past three years. Getting a place is going to be hard, you might have to pay extra security deposit or maybe six months in advance or something like that.

I have a landlord judgment on credit and that all be guarantees a denial. Been living on people's couches, guest rooms and no-questions-asked-rooms-for-rent.

Re: Apartment Rental

Anonymous — Wed, 19 Sep 2007 19:06:47 GMT

If they do give you a bit of hassel offer a larger deposit. Try and get some good references if possible. I don't know how much you can afford up front but if money isn't too much of an issue than see if they would accept and extra months rent up front.

Also if you do get denied search for apartments whose landlords aren't a "business" sotospeak. Single owner landlords or people renting out houses. Odds are they don't do as extensive credit check if they do any at all.

Re: Apartment Rental

Anonymous — Wed, 19 Sep 2007 19:09:53 GMT

How about a co-signor? Do they normally allow this? Will they consider the fact that I have paid off two car loans on time with no late payments? How about the fact that I have paid a mortgage for the past 3 years on time? Just wondering if anything will be in my favor.

Re: Apartment Rental

Anonymous — Wed, 19 Sep 2007 19:10:43 GMT

also check with your local government as well on housing they would have landlords listed that help the unfortunate etc.

Re: Apartment Rental

Anonymous — Wed, 19 Sep 2007 19:11:47 GMT

joujoukim wrote:
How about a co-signor? Do they normally allow this? Will they consider the fact that I have paid off two car loans on time with no late payments? How about the fact that I have paid a mortgage for the past 3 years on time? Just wondering if anything will be in my favor.

See if your mortage lender will be a reference.

Re: Apartment Rental

Anonymous — Wed, 19 Sep 2007 19:42:12 GMT

But I wouldn't freak out just yet. All though the 561 score will raise some eyebrows alot of other factors go into the decision process. for example how long have there been vacencies in this complex, your income. I think the fact that you have been on time with your mortgage will bode well for you and if you have to point out your paid off car loans.

The other poster had a landlord judgment and that is deal breaker but that doesn't mean you won't have a shot.

But for a backup plan as I suggested earlier, look for places that are rented by the owner, also look for apartments that people are looking for roomates if you don't mind sharing an apartment until you get your credit back in shape and again check with your local government with some listings.

But I wouldn't freak yet. You still may get the place. If they do turn you down ask what on the credit report was the deciding factor.

Re: Apartment Rental

Anonymous — Wed, 19 Sep 2007 19:47:51 GMT

Thanks for the info, however sharing is out as I have 2 kids who will be living with me also. I have an idea what is making my score so low. When my son was born last year I did not have health insurance so most of my bills went on credit cards which maxed me out (however, they are paid each month on time) and two bills went into collections (one of which I do make a monthly payment and the other I am fighting because I do not believe I should of been charged for it as I paid the doctor at time of service).

In the past 6 months my income has increased drastically which has allowed me to continue to pay my bills on time as well as daycare, etc.

Just worried, single mom, on own for first time in 15 years SCARED to death!

Re: Apartment Rental

Anonymous — Wed, 19 Sep 2007 19:51:01 GMT

Boswd wrote:

If they do turn you down ask what on the credit report was the deciding factor.

Sorry to hear about your separation. Been there, done that, not a lot of fun.

They are required by law to give you the name and contact details of the CRA if they based their denial on a CR. You can get the report for free (and it doesn't count as one of your free annual credit reports).

It's a bit OT, but I'm curious why your scores are low when you've got an on-time payment history on car loans and mortgages. Did the CCs have late pays or are they charged up to the CLs?

ETA: My post crossed with yours, so I now see the explanation for credit score.

Message Edited by masdeocho on 09-19-2007 03:51 PM

Re: Apartment Rental

wrw0010 — Wed, 19 Sep 2007 19:54:15 GMT

In my experience, nearly all of them will allow for a co-signor. If you have someone who will do this for you, go ahead and tell the complex that you aren't sure what your report will say and you need the paperwork for a co-signor just in case. Even when my scores were low, I never had one refuse to rent with a co-signor.

Re: Apartment Rental

Anonymous — Wed, 19 Sep 2007 19:55:19 GMT

joujoukim wrote:
Thanks for the info, however sharing is out as I have 2 kids who will be living with me also. I have an idea what is making my score so low. When my son was born last year I did not have health insurance so most of my bills went on credit cards which maxed me out (however, they are paid each month on time) and two bills went into collections (one of which I do make a monthly payment and the other I am fighting because I do not believe I should of been charged for it as I paid the doctor at time of service).
In the past 6 months my income has increased drastically which has allowed me to continue to pay my bills on time as well as daycare, etc.
Just worried, single mom, on own for first time in 15 years SCARED to death!

being a single mom with kids as I suggested before you local government will help you find a place. When childern are involved there are places to live. I hate sounding like a broken record but if you do get denied check them out they will find you a place to live.

Re: Apartment Rental

Anonymous — Wed, 19 Sep 2007 20:01:14 GMT

Oh joujoukim, I'm so sorry about your separation.

If your FICO score is 561, they may "turn you down" initially, BUT if you have a job or other assets to prove your "credit worthiness" (like a nice size bank account), they'll give you a counter offer.

The counter offer may be a pain in the neck. They may charge you an additional month or 2 months rent for a security deposit. They may make you show proof of income and/or a recent bank statement so they have proof that you can pay the rent.

Message Edited by JennLewis on 09-19-2007 01:01 PM

Re: Apartment Rental

Anonymous — Wed, 19 Sep 2007 20:02:17 GMT

Everyone has been extremely helpful! Thanks to all for making me feel better!

Re: Apartment Rental

Anonymous — Wed, 19 Sep 2007 20:09:20 GMT

you're welcome and good luck

Re: Apartment Rental

Anonymous — Thu, 20 Sep 2007 00:39:13 GMT

joujoukim wrote:
Everyone has been extremely helpful! Thanks to all for making me feel better!

Wow. Don't live in a big city, and didn't know that credit scores were such and integral part of the process. I know of credit checks- but didn't know they would look up your scores too. Just goes to show I learn something here every single day.

Re: Apartment Rental

Kat — Thu, 20 Sep 2007 01:30:58 GMT

joujoukim,

My heart goes out to you... but time heals all wounds (including injured FICO scores)!

I was in a similar situation about 2 years ago. In addition to the other suggestions in this thread, I'd like to add one of my own. Try to find a rental property that is managed by the owner, not a corporation. I think that it's easier to ask for special consideration from a landlord that you can meet with one-to-one. They will be less likely to insist that you fit into a ridged standard that many large complexes are run by.

To find landlords who only own a few properties, I suggest you look at craigslist, or just drive around your target neighborhood and look for "For Rent" signs. People who only have a couple of rentals don't spend much money on advertising or rental agencies.

You might also want to talk to the churches in your target area. My parents have one rental and have been help out several people who are stuck between a rock and a hard place. Since renting out their one apartment isn't their main source of income, they've able to be more understanding with people in need. They've even allowed people to pay rent up to 4 weeks late without charging fees or evicting them!

Good Luck!

Re: Apartment Rental

fused — Thu, 20 Sep 2007 06:07:18 GMT

If possible offer a few months of rent up front.