OTHER OPTIONS TO QUALIFY

If renters do not meet the above-mentioned criteria (income or credit, or both), they have the following options:

1. Using a personal Guarantor or Cosigner:

A guarantor or co-signer is a person who guarantees the entire rent for the entire lease term and lease renewals should a renter default on their rent payments. A guarantor can be anyone who agrees to sign on behalf of a renter and who is qualified to act as a guarantor.

The documents required from a guarantor are similar to the ones required from the applicant(s):

-Application Form: the same form as the applicant fills out.

-Credit Report: A guarantor's credit report must be in good standing.

-Federal Tax Returns: A guarantor is required to submit federal tax returns as proof of income.

-Annual income: The guarantor must show an annual income of 75-80 times the monthly rent.

-A Guarantor is not required to be present at lease signing.

-In some cases, landlords/management companies require a guarantor to reside in the tri-state area (New York, New Jersey or Connecticut).

2.  Using an Institutional Guarantor

Institutional guarantors are financial institutions willing to accept the financial liability of the rental contract in exchange for a fee. Usually, these institutions require lower incomes and credit scores to act as your guarantor and they are especially helpful when the applicant is new to the country and does not have a personal guarantor and/or credit histroy. Typically these companies charge around 2/3 of the monthly rent as a flat one-time fee but the fee is really on a case-by-case basis. Please ask your Luxury Apartments LIC agent for a recommendation on which Institutional Guarantor to go with as different buildings work with different Institutional Guarantors and the requirements/arrangement vary as well.

3. Prepaying part/entire amount of the yearly lease amount

Some landlords would allow an applicant with lower credit or insufficient income to prepay 3 or 6 months of the annual lease amount, or, in some cases, they will require the whole amount in advance. Please note, you still need to provide the security deposit as well.

4. Putting more towards the security deposit

Generally, landlords require one-month worth of rent as security deposit. In cases where, the landlords deem your application not strong enough, they might give you an option to put more towards the security deposit. Instead of the standard one month rent of security deposit, the landlord may require, for example, 3 months worth of rent towards the security deposit. Make sure to inquire with your Luxury Apartments LIC agent on which buildings/landlords are open to this kind of arrangement when it comes to the approval of your application.