Self-employed tenants often have a harder time securing apartments. This is due to their unpredictable income.
Landlords typically ask for pay stubs, tax forms, and bank statements to prove an applicant’s monthly income. A tenant claiming self-employment should bring these things with them when they interview.
Find a Smaller Complex
One of the most difficult parts of renting an apartment is answering questions about your income. The best way to avoid these questionable queries is to be prepared with all of the relevant information, including your recent tax returns. It’s also a good idea to take along a few credit cards and some cash for the inevitable application and inspection fees.
The best place to start your search is by asking friends, family members and local contacts for suggestions. Alternatively, a little internet research will usually do the trick. You may be surprised by the number of self-employed people living in your area. It is also a good idea to find out if your potential landlord or management company is open to discussion regarding your work situation and your needs. Oftentimes, they will be more than happy to discuss the benefits of your new residence in one on one meetings. While this may be time consuming, it is worth the effort. The result is likely to be a more satisfying and stress-free apartment leasing experience.
Have Someone Co-Sign On Your Lease
If you’re a self employed individual, it can be difficult to get a rental apartment. Many landlords require a co-signer to approve an application.
A co-signer is a person who agrees to be equally responsible for rent payments if the primary applicant fails to make them on time. This type of arrangement can be a great way to secure a place to live for someone with limited financial resources.
However, it is important to consider the risks associated with this method of leasing an apartment. For one, your co-signer can be evicted by the landlord if you fail to pay rent or other fees. Additionally, your co-signer will be responsible for any repairs that are needed on the property, which can add up to a significant bill.
As a result, it is essential to find a trustworthy person who will be willing to be your co-signer. This is especially important if your potential co-signer will be sharing the apartment with you as a roommate.
It is also a good idea to ask the landlord to run a credit check on your co-signer. This will help to determine whether they have a reliable income and can afford to pay the rent on your behalf.
If the landlord decides to allow you to rent an apartment being self employed with a co-signer, it is crucial to choose someone who has a good credit score and a stable income. Ideally, the co-signer should have a higher credit score than yours and preferably be in the 700 range.
Your co-signer should also be willing to share the lease with you, so that they can take responsibility for paying the monthly rent and other fees. They should also be able to answer any questions you have about the lease.
Before you ask a person to be your co-signer, it’s a good idea to rehearse what you want to say. You need to explain why you’re applying for the lease, and what your income and credit history look like.
Your co-signer should be a person that you can trust and who will work hard to ensure that your payments are made on time. Having a reliable co-signer will make your life a lot easier as you search for the perfect apartment.
Don’t Come Off As Entitled
It is no secret that property managers are looking for proof of income before approving a rental application, particularly from a self-employed or self-sufficient applicant. The best way to make an impression on your prospective landlord is to come off as a credible earner and not a slacker, or you could end up snoozing away in the dark with the door closed to you and your belongings. Getting your foot in the door will also take some legwork, especially when it comes to obtaining proper credit, securing a co-signer or making sure you are getting a fair shake in your lease, not to mention finding an apartment that is in your price range and has all of your essentials covered by the time your lease is up.
Talk to the Landlord
One of the most crucial pieces of information landlords are looking for is proof of income. This means pay stubs, an offer letter from a job, or other evidence that proves a renter earns a regular salary.
Self employed tenants often have to go to great lengths to provide this type of documentation during the rental process. Luckily, there are a few things you can do to ensure your application is successful.
1. Prove your Income
Providing pay stubs can be a quick and easy way to show your landlord that you are able to afford the apartment. While it isn’t the most comprehensive form of income verification, it’s usually a solid start.
Another good option is to submit a profit and loss statement. This document will allow the landlord to see exactly how much you make per month and deduct any costs associated with your business.
You’ll want to be careful not to overstate your income when submitting this type of information. This will give the landlord a false sense of security and could lead to them denying your application.
2. Show Your Assets
If you have a substantial amount of assets, it will be easier for your landlord to accept your application. For example, if you own a small business, consider offering to prepay rent or put down a larger security deposit.
3. Don’t lie about your credit
If you are self-employed, your credit report is an important piece of information for the landlord to review. This will let them know if you are likely to pay your rent on time and in full for the duration of your lease agreement.
4. Stay in Communication
Whether you are a landlord or a tenant, communicating with your landlord is an integral part of maintaining your relationship. This includes talking to your landlord about maintenance issues, keeping up with bills and communicating when a problem arises.
It’s essential that you communicate clearly with your landlord in order to ensure you are receiving the proper treatment and respect. This can be done through a variety of methods such as email, phone calls, or texting. Be sure to keep a record of all conversations with your landlord and make note of when you have had any conflict or disagreements. This will help you avoid misunderstandings in the future and establish a strong bond with your landlord.