I have a question about poor credit and getting an apartment. Someone I know has terrible credit and gets denied everything from new credit cards to cell phones, etc. He does not own a car or anything large like that right now to establish any more credit. How can people like him ever be able to rent an apartment from a nonprivate source? Is it just not an option…if anyone has experience in this area please respond…
Also if i was to add him to my lease, and he has poor credit but I have good credit, would he be able to get on the lease?
In renting from entities that normally insist on good credit he has a few options.
1: Pay a large portion of the annual rent in advance. This will often surmount the credit hurdle.
2: Get a co-signer with good credit
3: Sub-lease an existing rental (assuming lease allows for this)
Adding him to your lease (if allowed) will typically not affect your credit directly but you need to realize that although the Landord may “add” him on the lease with you as a co-signer you are entirely responsible for his payment of the rent in addition to your own, and if it is not made your credit rating may suffer.
People with demonstrated poor credit histories often mean well but when the time comes to feed the bulldog the money has often gone elsewhere and there are always 100 excuses as to why they can’t come up with the cash. It’s your decision. As a real world precaution it might be easier to boot him if necessary if he is not on the lease.
But if he is not on the lease, having him stay in your apartment may itself violate your lease. Many leases have a clause forbidding you from having anyone stay in your apartment for more than a certain number of days in a row or a certain number of days within a time frame (i.e. 14 days in three months).
IANAL (standard disclaimer). If you do agree to help this person get an apartment other than moving in with you, see if you can have yourself named a “guarantor” rather than a “co-signer.” If you’re a guarantor, the landlord can’t come after you until s/he’s exhausted all of his/her legal remedies. And I would never put someone on my lease if I weren’t assured beyond a reasonable certainty that he would be willing and able to pay his share. OTOH, if you’re already paying the rent on this place and the person doesn’t pay, you know you can afford the rent. The problem comes with dumping the deadbeat if he refuses to pony up. Once he’s on the lease your legal options to get him out dwindle quite a bit.
That happened to a friend, she paid for the whole year in advance & they let her in.
I would not advise you to cosign for someone like that. I have seen Judge Judy handle numerous cases like this & the cosigner has to pay up…in that case, that would be you, right?