What Credit Score Do You Need to Rent an Apartment?

What Credit Score Is Needed to Rent an Apartment?

There's no single credit score that's a magic number for an apartment application being approved. And while most property management companies run credit checks on applicants, some smaller apartment complexes and independent landlords might waive them, meaning your credit score wouldn't be a deciding factor.

If a landlord or property manager does look at your credit score, you might have better odds of approval when your score is at least in the range of 600 to 650. However, a landlord or property manager might not count you out as a potential renter if your score sits below that range.

Most landlords and property managers use the FICO^® Score^Θ 8, which ranges from 300 to 850. However, some might turn to VantageScore^® credit scores, which also range from 300 to 850. On the FICO^® Score scale, a good credit score ranges from 670 to 739. A good VantageScore is 661 to 780.

The credit score that tips the balance in your favor—or not—may depend on factors such as the apartment you want to rent, the local rental market, the monthly rent you'd be charged and your income.

Learn more: What Do Landlords Look for in a Credit Check?

What Else Do Landlords Look for on Your Credit Report?

When reviewing your credit report, a landlord or property manager looks beyond just your credit score. Other factors they take into account include:

• Debt accounts: During a credit check, a landlord or property manager will review accounts such as credit cards and loans, including the balances and minimum monthly payments. This will give them an idea of whether or not you'll be able to make your monthly debt payments and your rent.
• Credit utilization ratio: This calculates the percentage of available credit you're using on credit cards and other lines of credit compared with your credit limits. A lower credit utilization ratio is viewed as better than a higher ratio.
• Payment history: Your payment history flags late and past-due payments on debt accounts. If you have multiple past-due payments, it could work against your application.
• Negative information: This information includes debt accounts that have gone into collections and loans you've defaulted on.
• Bankruptcies: A bankruptcy generally remains on your credit report for seven to 10 years, depending on the type of bankruptcy. It is considered a serious negative mark and could impact whether you get approved for a rental.
• Foreclosures and repossessions: Home foreclosures and car repossessions typically stay on your credit report for up to seven years.

Other Things Landlords Consider

Because your credit report doesn't include all the important information a landlord may need to know, there are other things a landlord will consider—in conjunction with your credit score—when looking at your rental application:

• Your income
• Your rental history
• Whether you've been evicted before
• Your references
• Your background check

Learn more: Is My Rental History on My Credit Report?

How to Get Approved for an Apartment With Bad Credit

If you have bad credit, it's not impossible to rent an apartment. However, to raise your chances of getting approved:

• Emphasize your income. If you can, showing that you earn at least three to four times your rent can put you in a better position, even when you have bad credit.
• Pay more upfront. A landlord or property manager might insist on collecting one to three months' worth of rent as a security deposit if you have bad credit. If not, offer to pay a few months' rent in advance as a show of good faith.
• Plead your case. Have you gotten your finances in order after experiencing difficulties? Have you entered a new career field after earning a degree? Explaining your victories in a letter attached to your application might bump up your chances of a rental application being approved.
• Get references. Ask a current or past landlord or employer to serve as a reference.
• Consider a roommate. Having a roommate with solid credit might increase the likelihood that you're able to rent an apartment.
• Recruit a cosigner. A cosigner with a good credit score can boost your chances of having your application approved. However, be aware that if you fall behind on the rent, your cosigner will be held financially responsible.

How to Improve Your Credit Score Before Renting an Apartment

Before you hunt for an apartment, work on getting your credit into better shape by:

• Reducing your debt: Reducing your credit utilization can lift your credit score, though there is no magic number to aim for. How much debt you owe makes up 30% of your FICO^® Score, and consumers with credit utilization rates in the single digits often have higher credit scores.
• Carefully applying for new credit: Opening several new credit accounts within a short period of time sends the message that you present a greater risk. Reserve credit applications for when you really need to borrow money, and try to space your applications out by at least six months.
• Checking your credit report: Before you submit a rental application, check your credit report to make sure it's correct. If you see errors, you have the right to dispute them. Do this before filling out the application since those errors might harm the chances of your application being approved. You can access your Experian credit report for free at any time by signing up for a free Experian account.
• Looking into Experian Boost^®ø: This free feature of an Experian account connects to your bank account and adds on-time payments for bills such as utilities, cellphone service and streaming services to your credit report so they can be factored into your credit scores based on Experian data.

Frequently Asked Questions

The Bottom Line

There's no single credit score required to rent an apartment, but many landlords prefer scores to at least be above 600. In addition to your score, landlords often review your income, payment history, debt levels and any negative marks like bankruptcies or repossessions.

If you have bad credit, you can improve your chances of an application being approved by showing proof of steady income, offering a large upfront payment, finding a cosigner or providing good references. Before applying, it's smart to check your credit report and take steps to lift your credit score.