credit

credit score and apartment rental

The credit score thresholds landlords use to approve or deny rental applications — typically 620-650 minimum.

Example

Her credit score of 580 required a co-signer or larger deposit at most apartment complexes.

Memory Tip

620 MINIMUM for most landlords. Below that expect co-signers, deposits, or rejection.

Why It Matters

Your credit score directly affects whether you can secure housing, which is one of the largest expenses in most people's budgets. A low credit score can result in rental rejection or require you to pay higher deposits and fees, making it harder to find affordable housing options.

Common Misconception

Many people believe that as long as they have no missed payments, their credit score will automatically be good enough for rental approval. In reality, landlords may deny applications based on other factors reflected in credit reports, such as high debt levels, collections accounts, or recent late payments, even if the applicant has since recovered financially.

In Practice

Sarah applies for a one-bedroom apartment in her city with a credit score of 580, which is below the landlord's 650 minimum threshold. She is denied the application outright, but a similar apartment in a different building accepts her because that landlord only requires a 600 minimum score and asks her to pay a larger security deposit of two months instead of one.

Etymology

Modern rental market practice — credit as the primary tenant screening tool.

Common Misspellings

credit-score-apartment-rentalapartment credit scorerental credit requirements
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Related Terms

credit scorecredit reportRent

More in credit

Other credit terms you should know

credit ratingAn assessment of the creditworthiness of a borrower — indivicredit scoreA numerical expression (typically 300–850) of an individual'credit utilizationThe ratio of current revolving credit balances to total avaidefaultThe failure to meet the legal obligations of a loan agreemenFICO scoreThe most widely used credit scoring model, developed by Fairhard inquiryA credit check initiated by a lender when you apply for new

See Also

personal finance
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