If you are a young person moving out on your own, finding an apartment is in itself a handful. And in most cases, having no personal source of income yet or a student visa status can leave you with no credit to back up your agreement. So how do you rent an apartment with no credit? Is it even possible? According to rental agencies, no credit is unquestionably better than bad credit! While a credit score can act as your guarantor, no credit assures the landlord that you are debt-free.

Can you rent an apartment at 18?

Yes! For young adults just starting to live independently, credit checks can sound like a dealbreaker. And while landlords are legally allowed to rent out their property to anyone above eighteen years of age, you can expect them to be more cautious with tenants this young. This caution helps them with potential defaulters and troublesome renters, so no one disappears right out the gate!

Here are things you can do that will help you rent an apartment with no credit:

  • Make sure you earn at least three times the amount of the monthly rent. It helps establish how you will have enough money to pay the rent amount, apart from other living expenses like groceries, transportation, healthcare, utilities, etc.

  • Document your pay stubs. Whether you have a stable income or not, having at least two months of bank statements and pay stubs can help you display your reliability as a young renter on paper.

  • Pay a deposit. Several property owners and renting agencies require you to submit a refundable security deposit worth one month's rent to replace any landlord credit check mandate.

How do they run a credit check if I have no credit?

Just like checking out someone's social media presence, you can expect landlords to run a thorough credit check before letting you move in. Renting an apartment with no credit can mean that you need to ask a parent or legal guardian to submit their credit history to establish your trustworthiness.

Depending on the rental agency, a landlord credit check is obtained and conducted through one of the following places:

Ideal credit score to rent an apartment?

Honestly, it all depends on the place you're looking. Fancy apartment buildings with high-end amenities come with higher standards of eligibility criteria. But most places will need your range of income, type of job, history of previous places you've lived, and of course good credit, according to them.

  • Minimum Credit Score (according to FICO ): 620-650

  • Good Credit Score: 670-739

  • Exceptional Credit Score: 800-850

5 Tips for Renting an Apartment With No Credit

1. Establish no-debt to cover no-credit history.

Since no credit is better than bad credit, it may be helpful to be upfront with your landlord about your no-debt status. Admittedly, this can work in your favor - proving lesser monthly expenditures, such as loan installments!

2. Directly contact the property owner.

Often, landlords or agencies can be a bit strict about adhering to protocols for rental applications. But explaining your situation directly to the property owner can build a relationship through trust and empathy with the apartment's owner!

3. Move-in with someone.

Not to encourage unnecessarily speeding things up with a partner, but it might be your time to ask someone to split the rent with you! Having more than one name on the lease agreement can be a great way to assure your landlord of timely rent payments.

4. Deposit: Go big or go home!

In short, feel free to overcompensate if you are renting an apartment with no credit. When you make a generous security deposit before your first rent payment, it can be reaffirming for a landlord to see a steady cash flow. You can even offer to pay a couple of month's rent upfront!

5. Get someone to cosign.

Sometimes, it can be tricky to get through a rental application despite all your efforts. So you can either request a family member or convince your friends to cosign or enroll with us at TheGuarantors! We'll not just cosign your lease but let you keep your security deposit for a small fee!

Can my rental application be denied because of no credit score?

In most cases, landlords prefer tenants with no credit score instead of keeping the apartment vacant and collecting dust. Make sure you have good financial documents and bank statements to make a solid application!