What Credit Score Do You Need To Rent An Apartment?
Credit scores are one of the most important criteria landlords take into account when they approve or deny apartment applications. While the exact criteria depends on the landlord, there is a correlation between good credit scores and high approval rates. Credit standards are even higher for in-demand locations, such as Southeast Ann Arbor apartments. By learning what credit score you need — and how to improve it, if necessary — you can improve the chance of getting your preferred apartment.
Why Do Credit Scores Matter?
Heightened demand for rental properties has lead managers to develop high-quality yet affordable luxury apartments for rent in Ann Arbor, MI. The increased number of renters looking for places to live, though, has also led some landlords to be more selective of their applicants, including by adopting higher standards for credit scores.
A credit score is a numerical representation of a person’s credit history. Factors that go into a credit score include whether the person pays consistently on-time, has ever defaulted on loans, or has accounts in collections. In reviewing the applicant’s credit score, the property manager is attempting to determine the person’s financial reliability. Though credit scores range from 300 to 850, tenants who wish to qualify for luxury apartment rentals must usually have credit scores near 700 at minimum.
How Can You Check A Credit Score?
Because your credit score and rental prospects are interrelated, you should check your score before searching for apartments for rent. You can obtain a credit score report from a credit reporting agency (CRA). According to federal law, three of the nation’s leading CRAs, including Equifax, Experian, and TransUnion, are required upon request to provide you one free credit report every 12 months. You can also receive a credit report by consulting any of the financial institutions or credit-card lenders with which you currently deal.
How Are Credit Scores Calculated?
There’s no universal methodology for calculating a credit score. Instead, there are numerous algorithms on the market, and they each provide a unique result. The FICO Score is among the most predominant. But remember that inquiring about your credit score in certain instances — such as to qualify for a payment plan on an item in a retail store — can cause the score to drop.
How Can You Improve Your Credit Score?
You may already qualify for the apartment you desire based on your credit score. That said, one way to improve your prospects is by raising the score. While there are no quick fixes, the best solution to is to manage your credit responsibly in everyday life: set payment-reminders to avoid late payments on your apartment or utility bills, and pay off any debts.
The George is a luxury apartment community in Ann Arbor’s trendy southeastern district. We offer affordable one-, two-, and three-bedroom apartments, and all units feature luxury finishes, such as granite countertops, flush cabinetry and stainless steel appliances. Our tenants also have the benefit of living near restaurants and stores. To discover more information about The George, contact us today!