How To Lease An Apartment With No Credit History
Oct 10, 2022
Leasing an apartment with no credit history or zero credit score is challenging. Most lessors across Brisbane and Queensland prefer to sign lease agreements with renters having good
credit scores and reports. They even have a minimum credit score requirement & can cancel your application if you don’t meet it, as credit history helps landlords ascertain your financial stability and ability to make payments on time.
However, the good news is you can still rent an apartment without a credit history. Move out of home without stress by hiring professional removalists in Brisbane to transport your belongings safely. Additionally, look at the tips below to find an apartment to rent with zero credit score.
Ask a Parent/Guardian to be a Guarantor
For young adults moving out of homes for the first time, this option is the best to lease an apartment with no credit history. A guarantor will sign
the lease agreement with you and guarantee to pay the rent when you cannot. In most cases, making a parent or guardian with a good credit score your guarantor is practical, safer and economical.
If you choose to make someone else a guarantor or avail a service, expect to pay their fee, which is usually 4-10% of the rent. Also, get a signed contract with all costs and conditions outlined without fine print, as a house move is financially taxing, and you have to pay your hired removalists in Brisbane as well.
Filter Your Search
Don’t waste time looking at listings where the rental provider has mentioned the credit score required for leasing the property. Instead, filter your search results by selecting the option to view only no-credit-check apartments. Applicants with no credit history have a better chance of getting approved for renting such units.
However, be wary of scammers trying to lure desperate renters into leasing apartments that don’t meet minimum housing standards according to the
rental laws in Queensland. These scammers can ask for excessive rent or increase the rent after you have signed the rental agreement.
Therefore, always inspect the property for safety & liveability before renting and ensure the lease agreement has fair terms/conditions.
Consider Private Housing Options
Managers & companies managing apartment complexes perform credit checks and often reject applications from renters without a credit history. It’s their way of averting the risks of leasing apartments to people who cannot pay rent on time.
Therefore, you have a better chance of finding a suitable apartment via a landlord with private property. You still need to prove income stability and assure the rental provider you can meet the weekly or monthly rent deadlines.
Co-sign a Lease Agreement
To build a good credit score and surpass the hassle of finding a rental property without a credit history, consider co-signing a lease agreement with someone with a high credit score. It can be a roommate, family member or friend and better than a guarantor.
Since you take responsibility for rent, utility bill payments, and other expenses, your income stability is as crucial as the co-signer’s. Additionally, you must conduct the relationship with goodwill, respect and fairness to avoid disputes.
Find Apartments in Your Budget
To prove you can pay rent and utility bills on time, along with other expenses, you may need to provide bank account statements. It is another way rental providers determine you are financially secure. Therefore, you must find accommodation within your budget to get approval to rent an apartment with a zero credit score.
The chances of a property owner or manager rejecting your application are high when your income and savings cannot sustain the weekly/monthly rent. For example, if your current income is $4000/month, look for apartments for lease in Brisbane with a rent of less than $1000-$1200/month.
Finding an apartment within your budget is also vital to pay for
moving costs such as buying packing materials, hiring removalists in Brisbane and setting utilities.
Offer to Move-in Immediately
Keeping rental properties vacant for longer periods is non-profitable for property owners or managers. Therefore, many are willing to rent apartments to renters with no credit history if they can prove their ability to pay rent every week/month and guarantee to move in immediately.
This way, you reduce the rental provider’s financial burden and have a chance to build your credit score for future tenancies.
Conclusion
Renting an apartment without a credit history is difficult but not impossible. Young adults moving out of homes, working professionals, and first-time renters do it all the time.
If you are among them and need to lease a property in Brisbane, use the tips shared above to find good options. Additionally, hire
cheap removalists Brisbane to reduce moving stress and hassle.
