Even if foreclosure activity dropped by 9 percent in April, scores of individuals and families in America are still being forced out of homes they can’t afford. If you’re one of these unlucky individuals, you’ll likely need to find a rental after your foreclosure. And that means finding a landlord who won’t put too much weight on the fact that your former home was foreclosed.
Remember that most landlords and apartment companies will run your credit report and review your credit history when you submit a rental application. The foreclosure may show up you on your credit report and could work against you when you are looking for a new place.
To get the apartment or rental home you want, use these tips to find a rental after foreclosure:
Investigate apartments online.
In recent years, a number of online apartment rating services have flourished, making it easier for prospective tenants to learn a lot about a housing unit prior to even seeing it in person. So before you hit the pavement to go apartment hunting, use a service like ApartmentRatings.com or ApartmentSearch.com to discover everything from how much the rental units cost each month to whether an apartment accepts pets.
Offer a higher deposit.
Some landlords may take you more seriously if you offer a higher-than-requested deposit. Do what you can to prove that you have funds available to pay your rent on time, and the foreclosure on your credit history may not hurt you as much.
Find a co-signer.
Having someone with a stellar credit score and positive credit history co-sign your rental application can make it easier to get the house or apartment you want. Landlords may look past your foreclosure if you have a strong, creditworthy co-signer because a co-signer acts as a guarantor on the rental agreement; if you default, they’re responsible for paying the amount due.
Time your rental application.
Apply for an apartment right before, or shortly after, your foreclosure occurs. Since it takes some time for your foreclosure to show up on your credit report, if you can secure an apartment before this information gets on your credit report, you won’t have to jump through hoops to have your application approved. Of course, if you’re already 30, 60 or 90 days or more behind on your mortgage, this information has likely already been reported to the credit bureaus. Thus, a landlord may want an explanation of why you’re behind on your house payment.
Keep the rest of your credit in good shape.
Even though you may have lost your home to foreclosure, it’s possible that you may have had the financial wherewithal to keep up with your other bills. To the best of your ability, try to continue paying all your other bills on time to reduce the chances of doing even further damage to your credit score.
Do you like the post? Be aware of recent events: subscribe to the RSS-feed.