Will a Foreclosure Prevent Me From Renting?
The short answer to the worry of being able to rent after foreclosure is yes, you can be approved to rent a home or apartment following a foreclosure. Foreclosure is not a red x on a renter’s application that automatically disqualifies you from renting. However, because foreclosure can be associated with financial trouble and can trigger financial setbacks, those contributing factors could limit your likelihood of passing an initial screening.
The following factors are most important when applying for a rental, and can sometimes be impacted by foreclosure:
- Ability to Pay Rent
First and foremost, the most important factor is your ability to keep up with rent. Do you have a steady income? Do you have a long work history that proves your ability to keep a steady income? Is your monthly salary well above the cost of rent? These are all questions that may reveal doubts in your ability to keep up with rent.
- Credit Score
Foreclosure also takes a large toll on one’s credit score. Despite also being visible on a credit report for up to 7 years, a foreclosure can lower your score drastically. The credit score is used during screenings to gauge your financial responsibility. A low score can lead to doubt about the ability or likelihood that a renter will pay. What can help raise your credit score, or be perceived as effort towards improving your credit, is paying your bills on time. Keeping up with car payments, student loans, or other monthly bills can help to demonstrate steps in the right direction.
- Background Check
A clean criminal history can increase your chances of being approved to rent. Though an individual may have a foreclosure on their record, if they can prove ability to pay and a clean, trustworthy record, the foreclosure may not have an impact.
If you’re considering foreclosure, contact our office to speak with our experiences foreclosure defense attorneys to help identify the pros, cons, and why it may or may not be the best decision for you. To set up a meeting, contact us at (702) 998-1188, email@example.com or by scheduling a consultation online.