How does Low income apartments work?

How strict are apartments concerning income requirements?

  • I just looked at an apartment over the weekend that is near my work. However, one of the leasing requirements is that you make an income three times the rent. How strict are apartments, and are they flexible meaning can they work around this if I don't meet that requirement? What if I want to spend most of the rent on this place. The unit is really cute. Is it really necessary to make 3X the rent? I know I definately don't, but I can't stop thinking about this place.

  • Answer:

    First off, you need to make 3 times the rent pre taxes in MOST cases. Some apartments are flexible if you show you will not have a problem making rent, factoring in utilities, etc. But, you usually still need to make close to the 3 times limit. Some apartments won't budge, and I don't blame them. An eviction is a costly and time consuming process...they don't want the hassle. Unsolicitated advice is if you don't make 3 times the rent, don't rent it, or find a roommate. You don't want to be struggling in this economy. Think about it, lets say the rent is $1000. You make $2800 pre taxes a month, so that comes to lets say $2400 after taxes. Take $1000 from that $2300. That leaves you with $1300 for the month. Then, take about $100 for utilities, and if you want cable, another $50 to $100. Take a cell phone bill, car insurance (if you have it), car payment (if you have it), and that can leave you with less than $700 for the month. Factor in gas, down to $600. Getting by on $600 a month is possible, but it's hard, and leaves no room for savings.

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Other answers

That's a very minimal requirement. Actually, you need to make 4 times income to really afford a place. The landlord has set that limit to screen out those who are foolish and/or seriously cannot afford the unit and will have severe financial problems if they rent it. If you do not earn at least 3x monthly rent, do not get the place. You cannot afford it and you will have major financial problems if you are foolish enough to try to rent anything that costs that much.

ibu guru

Call the apartment and ask. Most places require 3x the rent in gross income, so even if your take home pay doesn't qualify, you might qualify based on your income before taxes and medical insurance deductions etc. Just call and ask. Some places won't budge if you're a penny short. Other places use it as a guideline but will be flexible based on your credit score and other factors. If they say the rule is firm, then don't bother applying because you'd be wasting the application fee. If there is some room to budge, then look for ways to convince the manager that you can afford the rent.

SmartA$$

It kinda depends on your credit. I have very good credit, but I'm trying to make my way through college, so I don't have a very good paying job. We still had to write down how much we were making and we had to show that we were making at least 3x the amount every month. We had to stretch what me made on paper and include some little things, like my wife baby sitting every now and then, which hasn't happened. My point is that because my credit is good, they didn't follow up on any of my sources of income. That being said, I would be very careful about renting something that costs more than 1/3rd or your gross income. Don't forget that you have to pay power bills, groceries, cable (if you want it), and so on. I made a lot of sacrifices when I moved in here, but I wanted a safe place for my family, so it's worth it. We can't afford to eat out, we don't have cable, the apartment is often way too cold or way too hot to save on power, we drive older cars, we don't go out on dates, etc. You should make out some kind of budget before you get started and see where all of your money will go. You may decide that you don't even have all the money for it.

KC

That is pretty standard, as you are unlikely to be able to pay if you earn less. The complex is unlikely to skip this requirement. If they do one they have to do everyone or face discrimination charges. They can not have one set of requirements for some people and another set for other people.

Landlord

Go on craigslist.com You're much more likely to find an "independent" owner rather than a large 'we have to follow this exact set of rules" type place. I could care less what someones income is. If they pay their deposit (1 months rent) and pay their rent on time, they could make 1x the rent amount and it's not my concern. But if you REALLY want that place... Just tell the owner/manager you really like it and are willing to put up a deposit as well as first/last. That should make them feel safe.

codysdoor

You don't say where the property is located, but in my area most apartment complexes require a combined monthly GROSS income equal to 3X the rent. So that is your income before taxes. Does that help you to qualify? If not, then you can see if they will make an exemption in your case. If the apartment has been vacant for a while, they may negotiate on the rent. If the apartment is privately owned, the owner may be more flexible than a large company that owns several complexes. Those have to show that they are fairly imposing the qualifying criteria to all prospective tenants.

A D

And if you pay more how will you pay the utilities? And your other living costs? And your savings? Do you have a six month rainy day fund cushion?

estielmo

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