When it comes to finding the right apartment, tenant applications can be a frustrating barrier to trading spaces. Understanding what property management companies in Philadelphia look for when screening tenants can save you time, money, and frustration when searching for your perfect pad.
Some of the characteristics that a property management company will consider when screening you as a tenant include the following.
- Your RTI ratio. When you apply for a credit card, credit card companies look at the amount of money you make when they decide how much credit to extend to you. In the same way, a property management company will look at your “rent-to-income” (RTI) ratio to decide if you can reasonably afford to live in their vacant space. Your RTI should not exceed 40%. For example, if you make $10,000 a month, your housing payment could be up to $4,000 a month. Calculate your total income, and only apply to spaces in which your RTI would be less than 40%.
- Your employment history. Renting is a long-term commitment. Steady income indicates that the landlord won’t have to chase you down to pay. A longstanding position at a large corporation indicates that you will more than likely be able to pay. Your employer may ask where you are employed and how long you’ve been with the company. If you’ve recently changed positions, be sure to explain why. Whether it’s a bigger paycheck or family ties to the area, an explanation will improve your chances of acceptance.
- Your credit score. Some people have plenty of money coming in to pay their bills but are terrible with deadlines and payments. Don’t be surprised when the property management company you’re working with asks your consent for a credit check. If you’ve got poor credit, don’t fret; using paystubs or proof of recent bills paid on time may convince landlords to look past your credit.
The most important thing to remember when applying? Honesty is the best policy. Being honest can help rental companies learn more about your unique situation and work with you.
Do you own a rental property? If you’re ready to say “rent my home in South Philly,” give DJCRE Property Management a call today at 215-720-1097 today!