Can You Rent A House With Bad Credit?

As part of the approval process, it is not uncommon for a landlord to run a credit check on rental applicants. Unfortunately, if you have bad credit, finding a house to rent can be challenging. However, there are things you can do to make it more likely that a landlord would be willing to take a chance on you. 

Ask for a Short Lease

Depending on the state in which you live, it can take weeks or months for a landlord to evict a non-paying tenant. During that time, the landlord is not only losing money because he or she is not receiving rent, but he or she also has to pay legal fees. It is because of this, many landlords choose not to rent to people with bad credit. They believe that a poor credit history is a sign that a tenant would have trouble paying rent. 

You can potentially overcome this obstacle by offering to sign a shorter lease. Instead of signing on for a full year, ask for a three-month lease. At the end of the lease, if you have been consistent in making payments, the landlord can opt to renew for the same term or extend it. 

However, if you fail to make payments during that period, the landlord will be out of far less money because the length of the lease was for a short term. If the landlord is still hesitant, offer to rent on a month-to-month basis. 

Offer to Pay a Larger Deposit

In many instances, the landlord just wants the first and last months' rent when a person rents a house. Unfortunately for the landlord, he or she could still lose money if the tenant fails to make payments and the landlord has to go through the courts to evict the tenant. 

To help put the landlord's mind at ease, you can offer to pay more than just the first and last months' rent. Offer at least one additional month of rent. Even if you end up having to move before the end of the rental contract, the landlord can recoup some of his or her costs by keeping the additional deposit. 

The larger deposit also helps to show the landlord that you are committed to being a good tenant. You are less likely to walk away from the property if you have more money to lose. To the landlord, that might be enough to reassure him or her that you should be given a chance. 

There are many other things you can do to increase the chances that a landlord will overlook a bad credit history. Work with a real estate agent to find out what will work in your particular situation and keep these tips in mind when looking for a house for rent.