To give yourself the most competitive edge in the New York City rental market, you need to be able to show a landlord you meet the income requirements for the building. Typically this means you need to be earning an annual salary of 40-45 times the monthly rent and have a credit score of at least 700 (out of a possible 850).
If you don’t meet these requirements, you will need a guarantor. Without a family member to step in, you will need to turn to an institutional guarantor like Insurent.
“These steep income requirements in a competitive market just make it more difficult for renters and enhance the need for Insurent,” says Jeffrey Geller, the company's founder and vice chairman/chief operating officer.
At an average cost of about 65 percent to 85 percent of a month’s rent if you have U.S. credit (100 percent to 110 percent if you don’t have U.S. credit), Insurent will guarantee your lease, allowing you to qualify for the apartment. Insurent also has much lower eligibility requirements than the typical New York landlord and is accepted in around 7,000 participating buildings, representing over 725,000 rental units.
Getting approved is quick and seamless: "Insurent normally pre-qualifies renters 24/7 within one hour, and issues the guarantee within 24 hours," Geller says.
Insurent can be a lifeline, particularly for U.S. students, international students or non-U.S. professionals without U.S. credit, non-employed persons (either U.S. or foreign) and retirees who don't have a salary but have significant cash assets, graduates or those who are new to the workforce, and anyone who is self-employed.
If you’re an international renter
When you arrive in New York from abroad and you’re looking to rent, you may have an income that meets the requirements of the landlord but you won’t have U.S. credit.
“The lack of U.S. credit presents problems for New York landlords, but with Insurent, you can easily get the apartment because our program guarantees your lease,” Geller says.
If you’ve retired and have cash assets
Without a salary, a landlord won’t consider your rental application. This presents problems for non-employed renters and retirees with cash assets, even if you have significant cash in the bank or substantial assets like stocks or bonds.
“If you are not earning 40 times the monthly rent in annual income but you have a minimum of 50 times the monthly rent in the bank or stock market, Insurent is able to guarantee you on cash assets, which landlords don’t,” Geller says.
This allows non-employed renters and retirees to have their lease guaranteed as they don’t meet a landlord’s income requirements.
If you’re an international student
Students visiting from abroad lack both a monthly income and U.S. credit. “That’s a major problem for the landlords,” Geller says.
However Insurent is able to guarantee the leases of international students based on their U.S. or foreign parent having a minimum annual income of 50 times the monthly rent or having 80 times the monthly rent in the bank.
Insurent's fee to guarantee the lease of an international student without a U.S. credit score is 98.4 percent of one months rent for the one-year lease.
If you’re a graduate new to the workforce
A graduate or someone who is new to the workforce might only be earning 30 times the monthly rent. As this is below the landlord’s income requirements, you’ll need to find a guarantor in order to be able to qualify.
“Insurent is able to guarantee your lease if you are earning at least 27.5 times the monthly rent and have decent credit,” Geller says.
For U.S. renters, Insurent’s fees for a one year lease average between 65 to 85 percent of one month's rent.
If you’re self-employed
If you're self-employed, a landlord's concern will be that you don’t have a steady income. Insurent makes accommodations for the self-employed allowing you to take advantage of their program.
“On your tax return, you are normally going to show a lower number on your taxes but Insurent takes that into account,” Geller says.
To qualify, you need to submit either a copy of your tax returns from the previous year or an accountant’s letter with a copy of your driver’s license or passport. Your annual income only needs to be a minimum of 27.5 times the monthly rent, and you need to have decent credit.
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