Will my Credit Score Matter to a Landlord?

When you are looking for a rental property, there will be all sorts of things that you will need to think about. One of these might be whether your landlord will be concerned about your credit score. It is something that is worth thinking about as it could have a big influence on the home that you will be able to rent.

They Will do a Credit Check

Landlords will usually do a credit check or get their letting agency to do it for them. They will often want to check whether there is evidence that you will be able to pay the rent. Although a credit report does not tend to show rental payments, it will show other payments like loan repayments and bill payments. These will provide evidence for them as to how well you manage regular payments like this and it is likely that they will use it as a way to decide whether they feel that you will be capable of making the payments that they need you to make. They may also want to look at whether you have missed payments in the past as this may cause them concern as well f they see that you have not managed to always cover them all.

Some Will be Concerned and Others Will Not

There will be some landlords though, that will not be so worried about your credit record. They will be happy to rent to you even if your credit report is not so good. There may be some that will ask you to make some advanced rental payments though so that they have some money just in case you do miss a payment. This means that you will need to find a large chunk of money. They may also want you to have a guarantor. This is a person who will agree to pay your rent if you cannot do so. They will have to have a good credit record themselves and be prepared to pay your rent should you not be able to afford to do it.

Advantages of a Good Credit Record

So, you can see that if you do not have a good credit record it could have some consequences for you. You could find that you will have a more limited choice of properties as a result of this and that could make things tricky for you, especially if you have quite precise needs with regards to a home or you need to live in a specific area due to work or your personal situation. You may also find that you will need to provide a big chunk of money before you can start renting. You will normally have to pay a deposit, but if you have to pay for a few months extra rent in advance as well it could take a lot of saving up. It could take quite a long time to accumulate that much money and it could be almost impossible for some. Finding a guarantor may also not be an option for everyone. There are some people that just do not know someone that they can ask to help them out like this.

So, you can see, that although it is possible to be able to rent without a good credit record, it can be much easier if you do have a good one. Therefore, it can be a good idea to work on thinking about what you might be able to do to improve your credit record so that you can have a greater choice of properties and find it easier to rent one as well.