Losing your house to a foreclosure can be a devastating experience. It is even more frightening when you realize that having a foreclosure on your credit report could affect your ability to get into an apartment. A foreclosure can negatively impact your credit report, dragging your credit score down. Because most landlords conduct credit checks before approving tenants, you could have a hard time finding a place to rent.
Fortunately, it is possible to get approved for apartments in North Dallas TX after a foreclosure. You just need to take a few extra steps to put your landlord’s mind at ease.
If at all possible, you should apply for an apartment immediately after your foreclosure goes through. It can take up to a month for a foreclosure to appear on your credit report. If you apply during this window of time, your credit score may still be high enough to qualify for the apartment. Even if the foreclosure is already reported, however, you can still take steps to improve your chances of getting your application accepted.
One of the most important things to do is to only look at apartments that you can actually afford. Typically, you should avoid spending more than one-third of your income on rent each month. This is especially true if you have extremely negative items like a foreclosure on your credit report. Landlords will be far more likely to rent to you if you have sufficient income to cover your rent along with all of your other monthly expenses.
If possible, you should also try to find someone who is willing to co-sign your lease. In essence, that means that if you default on your rent payments, the landlord can go after the person who consigned to collect the money that they are owed. Your cosigner will need to have good credit in order for this tactic to work.
Another option is to offer to provide a large security deposit along with your first and last months’ rent. This can put the landlord’s mind at ease since it provides them with a financial buffer in case you don’t make your rent payments on time.
One final option for renting apartments in North Dallas TX after a foreclosure is to look into staying at an extended-stay hotel or another type of alternative housing. These places typically don’t require credit checks, meaning that your foreclosure should not affect your ability to find a place to stay.