How do apartments verify employment and income?
January 25, 2023
This post focuses on the process Austin apartments use to verify employment and income. While there are likely to be similar circumstances in other places, be aware this is not always the case! For expert advice relevant to other areas, reach out to your local Perch locator!
There are four things apartments evaluate on any rental application: employment and income, credit history, rental history, and criminal background.
When it comes to verifying employment and income, not all apartments follow the same process, but there are some staples. Almost all rentals, whether you are looking for an apartment, townhome, duplex, or even single-family home, will require you to verify that you make enough money to afford rent. Most will call or ask for a letter from your employer to verify income range and length of employment.
While most do, a few employers will not verify income, only length of employment. In these cases, you will most likely be required to provide a pay stub, or maybe even multiple pay stubs.
Apartment and rental landlords are usually looking for 3 times' monthly rent in gross income (before your expenses).
Some affordable housing apartment properties will accept 2 times' monthly rent and a few more stringent communities will require 4 times the monthly rent.
If you don't have income because you are retired, a student, or for other reasons, there are other ways to verify that you have the ability to pay your rent. Retirees can usually show a bank account balance sufficient to cover the lease term at the required percentage (2x, 3x, 4x). If you are self-employed, and therefore do not have an “employer” to verify your income, often they will allow you to produce your most recent tax returns to verify income. Students can almost always be verified by a cosigner, additional deposit, or bank account balance from student loans.
If you have specific questions about qualifying for an apartment, call us. We’ve been down this road many times and can help you determine which apartments you will likely qualify for and even suggest some places you might not have considered. Our services are always free to our clients. So, give us a call today!