Rental Qualification Requirements
Conrex is committed to compliance with Fair Housing laws, including those that prohibit discrimination based on race, color, sex, religion, disability, familial status, national origin, and all other classes protected by applicable federal, state and/or local law.
Each applicant must be able to provide a government-issued identification card and a Social Security Card. The provided ID card must be issued by a federal, state or local government agency and include a photograph, name and date of birth. Once the rental application has been approved, we will require that these documents be provided again so that a copy may be made and placed in the permanent lease file.
Individual applicants must meet the debt to income and credit standards as well as all other criteria in order to be approved.
In a group applicant situation, one applicant must meet both financial and background criteria. All other applicants must meet all background criteria. If no individual applicant can meet the financial standards, then all applicants’ debt to income ratios will be combined to determine the debt to income ratio for approval or denial.
Guarantor applicant is a third party who co-signs the lease and will be financially and legally obligated to pay the rent if a resident fails to do so. Guarantors are required to have income of at least 5x the monthly rent and have a minimum 610 Transunion credit score. Guarantors are required to provide the same documentation as other applicants. Guarantors must reside in the same municipality as the residence.
Credit score and debt to income ratio:
Applicants will be approved based on the following Transunion applicant scores and corresponding debt to income ratio. Conrex will take into consideration the impact of medical debt and student loans. These debts will be removed from the overall debt calculation when determining the debt to income ratio for individuals. Applicants with a credit score of 610 or higher must have 50% or less debt to income ratio; applicants with a Transunion credit score of 570-609 must have 45% or less debt to income ratio, and applicants with Transunion credit score of 540-569 must have 43% or less debt to income ratio. If an applicant has no credit history, approval will be granted with a guarantor.
In order to be approved, applicants must earn 3 times the monthly rental amount and provide proper verification. Verifiable income will be used to determine the debt to income ratio.
Acceptable forms of income verification are: 2 most recent original pay stubs, employment new hire letter on company letterhead, or past 3 months’ bank statements. If applicant or guarantor is retired, the past 3 months’ bank statements must be submitted. If applicant is self-employed, prior year’s tax records are needed or the past 3 months’ bank statement for proof of income, along with documentation of “Doing Business As” registration.
In calculating gross monthly income, we accept housing allowance, disability (if government backed), Social Security and any court ordered income, including child support or alimony only if the balance can be verified to be current and 6 months of verifiable proof of payment is given. Wage garnishments will not be included as income.
Applicants may have no more than 2 court filed evictions within the past 5 years, i.e., individual was not evicted, but filed on. If an eviction occurred within the past 5 years, it will result in an automatic denial.
Bad check history:
Maximum of 2 bounced checks within the past 12 months will be approved with the condition that applicant must pay in certified funds for entirety of lease contract. Guarantors must have no bounced checks in their credit history.
Judgment(s) with outstanding balance(s) unpaid will result in an automatic denial. Applicant must not be currently active in bankruptcy. Applicant must show documented closing of bankruptcy.
If personal property owned by the applicant has been subject to repossession but no balance is owed in connection with the repossession, applicant will be approved. If balance is owed in connection with the repossession, applicant will be automatically denied.
If the applicant has no rental history, it will not be used in determining approval or denial. If applicant has a minimum of 12 months of verifiable landlord history, applicant can have no more than 2 late payments per year. If applicant has a minimum of 24 months of verified landlord history, applicant can have no more than 4 late payments per year.
Applicant will be automatically denied if convicted or deferred adjudication of a felony offense (or equivalent level offense in another jurisdiction) related to property damage, a violent nature or sexual nature. If applicant was convicted of an offense for which a person is required to register as a sex offender, they will be automatically denied. Applicant will be automatically denied if convicted or deferred adjudication of a felony offense (or equivalent level of offense in another jurisdiction) related to the manufacture or distribution of controlled substances occurring within the past 5 years.
If the applicant was a home owner during the past 2 years or more, mortgage payment history must show no more than 3 late payments per year.