How Do Apartments Verify Income?

Typically, apartments will attempt to verify a renter’s income by reviewing pay stubs, tax returns, employment verification, bank statements, or rental history.

How Do Apartments Verify Your Income?

Your new landlord must confirm that you have the necessary finances to pay rent each month. Most times, a renter is required to make three times the cost of monthly rent in order to qualify for the apartment.

If you have issues finding an apartment to meet the required income, you may need a guarantor or cosigner. Apartments ultimately verify a prospective renter’s income through a variety of methods. Let’s take a look at the most common verification practices below.

Pay Stubs

Typically, this is the most common way an apartment complex will verify income. Pay stubs will show exactly how much you earn, and how often you are paid. Most complexes will request the most recent pay stub to get a current sense of your income.

In the event you are self-employed, you may need to show extra documents like an invoice or perhaps a letter from your accountant.

Tax Returns

Especially if you are self-employed, an apartment may ask to see your tax returns. These documents offer a year’s worth of financial data and provide your total earnings after deductions.

Tax returns can be helpful if your pay varies by month. They give a broader view of a tenant’s overall financial situation.

Employment Check

Some landlords may choose to contact your employer directly. They may ask for confirmation of income, job title, and how long you’ve been employed. This certainly applies to tenants who are either new to a job or in a probationary period.

Again, if you are self-employed, the process will likely differ. At this time, you may be asked to provide a letter of verification from your accountant.

Bank Statements

Providing bank statements will show apartments your deposits over time. Landlords will then be able to confirm that you consistently have enough money to pay rent and other bills on time.

If your salary is deposited directly into your account, the landlord will be able to determine if you make enough money to afford the specified rent.

Renting History

It is possible for landlords to look into your rental history. This is done to see if you’ve been paying rent on time.

While this is not a direct income verification, it shows landlords whether or not your have a history of being responsible financially.

How Long Do Apartment Applications Take To Be Approved?

On average, you can expect to have your application either approved or denied within 1-3 business days, as previously mentioned. Once you pick an apartment you want to live in, you can request the application. If there is no online application, you should contact the leasing agent or landlord to receive a paper application.

Once you have filled out the application, you will usually have to pay an application and/or admin fee. Ensure you have followed all instructions and submitted everything that is required.

Typically, anyone filling out an apartment application will need to include the following things:

• Current address.
• Contact information.
• Social security number.
• Driver’s license number.
• Previous address.
• Proof of employment.
• Vehicle information.
• Pet information.
• Names of co-applicants or others who will live in the apartment.

What Can Delay The Apartment Approval Process?

Knowing what things can potentially slow down the process can help you prepare for them ahead of time. Incomplete applications, for example, will lead to follow-ups from the landlord.

If the apartment or surrounding area is in high demand, landlords may wait a bit to find the ideal renter. If your personal references are slow to respond, this can also make the approval process drag on.

Most property managers rely on third-party background screeners, which may take some time to review the application. Always be mindful of any upcoming holidays, as this can slow down the process, as well.