What does co-signing for an apartment mean?
What does co-signing for an apartment mean?
What is a co-signer? A co-signer is a third party who is responsible if you are unable to pay rent. This person does not typically live in the apartment with you, but he or she is equally liable for your lease.
How long is a co signer responsible for a 12 month lease?
It depends upon the lease and the terms that the co-signer signed upon. Generally a one year lease turns in to a month to month lease on the same terms and conditions as the one year lease..
How does co signing for an apartment affect your credit?
Co-signing for an apartment lease does not affect your ability to get other credit or your own apartment rental lease — unless the co-signed lease is in a negative status. When you co-sign a rental lease, it does not routinely appear on your credit report. Your credit report shows credit accounts such as credit cards, loans and mortgages.
When do you need a co-signer to rent an apartment?
Sometimes, a landlord might require a co-signer in order to lease the apartment to you. This is usually the case if you have low income, poor or no rental history, or bad credit. For any of these situations, having a co-signer will give the landlord a lot more peace of mind about letting you rent the apartment.
What happens if an adult child does not sign the lease?
If an adult child does not sign the lease there are risks for the landlord and adult child. The risks for the landlord is that there is one less responsible party on the lease. The adult child wouldn’t be bound by the rules of the lease and it makes enforcing those rules more difficult.
Can a cosigner be released at the end of a lease?
Most leases run for a period of months, and at the end of the lease period the tenant is required to sign a new lease. You can contact the landlord to request that you are automatically released as a co-signer at the end of the lease term.
When do you have to sign a new lease?
As a co-signer to that lease, you are a legal party with obligations under the contract. Most leases run for a period of months, and at the end of the lease period the tenant is required to sign a new lease.
Is it legal to sign a verbal lease with a tenant?
Often times, a verbal lease agreement is considered legal and binding for one year. If the tenant moves in and you accept the rent then you have a binding month to month tenancy. It is always a good idea to have a written rental agreement, even if you are having a relative stay with you for just a few months.
Who is entitled to a copy of the lease agreement?
Both parties get a copy of the signed lease agreement. Who gets a copy of the lease? Everyone who signed the lease agreement should get a copy of the contract. Tenants should keep their copies in a safe place to reference throughout tenancy as needed. Some property managers or landlord may charge the tenant to get an additional copy of the lease.