Somewhere to Live
July 7, 2022 4:47 PM Subscribe
My kids are trying to secure an apartment near a university and it's not easy. I need advice on finances and how apartment leasing works and what to do to secure a place.
One is a recent college grad, and one is a current college kid. They were both home for the summer, not really working, and have some money (about $7000 and $4000) in bank accounts and good credit --760s. I have good credit-- 800s - and full-time employment. My husband owns his own business and has great credit but we didn't use him as a cosigner because his recent earnings weren't as high as mine. One of the kids had a very recent pay stub and it was $500 for one week.
I was the cosigner on an apartment application and it was denied. They stated we did not qualify. I sent my last two pay stubs and I am assuming the amount did not meet their requirements for cosigners. They can have only one cosigner. It was such a blow because finding housing is stressful. College kid is on waiting list for university housing because it's a huge university with not enough housing.
Rent is high in this area, and housing is in very high demand, but the dollar amount is not something that we can't swing. Kid asked the apartment complex if they could pay six months rent in advance and they stated they didn't work that way.
They are going to rent an airbnb for a month or two, secure full-time and part-time employment and try again.
I am hoping that if they have more than one pay stub their chances will be better. What can they do in order to have better success the next time they apply? Any advice is appreciated.
One is a recent college grad, and one is a current college kid. They were both home for the summer, not really working, and have some money (about $7000 and $4000) in bank accounts and good credit --760s. I have good credit-- 800s - and full-time employment. My husband owns his own business and has great credit but we didn't use him as a cosigner because his recent earnings weren't as high as mine. One of the kids had a very recent pay stub and it was $500 for one week.
I was the cosigner on an apartment application and it was denied. They stated we did not qualify. I sent my last two pay stubs and I am assuming the amount did not meet their requirements for cosigners. They can have only one cosigner. It was such a blow because finding housing is stressful. College kid is on waiting list for university housing because it's a huge university with not enough housing.
Rent is high in this area, and housing is in very high demand, but the dollar amount is not something that we can't swing. Kid asked the apartment complex if they could pay six months rent in advance and they stated they didn't work that way.
They are going to rent an airbnb for a month or two, secure full-time and part-time employment and try again.
I am hoping that if they have more than one pay stub their chances will be better. What can they do in order to have better success the next time they apply? Any advice is appreciated.
Rental housing come in two main flavors: professionally managed and private landlords. Furthermore, there are those who usually rent to college students, and those who stay the heck away from them.
If your kids are looking at landlords that don't usually rent to college students, they are probably barking up the wrong tree. To find student-friendly rentals, they should be getting the word out on social media, in every conversation with friends & family, however distant, and checking FB Marketplace.
In a hot market, for private landlords, they should prepare a rental resume with a short compelling biography blurb full of reassuring affiliations (school, clubs, sports, etc), along with supporting documents, and bring it with them to the viewing appointment, and dress up business casual.
posted by dum spiro spero at 5:14 PM on July 7, 2022 [5 favorites]
If your kids are looking at landlords that don't usually rent to college students, they are probably barking up the wrong tree. To find student-friendly rentals, they should be getting the word out on social media, in every conversation with friends & family, however distant, and checking FB Marketplace.
In a hot market, for private landlords, they should prepare a rental resume with a short compelling biography blurb full of reassuring affiliations (school, clubs, sports, etc), along with supporting documents, and bring it with them to the viewing appointment, and dress up business casual.
posted by dum spiro spero at 5:14 PM on July 7, 2022 [5 favorites]
Where are you? Apartment rental culture and resources can vary a lot from city to city.
posted by mr_roboto at 5:24 PM on July 7, 2022 [6 favorites]
posted by mr_roboto at 5:24 PM on July 7, 2022 [6 favorites]
I think it'll be easier when one of them has full-time employment because it shows a commitment to stay in the area, that they're not gonna party and mess up the place then dash while Mom and Dad foot the bill. Right now it sounds like the problem is less about money and more about trust. I'm a teacher who didn't even get a credit card until I graduated from college and never had a parent co-sign: my income may have been lower than most professionals but the fact that I was embedded in the community made the landlords trust me. (Also other privileges were at play so I want to acknowledge that.) Or I applied directly to shared apartments through roommate ads online and word-of-mouth. It's cool that you are so generous and supportive! But maybe your kids will actually find it easier to get their foot in the door if they do more footwork themselves and build those connections.
posted by smorgasbord at 5:29 PM on July 7, 2022 [2 favorites]
posted by smorgasbord at 5:29 PM on July 7, 2022 [2 favorites]
Certain places are really hard to find housing in. Would you be willing to disclose the location? This might be a site-specific advice issue here.
posted by jenfullmoon at 5:44 PM on July 7, 2022 [2 favorites]
posted by jenfullmoon at 5:44 PM on July 7, 2022 [2 favorites]
I would expect that the university has a website/ online portal where potential land lords can post their available units. The university's reddit page probably has a bunch of posts about which apartment complexes to avoid/ are okay. In short, your kids need to figure out which apartment complexes typically rent to undergraduate students, and get on all the wait lists.
posted by oceano at 5:45 PM on July 7, 2022 [1 favorite]
posted by oceano at 5:45 PM on July 7, 2022 [1 favorite]
Response by poster: Thanks for answers so far. I'll add one more comment:
I am only helping because I need to secure housing for my 19-year-old who has to attend on campus. They will be paying their own way. I am not so generous other than adding my name to the lease because it's a necessity at this juncture. Older kid doesn't want or need my help but I can't help to be concerned because the younger one needs to live near the school. Older kid filled out application, sent everything in, and was the one communicating with the apartment complex employees. I get it that they should probably be networking and working and getting roommates and figuring it out for themselves without my help. Hopefully that will be the case once they are in the airbnb that they are paying for.
Their university is in a city that is sprawling and somewhat affordable, but not so much lately because of demand and inflation. Last year at this time a person needed to make $24.50 per hour to afford an apartment in this city. It is likely higher now since rents have gone up $300 to $500 per month. Between the two of them hopefully they can cut it. I thought I was a shoe-in as a cosigner because I make well above that hourly rate but no dice.
Reddit and Facebook groups are frantic with kids searching for roommates and subleases. There is very little out there and we were hoping on-campus housing would pan out. Still on waitlist and it doesn't look promising because freshmen are on waitlist. If a Facebook or Reddit post appears with a sublease or a room for rent dozens comment with interest. There are dozens of posts of kids asking for subleases or rooms with zero comments.
University affiliated housing and housing that caters to students are full. We checked and called everywhere. But good point to get on the waitlists anyway. Options at this point are apartment complexes farther from campus -- where we applied and were denied -- and private landlords.
I hope they have success with employment and won't need a cosigner. Thanks again for your comments.
posted by loveandhappiness at 6:10 PM on July 7, 2022
I am only helping because I need to secure housing for my 19-year-old who has to attend on campus. They will be paying their own way. I am not so generous other than adding my name to the lease because it's a necessity at this juncture. Older kid doesn't want or need my help but I can't help to be concerned because the younger one needs to live near the school. Older kid filled out application, sent everything in, and was the one communicating with the apartment complex employees. I get it that they should probably be networking and working and getting roommates and figuring it out for themselves without my help. Hopefully that will be the case once they are in the airbnb that they are paying for.
Their university is in a city that is sprawling and somewhat affordable, but not so much lately because of demand and inflation. Last year at this time a person needed to make $24.50 per hour to afford an apartment in this city. It is likely higher now since rents have gone up $300 to $500 per month. Between the two of them hopefully they can cut it. I thought I was a shoe-in as a cosigner because I make well above that hourly rate but no dice.
Reddit and Facebook groups are frantic with kids searching for roommates and subleases. There is very little out there and we were hoping on-campus housing would pan out. Still on waitlist and it doesn't look promising because freshmen are on waitlist. If a Facebook or Reddit post appears with a sublease or a room for rent dozens comment with interest. There are dozens of posts of kids asking for subleases or rooms with zero comments.
University affiliated housing and housing that caters to students are full. We checked and called everywhere. But good point to get on the waitlists anyway. Options at this point are apartment complexes farther from campus -- where we applied and were denied -- and private landlords.
I hope they have success with employment and won't need a cosigner. Thanks again for your comments.
posted by loveandhappiness at 6:10 PM on July 7, 2022
Typically landlords are looking for monthly income that is 3x the rent as a general rule of thumb.
posted by amaire at 7:32 PM on July 7, 2022 [3 favorites]
posted by amaire at 7:32 PM on July 7, 2022 [3 favorites]
I get it that they should probably be networking and working and getting roommates and figuring it out for themselves without my help.
Given the situation you describe, I would drop the idea that they should do their own thing with no help from you. This is like classic boomer financial advice that suggests people stop buying avocado toast to buy a house. What worked for someone in a different market in the early 2000s isn't relevant here. Hell, what worked 3 years ago isn't relevant. US rental markets are BONKERS right now - if you can find a way to assist it likely makes sense to do so.
I think the current plan is a good one. Typically cosigners have to demonstrate ability to pay for their own housing and the rental plus other obligations. It's a high bar income-wise.
A month or 2 after school starts housing may open up a bit, particularly on campus and with room shares and such as kids self-select out of school.
I agree with others that you will get the most helpful advice if you are willing to share a location - I get not wanting to disclose your kids' location, but local knowledge really makes a difference in places like Houston, DFW, Phoenix, and Atlanta that used to have more moderate rental markets and have spiked recently.
posted by jeoc at 8:04 PM on July 7, 2022 [11 favorites]
Given the situation you describe, I would drop the idea that they should do their own thing with no help from you. This is like classic boomer financial advice that suggests people stop buying avocado toast to buy a house. What worked for someone in a different market in the early 2000s isn't relevant here. Hell, what worked 3 years ago isn't relevant. US rental markets are BONKERS right now - if you can find a way to assist it likely makes sense to do so.
I think the current plan is a good one. Typically cosigners have to demonstrate ability to pay for their own housing and the rental plus other obligations. It's a high bar income-wise.
A month or 2 after school starts housing may open up a bit, particularly on campus and with room shares and such as kids self-select out of school.
I agree with others that you will get the most helpful advice if you are willing to share a location - I get not wanting to disclose your kids' location, but local knowledge really makes a difference in places like Houston, DFW, Phoenix, and Atlanta that used to have more moderate rental markets and have spiked recently.
posted by jeoc at 8:04 PM on July 7, 2022 [11 favorites]
Are they open to additional roommates? If so, this might open up houses in addition to apartments. And in addition to getting on wait lists, I'd recommend they keep alert for groups that might be in need of additional roommates. That's how one of mine eventually moved off campus; a friend was friends with someone in a house that was regularly rented by the university students and then the friend was invited to move in as another person moved out, and within a few months, she moved her own friends in as others moved out (internships, moving in with partners/other friends, leaving school, graduating early, etc). The landlord just kept sending over new paperwork as the primary responsible party changed, and the students split the bills according to some plan related to room size/usage.
posted by beaning at 8:08 PM on July 7, 2022 [3 favorites]
posted by beaning at 8:08 PM on July 7, 2022 [3 favorites]
I asked about co-signing an apartment at a building that’s part of an affordable housing initiative a few weeks ago and was told that 2.5x the rent per month was the income requirement for people living in the apartment, but for a co-signer it is 5x the rent. I’ve heard as high as 8x the rent when searching online. So the income requirement for a co-signer is much higher.
posted by brook horse at 8:28 PM on July 7, 2022 [4 favorites]
posted by brook horse at 8:28 PM on July 7, 2022 [4 favorites]
This might be beyond your scope, but could you and your husband buy a 2-3 BR apartment and rent it to your kids/roommates? It sounds like you’d have no trouble finding tenants.
posted by shockpoppet at 9:21 PM on July 7, 2022 [1 favorite]
posted by shockpoppet at 9:21 PM on July 7, 2022 [1 favorite]
In somewhat similar situations I have always ended up renting a room in a house or apartment where there is an established lease in a housemate situation where individual housemates get swapped out occasionally as people finish school or move in with partners or whatever. It is not as ideal as renting your own place but sometimes that's just how life goes.
posted by needs more cowbell at 3:31 AM on July 8, 2022 [2 favorites]
posted by needs more cowbell at 3:31 AM on July 8, 2022 [2 favorites]
My child’s large, city university has more than one Facebook page for students looking for housing. Yours probably has the same and it’s a great resource.
posted by pearlybob at 3:33 AM on July 8, 2022 [3 favorites]
posted by pearlybob at 3:33 AM on July 8, 2022 [3 favorites]
This is like classic boomer financial advice that suggests people stop buying avocado toast to buy a house. What worked for someone in a different market in the early 2000s isn't relevant here. Hell, what worked 3 years ago isn't relevant. US rental markets are BONKERS right now - if you can find a way to assist it likely makes sense to do so.
While I understand your concern and it's definitely good to have many approaches, I say this as a millennial renting in a hot housing market who has been dealing with this right now and knows many Gen Z folks who are too. Making personal connections with landlords and being proactive visiting shared apartments in a hot market is ALWAYS a good strategy, although certainly not the only one. It's wonderful when parents can be involved in the process but there are plenty of young people who don't have this benefit yet still find a place to live.
posted by smorgasbord at 4:24 AM on July 8, 2022 [7 favorites]
While I understand your concern and it's definitely good to have many approaches, I say this as a millennial renting in a hot housing market who has been dealing with this right now and knows many Gen Z folks who are too. Making personal connections with landlords and being proactive visiting shared apartments in a hot market is ALWAYS a good strategy, although certainly not the only one. It's wonderful when parents can be involved in the process but there are plenty of young people who don't have this benefit yet still find a place to live.
posted by smorgasbord at 4:24 AM on July 8, 2022 [7 favorites]
Can you locate a heat map of housing prices around campus to find more affordable neighborhoods? They might live further from campus, bus or drive to within a mile or two of campus, and scooter the last bit. Or bike 10 miles- seems impossible at first, but after a week, it’s nothing.
posted by at at 8:07 AM on July 8, 2022 [1 favorite]
posted by at at 8:07 AM on July 8, 2022 [1 favorite]
Rental markets right now are bonkers, the standard rules do not apply. I'd start considering alternatives, mainly, where could your kids live that's a reasonable commute to school? I'd look up bus lines, and then start looking around where would be a 30min commute off of different bus lines. I think it's nice you're helping your kids with this - like, yes, they are young adults, but they are also facing a rental market few if any of us had to deal with when we were their age. (Seriously, I had an easier time moving to NYC on my own after college in 2007 than I did North Carolina in 2021).
posted by coffeecat at 8:34 AM on July 8, 2022 [3 favorites]
posted by coffeecat at 8:34 AM on July 8, 2022 [3 favorites]
Would they be willing to look into cooperative housing-type solutions? Some even have private apartments that just require a weekly workshift in exchange for reduced rent. In my experience in a couple of US college towns, coops tend to be more accessible and affordable.
posted by music for skeletons at 8:45 AM on July 8, 2022 [1 favorite]
posted by music for skeletons at 8:45 AM on July 8, 2022 [1 favorite]
In college towns, college apartments will rent out in January for the next August. Nthing looking at Facebook to be a roommate for somebody who decided to change arrangements from their January signed lease. It may just be that you're late to the student housing party and need to fill in as people change their fall plans.
posted by Kalmya at 9:02 AM on July 8, 2022 [1 favorite]
posted by Kalmya at 9:02 AM on July 8, 2022 [1 favorite]
I have been thinking about this a lot! In August many people with housing will be scrambling to find a new roommate or someone to sublet their apartment because, well, life happened and palns changed. Waiting is hard but I think something will likely become available last-minute. Also, I think it's incredibly sweet that two siblings, a current student and recent grad, want to live together. It's really heartwarming and appealing to landlords. The options may be limited right now but they have so much good stuff going for them!
posted by smorgasbord at 11:18 AM on July 8, 2022 [1 favorite]
posted by smorgasbord at 11:18 AM on July 8, 2022 [1 favorite]
Response by poster: Thank you all for the answers. They will be better prepared to find a place in a couple months. There is lots of good advice here and I appreciate it.
posted by loveandhappiness at 8:24 AM on July 9, 2022
posted by loveandhappiness at 8:24 AM on July 9, 2022
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posted by loveandhappiness at 4:50 PM on July 7, 2022