Renting an Apartment With a Lease Cosigner: All You Need to Know

Renting your own apartment is exciting for many, especially if it is your first-ever apartment. However, the process comes with many requirements and obligations to fulfil if you want to qualify for the lease. The tenant may not qualify if they have lower credit scores or unstable income. Such terms make it difficult to rent your dream apartment, especially if you are a student.

Lease cosigner is a widely used term for anyone who signs a lease with the primary tenant. Through lease cosigning, renting an apartment becomes more feasible despite the tenant not fulfilling all the requirements. So, what is a lease cosigner, and what do you need to know before getting one for your lease? Explore the details in this blog! 

What Is a Co-Signer For An Apartment?

A lease cosigner is someone who shares the apartment lease agreement with you. Like a rent guarantor, a lease cosigner is responsible for the timely payment of the rent in case the tenant cannot pay up. In short, you can say that a lease cosigner is like an additional reassurance for the landlord or property owner that they will indeed receive their due payments on time. 

Cosigners hold more power over the lease than rent guarantors since their names are legally on the lease documentation. So, a cosigner may choose not to stay in the leased property, but they still have all the legal rights to avail of their ‘roommate privilege’. 

Qualifications For a Co-signer

To be a lease cosigner, there are certain qualifications that one must meet. These qualifications ensure that the cosigner can take up the responsibilities of cosigning a rent lease. The most basic requirement for being a cosigner is that the person should have a good credit history and a stable income coming into their bank account so the monthly rent is insured. 

To cosign, the person must have a clean rental history and not have gone through any evictions. The minimum legal age for being a cosigner is 18 or above. At the same time, it is also important that the lease cosigner is a legal resident of the country in which the property is located. While signing the lease, the cosigner may need to show some legal documents, including: 

1. Proof of identification 
2. Proof of income 
3. Debt-to-income ratio 
4. Legal consent

Who Can Be a Co-Signer?

A lease cosigner has many responsibilities to fulfil.  Especially if the tenant fails to meet their obligations, the cosigner is legally bonded to step up and meet the rules and regulations mentioned by the lease agreement. Here are some basic responsibilities of a cosigner: 

1. Rent payments: If the property's primary tenant cannot pay the rent on time, the co-signer requirement for apartment is that the landlord receives their due rent soon. In this case, the cosigner is legally obligated to cover the whole rent for the tenant. 
2. Adhering to lease obligations: A cosigner is as much part of the lease agreement as the primary tenant. Thus, their responsibilities include adhering to any obligations, rules and regulations mentioned in the landlord's agreement. 
3. Damage repairs: If the tenant has damaged the property somehow and cannot pay for the reparations, the cosigner must pay for any reparations needed. 
4. Penalties: In case of a late payment that can come with penalties or late fees, the cosigner for apartment is responsible for covering the extra payment. 
5. Lease violations: If there are lease violations, such as having unauthorized residents or pets on the property, the landlord can hold the primary tenant and the cosigner responsible for the violation and act accordingly. 
6. Communication with the landlord: If, for any reason, the primary tenant and the landlord cannot get in touch with each other, the lease cosigner holds the responsibility of being the medium of communication. 

Pros and Cons of Lease Cosigners 

So, should you consider a cosigner? Let’s take a look at the benefits and disadvantages of having a lease cosigner.

Advantages

1. Get approved with poor or no credits 

Through a lease cosigner, renting an apartment becomes more accessible, even for those who have a low or no credit score. Since many landlords seem to be sceptical about tenants with no credit history or really low credit scores, finding a lease cosigner with great credit scores can be an easy way to secure a home, even without the qualifications to do so otherwise.  

2. Easier for first-time renters

First-time renters like college or university students can struggle to qualify for a lease agreement since they have no rental history. In this case, a cosigner can be a great way to find a place and rent it out, even if it’s your first time doing so. 

3. Accessible for people with an eviction history

Tenants sometimes receive an eviction notice and do not respond to it in the right procedure, leading to a negative impression. Here getting a cosigner for the agreement can be a good idea, especially if your cosigner has a clean history or a good credit score

Disadvantages

1. Shared Legal Responsibilities

Being a cosigner means sharing the legal responsibilities as well and if they're violated by either of you, both of you are going to land in trouble. It's like paying for somebody else's misdeeds. We’d recommend you avoid it if your cosigner seems a bit suspicious to you. It's better to be safe than sorry.

2. Impact on Cosigner's Credit

Another drawback of having a cosigner is that the financially weaker one might hurt the other person's credit score, giving birth to bitterness later on. This happens quite rarely but whenever it does, it is bound to turn sour and affect your abroad experience awfully.

3. Difficulty in Terminating the Lease

Lastly, at the time of ending an agreement, you might face some complications as it requires cooperation between both parties which can cause potential delays and added hassle. So, if in case you are in an emergency and want to terminate the contract urgently, cosigners might not be your cup of tea.

Alternatives To a Cosigner

Since a cosigner has much more power over the lease than a guarantor, many tenants may feel more sceptical about cosigning a lease. They may even prefer living alone and thus unwilling to share the property residency rights with the cosigner. In this case, there are certain alternatives to getting a cosigner that may be a better option:

• Reliable rent guarantors
• Parents 
• Friends
• A co-signing service

Lease cosigners are a great way to ensure you can rent an apartment easily, even when you may not fulfil all your qualifications. Through cosigning, you can still live in a good place and enjoy your dream home even when your credit scores and income aren’t quite there yet. So, be responsible and ensure you meet all the obligations after moving to the new apartment and build your own perfect tenant profile on the way.