High Credit Score Needed By Tenants In Class A Apartments

The Editors's picture
Higher credit score needed by tenants in class a apartment buildings

Landlords are demanding a higher credit score in many major cities for Class A apartment buildings, especially in the tight rental markets in Seattle and San Francisco, according to new research.

The research from RentCafe, a Yardi Matrix company, looked at the average credit score of rental applicants in the nation's most competitive markets.

While the metros have high credit score requirements, the average across the entire country is also up from a score of 638 in 2014 to 650 now in 2017 and getting more aggressive. . If you think these credit standards are a bit harsh, try to get into a high-end building. The average score of renters accepted in Class A buildings is 683.

There is obviously a connection between the high demand for rental housing and high credit standards for renters.

Seattle average credit score 711

Seattle ranks No. 3 in the country behind only Boston and San Francisco, with an average credit score needed of 711 to meet the requirements of most landlords and the average rent of $2,016 per month.

That rent is Seattle is up 51.8 percent over the past five years, according to the research.

Portland average credit score is 690

Portland comes in not far behind Seattle at No. 8. The average score needed in Portland is 690 to meet landlord requirements for the average apartment renting for $1,458 per month.

The Portland rent is up 39.4 percent over the past five years.

Denver average score needed is 676

Denver comes in at No. 14 in the county requiring an average score of 676.

Salt Lake City average score needed is 661

In 2017, the average credit score for approved rental applicants was 661, above the national level. Rejected applicants had an average credit score of 536.

In the No. 1 and No. 2 markets, Boston and San Francisco, accepted rental applicants exhibit exceptional average  scores of 737 and 724 respectively. And with sky-high rents of over $3,000, these cities are starting to look like exclusive and costly markets designed for elite renters.

Cities with highest credit scores to rent apartments

High scores aren't limited to expensive hubs, though. Competitive rental markets like Seattle and Oakland, which have seen rents soar by 50% over the past five years, see stellar scores above 700 for accepted applications as well.

The Baby-Boomer renters are in the best credit shape with the highest average cscore among all generations, 683, followed by Millennials with 650.

Read the full story and report here.

 

Rate this article: 
No votes yet