The 4:1 Income to Rent Ratio

Get third-party verification of the applicant’s income to make sure they can afford the monthly payments. Our company uses a 4:1 ratio, meaning the tenant needs to bring home at least four times what the monthly rent costs. Often, the price point of a property is a kind of screening tool itself. An $1,800 rental is going to attract a different kind of tenant than a $600-a-month property. 

What if an applicant has a good income and a stable work history—but a blemished credit record?

In some cases, you might consider working with them anyway. They could still end up being a very reliable tenant. You may be able to protect yourself by requiring a larger security deposit than normal.

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