Real Estate questions I get asked at inopportune times

What are you doing with my social security number…

^ Me, when accused of being motivated to steal one’s identity with their rental paperwork

Please find me a millennial who would not, even for a second, question entering his or her credit card number in exchange for the promise of quickly delivered artisan foods. I associate myself with the masses that barter bagels for their banking information – the alternative of foraging for oneself is just too harrowing. On the flip side, my parent’s generation is (rightfully so) a bit more hesitant with their personal information, a theme I get to see all the time with guarantors. I can’t tell you the amount of guarantor tax returns I receive that have almost all the numbers whited out. This is usually followed by a 9pm phone call where my intentions with their documents are questioned (…to find your child a home?), which rapidly deteriorates into an accusation of my using said-paperwork to steal their identity.

“Yes, I am not busy enough so I’m going to drain your bank accounts to help a few dozen families in a third world country because I moonlight as an international Robin Hood. You caught me.”

While nothing I’ll say regarding the heightened rental qualification standards following the economic downturn of 2008 will satiate the happy guarantor, hopefully a refresher on renter qualifications will cut down my late night calls where I have to talk like a Disney Princess so I’m not an assumed identity thief.

To qualify for any apartment in New York City, the landlord will traditionally ask that your yearly income (or combined yearly income if you have roommates), clears 40 times the monthly rent. With stricter landlords, I’ve seen it bumped up to 45 times, but 40 times is the industry standard. What most landlords will ask for paperwork wise is:

– Picture of your photo ID

– Last three most recent pay stubs

– Last three most recent bank statements (just the summery page)

– First two pages of your last two years of tax returns

– Letter of employment on company letterhead stating salary and signed

– Documentation of any assets, like a trust fund or stocks,

* If you’re self employed, most landlords will accept a CPA letter stating the nature of your work, what you accrued last year and your projected income this year.

In the case of students, if your salary doesn’t qualify you for the 40x rule, or you’re a new hire, the landlord will ask for a guarantor. The guarantor(s) have to show yearly income (or combined incomes) that clears 80 times the monthly rent. They will have to produce the same paperwork listed above. If there is no guarantor, the landlord will ask for security starting as low as a 4 months security deposit to sometimes the entire year of rent up front, a standard which varies case by case.

I have my clients assemble their paperwork prior to an appointment, just because the last thing you want is Susan from HR not responding to your email requesting your Letter of Employment because she left early for a Rod Stewart concert and in turn, you lose the apartment because you weren’t prepared. You can’t blame Susan and her Savignon Blanc; you can only blame yourself.