Rental market: Why speed and creditworthiness are crucial

“Apart from creditworthiness, speed is the be-all and end-all,” says Bernhard Stachl, authorized representative of IMV immobilien GmbH.

In a second step, the Credit criteria checked. It’s about the last three pay slips and a copy of your ID. The relationship between income and rent level that is accepted?

“In the past, 30 percent of the net income was common for rent, but now it is up to 50 percent,” says Stachl. “But you also look at whether the employer is reputable and how long you have been with the employer. Only for three months, or a little longer? Your gut feeling should be right.”

Instead of submitting pay slips, self-employed people present a confirmation from their tax advisor and assessments from the tax office. It often comes down to the fact that you… Deposit something increases or relates to one Rent advance payment agrees if the income situation is not clear or someone is new to an employer.

The higher deposit is agreed for a certain period of time. Stachl: “It can’t be more than six months’ rent; you usually agree on four or five instead of the usual three.”

“If the documents do not provide a conclusive picture, you can Credit report for advice,” says Stachl. There are landlords who require self-disclosure or additional documents such as a household invoice. “What is becoming more and more common, which we only knew from Germany, are letters of application,” says Stachl.

This helps with equally good applicants. Because it is a big decision for the landlord who to rent to. What ultimately decides who gets the contract?

Most of the time it is with the sightseeing There are a lot of interested parties, and far fewer send documents. Take a look at which ones were submitted seriously and comprehensively. Then it’s a question of how quickly prospective tenants can make a decision.

And not just whether they want the apartment and sign the rental agreement, but also whether Start of rental agreement fits. While two months used to be the norm, tenants now have to be ready to take over the apartment within two to four weeks – even in the middle of the month, otherwise they won’t get the contract.

This often means a double burden for tenants: the old apartment still has to be paid for during the notice period, while the new rental agreement is already running.

Keyword guarantors

A guarantee is particularly required for students. One or both parents must then provide guaranty. To do this, they must also provide proof of income. “The citizens sign and are liable without restriction for the contents of the rental agreement.”