The NYC Real Estate market is unique and extremely competitive. Our seasoned agents will listen to your needs, research all properties that meet your criteria, organize efficient viewing schedules, help with negotiating your lease price and terms, and will help prepare and submit all necessary paperwork for your application approval. Below is a general guide to financial requirements, fees and documents to assist you in renting in New York City.
• Typically, Landlords require that your annual income is at least 40 times the monthly rent and that you have good credit. For example, if the monthly rent is $2,000, you need to show an income of at least $80,000 per year. ($2,000 X 40 = $80,000). Landlords may accept roommates’ combined income in order to qualify for an apartment. • If your annual income or credit report falls below the Landlord’s requirement, there are other factors that may be taken into consideration, such as assets, income from other sources, housing allowances, or the use of a “guarantor.” • Discuss your financials and potential credit problems with your agent in advance. There are often alternative ways to present an offer and application, or certain Landlords that may be more receptive to your situation. • Prepare your funds ahead of time. Make sure you have access to the necessary cash or certified funds (money order, cashier’s check or credit card) if any is required to cover the initial charge to hold the apartment for you (good faith deposit/processing). Depending on the Landlord, this could be as little as $500 or it could be the entire first month’s rent and security deposit.
• A guarantor is a person who accepts financial responsibility in the event you do not pay the rent. Typically, Landlords require that the guarantor’s annual income is at least 80 times the monthly rent. This means that for a $2,000 apartment a guarantor must show an income of at least $160,000 per year. ($2,000 X 80 = $160,000). • Landlords often prefer that you use a guarantor from the Tri-State area (NY, NJ, CT). If you intend to use a guarantor from outside the Tri-State area, please notify your agent before you start your search. The guarantor will be required to provide similar paperwork as the potential tenants but will not be required to physically come to New York.
Typical Application Fees: Rental Buildings: $0 - $100 Condominiums: $300 - $1,000 Cooperative: $1,000 - $1,500
Typical Brokerage Fees: 15% of the Annual Rent. For example, if the monthly rent is $2,000, the brokerage commission due would be $3,600 ($2,000 X 12 X 15% = $3,600)
Required Documentation: • Letter from your employer stating position, salary, and length of employment (or start date if you have not started), and any information regardingbonus, guaranteed or otherwise • Last two pay stubs • Last two years tax returns • Last two months bank statements • Name, addresses and phone numbers of previous Landlords • Personal and/or business reference letters • Verification of other assets such as real estate, securities, etc. • Photo Identification (driver’s license, passport, etc.)