For potential apartment tenants with less than stellar credit, getting an apartment to rent with no credit check can be a very good thing. Finding a place to rent with no credit check, however, is not exactly an easy thing to do and, if one is found, it will probably cost more than the same apartment would if a credit check were performed.
As with other businesses, apartments prefer to run credit checks in order to check the stability of the potential tenant. A good credit check is an indication of stability and, quite likely, shows what kind of tenant they were at other apartment complexes. A less impressive credit check might serve as an indication that they would be a less reliable tenant. Some apartment complexes will indicate if the tenant was late with their rent or failed to clean up their apartment when they left, information that could be helpful to the next apartment complex.
Obtaining a place to rent with no credit check may eliminate many apartment complexes. Most upscale apartment complexes will require a credit check for all potential occupants, as the ownership will consider their investment too much to risk on a bad tenant. Older apartment complexes or ones in bad neighborhoods may take the risk of allowing a tenant to rent with no credit check, as they are in need of filling up some of their apartments to make holding onto them worthwhile. Some apartments in highly competitive areas may also take the risk of allowing someone to rent with no credit check, but this scenario would likely only play out during times of severe economic distress.
If a prospective tenant wants to rent with no credit check, they had better be prepared to pay for the opportunity. They will likely have to pay a substantial security deposit and will probably have to pay more a month than other tenants. It is even possible that the apartment complex may ask for a month’s rent up front, before the new tenant even moves in.