According to the Florida Times-Union, Jacksonville, Florida has been a “hot market for renters” for a few years now. While the renter’s market might be booming, anyone who is dealing with bankruptcy may be wondering how filing bankruptcy will affect him or her as a renter. While an experienced Jacksonville bankruptcy attorney can help you understand everything you need to know about filing bankruptcy and how it will affect every aspect of your life, here is what you need to know about filing bankruptcy as a renter.
It might come as a surprise, but bankruptcy typically does not have the devastating impact on renters that many would expect. Certainly, each situation will be different and every landlord will have his or her own list of requirements, but your rental history and a steady job will often weigh far more heavily than a bankruptcy will. Of course, you will want to ensure that you are not continuing to make the same mistakes that caused your bankruptcy in the first place.
Some landlords might require a larger security deposit, or you might have to prove your ability to pay your rent with past rental receipts, positive prior landlord references, or pay stubs from your job. Also, keep in mind that your bankruptcy typically has less of an affect on being a renter as more time comes between your bankruptcy and a new rental agreement.
The following are factors that new landlords might take into consideration:
- Prior Rental History: Most landlords will check into your prior rental history, whether you have filed bankruptcy or not. Therefore, it is crucial to not only pay your rent on time, but to maintain good relations with prior landlords.
- Your Income: Potential landlords will often want to see proof of income. However, a steady. moderate income will look better than a new job with a large income.
- Disposable Income: Your disposable income is the amount of money that is left over at the end of the month after you have paid all of your monthly bills. Not all landlords will inquire about this, but it is best to be prepared to share this information if one does ask.
Communicating With a Landlord
Most landlords are understanding about individual situations and realize that everyone makes mistakes. Not everyone learns their lesson, though, so it is important to be able to show that you have learned yours since your bankruptcy. The way to show that you are now managing your finances correctly is by maintaining excellent credit and paying your bills on time after your bankruptcy is filed.
If not much time has passed since your bankruptcy was filed, you may want to explain to potential landlords the reason why you filed. There are plenty of people who were forced to file bankruptcy because they lost a job that they had for a long time, while others had to do it when the housing market crashed.
While filing bankruptcy will have an affect on your life overall, it does not have to devastate you as a renter. If you live in the Jacksonville area and you are considering bankruptcy, contact a Jacksonville bankruptcy attorney at the Adam Law Group today at (904) 329-7249. We can help you understand how bankruptcy will affect the different aspects of your life and guide you through the process as painlessly as possible.