New York freshmen must-see | New York rental guarantee analysis

New students in New York will definitely have many questions about renting in New York. The most common one is to ask Guarantor and guarantee questions.
First of all, what is a guarantee? 
Why do international students need to buy a guarantee in New York to rent a house?



In the past, many New York buildings accepted a one-time payment of one year’s rent, so that international students did not need to buy a guarantee. 
But starting in 2020, 
New York State introduced a new rental law that requires only monthly rent payments . 
The building will require the tenant’s annual income to reach 40-45 times the monthly rent, and a good credit record to pay the rent unconditionally
However, most Chinese students have no income, which means they have insufficient qualifications. 
When the applicant is determined to be insufficiently qualified, the building will require a 
guarantor or a guarantor company that meets the conditions to assist in signing the rental contract . 
Therefore, international students need to find a guarantor or a guarantee company before they can sign a rental contract.


If you are looking for a guarantor, you must find an American guarantor who trusts you. Her/his annual salary needs to reach 80 times the monthly rent (the tenant defaults, and the American guarantor needs to bear the responsibility), but international students are new to New York. Unfamiliar life, 
this method is obviously not applicable .




The second is the most commonly used by international students . Only by 
purchasing a guarantee through a third-party guarantee company can the monthly rent be paid to the building.


You can also understand the rental guarantee as something similar to insurance. For example, if the tenant breaches the contract, the guarantor/guarantee company needs to be held liable. Of course, if the tenant defaults, such as arrears in rent, the tenant’s rental credit will be recorded in the file, which is very detrimental to future renting. 


In New York, the two most common guarantors are 
The Guarontors and Rhino . 
Let’s take a look at the comparison of the two companies
The Guarantors: The 
price is about a month’s rent


Rhino: Prices are adjusted based on the lease term. 
Some buildings require a six-month lease guarantee, and some buildings require a one-year lease guarantee. 
Guaranteed prices will vary accordingly

Payment method and deposit

The Guarantors: Requires a one-time payment of the guarantee fee, and still has to pay the building deposit, and then pays the building rent every month

Rhino: Pay the guarantee fee to the guarantee company every month, you can waive the building deposit, and then pay the building rent every month


The Guarantors: Almost all rental buildings in New York

Rhino: mainly applicable to several buildings around Columbia

Visa/passport/ID card (if parental guarantee, parents’ ID card is required) I20/School Offer Letter)

A deposit in the name of the applicant is required to be 45 times the monthly rent


 

1 After submitting the application for the building, you can log in to the official website of the guarantee company to fill in the application and submit the application materials

2Wait for the approval of the guarantee company

3 The guarantee company will notify the building of the approval of the guarantee, and then you can sign a contract with the building

The above is the analysis of today’s New York rental guarantee problem.

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