There are no guarantees in life. But there *are* guarantors. If your credit or lack thereof has you worried about securing a rental in NYC, don’t fret. You do have options that may help while you work on improving your credit score higher. But first, you may be wondering, what is a guarantor? We will delve into all that and more — we (ahem) guarantee it. 

Brooklyn Rentals Under $3000 on StreetEasy Article continues below

Greenpoint

316 Mc Guinness Boulevard

$2,650 base rent

1 |

1

Bushwick

1157 Myrtle Avenue

$2,950 base rent

2 |

1

Stuyvesant Heights

440 Madison Street

$2,850 base rent

3 |

1

Homecrest

2039 Coyle Street

$2,626 base rent

1 |

1

Flatbush

2201 Beverley Road

$2,884 base rent

1 |

1

Dyker Heights

937 71st Street

$2,600 base rent

3 |

1

Stuyvesant Heights

101 Patchen Avenue

$2,954 base rent

1 |

1

Stuyvesant Heights

1006 Gates Avenue

$2,769 base rent

1 |

1

Prospect Park South

50 East Tenth Street

$2,700 base rent

Studio |

1

Crown Heights

2175 Bergen Street

$2,504 base rent

2 |

2

Bensonhurst

1402 West Fourth Street

$2,199 base rent

1 |

1

Bensonhurst

1549 West 3rd Street

$2,400 base rent

2 |

1

Why Would You Need a Guarantor?

There are reasons a person might need a guarantor. And they all relate to money, credit, or both. For example, perhaps you’re a full-time student and don’t have an income of your own that meets the 40 times rent requirement equation. (FYI, landlords use the formula to determine how much rent you can afford.) Maybe you shied away from credit cards and haven’t established a credit score yet. Or, possibly, your credit score is very low. (You may find it hard to rent an apartment if your credit score is lower than 650.) In those situations, knowing what is a guarantor can help.

What Is a Guarantor?

The solution to getting an apartment with poor or no credit? It just may be asking a friend or family member to help as a lease guarantor. That’s someone who guarantees payment on the lease if you can’t come up with the cash. The person doesn’t need to be a relative, but they generally need to reside within New York State. That way, a landlord can easily collect from the guarantor should the need arise.

There Is a Hitch

But keep in mind, your guarantor needs to meet a specific financial requirement in addition to having good credit. “They have to make 80 times the rent,” says Nikki R. Thomas, Licensed Associate Real Estate Broker for The Corcoran Group in Manhattan and Brooklyn. “Landlords are looking for someone who is super-duper qualified, so they can pay your rent when you can’t. That’s why they want double the 40 times rent requirement typically required from renters.” 

East Village Rentals Under $3000 on StreetEasy Article continues below

East Village

717 East Fifth Street

$2,750 base rent

1 |

1

East Village

230 East 14th Street

$2,545 base rent

Studio |

1

East Village

76 E 1st Street

$2,799 base rent

Studio |

1

East Village

420 East 10th Street

$2,750 base rent

Studio |

1

East Village

238 East 6th Street

$2,700 base rent

1 |

1

East Village

320 East 11th Street

$2,500 base rent

1 |

1

East Village

249 East 2nd Street

$2,675 base rent

Studio |

1

East Village

314 East 6th Street

$2,750 base rent

Studio |

1

East Village

514 East 5th Street

$2,800 base rent

Studio |

1

East Village

536 East 14th Street

$2,595 base rent

Studio |

1

East Village

112 East 4th Street

$2,950 base rent

1 |

1

East Village

436 East 9th Street

$2,550 base rent

Studio |

1

What’s the Difference Between a Guarantor and a Co-Signer?

Unlike a guarantor, who lives elsewhere but is on the hook if you fail to pay your rent, a “co-signer” on a rental is a co-tenant. They’re on the lease with you and live in the apartment. Both parties are responsible for paying the rent. 

Here’s an example from the famous New York renters on the show “Friends.” If Monica Gellar and Rachel Green both signed the lease on their apartment, they would be co-signers. And if actor Joey Tribiani were hard up for cash to get his own apartment in the building, his more flush pal Chandler Bing could act as his guarantor. If Joey loses his “Days of Our Lives” gig and can’t pay the rent, he might ask: “what is a guarantor?”…and Chandler would have to pony up his rent.

Co-Signer Also Means Something Else

When it comes to buying a home, though, the co-signer term means something different. It’s more akin to a guarantor. When the primary borrower does not financially qualify for a mortgage, the lender will require someone to “co-sign” the loan. That person then becomes liable for the mortgage payment if the primary borrower defaults.

South Harlem Rentals Under $3000 on StreetEasy Article continues below

South Harlem

131 West 116th Street

$2,200 base rent

Studio |

1

South Harlem

386 Manhattan Avenue

$2,995 base rent

1 |

1

South Harlem

1309 5th Avenue

$2,516 base rent

Studio |

1

South Harlem

302 Manhattan Avenue

$2,875 base rent

1 |

1

South Harlem

241 Central Park North

$3,000 base rent

1 |

1

South Harlem

152 West 124th Street

$2,073 base rent

1 |

1

South Harlem

26 West 123rd Street

$2,500 base rent

Studio |

1

South Harlem

137 West 112nd Street

$2,674 base rent

1 |

1

South Harlem

60 West 125th Street

$2,640 base rent

Studio |

1

South Harlem

1833 7th Avenue

$2,600 base rent

1 |

1

South Harlem

10 West 122nd Street

$2,857 base rent

1 |

1

South Harlem

24 West 125th Street

$2,562 base rent

1 |

1

Can You Combine Guarantors?

One question that often comes up when you’re curious about what is a guarantor is whether you can combine guarantors. In short: yup! You can. One guarantor’s income may be too wee for your landlord’s 80 times the rent policy. So you can ask another guarantor to join — like your Mom and your Aunt Linda. It’s a fairly common practice. If your rent is $2,500, your guarantor would need an annual income of $200,000. That’s a lot of money.

If that doesn’t work, showing that you have other ways of making your rent payment may get you approved. If you or your parents have significant savings, share the account statements with your landlord. It’s worth asking, anyway. After all, this is New York City — a place where anything’s possible.

Manhattan Rentals Under $3000 on StreetEasy Article continues below

Fort George

64 Hillside Avenue

$2,200 base rent

1 |

1

East Harlem

2006 Second Avenue

$2,250 base rent

1 |

1

East Village

717 East Fifth Street

$2,750 base rent

1 |

1

Central Harlem

150 West 140th Street

$1,800 base rent

Studio |

1

Washington Heights

501 West 167th Street

$3,000 base rent

4 |

1

Central Harlem

215 West 145th Street

$2,500 base rent

3 |

1

Hamilton Heights

546 West 146th Street

$3,000 base rent

3 |

1

Lenox Hill

343 East 65th Street

$2,366 base rent

Studio |

1

South Harlem

131 West 116th Street

$2,200 base rent

Studio |

1

East Harlem

215 East 110th Street

$2,095 base rent

Studio |

1

South Harlem

386 Manhattan Avenue

$2,995 base rent

1 |

1

East Harlem

414 East 119th Street

$2,695 base rent

2 |

1

Can Your Guarantor Be Out of State or Out of the Country?

People from all over the world come to live in NYC. And you may question if a guarantor can be out of the state or even out of the country. “I have heard of landlords accepting out-of-country guarantors. There are also landlords willing to accept guarantors located anywhere in the U.S., so it doesn’t hurt to ask.”

What if You Don’t Have Anybody To Be Your Guarantor?

Not everybody has a family member or friend they can turn to when they need a guarantor. Evan Rugen, Licensed Real Estate Salesperson with R New York, says you may want to look into getting “an institutional guarantor, which is quite expensive.” But to get your foot in the door of a New York apartment, it’s worth considering. For a fee, companies like Insurent and The Guarantors may be able to assist in easing your new landlord’s worries so that you can fret about more important things. Like what to serve at your housewarming party.