Rental Basics in Raleigh>Question Details

Victory Prop…, Real Estate Pro in Raleigh, NC

Are tenants prepared to pay additional months rent upfront if they have credit issues?

Asked by Victory Property Management, Raleigh, NC Fri Nov 25, 2011

Victory Realty 1135 Kildaire Farm Rd. Suite 200 Cary, NC 27511
Serving the Wake County Raleigh Triangle Area, Cary, Apex, Garner, Morrisville, Holly Springs, Chapel Hill, Durham

Help the community by answering this question:


Each state has it's own set of laws when it comes to how much a landlord can legally collect for the number of month's rent paid up front and deposit monies when a lease is signed.

I suggest that you check with North Carolina laws on what the maximum amount is. This link may be helpful:…

Having a "Guarantor" sign the lease for the tenant may be a better option to assure timely rent payments.

Laura Feghali
Prudential Connecticut Realty
1 vote Thank Flag Link Fri Nov 25, 2011
Maybe . . . maybe not . . .


"A new survey of former homeowners who have walked away from their homes found that their credit was good enough after foreclosure for the vast majority to rent new housing and few were required to make a larger than normal deposit."
1 vote Thank Flag Link Fri Nov 25, 2011
The state of North Carolina limits how much SECURITY DEPOSIT you can charge, however, landlords can collect the 2nd, 3rd, 4th.....months RENT up front at the landlords discresion. Or you can collect the last months rent or last 2 months rent instead. This is in addition to the security deposit. If an applicant has bad credit and lingering debts, I recommend additional investment out of the tenant to make sure the property maintains its profitability.
Web Reference:
0 votes Thank Flag Link Tue Nov 29, 2011
Here in North Carolina Look up Landlorad and Tenat Law and the Tenant Security Depoist Act

Security Deposit Limits

* Week-to-week tenancy: Two weeks' rent maximum
* Month-to-month tenancy: One & one-hlf months' rent maximum
* Terms greater than month-to-month: Two months's rent maximum
0 votes Thank Flag Link Sat Nov 26, 2011
Some are.

The real irony is that some of those tenants with credit issues and sufficient cash are in that position because their previous homes went to foreclosure or were sold as short sales, and during the process they decided not to pay their mortgages.

Since they weren't paying their mortgages, they had a lot of extra money. Some of them stashed that money away and now have it available to pay additional upfront rent.

So the question should just be: Are they prepared to pay additional rent upfront? The answer, in some cases, is a clear "yes." The question should be: If someone has poor credit and a lot of extra money, how'd that happen? And do I want to rent to such an individual?

Hope that helps.
0 votes Thank Flag Link Fri Nov 25, 2011
Don Tepper, Real Estate Pro in Burke, VA
As a Realtor and Property Owner of several Rentals we look at many factors:

1. employment history - 2 years minimum at same job
2. Income
3. Previous living / renting 2 years minium at same location
4. Late payments and NSF checks, if any
5. no Recent criminal activity, past 5 years

Then we look at:
6. credit score
7. past credit history
8.past Criminal history, What was it?

IMO charging a higher secureity depsoit is moot.
0 votes Thank Flag Link Fri Nov 25, 2011
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2016 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer