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Salary and rent?
I read that a lot of NYC buildings only let you rent an apartment if you re making 40 times the monthly rent, but what if you inherited a trust fund? What if you can use your trust fund to pay for the remainder of the rent that you don t make from your salary? Also what if your parents help pay for some of the rent? Would they still require a minimal salary?
to clarify, your yearly salary is 40 times the monthly rent. So the yearly rent is about 30% your yearly salary.
9 Answers
- Anonymous3 years ago
In my experience (though it's been a while), when you fill out an application, you are asked to include any sources of income besides a salary that will help you meet your rent obligations. Discuss this with landlords or brokers.
- glennLv 73 years ago
Most landlords require you make at least 3 times the rent. So if you make 3000 a month you could afford 1000 monthly rent. If you have a trust fund -any income from that trust fund would normally be included as income. If your parents are going to pay your rent then they would so-sign the lease and their income would be included in qualifying. I think what you may have heard is you may need to make (as an annual salary) 40 times the monthly rent. That would be pretty similar to the monthly salary being three times the monthly rent. So someone may have told you that.
- MaxiLv 73 years ago
The general rule of thumb is you need to earn x3 the rent, so not sure where you got the idea it is x40
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- babyboomer1001Lv 73 years ago
The monthly income from the trust would be considered your income, with your earned salary. If you need your parents' help to pay the rent, they likely would not rent to you, unless you are a student.
Source(s): Certified Paralegal, with 25+ years' experience & with Landlord & Tenant law experience. - AmyLv 73 years ago
They do let you qualify based on assets instead of, or in combination with, income.
A typical requirement is 10 times the annual rent (120 months' rent).
This multiplier, like the 4x income, is a reflection of the fact that you will not spend all of your money on housing.
If your parents co-sign your lease, then their income and assets will be included - but so will any rent they are already paying for their own home.
- LILLLv 73 years ago
No. You would still need a job that pays 40x the monthly rent. Trust fund can be spent quickly...and landlords know this.
- fire4511Lv 73 years ago
All income counts. If you need an income of $XXXX to qualify to rent, it does not matter where (as long as it is legal) that income comes from
For example if your trust fund pays you 1/2 of the required income and you make 1/2 from your employment, you would qualify
Source(s): 38 years in business