Lightner Property Group

Alternative Income Standard - Guarantor Option

Regardless of the income standard you choose to apply under, each Income Application Standard requires:

1. Acceptable prior landlord references.
2. Excellent credit (unless noted otherwise, as in our Guarantor Option).
3. A completed Application for each proposed adult occupant.
4. At minimum, a standard deposit payment (25% of one months rent).
5. A $40 payment for the application fee for each adult applicant (including any guarantor applications).

Guarantor Application Standard

If you do not economically qualify for the apartment, or if you have experienced past credit problems, you may elect to have the rental payments guaranteed by the guarantor of your choice.

To qualify, the guarantor applicant must:

1. Meet the economic standards for a guarantor which are set forth here.
2. Have excellent credit. (E.g. FICO score of at least 775 with NO current late or past due payments, as well as no history of late payments [last five (5) years] of any late payments beyond 2-30 or 1-60 day late].  All reported late payments must be mitigated by a documented explaination, with an acceptable reason for the late payment.
3. Sign our standard form guarantee.
4. Submit a government issued photo identification showing their signature (which must match the signature on the signed guarantee and application).
5. Speak directly with a staff member, who will call them at their residence and/or place of work for identity verification.
6. Have regular income of at least three times all of the proposed monthly debt obligations (e.g. loans of all types, revolving credit, child support etc.), including the proposed total monthly rent. This is commonly referred to as an income-to-debt ratio of no more than 3 to 1.
7. Supply documentation showing a liquid net worth (stock, bonds, notes, or cash deposits, personal residence is excluded) of $250,000 or more. The proposed guarantor must submit three statements of valuation of the assets. One of the three statements must be current, within 30 days of the application. The second evaluation must be a statement that is no less than 6 months old, and the third must be no less than 12 months old, but not greater than 18 months old. The net worth valuation will be determined by averaging the value of the three statements.
8. Agree to allow the occupying resident(s) to accept service of process on behalf of the guarantor in the event of a legal action.

Guarantor Example:

House Payment $ 4,500

Car Payment $ 1,500

Monthly Prop.Tax & Insur. $ 1,000

Short-term debt $ 2,300

Tuition $ 1,000

Investment Loan $ 500

Proposed Apartment $ 2,000

TOTAL $12,800 X 3 = $38,400 monthly or $460,800 annual income

Application Priority

Because we review the first completed application and only a single application at a time, the applicant or applicants must elect to apply under a single specific standard, at the time the application is submitted. If there is more than one applicant, the applicants must select a single application standard for the proposed household. Applicants for a single apartment unit may not apply under different standards. If you fail to qualify under the standard you initially choose, your application will be denied. If there is a back-up application, the back-up application will then be processed. You will not maintain your application priority once denied, regardless of the reason.

To be reconsidered after failing to qualify under your chosen standard, you will then need to reapply using another standard that you select. Therefore, we strongly recommend that you choose your economic standard carefully and select the one that best suits your household economic position.

A completed application must include:

• all necessary payments (deposit and credit check fees),

• a signed rental brochure for the subject property,

• the LightnerGroup residential Rental Application, fully completed by each proposed adult occupant and guarantor(s),

• along with all necessary supporting documentation.

If any portion of the application is missing, it will not be considered complete and will not be processed until the missing materials have been submitted. If the missing materials are not submitted, the application will not be reviewed and will be considered an abandoned application. Any payments will be mailed to the applicant(s) last known address if one has been provided. If not, the checks will be marked VOID and filed with the incomplete application.

Other Available Income Standards

Net-Worth Standard

Income-Expense Standard

Regular Standard