Does Applying for an Apartment Hurt Your Credit?

If you’re in the thick of apartment hunting, you’re probably juggling just as many questions as you are applications, and one of the biggest worries you might be facing is whether or not apartment credit checks lower your score. 

The short (and relieving) answer is: usually not. Most apartment credit checks are what’s called a soft inquiry, which means they won’t lower your credit score. But, like anything in the world of credit, there are a few nuances you’ll want to make sure you’re aware of, especially if you’re submitting multiple applications or are moving within a competitive market. Let’s dive into the details so you can apartment hunt with confidence. 

What are credit checks for apartments?

When someone takes a look at your credit report, it falls into one of two categories: either a soft inquiry or a hard inquiry, and the type makes all the difference. When you submit your application, ask the landlord or property manager which type of credit pull they use.

What’s a soft inquiry? 

A soft inquiry, sometimes called a soft pull, will happen when your credit is checked as part of a background review, not because you’re asking for a loan. Importantly , when a landlord or property manager checks your credit to approve your lease, it’s typically a soft inquiry. Think of it as more of a gentle peek rather than a full-blown inspection. More importantly, soft inquiries will not affect your credit score. Some examples of soft inquiries include: 

• Checking your own credit report
• Getting pre-approved for a credit card
• Most rental applications and tenant screenings

In other words, with most rental credit checks, you can rest easy knowing your score will stay right where it was. 

What’s a hard inquiry? 

A hard inquiry, or hard pull, happens when a lender pulls your full credit report because you’re actively applying for credit, such as going for a mortgage, car loan, or new credit card. Hard inquiries can lower your credit score by a few points, though the effect is often minor and temporary. You should easily be able to build your credit score back up from a hard inquiry. 

Hard inquiries matter more when you’re taking on major financial commitments, like buying a home, but for apartment rentals, they are fairly rare. Keep in mind that they may still happen, however, and always ask the landlord or property manager which type of inquiry they use before signing anything. 

How do landlords do credit checks?

When a potential landlord performs a credit check on your rental application, they typically use a third-party screening service, which in many cases results in a soft inquiry. The soft credit check will only be visible to you on your credit report. More importantly, the credit check for the apartment won’t be counted against you.

In the rare case a hard inquiry is performed during the rental application process, that will show up on your credit report and could cause a small, short-lived dip in your score. Still, even hard inquiries will fall off your report in 1-2 years, and shouldn’t impact your future borrowing opportunities.

It helps to know that credit scores are calculated based on five main factors: payment history, amounts owed, length of credit history, new credit, and credit mix. Since soft inquiries aren’t factored into your credit score at all, and  hard inquiries  make up only a small slice of that pie, you’re unlikely to see much change from an apartment application alone.

Will applying to multiple apartments affect my credit score? 

If you’re in the middle of an apartment hunt shuffle, especially in a competitive market, then you might find yourself applying to several places at once to hedge your bets. The good news is that this usually won’t hurt your credit score. If every landlord you apply to uses soft inquiries, you could apply to 20 apartments tomorrow, and your credit score shouldn’t change. 

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However, if a landlord pulls a hard inquiry, and you have multiple hard pulls in a short period of time, it could potentially have a small impact on your credit score. Luckily, most credit scoring models, such as FICO, group similar inquiries made within a short window (typically 14 to 45 days, depending on the model). This means that even if you apply to multiple places using hard inquiries, many models treat them  as a single inquiry. This grouping typically applies to loan-related credit checks, and it’s less common in rental screening. Still, it’s useful to understand how hard inquiries are treated. 

Remember, always ask before you apply. Just verifying with your potential landlord whether they’re performing a soft or hard credit inquiry can save you peace of mind and maybe a few points on your credit score. 

Why do landlords check your credit? 

When landlords check your credit, they’re making sure that you’ll be able to pay rent reliably. Here are the key factors:

• Payment history: Do you pay your bills on time? 
• Debt load: Are you carrying a lot of credit card debt? 
• Debt-to-income ratio: How much of what you earn is already tied up or being spent? 
• Length of credit history: Long-term stability counts.
• Past delinquencies: Have you had any major financial slip-ups?

Remember, at the end of the day, your credit score is just one piece of the larger puzzle. Landlords will often weigh it alongside other factors, like employment verification, income proof, rental history, and references. So, if your score is less than perfect or you are trying to build your credit up, make sure to emphasize other key factors that are stronger. 

Want to turn every rent check into a step toward better credit? Consider signing up for Zillow’s Rent Reporting. It helps renters build credit by reporting on-time rent payments — a win-win when you're planning for your future. Learn more about how paying rent builds credit.

Does a low credit score mean I’ll be denied housing? 

If your credit score isn’t perfect, don’t panic. It shouldn’t automatically lock you out of renting. If you do have a low credit score, your landlord might also ask for additional guarantees, such as a larger security deposit, a co-signer or guarantor, or proof of strong income and employment stability. Being upfront about your situation and showing positive financial behaviors can make a major difference in how landlords view you.