Can A Retired Person Rent An Apartment?- Simply Answered In 2024

Yes, it’s possible to rent in retirement. However, renting without a fixed income can be tricky so you have to show proof of funds, provide a hefty advance amount or present a guarantor to the landlord for renting.

Renting a smaller apartment can be a smart choice to cut costs in retirement. 

However, normally most rentals will require an income of 3 times the rent. But retirees do not have such income. So, a question arises, can a retired person rent an apartment?

So, today I am providing a simple explanation, Can a retired person rent an apartment? if so then how to show income proof for retired person, how to rent smartly in retirement, and many more related queries. So, stick here till the end. 

Let’s start by answering whether a retired person can rent an apartment or not. 

Can A Retired Person Rent An Apartment?

Yes, a retired person can rent an apartment. However, renting in retirement is not as easy as a regular rental. Because most US property management companies and homeowners have a policy that

 “Applicants should have an income of 2.8-3 times the rent to apply for rental.”

But for a retiree, it’s hard to have a 2.8-3 time income even after combining the retirement benefits or 401k’s, IRAs, and social security benefits. As a result, most retirees don’t even try to rent an apartment. 

However, it’s completely possible to rent an apartment in retirement and save costs. But how?

Let’s find out. 

How To Rent An Apartment If You Are Retired

Renting an apartment in retirement can be a bit complicated but it’s doable. Though most homeowners and management companies will ask for income proof. However, they should have other policies for your situation too. So, we will explore those policies below. 

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Here is how to rent an apartment if you are retired

1. Show Your Bank Statement 

Some homeowners and property management companies accept a bank statement instead of income proof in these situations. 

So, if you have a substantial amount in the bank that can cover at least 12 months of rent. Then offer them your bank statement instead of income proof. They will call the bank for confirmation and accept your renting request. 

2. Exhibit Your Assets and Credit Score 

Most homeowners just want to know if you would be able to pay the rent during the lease period. That’s why they ask for income proof and bank statements. 

However, if you have some valuable investments or assets and have a good credit score then homeowners should be convinced too. So, exhibit your assets and credit score to rent an apartment in retirement. 

3. Present a Guarantor 

If you can’t show any of the above then you should present a creditworthy guarantor for renting out an apartment. 

However, presenting a guarantor might not be enough to convince a homeowner. They might ask for other documents or advance rent.   

4. Offer Advance Rent 

Another way of renting on a pension is offering advance rent for a couple of months. If you can’t present the above but have cash then offer your homeowner advance rent. 

In these situations offer your homeowner 3-6 months rent on a 12-24 months lease. 

5. Convince Your Landlord 

If you are trying to rent an apartment in a big city, then the above methods might not work. Because renting in big cities is much more competitive. But renting on a pension is still possible. 

In these situations, try to find a far but safe neighborhood and a private landlord. They are more flexible. After that, convince your landlord with bank statements, guarantor, or any method we talked about above. 

Moreover, if you follow these steps carefully then renting in retirement would be seamless. 

Any landlord or management company should be convinced by the above method. But for proceeding with the renting process they might still ask for income proof. So, how can you show it? 

How To Show Income Proof for Retired Person

When you are retired, your income may come from a variety of sources including pensions, Social Security, investments, and other sources. The income you receive may be regular or it may vary from month to month. 

As a result, it’s a bit hard to show the income proof but it’s possible. However, the process of showing income proof is pretty similar to renting on a pension. Here is how to show income proof for retired person

  • Contact your pension company and ask for a statement stating the amount of your pension and when it is paid.
  • In case you receive Social Security, contact the Social Security Administration and ask for a statement showing the amount of your monthly benefits.
  • If you receive income from investments then you can show how much you receive every month. 

These are a few methods. Talk to the landlord or property management company to find out which method they prefer.

Moreover, if you are fired before retirement and want to know whether you can get a pension or not then check out our article on fired just before retirement.

However, if you don’t need to rent but cosign then what to do? 

Can A Retired Person Co Sign For An Apartment? 

Yes, a retired person can co-sign for an apartment. But to do that the retired person should have a stable income and good credit history. It will make them a desirable co-signer. 

Additionally, the retired person may be asked to provide proof of income or credit history for co-signing.

However, it is important to remember that if the tenant fails to make payments, the retired person is responsible for the rent. Here are a few things to consider

  • Your relationship with the person who will be living in the apartment is important. Because you are responsible for the rent if the person you co-sign for does not pay.
  • If you are retired and do not have a steady income, you may want to consider another option. Because co-signing an apartment is a big financial decision. 
  • In case you are retired and over the age of 65, the apartment complex might require you to live in the unit with the person you are co-signing for. 

Different landlords and management companies have different policies. So, you must know their policy before you co-sign an apartment. 

Well, you can co-sign as a retiree. But can you be a guarantor when retired? 

Can A Retired Person Be A Guarantor? 

Yes, a retired person can be a guarantor. However, it’s a bit complicated as it depends on the specific situation and the retired person’s financial situation. 

Generally speaking, a retired person may be considered a guarantor if they have sufficient income and assets. In case the borrower defaults on the loan then the guarantor’s assets will be used to cover any potential losses. Moreover, the retired person’s credit history will also be a factor in determining their eligibility as a guarantor.

However, when the retired person is living on a fixed income and does not have enough money to cover a loan default, they may not be a good candidate for guarantor status. 

Before you agree to be a guarantor, make sure you are comfortable with the potential consequences. If you are not sure whether you can afford to be a guarantor, it might be a good idea to consult with a financial advisor.

Does It Make Sense To Rent In Retirement?

Yes, it makes sense to rent an apartment in retirement. As it can save you a lot of money. However, should you rent or not completely depends on your financial situation, retirement savings, and investments?

The decision of whether or not to rent in retirement typically comes down to a few key factors. They are

1. How much money do you have saved up?

2. How much money do you plan to spend each month?

3. How much will you get from pension and social security every month?  

4. What kind of property are you interested in?

4. What are the current market conditions?

5. How long do you plan to stay on the property?

Now If you don’t have much saved up or won’t get much from pension and social security every month then renting can be a more affordable option than buying a home. 

Because when you buy an apartment you need to pay property taxes, service fees, and homeowners’ insurance, etc. Moreover, it’s hard to apply for and pay mortgages in retirement. So, renting might be a better option for you than buying a home. 

On the other hand, if you have a lot of money saved up and you are going to live in the area permanently then buying a property is a better option than renting. 

Furthermore, you should also consider whether you or your spouse will need a nursing home or not. If any of you need a nursing home in the future then renting is a better option. Check our article on nursing homes to understand better. 

By now we have found the answer to can a retired person rent an apartment. Now, let’s have a look at some of the related queries.


Here are some of the frequently asked queries related to this topic.

What is Proof of Income for Retired People?

As retired people do not have a direct source of income so it can be hard for them to show proof of income. However, here are some of the things that can be used as proof of income for retirees

  • Statement Copies of IRAs, 401k, Social Security, and savings accounts.
  • Statement of Investment Returns
  • Large Deposits for rent.

Can you use Savings as Proof of Income?

Yes, Savings can be used as proof of income for retirees if you have large savings. For example, if your savings can cover 1-2 years of rent then a landlord should be easily convinced. Moreover, as a retiree, you can also demonstrate your other assets to convince a landlord for renting.

Do most Retirees own their Home?

Yes, according to a New York Times report,

80% of people aged 65 or more own their own home.

So, it can be easily said that most retirees own their own homes. However, if you are not one of them then do not worry. Because homeownership also comes with a lot of costs. Bearing them with a retirement income can be tough.

Can retired people be guarantors NYC?

Although, it is possible to be a guarantor as a retiree in NYC. However, it will certainly depend on many criteria like asset, investment, savings, relation, and many more. Moreover, homeowners in wealthy neighborhoods might not get convinced. So, whether a retiree can be a guarantor will surely depend on the circumstances.

In Summary

Renting in retirement can become a piece of cake for you if you become a bit strategic and follow our suggestions. Lastly, renting on a pension might help you save a lot of bucks during retirement. No matter how much you have saved up, it can always come in handy. Retirement can be scary and retirement planning is a complicated process. So, I highly suggest you consult with a professional financial advisor.  

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