Good news: Chicago is much more flexible than NYC when it comes to guarantors. Many landlords don't require them at all. But if you're a student, new to the workforce, or have limited credit history, here's what you need to know.
What is a Guarantor?
A guarantor (also called a co-signer) is someone who legally agrees to pay your rent if you can't. They sign the lease alongside you and are financially responsible if you default.
Guarantor vs. Co-Signer vs. Roommate
- Guarantor / Co-signer: Responsible for rent but doesn't live in the apartment
- Co-tenant / Roommate: On the lease, lives there, and shares responsibility
When You Might Need a Guarantor
In Chicago, you typically need a guarantor if:
- Your income is below 2.5-3x rent — Most landlords want income of 2.5-3x monthly rent
- You're a student — No income or limited work history
- You're new to your job — Just started and can't show pay history
- You have poor credit — Score below 620-650
- You're self-employed — Irregular income that's hard to verify
- You're new to the US — No US credit history
Chicago is More Flexible
Unlike NYC where guarantors are extremely common, many Chicago landlords will work with you—extra deposit, proof of savings, or bank statements can often substitute.
Guarantor Requirements
If a landlord requires a guarantor, they typically need:
Typical Guarantor Requirements
Example: For a $2,000/month apartment, the guarantor might need to earn $120,000-160,000/year
Alternatives to a Personal Guarantor
Don't have a family member who qualifies? Here are your options:
Offer a Larger Security Deposit
Some landlords will waive the guarantor requirement for extra security. Note: RLTO limits deposits to 1.5 months, but some buildings may structure this differently.
Prepay Rent
Offer to pay 2-3 months upfront. Shows you have funds and reduces landlord risk.
Institutional Guarantors
Companies like Insurent, Leap, or The Guarantors will guarantee your lease for a fee (typically 3-10% of annual rent). Good for international renters or those without US-based family.
Show Proof of Savings
Bank statements showing 6-12 months of rent saved can convince some landlords you're a safe bet.
Institutional Guarantor Services
These companies act as your guarantor for a fee:
Popular Guarantor Services
Insurent
One of the largest. Fee is typically 80-110% of one month's rent.
The Guarantors
Fee starts around 4-7% of annual rent. Works with many buildings.
Leap
Fee is typically 5-10% of annual rent. Quick approval process.
Check if your building accepts institutional guarantors before applying.
Cost Comparison
For a $2,000/month apartment, an institutional guarantor might cost $1,600-$2,400 upfront (non-refundable). Compare this to asking a family member—who pays nothing but takes on real financial risk.
Asking Someone to Be Your Guarantor
If you're asking a family member or friend to guarantee your lease:
- Be honest about the commitment — They're legally responsible if you don't pay
- Explain what's needed — Income verification, credit check, signing legal documents
- Offer transparency — Share your budget, income, and plan
- Have a backup plan — What happens if you lose your job?
Tips for Getting Approved Without a Guarantor
- Target smaller landlords — They're often more flexible than big management companies
- Apply in the off-season — Winter months = more negotiating power
- Bring documentation — Bank statements, employment letter, references ready
- Be upfront — Explain your situation before you apply
- Look professional — First impressions matter for in-person viewings