Why credit scores of tenants much lower than credit card holders?

Aug 12, 2009 in Commercial Property Loans

I read somewhere that credit scores of renters (real estate) tend to be around 520 to 630, while credit card holders or other financial credit customers much hight?

is it because there is less risk for approving tenants to rent a real estate (commercial or regular), as oppose to someone who has trade lines with a financial institution (like auto loans, bank loans, etc)?

Thanks

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One comment

rtfm on August 12, 2009 at 4:52 pm

I’m not sure I understand your question. You seem to be implying that renters are not credit card holders. That simply isn’t true.

Can you clarify?

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