Renting: which organizations can act as guarantors?

Finding a rental property can be complex. It's not uncommon for the competition to be fierce, and you need to be able to present yourself in the best possible light. Your objective? To reassure landlords by providing solid guarantees. Among existing solutions, the use of a guarantor organization is becoming increasingly popular with tenants. But what is a guarantor organization, and how can it help you secure your rental? This article explains everything you need to know on the subject.

What is a guarantor and what is it used for?

Today, you're looking for a rental. You know you'll pay your rent on time, that you're a serious person... Yes, but to a landlord who doesn't know you, are these words really enough?

Think like a landlord

Put yourself in the landlord's shoes for two minutes: you've just bought a studio apartment that you're going to rent out. It's your first property purchase. Every month, you pay a loan to the bank to repay it. With a view to renting this studio, you've placed an ad, received dozens of applications from potential tenants, and now you have to make your choice. It's a safe bet that you'll choose the candidate with the best financial guarantees, right? It's only natural. You don't want to run the risk of not being able to pay the bank because you haven't collected the rent.

Unfortunately, as a tenant, you don't always have the opportunity to earn 4x the amount of the rent, or to have a permanent contract...

The guarantor, to reassure the landlord and have a solid file

This is where the notion of a guarantor comes into play!

The guarantor is a sort of joker card for the tenant. The guarantor can be a relative or friend, or a professional entity such as a specialized guarantor organization. The guarantor will undertake to pay for you if you are unable to pay your rent at the end of the month, and to cover the cost of any damage, utilities, etc.

In short, a guarantor provides real security for landlords wishing to avoid the risk of unpaid rent.

Physical or moral guarantor: what are the differences?

Finding a guarantor is not always easy.
There are two types of guarantor:

• A physical guarantor: this is often someone you know who agrees to act as your guarantor. This could be a family member or a close friend. This is a simple solution, but not always accessible, especially for young professionals or people without a solid family network. You also need to be comfortable with the person you are asking to act as guarantor, as they will need to provide proof of their solvency in the form of bank statements or pay slips.
  
  
• The moral guarantor: this is an organization, a company (your employer, for example), a bank, or an association, which stands surety for the tenant. This option is often more accessible and reassuring for landlords, as it relies on a financially stable entity.

Depending on the real estate agency and the landlord, preference may be given to one or the other. Some will prefer the physical guarantor for the personal relationship and trust associated with it. Others will see the moral guarantor as offering greater comfort by limiting the risks associated with a particular person's financial instability. This is a point to be discussed directly with the agency when the time comes!

Focus on the advantages of a moral guarantor for the tenant

Opting for a moral guarantor offers a number of advantages for a solid rental file:

1. Easy access: there are many guarantor organizations on the market, each with its own acceptance criteria. There's bound to be one for you!
   
   
2. Increased credibility: using a guarantor lends credibility to the tenant's file with the landlord. Landlords are often more inclined to accept applications with a professional guarantor, as this reduces the risk of rent arrears.
   
   
3. Administrative simplicity: applying for a guarantor is generally quick and easy, with online platforms making it easy to submit your application and receive a response within a few hours.

Arguments to convince a landlord or agency to accept a moral guarantor

The physical guarantor has long been the norm. For some people, accepting change with a moral guarantor can be complicated. Here are a few arguments on the benefits of a rental deposit, and more specifically on the moral guarantor, to help convince them:

• A moral guarantor is more solid and financially stable over the long term than a physical guarantor.
• In the event of payment default, it's easier to call on the moral guarantor.
• The moral guarantor will have scrutinized your rental file before agreeing to cover you. This is further proof to the landlord that everything is in order and that he can trust you.

Where can I find a guarantor?

Private guarantors

Private guarantor organizations are a good alternative for tenants who are not eligible for free solutions. Although they represent a cost (often around 5% of the annual rent), they have the primary advantage of reassuring the landlord. Secondly, their interfaces are well thought-out and intuitive when it comes to subscribing. There's no need to pull your hair out over French red tape... Applications can be submitted in a matter of minutes, with all supporting documents, and the whole process is rapidly reviewed, with impeccable, personalized follow-up.

Spotlight on the Garantme guarantee for zen rentals

Since 2017, Garantme has been THE bond that offers peace of mind to landlords. In exchange for an annual fee deducted on the tenant's side, the company acts as guarantor. This alternative secures your file and maximizes your chances of finding a rental quickly.

With Garantme, the fee is 4.5% of the annual rent, including charges. So, for a monthly rent of 700 euros, the amount payable to Garantme by the tenant will be 32 euros per month. Good to know: payment is only made when the rental contract is signed. There are no up-front costs!

The benefits of Garantme :

• Rapid response, in less than 24 hours.
• Wide acceptance of applications, including for students, freelancers, expatriates, people with no income in France, employees on probation or on fixed-term contracts, employees with unstable income, less than or equal to 3 times the rent.
• A reasonable cost compared to the peace of mind offered.

The guarantor organization, a major ally for tenants

The guarantor organization is a flexible and accessible solution for tenants looking to secure their tenancy. Whether you opt for a public guarantee or a private solution such as Garantme, this option strengthens your rental file and maximizes your chances of finding the ideal home without stress.

Before making your choice, take the time to compare offers and select the one that best suits your personal situation.

By using a guarantor organization, you put all the chances on your side to convince landlords and facilitate your search for accommodation.