Second chance apartment rentals are similar to regular apartment rentals, but second chance landlords agree to overlook issues in renters' pasts including late rent payments, broken leases, rent owed and evictions. In order to overlook these issues, landlords may ask for a co-signer or a large security deposit.
Second chance rentals give renters a chance to rent a home in spite of past mistakes. However, second chance landlords often want to see that the renters have made an effort to rectify the past situation. For example, a second chance landlord may want to know that a renter has a payment plan worked out with a previous landlord to repay old rent.
In addition to second chance rentals, there are also second chance homes. Second Chance Homes is part of a program run through the Department of Housing and Urban Development. SCH funds can be used for emergency shelters, purchasing homes and other projects. These funds can also be used to cover rent costs for families with low incomes.
If a family qualifies for rent assistance through HUD's SCH rental assistance program, the family pays its landlord 30 percent of its monthly income. HUD sends the remainder of the rent payment to the landlord.