3 strategies to secure rental income from non-traditional renters

The definition of a “qualified renter” is changing—and fast

Today’s rental market is increasingly made up of freelancers, gig workers, international students, recent graduates, and others with non-traditional income sources or credit profiles. According to Statista, more than half of the U.S. workforce is expected to freelance by 2027. That means more renters who don’t fit neatly into the income x rent multiplier or the traditional credit score check.

For landlords and operators, this shift presents both a challenge and an opportunity. On one hand, there’s greater exposure to default risk from renters who fall outside the conventional underwriting mold. On the other hand, there’s a chance to tap into a growing, often overlooked segment of the market—if you have the right tools in place.

Here are three effective strategies to help you rent confidently to non-traditional residents—while keeping your income protected and your occupancy rates high.

1. Offer lease coverage as a flexible income safeguard

Renting to someone with no W-2, no U.S. credit history, or an irregular income stream used to be an automatic no. But now, lease coverage platforms like Cosign help convert more of these renters into reliable residents—without putting your rent roll at risk.

Here’s how it works:

• You screen a renter who falls short on income or credit
• Instead of denying them, you refer them to Cosign
• If approved, the renter pays a one-time fee for coverage
• Cosign guarantees your lease, protecting you if the renter defaults, skips, or breaks the lease early
  

What’s different about Cosign is that it was built with landlords in mind. There’s no cost to the operator, claims are paid fast (within 5 business days), and it even includes revenue sharing—a unique upside for multifamily portfolios looking to unlock NOI in new ways.

Use case:
A digital nomad earning six figures from freelance contracts doesn’t pass your credit threshold. Instead of walking away, they qualify through Cosign—and your rent is protected either way.

By layering in lease coverage, operators gain the ability to rent with more confidence, especially in cities where student renters, international workers, or gig-based earners make up a growing share of the applicant pool.

2. Adapt your screening to reflect real-world income patterns

Traditional screening tools weren’t designed for today’s renter economy. That’s why many operators are now rethinking how they verify income for non-traditional applicants.

Instead of relying solely on credit reports or pay stubs, consider adding:

• Bank statement analysis: Look for consistent income flow across 3–6 months
• 1099s or tax returns: Especially for freelancers or self-employed applicants
• Contract verification: Confirm recurring work through platforms like Upwork or Fiverr
• Letter of enrollment + funding: For students with grants, stipends, or family backing
• International tenant screening: Use providers like AAOA to verify background info abroad

Not every applicant will check every box—and that’s okay. The goal is to paint a clearer picture of financial stability using multiple data points, not just a single score.

And when it’s still not enough to approve with confidence? That’s when Cosign can step in with a custom coverage plan tailored to the applicant’s risk profile.

3. Replace cash deposits with deposit coverage

Cash deposits are a friction point—especially for renters with less liquidity or for those moving across borders. They slow down leasing, increase administrative hassle, and in some cases, turn great applicants away.

That’s why more landlords are adopting deposit alternatives that offer the same (or better) financial protection without requiring large upfront payments.

Cosign offers deposit coverage that:

• Reduces move-in costs for renters
• Protects landlords against property damage, unpaid rent, or skipped payments
• Speeds up the leasing process and fills vacancies faster
• Still pays claims quickly when losses occur
  

This is particularly helpful for:

• Freelancers with variable income
• Recent grads with student debt
• International renters moving without U.S. banking setup
• Retirees living off savings instead of a paycheck
  

In each case, deposit coverage reduces the friction—and increases the likelihood that the renter signs a lease and stays on track.

Why this matters now

Markets are more competitive than ever. Denying every applicant who doesn’t fit a conventional mold is no longer realistic—especially if you’re trying to boost occupancy or reduce marketing spend.

By using tools like lease coverage and deposit alternatives, operators can convert more applicants, protect their income, and reduce reliance on blunt screening filters that may no longer serve today’s renter landscape.

And the upside? You create a more accessible, flexible, and resident-friendly experience—without compromising your business goals.

Final thoughts: flexibility is the new risk management

Renting to non-traditional residents doesn’t mean loosening your standards. It means modernizing your strategy to reflect how people actually live and work today.

• Lease coverage lets you approve more renters without increasing default risk
• Smarter screening captures a broader picture of financial reliability
• Deposit alternatives remove leasing friction while still protecting your property
  

Together, these tools form a modern operating model for landlords who want to grow revenue, reduce risk, and tap into new resident segments confidently.

Want to see how operators are using Cosign to turn “maybe” applicants into amazing residents? Let’s talk.