Lease Cosigner Agreement
When a tenant has thin credit or income below the landlord's standard, a cosigner — usually called a guarantor in leases — promises to pay if the tenant does not. A guarantor agreement is what makes that promise enforceable. Without it, a parent's signature in the margin of a lease may be worth much less than the landlord thinks.
A guarantee that was never really signed
Guarantors often live far away, so landlords accept a scanned page or a promise by email. When the tenant stops paying, the landlord discovers the guarantee is vague about what it covers, or that the guarantor never signed the final lease. Courts read guarantees narrowly, and the promise to pay someone else's debt must be in writing.
What the template covers
What the guarantor covers
Rent, fees, damages and legal costs, and whether the guarantee extends to renewals.
For how long
The lease term, and whether it continues into renewals or month-to-month periods.
Identity verified
Require ID verification so the guarantee is tied to the right person.
Signed from anywhere
The guarantor signs online from their own phone, in any state.
Why the writing requirement matters
Every state has a statute of frauds requiring a promise to answer for the debt of another to be in writing and signed by the person bound — California Civil Code § 1624(a)(2) is one example. That is why a guarantor agreement needs a clear, signed writing that identifies the obligation. The federal FTC Credit Practices Rule's cosigner notice (16 C.F.R. § 444.3) applies to consumer credit, not typically to residential leases, but many landlords include a similar plain-language warning. The Electronic Signatures in Global and National Commerce Act, 15 U.S.C. § 7001, provides that a signature, contract or record may not be denied legal effect solely because it is in electronic form, and every state except New York has adopted the Uniform Electronic Transactions Act; New York reaches the same result through its Electronic Signatures and Records Act.
A guarantor three states away
A landlord in Chicago required a guarantor for a student tenant whose parent lived in Florida. The parent signed the guarantor agreement online with ID verification the same evening. When rent fell behind the next spring, the signed guarantee made collection a phone call rather than a lawsuit.
What a guarantor agreement should include
- Names of the landlord, tenant and guarantor, and the lease it guarantees.
- The obligations guaranteed: rent, fees, damages and collection costs.
- Whether the guarantee covers renewals and holdover periods.
- Any cap on the guarantor's liability, if agreed.
- The guarantor's signature and identity verification.
Questions people ask about this
What is the difference between a cosigner and a guarantor?
In leases the terms are often used interchangeably. Technically, a cosigner signs the lease as a tenant, while a guarantor promises to pay if the tenant does not.
Does a guarantor agreement need to be in writing?
Yes. Statutes of frauds require a promise to pay another's debt to be in a signed writing.
Can a guarantor sign electronically from another state?
Yes. An e-signature is valid under the ESIGN Act regardless of where the signer is.
Does the guarantee cover lease renewals?
Only if it says so. Write it explicitly if you want it to.
Can a guarantor be released early?
Only if the landlord agrees in writing. A tenant's improved credit does not end the guarantee automatically.
Is a guarantor responsible for damage as well as rent?
Only if the agreement says so. Most guarantees cover rent, fees, damages and collection costs, but it must be written.
Should the guarantor get a copy of the lease?
Yes. A guarantor should see exactly what they are guaranteeing; attach the lease to the agreement.