2) Get a secured credit card so you at least have a file when they run your credit check. I'm sure you can find guides on how best to do this as a foreign citizen. If you don't have family or close friends here you could be out of luck. But if you do, you could easily have the card shipped to them and allow them to use it for things occasionally to help you get a credit rating.
US Credit ratings (FICO scores) are heavily weighted on revolving (credit card) accounts, not so much installment accounts, so don't worry about those.
Doing these things will help you immeasurably. Pulling credit is as much about identity verification as it is credit risk.
If you can't, remember: There are a TON of people with bad credit everywhere. They're not homeless. You will just have to be tenacious about it.
When you are trying to rent an apartment, yes. If you are trying to buy a cell phone or get a Mastercard or buy a car or a house, it's just the opposite: there's nothing worse than no credit.
If you have no credit, you can get a secured credit card and have a 650-700 fico in a few months. You'll have a thin file so don't expect a mortgage or anything, but in a year or two even that will be no problem.
Bad credit? You can do a lot to clean it up before the 7 years are up, but ive seen this in my own family and it's really a waiting game for bad entries to age off your report.
And anecdotally, which would you prefer to lend to: somebody with no track record, knowing the average American has a 650+ credit score, or somebody who has bad credit and a proven history of not repaying obligations.
I have no credit report, in spite of living 35 years in the USA. My friends with bad credit and bankruptcies can buy cell phones, rent expensive things, get apartments, get mortgages, and deal with other life activities much more easily than I can.
So there's your answer: you'd rather lend money to the known deadbeat than someone with no credit history.
I think you should consider that probably the largest reason you have so much trouble is that they cannot use your credit profile to verify your identity.
You can fix that very easily. You don't have to have a line of credit to get into their database. All you have to do is apply for one. That inquiry will be reported, you will have a credit file, and from then-on to whomever is pulling your credit it won't look as though you just made-up a 9 digit number in place of a real social security number.
The best way to do this will be to apply for credit some place in-person, like a bank.
So I'll reiterate: Having no credit is a much better position than having bad credit.
It's going to be very tough because you will be competing against a ton of people with a US credit rating. The best chance is to go with a larger apartment rental company like Avalon that has the capacity to check a foreign country. You will pay a lot more, but that's likely your best bet.
If you have a hard time getting a place, you should also strongly consider places outside of SF.
That's what I did back in 2000 when I moved to SF. Also be prepared to pay a deposit on utilities. My biggest issue turned out to be cellphones where I had to go pre-paid.
Not sure if this is still the case.
My partner has had Comcast flat out refuse to offer internet service in Seattle because of lack of credit history. Qwest/CenturyLink didn't seem to mind quite as much.
I'd recommend either finding a sublet or a group of people with an existing lease who are seeking a new roommate. This will give you some time to build your credit score and learn the neighborhoods before you sign your own lease.
I had the same problem a year ago. For the apartments you really like, send in a cover letter with your application explaining your situation and offering more references and a larger deposit. I was really desperate and even put in my resume into the application (which had a bunch of fancy sounding NLP/CS terms). Ended up getting a studio in Pacific Heights.
I had the same problem. I eventually got a place by (a) having a good offer letter in hand and (b) agreeing to sign a two year lease. Oh, and I had already agreed (along with a few other applicants) to an extra $100/mo over the original price quoted on craigslist. It was the 2 year lease that tipped the balance for me, since I assume anyone who didn't have the credit history disadvantage turned that down flat.
-Citibank has a immigrant credit card with proof of employment, ~$3000 ish in a US bank account for ~3months OR ~$5000 in a non us account for 5 months, and an SSN. It gives a good credit limit.
-Capital One has a 'newcommer' card that gives a $500 limit with any near blank new SSN online, instantly.
-Bank of america has one for canadians, most retail bankers don't know about it. The one by stanford mall did.
I did this in October 2008 so the economic climate was radically different. But, a property management company did accept a copy of my Canadian Equifax report and my offer letter. Get your credit established as soon as you can, easiest was a secured credit card.
You probably look to rent in Oakland instead. Rockridge and Lake Merritt are very nice areas (Rockridge being my preference, as there seems to be less property crime, and I lived there for six years).
