Fees for Rental units

[Agustin Rossi]

How do application fees work for rental units? What are some examples? Do tenants get this money back if they get accepted as tenants and not if they do not get accepted? I know one example of these fees is late rent and another one is for screening them to see if they are a good tenant to occupy my property, but any other fees are there? Thanks

[Nathan Gesner]

Quote from @Agustin Rossi:

How do application fees work for rental units? What are some examples? Do tenants get this money back if they get accepted as tenants and not if they do not get accepted? I know one example of these fees is late rent and another one is for screening them to see if they are a good tenant to occupy my property, but any other fees are there? Thanks

The application fee should be used to cover the cost of the background check. In my office, we conduct a full credit/criminal background check. The price for that report is $20 per person. Then we take time to review proof of income documents, picture ID, check landlord references, etc. I charge $30 for the entire thing, so it's certainly not a money maker.

My policy is that application fees are not refundable, period. Why? Because once I order the credit/criminal background, the money is spent and I can't get it back.

I am very clear about the no-refund policy in my marketing and at the top of every application. I occasionally get a complaint, but it is what it is.