Multiple applications, do I need an adverse action letter?

[Joe P.]

Hi all -- I have received multiple applications and have gone through the process of tenant screening, and want to select the best candidate (and deny others).

This property is in NJ. I want to let those folks know that we didn't accept their application, not because of any bad reason, just that we selected the strongest application based on all factors.

Do I require an adverse action letter for those denied applicants? Do I/should I take into consideration anything else before going down that path?

[Mike S.]

I understand some like to collect and select applications.  Personally it's bad faith taking an application without intent to rent it out to them.

My practice is: 1) Have concrete selection criteria 2) Process applications in the order they are received 3) First qualified applicant is accepted. 4) Stop processing apps 5) If accepted tenant puts in holding fee/deposit, refund application fee for any other tenant and tell them I accepted a previous application.