A California rental application form helps a landlord choose a prospective tenant who is well suited to rent a particular property. The form requests personal and employment information plus consent for a credit check (sometimes called a consumer report). Applications often collect a non-refundable fee, commonly equal to the cost of getting the relevant screening reports.
California Rental Application Laws
California caps rental application fees. The landlord must refund any portion of an application fee that was not spent on actual screening costs, and the maximum a landlord can charge regardless of cost is also capped. The total varies, but as of 2023, is $63.70.
Rental applicants in California also have certain additional rights related to their application:
- For property that isn’t available to rent reasonably soon, applicants can only be charged for screening if they agree in writing
- When paying for a rental application, they must receive a written and itemized receipt of costs from the landlord
- If the landlord obtains a consumer credit report as part of screening, the applicant has the right to receive a copy
Quick Guide To Process a California Rental Application
After receiving a California rental application, most landlords use the following process to evaluate the potential tenant:
- Verify Credit – Order a credit report for the potential tenant; a score of 600-650 is a common minimum requirement. A credit report can be as simple as a “pass/fail” result or can have comprehensive details, including criminal history. (NOTE: a credit report requires the tenant’s written and signed consent, on the application or separately)
- Verify Income – Check the potential tenant’s employment status and pay scale. This can be done through recent pay stubs and/or contacting the potential tenant’s employer.
- Check Rental History – Contact previous landlord(s) to confirm a potential tenant has in the past been a good renter and neighbor.
- Check Eviction History – Verify the potential tenant has honestly disclosed the details of any past evictions. An eviction check usually covers a longer period (previous 7 years) than a rental history check (previous 3 years).
- Check Criminal History – Confirm the potential tenant’s reporting of any criminal history, especially including a check of criminal databases like sex offender registries. (Note that local regulations may vary: for example, Berkley and Oakland prohibit certain criminal background inquiries in a rental context)
- Provide a Response – Approve the application if it’s a good fit, or, if rejecting the application, draft an appropriate adverse action notice to limit liability.
Checking Eviction History in California
California eviction cases are matters of public record which anyone can access. While third-party services often automatically check eviction history as part of a screening report, this also can be checked manually, with the following process:
- Visit the California Court Directory and select the relevant superior court jurisdiction (or multiple, if unsure)
- Navigate to the “Civil” court division and find the “Portal” option, often located on the case information page
- Conduct a search using the applicant’s name and other filtering criteria as relevant, noting any cases of “Unlawful Detainer” (California’s formal term for evictions)
Restrictions on California Rental Application Questions
The sample rental application provided on this page complies with federal law restricting the information a landlord can request. In general, it’s illegal under the Federal Fair Housing Act to screen tenants by asking for information about the following, or using these as a basis for approving or denying an application:
- Race
- Color
- National origin (nationality)
- Religion
- Sex (including sexual orientation and gender identity)
- Familial status (i.e., having or not having children)
- Disability (whether physical or mental)
California state law also adds protection for categories including the following:
- Age
- Primary language
- Immigration status
- Medical status
- Marital status
- Military status
- Public/rental assistance status (including the use of income metrics when the tenant can provide alternative evidence of ability to pay)
There are narrow exemptions for things like senior housing or certain very-small scale landlords, but local regulations may still apply. Always consult an attorney before attempting to ignore local, state, or federal requirements.
Rejecting an Application: Adverse Action Notice
When taking an action which may disadvantage a potential tenant, a landlord may have to provide an adverse action notice informing the tenant about the decision (sometimes called a “conditional approval,” if the application is approved subject to meeting additional conditions). Federal regulations require an adverse action notice whenever a landlord collects a credit report and takes one of the following actions:
- Rejecting the potential tenant’s application
- Adding a requirement for someone to co-sign the potential tenant’s lease
- Demanding a larger security deposit than before, as a condition for renting
- Asking for higher rent after receiving the report
Important Features of an Adverse Action Notice
An adverse action notice must contain the following details:
- Note that the landlord took adverse action based on information in a consumer credit report
- Details of the consumer reporting agency
- Note that the landlord decided the adverse action, not the agency
- Declaration of the applicant’s right to a copy of the consumer credit report
- Declaration of the application’s right to dispute the report within 60 calendar days
While not legally required, it also is expedient for a landlord to explain the reasons for the adverse action, since this establishes a written record of issues with the application.
For an example, see this tenant rejection letter template.
Fees in California
California has the following regulations on fees relating to a new rental:
- Rental Application Limit: Variable based on a $30 cap in 1998 dollars plus CPI; total is $63.70 as of 2023
- Security Deposit Limit: Two months’ rent (unfurnished units) or three months’ rent (furnished units)
- Pet Fee Limit: No cap, but must be “reasonable” in amount and must be refundable outside of actual, validly deducted costs
Local jurisdictions may impose stricter regulations than the statewide standard. Always check local laws.
Sources
- 1 Cal. Civ. Code 1950.6(b)
-
The amount of the application screening fee shall not be greater than the actual out-of-pocket costs of gathering information concerning the applicant, including, but not limited to, the cost of using a tenant screening service or a consumer credit reporting service, and the reasonable value of time spent by the landlord or his or her agent in obtaining information on the applicant. In no case shall the amount of the application screening fee charged by the landlord or his or her agent be greater than thirty dollars ($30) per applicant. The thirty dollar ($30) application screening fee may be adjusted annually by the landlord or his or her agent commensurate with an increase in the Consumer Price Index, beginning on January 1, 1998.
Source Link - 2 Cal. Civ. Code 1950.6(c) - (f)
-
(c) Unless the applicant agrees in writing, a landlord or his or her agent may not charge an applicant an application screening fee when he or she knows or should have known that no rental unit is available at that time or will be available within a reasonable period of time.
(d) The landlord or his or her agent shall provide, personally, or by mail, the applicant with a receipt for the fee paid by the applicant, which receipt shall itemize the out-of-pocket expenses and time spent by the landlord or his or her agent to obtain and process the information about the applicant.
(e) If the landlord or his or her agent does not perform a personal reference check or does not obtain a consumer credit report, the landlord or his or her agent shall return any amount of the screening fee that is not used for the purposes authorized by this section to the applicant.
(f) If an application screening fee has been paid by the applicant and if requested by the applicant, the landlord or his or her agent shall provide a copy of the consumer credit report to the applicant who is the subject of that report.
Source Link