Vermont Rental Application Form

Last Updated: November 28, 2023 by Roberto Valenzuela

Vermont rental application form_1 on iPropertyManagement.com

A Vermont 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.

Vermont Rental Application Laws

Vermont prohibits charging any fee for a residential rental application, but landlords may charge a potential tenant the actual cost of doing a background check.

Quick Guide To Process a Vermont Rental Application

After receiving a Vermont rental application, most landlords use the following process to evaluate the potential tenant:

  1. 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)
  2. 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.
  3. Check Rental History – Contact previous landlord(s) to confirm a potential tenant has in the past been a good renter and neighbor.
  4. 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).
  5. Check Criminal History – Confirm the potential tenant’s reporting of any criminal history, especially including a check of criminal databases like sex offender registries.
  6. 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.

Vermont 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 can also be checked through the Vermont Public Record Smart Search manually, for free, with the following process:

Restrictions on Vermont 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)

Vermont also protects some additional categories under state law, such as age, marital status, public/rental assistance status, and victim status. There are narrow exemptions from the 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 scope-of-inquiry regulations.

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 Vermont

Vermont has the following regulations on fees relating to a new rental:

  • Rental Application Limit: No fee allowed (except for passing on the actual cost of a background check)
  • Security Deposit Limit: No cap
  • Pet Fee Limit: No cap

Local jurisdictions, such as Burlington, impose stricter regulations than the statewide standard. Always check local laws.

 

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