How Much Are Application Fees For Apartments?

Application fees are collected by a landlord/property management team when prospective tenants submit an application for a rental unit. Typically, this payment will be used to run extensive tenant screening reports. The average application fees will cost between $30-$75 per person.

Average Application Fees For Apartments

Because property owners can only get these reports through third-party companies, they will charge prospective tenants a rental application fee to cover this cost. As mentioned, most application fees will fall between $30-$75, according to Azibo. However, some states like Arizona feature no cap on application fees.

All landlords need to be very clear when they are charging a nonrefundable fee by putting it in writing. If a landlord never put it in writing that your application fee was nonrefundable, you have the right to request your money back.

*Eagle Ridge Apartments in Peoria, AZ currently charges an application fee of $50 per person. Contact our team today to learn more!

What Are Application Fees Used For?

Apartment application fees will ultimately help a property owner assess whether or not an applicant will make a good potential tenant. Landlords will use this fee to obtain background and credit checks, income verification, eviction reports, and other relevant information.

Depending on the specific state, landlords may have to provide applicants with a detailed list of how your application fee was used. The majority of landlords have a standard process when it comes to tenant screening.

Landlords will usually perform the following checks:

• Employment history.
• Income verification.
• Addresses.
• Verification of applicant’s personal information.
• Credit checks.
• Criminal records. 
• Past evictions.

Differences Between An Application Fee And A Security Deposit

Rental application fees are used to cover the cost of processing said application, including full background and credit checks. Typically, this fee will be nonrefundable.

Security deposits are usually refundable payments held by the landlord to cover for any damages and/or unpaid rent during the tenancy. This deposit will be returned to the tenant at the conclusion of the lease. The landlord has the right to make any deductions for damages beyond normal wear and tear.