Guide To Rental Applications in New York [+Free Template]

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DISCLAIMER

This article provides general information and is not legal advice. For accuracy and specific guidance on landlord-tenant laws, consult an attorney before making any decisions or taking action.

Overview

DEPOSIT

RENT CONTROL

NOTICE OF ENTRY LAWS

RE-KEYING LAWS

RENTAL AGREEMENT

LATE FEES & GRACE PERIODS

SMOKING LAWS

PET LAWS

Rental applications are essential for landlords when evaluating new tenants for a vacant rental property. These application forms typically include questions about a tenant’s personal, residential, and financial background to help you determine if they meet your screening criteria. 

However, it's important to be aware of the laws that govern the evaluation of prospective tenants. These regulations ensure fairness and transparency in the rental process, addressing application fees, requirements, screening reports, and tenant rights.

This article will provide comprehensive information that landlords need to know before creating a New York residential rental application. Additionally, we will offer useful resources and templates to assist you throughout the process.

What is a New York Rental Application?

A New York rental application is a form that landlords use to screen potential tenants for their rental properties. This application collects essential information about the applicant's personal background, financial situation, and rental history. The collected information helps landlords assess whether the applicant is creditworthy and capable of reliably paying rent.

Typically, a New York rental application includes questions regarding the applicant’s personal details, financial information, rental history, references, and intended occupancy. However, landlords must adhere to specific laws governing rental applications in New York.

For example, according to New York State Real Property Law § 238-a, landlords are limited to charging a maximum application fee of $20. Additionally, if an applicant provides their own recent background or credit check, the landlord is required to waive this fee. 

What To Include in a Rental Application

When creating a rental application form in New York, landlords should include the following information to meet the requirements to rent an apartment in New York:

  • Applicant’s Personal Information: Collect the applicant's first and last name, phone number, email address, residential address, proof of identification, and inquire about pet ownership or smoking habits.
  • Proof of Income: Acceptable forms of proof of income include pay stubs, W-2 forms, bank statements, 1099 forms, letters from employers, and workers’ compensation letters.
  • Employment History: Request details about the applicant's employment history, whether they are full-time, part-time, or self-employed.
  • References: To gain further insight into applicants—especially those who cannot authorize screening reports due to a lack of a Social Security Number or Individual Taxpayer Identification Number—ask for personal references, credit references, or landlord references.
  • Tenant Screening Reports: In New York, landlords can request tenant screening reports such as credit reports, background checks, and eviction histories, provided the applicant has given written consent.
  • Co-signer or Lease Guarantor Application: If an applicant needs a co-signer or lease guarantor for their application to be approved, it is advisable to request an additional rental application. This helps ensure that the co-signer meets your income requirements in case the original applicant cannot afford the rent.

Free Rental Application Resources 

New York Rental Application Laws And Requirements 

Below is an overview of some key New York rental application laws property owners should know while creating rental applications.

Maximum Rental Application Fee New York 

In New York, rental application fees are governed by the New York State Real Property Law § 238-a. This law sets a maximum application fee of $20. Additionally, landlords are required to waive this fee if the applicant submits their own recent background check or credit report conducted within the past 30 days.

Security Deposit Limits New York

In New York, security deposit amounts are strictly regulated to protect tenants. 

For most residential leases, landlords may charge a security deposit of no more than one month's rent for unfurnished apartments and two months' rent for furnished apartments. This regulation is designed to prevent landlords from placing excessive financial burdens on tenants at the beginning of their leases.

Fair Housing Compliance

Federal and state fair housing laws prohibit discrimination in housing rentals based on various factors, including race, color, religion, national origin, sex, disability, and familial status.

The Federal Fair Housing Act specifically prohibits discrimination against individuals based on these characteristics. In addition, the New York State Human Rights Law expands these protections to include age, marital status, military status, sexual orientation, gender identity, and lawful source of income.

Moreover, the New York City Human Rights Law further addresses additional factors such as gender, citizenship status, partnership status, and lawful occupation.

Required Disclosures in Rental Applications New York

Landlords in New York are required to disclose a variety of important information during their application to rent in New York. This ensures transparency and compliance with state laws, protecting both landlords and tenants. 

Here’s an overview of some of the disclosures that must be included in a New York residential rental application.

  • Security Deposit Storage Details: The name and address of the financial institution where the landlord holds security deposits.
  • Sprinkler System Information: Whether the rental unit is equipped with a sprinkler system, along with the date of its last inspection.
  • Indoor Air Quality: Any known issues related to indoor air contamination within the rental unit.
  • Tenant Modification Rights: Information regarding tenants' rights to request reasonable modifications to the unit.
  • Anti-Discrimination Notice: A notice outlining laws that protect tenants from discrimination based on their lawful source of income.

Credit and Background Check Laws New York

There are several state and federal law that governs credit and background checks in New York. These laws are designed to protect the rights and privacy of tenants during their application to rent New York. 

Under the Fair Credit Reporting Act (FCRA), landlords must obtain explicit written consent from applicants before accessing consumer reports, which include credit histories and criminal background checks. Additionally, the act states that landlords have a responsibility to protect any personal information collected during screening. 

New York also recently passed a new law called the Fair Chance for Housing Act, which was enacted on December 20, 2023. This legislation changes how landlords handle criminal background checks during tenant screening. Specifically, it prohibits landlords from inquiring about an applicant’s criminal history until a conditional housing offer has been made.  

Verifying Employment and Income

Landlords typically require prospective tenants to provide proof of income as part of the rental application process in New York. This requirement helps landlords assess whether an applicant can reliably afford to pay rent. 

Here’s an overview of how to verify income during the rental application process:

  • Request Recent Pay Stubs: Ask for two to three recent pay stubs from the applicant. These should clearly display the applicant’s name, their employer’s name, and year-to-date earnings. This documentation helps ensure consistency in income.
  • Employment Documentation: If an applicant is starting a new job and cannot provide pay stubs, request an offer letter or employment confirmation that includes the applicant’s salary, the company’s letterhead, and its address.
  • Review Bank Statements: Request two recent bank statements to gain insight into the applicant’s monthly deposits. This can be particularly useful for those who may not have pay stubs.
  • Tax Documents: Tax documents, such as W-2 forms for employees or 1099 forms for self-employed individuals, can provide a clear picture of an applicant's earned income for the year.
  • Invoices for Self-Employed Applicants: For self-employed individuals, ask for two to three recent invoices to gauge their earnings over the past couple of months.
  • Proof of Additional Income: Consider other sources of income, such as housing vouchers, child support, alimony, Social Security, Supplemental Security Income (SSI), or investment income. Request documentation that verifies these amounts.

It’s important to note that some states have laws against income discrimination, meaning landlords cannot deny a rental application based solely on how an applicant earns their income. 

How To Collect Rental Applications in New York

There are mainly two methods landlords collect rental applications in New York, either through paper or online rental application forms.

Paper Forms vs Online Forms

Paper forms provide an accessible option for applicants who may lack internet access or have limited technical skills. They also offer a familiar format for many landlords, especially those who prefer traditional methods. These forms can be easily downloaded online as rental application templates, allowing landlords to print them for prospective tenants.

On the other hand, landlords can utilize online rental application platforms to streamline the application process in New York. This approach is often more effective than paper forms, ensuring faster turnaround times, better organization, and improved legibility of applications.

A great example of property management software is Landlord Studio, which enables landlords to effortlessly create and distribute online applications while collecting application fees. This all-in-one platform also assists with tenant screening reports, rent collection, and tax reporting—all at an affordable price. 

Conclusion: Rental Applications New York

The best practice for managing rental applications is to ensure that your application forms comply with both state and federal laws. It's also important to stay informed about any changes to these regulations, as they can evolve over time.

The good news is that the New York rental application process can be made easier and more efficient with property management tools like Landlord Studio. This software helps streamline the collection of applications and fees while ensuring compliance with relevant laws.

New York Landlord Tenant Law Resources

New York Rental Application FAQs

How Long Does It Take to Process a Rental Application in New York?

The processing time for a rental application in New York can vary significantly depending on the applicant. Some may submit their applications the same day, while others might take up to a week.

Are Tenant Screening Reports Allowed in New York?

Yes, tenant screening reports are permitted in New York, provided that the applicant has given written consent beforehand. However, it is illegal to use rental applications or screening reports in a manner that discriminates against individuals based on protected characteristics. 

Therefore, it is crucial to ensure that your screening criteria comply with New York State Human Rights Law and Fair Housing laws.

What Are New York Rental Application Fee Laws?

Under New York landlord-tenant laws, landlords cannot charge more than $20 for background and credit checks. You can create an account with Avail to request individual reports or bundle them together for rental applications. The fees for these reports will not exceed the local limits, making it easier to comply with local regulations.

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