One of the biggest complaints renters have when applying for a rental is running around town paying multiple application fees.
AB 2493 changes how application fees are handled in California. A landlord or property manager can only collect applications and fees if they have a rental property available or about to be available.
Once that requirement is met, there are two ways to screen applicants. First, landlords must provide the application along with screening guidelines. This includes minimum credit scores and income requirements.
They must choose the first applicant who meets these standards. Any additional applicants who meet the criteria but are not chosen must be refunded their application fee.
Alternatively, landlords who prefer to choose the best applicant can do so, but they must refund application fees to all renters they do not select.
Even if an applicant does not meet screening requirements, they are entitled to a refund under this method.
Security Deposits and Photo Documentation
Many renters ask about security deposits and how much is returned. AB 2801 now requires landlords to provide more photographic evidence when withholding security deposit funds.
Starting in April 2025, landlords must include a written description of deductions and photos of the rental before move-out and after repairs and cleaning.
By July 1, 2025, landlords will also need to take photos at the beginning of the tenancy, typically when the tenant takes possession. This means landlords must have at least three sets of photos to deduct from a security deposit legally.
Credit Reporting, Evictions, and Other Changes
A new law allows tenants to request landlords to report rent payments to credit bureaus. AB 2747 outlines positive credit reporting requirements, giving renters an option to build their credit.
Landlords must offer this option and may charge up to $10 per month for it. New leases after April 1, 2025, must include this option, while existing tenants must be offered it by that date.
SB 611 prevents landlords from charging a fee for posting a notice to terminate a tenancy. Whether it’s a 60-day no-fault notice or a three-day notice to pay rent, landlords can no longer charge tenants for posting these notices.
AB 2347 extends the time renters have to respond to an unlawful detainer (eviction notice). Before January 1, 2025, tenants had five court days to respond. Now, they have 10 court days, plus an extra five if served by mail, making it a total of 15 court days. This gives renters more time to address eviction proceedings.