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RNB / CALIFORNIA OWNER GUIDE
Updated November 1, 2026

Screening Tenants in California: Fees, Income and Fair Housing

A fair process starts before the first application. Know your fee route, use written criteria and make the next step clear.

Get the free owner cheat sheet ↓
A property manager talking with two rental applicants at a table Clear criteria. Consistent decisions. A more welcoming process.
APPLICATION FEES / CHOOSE A ROUTE

One fee decision. Two different paths.

Owners may collect a screening fee only with either of these two paths.

Civ. Code 1950.6 ↗
OPTION 1

Review in the order received

Review completed applications first come, first served under written screening criteria.

Completed applications. Written criteria. A consistent order.

OPTION 2 · ALTERNATIVE ROUTE

Refund everyone not chosen

Refund every applicant not chosen by the earlier of these two deadlines:

7 days

after choosing a tenant

OR
30 days

after applying

Whichever comes first, not whichever you prefer.

FAIR HOUSING / CRITERIA, NOT ASSUMPTIONS

Screen the application. Keep the process fair.

Income: the source is protected

You cannot reject an applicant because their income comes from a housing voucher, benefits, a trust or support. You may use an equally applied income standard.

Tenant share, not total rent.

With a government rent subsidy, base the income standard on the tenant’s share of rent only, not the total advertised rent.

Criminal history: individual review

No blanket “no criminal record” ban.

A blanket ban is prohibited. Only a directly related conviction, judged individually for each applicant, may be used.

Gov. Code 12955 ↗
FROM THE DECISION TO THE LEASE
CREDIT & SCREENING REPORTS

A denial or a worse deal? Put the notice in writing.

If a denial or less favorable terms are based even partly on a credit or screening report, a written adverse action notice is required.

  • Name the reporting agency.
  • Explain the right to a free copy within 60 days.
  • Explain the right to dispute the report.
Civ. Code 1785.20 ↗
ON-TIME RENT REPORTING

Offer the option. Let each tenant choose.

Most owners must offer each tenant the option to report on-time rent to a nationwide credit bureau at lease signing and at least annually. The offer is not mandatory tenant enrollment.

15 or fewer units? Check who owns it.

Buildings with 15 or fewer units are exempt unless the owner is a REIT, corporation or corporate-member LLC owning more than one residential building.

Civ. Code 1954.07 ↗
A property manager showing a California home to two prospective tenants
WITH RNB IN YOUR CORNER

Good screening is a process, not a hunch.

When RNB manages your rental, we screen applicants using the same written criteria each time. Fee, notice and fair-housing rules are embedded in the process.

Talk to us about your rental or call (916) 435-2424
THE SHORT ANSWERS

Before the next application lands.

Can I charge an application fee?

Only with one of two paths: review completed applications first come, first served under written criteria; or refund every applicant not chosen within 7 days of choosing a tenant or 30 days of applying, whichever comes first.

Can I turn down a housing voucher?

Not because of the income source. With a government rent subsidy, apply the income standard to the tenant's share of rent only.

Can I require a clean criminal record?

No blanket "no criminal record" ban. Only a directly related conviction, assessed individually for each applicant, may be used.

Keep the everyday reference close. Get the owner cheat sheet by email →
A PRACTICAL TAKEAWAY

Free: California Owner Cheat Sheet

The deadlines, caps and notice periods California rental owners need most, on one page.

For rental property owners. We will email you the link and a member of our team may call about your rental.

General information about California law, not legal advice. City rent control and local rules can change the answer. Updated November 1, 2026. RNB Property Management, DRE license #01900856.

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