An Ohio Rental Application is a form used by landlords and property managers to screen and vet potential tenants to determine whether they are reliable and able to pay rent on time for a specified rental property.
A standard application allows a landlord to check rental, credit, and employment history and screen for red flags like criminal history (via a background check).
Laws
- Application Fee – Non-refundable
- Fee Limits – No limits
- Security Deposit – § 5321.16(a) – No statutory limit, but landlords must pay 5% annual interest on deposits over $50 or one month’s rent if the tenant stays for over six months.
Application Fee
Landlords are not required to return fees; therefore, applicants should consider them non-refundable.
Other fees may be involved in processing a rental application, but security deposits are not one of them. A security deposit is not a fee but a deposit a landlord collects, usually upon signing a lease agreement.
This deposit covers damages tenants may do to the rental property.
Just like Ohio statutes do not mention the maximum amount for a fee, they do not specify any maximum amount for rental security deposits.
Fair Housing Protections [1]
- Protected Classes: Race, Color, Sex, Familial status, National origin, Disability, Religion, Ancestry, Military status, and Pregnancy. [2]
- Exemptions: Housing by religious organizations/private clubs, housing for the elderly, housing unavailable if a renter/buyer poses a direct threat. [3]
Security Deposit Limits
- Limit: There are no specific statewide limits on the amount a landlord can charge for a security deposit. This means landlords can set the security deposit amount based on their discretion. However, it is common practice for security deposits to range from one to two months’ rent. [4]
- Separate Account: While not explicitly required by state law, it is advisable for landlords to keep security deposits in a separate account to avoid commingling with personal funds. This practice helps in maintaining clear records and ensuring the deposit is available for return.
- Interest on Deposits: For security deposits over $50 or if the tenant lives in the property for more than six months, Ohio landlords must pay interest on the deposit. The interest rate is 5% per annum.
- Return of Security Deposit: Landlords must return the security deposit within 30 days after the tenant vacates the property. The return must include an itemized list of any deductions for damages beyond normal wear and tear, unpaid rent, or other justifiable expenses.
- Written Notice: Tenants must provide a forwarding address to the landlord to facilitate the return of the security deposit. If the tenant does not provide a forwarding address, the landlord is not required to return the deposit until an address is received.
Pet Deposit
There is no statutory limit on the amount that can be charged for a pet deposit. Landlords are free to set this amount, which is often based on the type and number of pets, as well as the potential for damage.
Timeframe to File Complaint
To file a timely rental complaint, a charge of housing-related discrimination must be filed within one year after the act of discrimination was committed. [5]
Investigation Procedure
After filing a discriminatory housing practice charge, the Ohio Civil Rights Commission has thirty days to begin the investigation. [6]
If you are an international student looking to rent or a person without a social security number, don’t sweat!
Nonresident aliens (those legally in the US not intending to settle permanently) may use an Individual Taxpayer Identification Number (ITIN) issued by the IRS as an alternate form of identification on applications.
Landlords should remember that it is illegal under the Fair Housing Act to refuse to rent to persons without a social security number.
Authorization for Background Check
Landlords should conduct a background check on their applicants to ensure they know their criminal history and whether they are on any registries. A background check authorization form can be used to obtain consent from the applicants to conduct a credit and criminal history search.