Texas Tenant Rights

When submitting a residential tenant application in Texas, one must be aware of the laws which govern the application process. In particular, applicants should be aware of an applicant’s rights against discrimination, the duties of the landlord, and an applicant’s obligation to pay an application fee or deposit. The following is an overview of the laws which govern each of these important aspects of residential leasing.

Both the Federal Fair Housing Act and the Texas Fair Housing Act prohibit a landlord from discriminating against a tenant or potential tenant because of race, national origin, color, religion, sex, familial status, or disability. In addition, many cities have passed similar local ordinances as well. Although cities may not minimize the protections provided by the Fair Housing Acts, they are permitted to provide additional protections for the city’s residents. As such, if you feel you have been discriminated against as a potential or current tenant, you should check for local ordinances passed in your city which may afford you additional protections against discrimination.

When a residential landlord provides an applicant with a rental application, the landlord is required to provide the applicant with written notice of the landlord’s eligibility criteria—a description of the criteria on which the landlord will base its decision to accept or reject the tenant. Typically, the tenant selection criterion includes the applicant’s criminal history, rental history, credit history, and current income.

This requirement cannot be waived by an applicant, and any provision in an application purporting to do so will be deemed void. If a landlord rejects an applicant without having provided them the required written notice of criteria, the landlord will be required to return everything the applicant gave to them, including the application fee, which is typically non-refundable.

Landlords typically require applicants pay both an application fee and an application deposit.

Application fees are generally non-refundable. They are intended to reimburse the landlord for the cost of processing an application and determining an applicant’s eligibility based on certain criteria such as credit score, criminal history, rental history and current income. Landlords are usually charged for requesting an applicant’s credit score and criminal history therefore the application fee is meant to cover that cost.

Application deposits are refundable. They are intended to be a form of insurance that the applicant intends to sign a lease if the landlord finds them acceptable. Applications typically provide that the applicant forfeits their application deposit if they decline to sign a lease after being approved by the landlord. On the other hand, if the landlord rejects the applicant, they must return the application deposit. If the landlord fails to return the application deposit following the rejection of an applicant, the applicant should send a formal demand (ie., certified letter) to the landlord. If the landlord fails to respond, the applicant is entitled to pursue legal action.