Can You Back Out After Applying for an Apartment?

The New York City apartment application process is exciting and stressful, but it can also be insightful. Sometimes, circumstances change after you’ve applied for an apartment. Perhaps you no longer need to move, or the lease reveals an unsightly condition that was not apparent during the apartment showing. If you’ve recently seen an apartment, submitted an application, and are now wondering if you can back out after applying, there is some good news. Until you sign the lease, you can back out of your apartment rental. 

Why Should I Back Out After Applying? 

Renting an apartment is a much faster process than purchasing a house. During the homebuying process, buyers have contingencies that guide the process. Buyers can acquire a property inspection, then decide whether to move forward with the sale or not based on the report. Buyers can also acquire other, more specific reports, like a bed bug inspection or a sewer scope inspection. However, apartment rentals do not offer inspections, and renters tour the unit once before signing a lease. There are still opportunities for renters to decide they do not want to move forward with signing the lease

Living Circumstances Change

Sometimes, renters may apply for an apartment, then learn that they actually do not need to rent that unit. There are plenty of possibilities for why this situation arises, but some examples include: 

  • Roommates decide to resign their current lease 
  • A digital nomad realizes they want to travel more 
  • Someone finds a different apartment that meets their needs 

New Red Flags or Scams

Not all apartment renting processes run smoothly. Sometimes, the landlord’s actions after the apartment tour can raise some red flags. 

Renters should watch out for scams and fraudulent listings and physically tour a unit before submitting an application or signing a lease. Landlords for standard residential rentals (excluding condos and co-ops) cannot charge more than a $20 application fee in NYC. Additionally, renters should not submit an application fee for an apartment before viewing the unit.

Lease Disagreements 

Sometimes, the landlord may provide a confusing or constricting lease. While most landlords use a standard lease template, others may include clauses that tenants do not agree with. For example, the lease could contain constraining clauses about: 

  • Pet fees 
  • Carpet regulations 
  • Mandatory quiet hours 

Carefully read the lease to ensure each term matches your imagined living scenario. If it’s your first time renting an apartment, take a moment to review the standard NYC lease before going into a lease signing. This way, you’ll immediately recognize clauses that do not match the expected terms.

If you get to the lease signing and do not agree with certain terms, ask the landlord if there is any wiggle room. Larger landlords typically do not alter their leases, but smaller ones may adapt the language to get the deal done. 

If you are uncomfortable with signing the lease, you can walk away from the apartment. 

Can I Cancel an Apartment Application? 

If you apply for an apartment, then decide you are no longer interested in renting the unit, contact your real estate agent or landlord immediately. Ask them to withdraw your application. Depending on the person, they may ask your reasons for excluding your application, or they may offer another unit if you’re still on the market. 

What Happens If I Sign the Lease? 

Signing the lease establishes the legal relationship between the landlord and tenant. Therefore, tenants will not have wiggle room to step away from the apartment after they sign the lease. 

However, there are still ways to get out of the lease or acquire a sublet. Tenants who have already signed the lease should research how to get out of a lease agreement. This process is more involved and requires communication between the landlord and tenant. 

How to Avoid Backing Out of an Application

While removing your application or stepping away from the lease is a relatively simple process, it’s still undesirable and can frustrate both landlords and tenants. Therefore, it’s important to streamline your apartment search and know what you’re looking for from the beginning.

Build Search Parameters

Before you begin your apartment search, take time to research different neighborhoods and determine where you want to live. Consider commuting to work, traveling to visit friends, and the actual energy of the area. 

Determine your budget by entering your total yearly income into a rent calculator. This tool uses the 40x income requirement that’s standard in New York City to determine how much you can afford to spend on rent monthly. Furthermore, take time to consider which amenities are essential to your living situation. However, it’s important to note that amenities do cost a premium, and renters will need to dig deeper into their pockets if they need an elevator building with laundry in the unit. 

Avoid Rental Scams

Save the headache and avoid touring a potential rental scam in the first place. Use a verified online search platform, like RentHop, to ensure you view real apartments. Users on RentHop must complete a verification process to prove they are able to advertise listings. 

If someone asks for money up front, it is a clear sign of a scam. Renters do not need to pay to view an apartment; they will not pay an application fee for an apartment before viewing the unit. As of 2019, there is also an application fee cap of $20. Those who decide to apply for an apartment that is not a condo or co-op will not pay more than $20 per person. 

Conclusion

Circumstances change, and sometimes, renters do not want to rent the apartment they originally applied for. Luckily, up until you sign the lease, you have the freedom to walk away from the application process without any consequences. Renters are not locked into a lease until they sign the actual paperwork, meaning they can decide not to sign at the last minute. Take time to review the application process and the lease to determine if there are any red flags. 

Allyson Waddell
Allyson Waddell
Allyson Waddell is the Vice President of Client Success at RentHop. Her blog contributions include tips for renters, helpful information for advertisers, and data studies that cover national and regional real estate trends.

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