Jersey City Renters Target Fees on Housing Applications

Affordable housing applicants in Jersey City say they’re being squeezed before they even move in and they want the city to step in.

Tenants are pressing officials to eliminate application fees for affordable apartments, which can run anywhere from $30 to $150 per try, Gothamist reported. With hundreds of renters vying for just a handful of units, applicants spend hundreds of dollars only to walk away empty-handed.

The issue is landing squarely in the city’s heated mayoral race. Hudson County Commissioner Bill O’Dea, one of several candidates, pledged to ban such charges if elected. He told Gothamist he would issue an executive order blocking developers who receive city subsidies from collecting application fees and push for a broader ordinance.

O’Dea also floated creating a centralized database and standard application process, a move that would make the system more efficient.

Councilmember James Solomon backed the idea of banning the application fees.

Landlords defended the fees, arguing they cover costs like credit and background checks. Wendy Paul of the Jersey City Apartment Owners Association told Gothamist her group is open to discussing fee waivers but warned owners need to recover expenses.

Critics, however, note that multiplied across large applicant pools, the charges add up to a lucrative side stream for property managers.

The fight comes as New Jersey faces a statewide shortfall of more than 200,000 affordable units. In Jersey City, where more than 70 percent of residents rent, the pressure is acute. The city’s median rent for a one-bedroom is $2,820, the fourth-highest in the country, according to Zumper.

Banning application fees on affordable rentals wouldn’t be the only significant change Jersey City landlords have encountered. A few months ago, the City Council voted unanimously to ban apartment owners from using products like those from RealPage and Yardi Systems to suggest rents.

— Holden Walter-Warner