I was sitting in my apartment in India in July 2020, looking at Austin apartments on my laptop screen. I found two I liked. I applied to both. I paid an application fee for each one. One landlord said no. That money was gone. I never got it back. I did not even know that was how it worked until it happened to me. If you are looking for your first Austin apartment, read this before you click apply on anything.
I had about three weeks before my flight to Austin. My MS program at UT was starting in late August and I needed a place to live before I arrived. I could not exactly walk around neighborhoods and knock on doors. So I did everything online.
I found two apartments that looked right. Same area. Similar price. One was a three-bedroom that I could split with two other people. The other was a smaller two-bedroom that I thought might work with just one roommate.
Both landlords asked me to apply online. Both had an application fee.
I paid both and I did not think twice about it.
What an Apartment Application Fee Actually Is
The application fee pays for the background check and credit check the landlord runs on you. Every adult who will live in the apartment has to apply separately. So if three people are moving in, the landlord collects three application fees.
In Austin, most application fees are between $50 and $100 per person. Some newer buildings or bigger property management companies charge up to $125.
The important thing to know is this: the fee is almost never refundable. It does not matter if they pick someone else. It does not matter if you change your mind. Once you pay it, it is gone.
I did not know that. I assumed it was like a deposit that would come back to me one way or another. It did not.
What Happened With My Two Applications
The first apartment, the three-bedroom near campus, came back with an approval. The landlord said yes. I was relieved. I reached out to Jake, who I had connected with through an incoming UT students group online, and we started figuring out the third roommate situation.
The second apartment said no.
They did not give a detailed reason. The email just said they had gone with another applicant. I emailed back asking if my application fee would be returned. They said no. It covered the cost of processing my application regardless of the outcome.
That was $75 gone. Just like that.
It sounds small. But I was a grad student counting every dollar before I even had a US bank account. $75 felt like a lot to lose for a rejection email.
How Much I Actually Paid in Application Fees
Here is the breakdown:
I spent $150 just to apply. I got one apartment out of it. The other $75 bought me nothing except a lesson I did not ask for.
Why Fees Add Up Fast If You Apply to Multiple Places
This is the part nobody tells you before you start looking.
When you are apartment hunting, especially from another country, you feel pressure to apply to more than one place at the same time. What if the first one says no? What if someone else gets it before you? So you apply to two or three at once to improve your chances.
That logic is not wrong. But it costs money every time you do it.
If you apply to three apartments at $75 each, that is $225 before you know if anyone said yes. If two say no, you are down $150 with nothing to show for it. And if you need to keep looking and apply to two more, you are now at $375 just in application fees.
For international students with no US credit history, the rejection rate can also be higher because landlords see no credit score and get nervous. So you might need to apply to more places before someone says yes. Every application costs money.
What No Credit History Does to Your Application
This is something I did not fully understand until it happened to me.
In the US, landlords pull your credit report when you apply. They want to see that you have paid bills and loans on time before. If you have a good credit score, they feel confident renting to you.
I had zero US credit history. I had never had a US credit card. Never had a US loan. Never paid a US utility bill. My credit file was completely empty.
Some landlords see an empty credit file and immediately move on to the next applicant. Others will approve you but charge a higher security deposit. A few will ask for a cosigner, which means another person agrees to pay your rent if you cannot.
Jake vouched for me informally with our landlord. That helped. But I still ended up with a higher security deposit than Jake paid. And I still lost $75 on the apartment that said no before they even told me why.
How to Not Waste Money on Application Fees
I learned a few things the hard way that I want to share with you now.
Talk to the landlord before you apply. Email or call them first. Explain your situation. Tell them you are an international student with no US credit history. Ask them directly if that is a problem. Some landlords will tell you right away that they need a cosigner or a higher deposit. Others will say it is fine. Either way, you know before you spend $75.
Apply to your top choice first. Do not apply to three places at once unless you absolutely have to. Wait to hear back from your first choice before you apply elsewhere. Yes, you might lose the apartment if someone else applies faster. But you also might save $75 to $150 by not applying to places that would have said no anyway.
Ask if the fee is applied toward rent or deposit if approved. Some landlords actually do this. Not many. But it is worth asking. If they say yes, your application fee counts toward your first month or deposit when you get approved. That is a much better deal.
Read the listing carefully before applying. Some listings say “credit check required, minimum score of 650.” If your score is zero, that listing is telling you something. Do not pay $75 to find out officially.
What Austin Landlords Are Actually Looking For
Most Austin landlords want to see three things: income, credit, and rental history.
Income means you earn at least two to three times the monthly rent. For a $1,500 apartment, they want to see at least $3,000 to $4,500 a month in income. For grad students on stipends, this can be tricky. A stipend letter from UT sometimes works as proof of income.
Credit means a score above 600 to 650 for most places. Some are stricter. Some are more flexible.
Rental history means you have rented before and not had problems. For first-time renters, this is obviously zero. Most landlords understand that. It is less of a problem than the credit issue for most people.
If you are missing one of these, be upfront about it before you apply. It saves everyone time and saves you the application fee.
FAQ
What is an apartment application fee in Austin?
It is a fee you pay when you apply for an apartment. It covers the background check and credit check the landlord runs on you. It is usually $50 to $100 per person in Austin.
Is the application fee refundable if I do not get the apartment?
Almost never. Once you pay it, it is gone. Whether they approve you or not, the money covered the cost of checking your background. Always ask before you pay, but expect the answer to be no.
Can a landlord charge different people different application fees?
Not usually. The fee is typically the same for everyone applying to that unit. But different buildings charge different amounts. One place might charge $50 and another might charge $100.
I have no US credit history. Should I still apply?
Talk to the landlord first before you pay the fee. Explain your situation. Ask if no US credit history is a problem. Some landlords work with international students. Others will not. Find out before you spend the money.
What if I apply to multiple apartments at once and they all say yes?
Then you pick one and tell the others you are withdrawing. You will not get the other application fees back. This is why it is better to apply to one at a time when you can.
How many apartments should I apply to?
Start with one. Your top choice. Wait for an answer before you apply somewhere else if you can. If the timeline is tight and you need a place fast, then applying to two at once is reasonable. Just know you may lose one application fee.
Do all adults in the apartment pay separate application fees?
Yes. Every adult who will live there has to apply separately and pay their own fee. So if three people are moving in, the landlord collects three fees. Make sure your roommates know this before you all apply together.
