Landlord reviewing a rental application in a Temecula home office

California’s rental application laws changed significantly in 2025 — and if you haven’t updated your process yet, you could be at legal risk. The 2026 screening fee cap is $65.86 per applicant, refund deadlines are now strictly enforced under AB 2493, and asking the wrong question on an application can expose you to a fair housing complaint. Here’s exactly what Temecula landlords need to know to stay compliant and fill vacancies faster.

What AB 2493 Changed — Effective January 1, 2025

Assembly Bill 2493 overhauled California’s rental application process. If you were still running applications the way you did before 2025, you have some catching up to do.

The biggest change: landlords must now refund unused application screening fees — no exceptions. Before AB 2493, it was common practice to collect fees from every applicant and keep them regardless of outcome. That’s no longer legal.

Here’s what AB 2493 requires:

⚠️ Important: Collecting a screening fee when no vacancy exists is now explicitly prohibited under California Civil Code §1950.6, as amended by AB 2493. Don’t run applications until you have an actual opening.

The 2026 Screening Fee Cap: $65.86 Per Applicant

California adjusts the maximum tenant screening fee annually based on the Consumer Price Index. For 2026, the cap is $65.86 per applicant — up from $63.90 in 2025. This is set by Civil Code §1950.6.

This fee is meant to cover your actual costs: a credit report, background check, and eviction history search. You cannot charge more than your actual costs, even if those costs fall under the cap.

Year Max Screening Fee Change
2024 $63.70
2025 $63.90 +$0.20
2026 $65.86 +$1.96

Keep your receipts and documentation. If a tenant disputes the fee, you’ll need to show exactly what costs were incurred.

What You Can (and Must) Include on Your Application

A compliant California rental application should gather enough information to screen the applicant thoroughly — without crossing legal lines. Here’s what’s fair game:

In Temecula’s current rental market, single-family homes are averaging $3,295–$3,400 per month (Zillow and Realtor.com, August 2026). At that rent level, requiring documented income of at least 2.5x the monthly rent — meaning $8,250+ gross for a $3,300 rental — is a standard and reasonable threshold.

What You Cannot Ask — Illegal Questions on Rental Applications

Some questions are flatly illegal. Asking them — even innocently — can expose you to a fair housing complaint or discrimination lawsuit.

⚠️ Important: “Source of income” is a protected class in California. You cannot refuse to rent to a Section 8 voucher holder simply because they receive housing assistance. This applies to Temecula landlords in zip codes 92592 and 92591 the same as anywhere in the state.

Criminal History and California’s Fair Chance Act

This is the rule that catches the most landlords off guard. Under California’s Fair Chance Act (AB 1076), you cannot ask about or consider criminal history on the initial application.

Here’s the correct sequence:

  1. Evaluate the applicant on income, credit, and rental history
  2. Make a conditional offer of housing
  3. Only then run a criminal background check
  4. If anything is found, conduct an individualized assessment — consider the nature of the crime, how long ago it occurred, and evidence of rehabilitation
  5. Provide written notice before rescinding an offer, giving the applicant time to respond

Blanket “no felons” policies are not enforceable in California. Each case must be evaluated individually. It’s a more time-intensive process, but it dramatically reduces your exposure to a fair housing complaint.

Accepting Tenant-Provided Screening Reports

Under AB 2493, if a prospective tenant provides a screening report generated within the past 30 days, you must accept it in lieu of charging a new screening fee. This can include credit reports, background checks, and eviction searches.

If you choose not to use their report — for example, you prefer a specific screening service — you must refund the screening fee or offer a credit within 7 days. You cannot keep the fee and run your own report without offering compensation.

In practice, this helps tenants in active markets like Temecula’s Wolf Creek, Harveston, and Redhawk neighborhoods — where well-priced rentals typically attract multiple applications within the first 14–28 days of listing. A tenant applying to three properties in a week no longer has to pay $65+ in screening fees three times.

The Refund Timeline You Must Follow

AB 2493 sets hard deadlines for returning unused screening fees. Miss these and you’re in violation:

Scenario Refund Deadline
You selected a different applicant Within 7 days of signing a lease with the selected tenant
No tenant was selected within 30 days Within 30 days of receiving the application
You didn’t use their provided report Refund or credit within 7 days
Vacancy filled before processing the application Refund within 7 days

Set a calendar reminder or use your property management software to track these deadlines for every open application. A single missed refund can trigger a complaint — and the associated legal costs aren’t worth it.

How a Property Manager Handles This For You

Keeping up with California’s rental application laws — fee caps, refund timelines, Fair Chance rules, and anti-discrimination requirements — is a real compliance burden for self-managing landlords in Temecula. When you work with Next Level Property Management, we handle the entire application and tenant selection process in full compliance with California law.

That means properly documented screening, compliant applications, itemized fee receipts, and refunds issued on time — every time. You get qualified tenants without the legal exposure that comes from managing applications yourself.


Frequently Asked Questions

How much can a California landlord charge for a rental application fee in 2026?

The maximum California tenant screening fee in 2026 is $65.86 per applicant, adjusted annually by the CPI under Civil Code §1950.6. You can only charge up to your actual costs — even if your costs fall below the cap.

Do I have to refund rental application fees in California?

Yes. Under AB 2493 (effective January 1, 2025), California landlords must refund unused screening fees. If you select a different tenant, issue the refund within 7 days of signing a lease. If no one is selected, refund within 30 days. Keeping unused fees is no longer legal.

Can I ask about criminal history on a California rental application?

No. California’s Fair Chance Act prohibits asking about criminal history on an initial rental application. You must first evaluate the applicant on income, credit, and rental history, make a conditional offer, then run a criminal background check — followed by an individualized assessment if anything is found.

Can I reject a tenant for having a Section 8 voucher in California?

No. Source of income is a protected class in California. Refusing to rent to a Section 8 or housing voucher holder solely because of their income source is illegal and applies to Temecula and Murrieta landlords the same as anywhere in the state.

What if a tenant brings their own screening report?

Under AB 2493, you must accept a tenant-provided screening report generated within the last 30 days. If you choose not to use it, you must refund the screening fee or offer a credit within 7 days — you cannot keep the fee and run a separate report without compensation.


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