Renters of color pay higher security deposits, more application fees - New York Amsterdam News

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Renters of color pay higher security deposits, more application fees - New York Amsterdam News
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Results from Zillow’s Consumer Housing Trends Report show renters of color typically submit more applications — and pay more in application fees — before they secure a place to live than white renters do.

— and pay more in application fees — before they secure a place to live than white renters do. Renters of color also typically pay a higher security deposit when they move in.

“Rents grew more last year than any year on record, forcing many renters to look for a more affordable option. About 2 in 5 renters who moved in the past year said a rent hike influenced their decision to move,” said Manny Garcia, population scientist at Zillow. “Renters typically do not have much of a financial cushion, and the cost of finding a new place to live can be an expensive burden.

In addition to facing higher and more frequent security deposits, renters of color report submitting more applications and paying higher fees for those applications than white renters. In 2021, 61% of all renters applied for two or more properties — an 11-point increase from 2019 and five points higher than in 2020, likely owing to the tight rental market.

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