The rental market in Philly is plentiful but expensive and too many people are being priced out and forced out in a tide of evictions. Axios reports that "Philly averaged 317 eviction filings per week over the four weeks ending March 4, [2023] per the Eviction Lab…despite Philly's nationally recognized Eviction Diversion Program, a mandatory initiative requiring mediation to resolve landlord-tenant disputes."
This isn't a surprise. I wrote about this two years ago:
RentCafe.com says the average 794 sq ft [studio or small 1 bedroom apartment] costs $1900. The site lists the average rent per neighborhood with the lowest rent of $912 in Kensington to $2916 in Bella Vista (I have no clue where that is -because I've never heard of it except in ads and from people who aren't from Philly).
The average place wants a 620 credit score, no prior evictions, and proof of income of 3 times the rent — which is $5700 a month ($68,700 a year). According to Census data, the median income in Philadelphia is $52,649 with over 22% living below the poverty level. Who can afford to pay $1900 for rent?
I've been looking for an affordable, ADA-friendly, 1st-floor apartment with hardwood floors for months with little success. After a year-long search here are my key findings:
1. Most properties are listed and run by 3rd party property management companies that often don't have daily onsite staff. Some companies aren't even in the same state.
2. Most listings under $1000 are more likely "shared" housing/roommate situations, in a dangerous neighborhood or the property isn't well maintained
3. There are way too many properties with 20+ License and Inspection violations — 3 out of 5 listings on popular sites had several violations and no rental license
4. The "non-refundable" application and rental deposit fees are out of control. I've seen them range from $20 — $80. The most outrageous was a $50 application fee + $350 holding fee that you forfeit if you don't sign a lease if you're approved
Suggestions and Solutions
Check out the Property BEFORE You Sign A Lease
Always do your due diligence and look up the Property History and check for L & I violations and an "active" renter's license. If they have recent "failed" violations you might want to look elsewhere.
Please Cap The Fees — Political Ask
I've literally paid over $200 in non-refundable apartment fees and I'm about to pay a $1,100 "holding fee/deposit" for a property where the owner and I have been playing phone tag and he only accepted rent through cash or Cash App. (Update — the apartment was rented to someone else).
The City should cap application fees and part of the application fees above $20 should be applied to the rent. Secondly, there shouldn't be penalties if the potential renter changes their mind. Rental applications can take several days to return and it's a highly competitive market so consumers shouldn't be forced to pay a deposit BEFORE they're approved nor should they lose the deposit if they decide to go elsewhere. For example, here are the terms cut and pasted from an actual rental application:
"A $350.00 (Three hundred fifty dollar) Reservation Fee is required to hold the above property for the holding period of one week. This holding period will commence on the following day after receipt of reservation fee by the Landlord. During the holding period the property will not be available to any other interested parties. Within the holding period the applicant's rental application will be processes, and if approved, a lease will be prepared, and the Reservation Fee will apply toward the required security deposit. If the lease is not signed by the end of the holding period, the property will become available to other parties and the Reservation Fee will be forfeited.
In the event the application is not approved; the Reservation Fee will be returned to applicant within 5–7 business days and the property will become available to other parties.
The Reservation Fee will not be refunded once the applicant's rental application is approved, and lease sent to applicant for signature.
All applications are subject to $50.00 (Fifty dollars) none refundable Application Fee fer applicant."
I didn't apply for the apartment because it wouldn't let me complete the application without paying the $400 fee. I called the property manager to let them know that I had a problem with this and she offered to let me bring in the $50 in cash or money order. I declined and moved on.
At this point, I've seen 8 properties ranging from $925 to $1500 and attempted to reach over 20 properties only 6 responded.
The City has Eviction Diversion and Right to Counsel programs, but we need more affordable housing for rent or purchase for working and lower-middle-class families who aren't eligible for subsidies. In certain areas, it's actually cheaper to purchase a home than rent in Philadelphia.
Here is information directly from the City's website:
Philadelphia is a beautiful city with so much to offer — I hope our new Mayor makes affordable housing a high priority.
Thank you for reading.