Legal Question in Real Estate Law in Illinois
In Illinois is it legal to deny a lease application because the sole source of income is Social Security disability? The applicant was told they qualify in every other respect -
1 Answer from Attorneys
Too few facts. The real question is whether the amount of the benefits will be adequate to cover rental costs (rent, utilities, upkeep....) as a sole source of income. The landlord should have some consistent criteria for rental (ie that rent is no more than a percentage of an applicant's stated net income - say for example 35%). A tenant should consider the same thing because if rent is appreciably more than that percentage (and I would even go lower on the tenant side, maybe as low as 25% depending on other living costs), the occupancy costs may be too high and will set the tenant up for rent default when utility bills or any other unforeseen bills....start coming in. Or, this could be a ruse for real discrimination, which the Social Security Administration does not tolerate, but is ill-equipped to enforce. So if you're the landlord and all is on the up and up nothing prevents you from saying the amount is inadequate regardless of the source, and if you're the tenant you certainly can ask more questions.