An application is not a contract to rent or a lease. Be sure that withdrawing the application risks only your application fee.If you signed the rental agreement then no, you cannot get out without a penalty because its a binding contract. I am thinking of not signing the lease. Will it cause any legal issue since I want to withdraw after making the apartment company wait? Rental application fees serve to cover administrative costs like credit checks and checking references, and most states allow landlords to charge them. You should send them a written notice stating that you are withdrawing your application and request the return of your application fee.