Security Deposit transfer with inherited tenants??

[Jordan B.]

Hello BP!

I am curious to how the security deposit gets transferred when inheriting a tenant.  Does the previous landlord give me the security deposit to hold at closing? Does the previous landlord give the tenant back his security deposit and I then have to ask the tenant for the new security deposit?

Also how do I make sure there isn't a discrepancy between what the tenant and the landlord said he gave for the deposit ?

Thank you in advance!

Jordan

[Levi T.]

You can get the deposit in two formats; credit at closing, or a check. We normally get it as a credit, unless it’s held by a 3rd party(pm).

You can consult the lease agreement for each tenant, if the LL says someone only paid some or non, you need to get estoppel forms signed by both the LL and tenant, or just risk owning the tenant money they never really paid the LL. We will a lot of times just force the old LL to pay the amount on the lease as credit even if they claim they never got it, solves their neglect.