Deposit to hold or just sign the dang Lease?

[Jason Krawitz]

Good afternoon! I have the good fortune of having replacement tenants lined up 4 months before my current tenants lease ends. If the replacement tenants are willing to go ahead and sign their lease, even tough they won't take possession of the property until May, is there any reason I shouldn't go ahead and get the new lease executed today vs. waiting until May?

Thanks!

[Michele Fischer]

If we have a tenant who will be moving in one week or later after we offer the unit.  We meet with them, sign the agreement with the wording that the remaining deposit and first month rent are due at move in.  We also sign and collect a holding deposit.

If your tenant never moves in, you can go after them for funds, but it is so much easier if you have a holding deposit in hand. It should apply toward the security deposit, or not be refundable if they don't move in.

We've never held a unit that long, I'd want a high amount collected to ensure they have skin in the game and aren't fully committed to moving in.