Arguing over a security deposit

Arguing over a security deposit

Rental Property Investor · Erie, PA · Member since 2018 · 84 posts · 462 votes

So It's a discussion I've had with so many people on both sides of the table. I don't know why, but there always seems to be a lot of confusion about whether a tenant deserves their deposit back or not. I've seen it on both sides where the landlord is just nit picking and is going way past reasonable deductions, and tenants that are so far out there that don't realize they are going to be charged when they leave dog poop on the carpet for the landlord to clean up. I think a lot of the issue though comes down to communication. I'm not an expert by any means but I do manage between 500-600 apartments and I usually I don't have a lot of fight from a tenant when I deduct from their Deposit. I credit that to having a clear and outlined checklist for the tenant to follow during move out to insure they get their full deposit back. 

-All walls must be wiped clean, with any holes whether they be nail, screw, tack, or punch hole patched AND painted.

-All carpet must be washed, free of stains, and no odor left

-Locks must be in good repair and key's returned to the owner along with a forwarding address of where you are moving to.

-Windows, countertops, stove, oven, refrigerator, bathtubs, toilets, sinks, and cabniets must me wiped down, clean, and fresh.

-No holes in any doors, walls, or ceilings

-Fire alarms and CO2 detectors in good working order

-Lightbulbs working, and all light fixtures in good repair.

There are other things that I will sometimes look at but for the most part this is a good punch list to insure getting your full deposit back. I always charge $85 per hour for my time when calculating what to deduct from a deposit. I would love to know what you guys think. Is there anything that suprises you if you are a tenant? Is there anything you would add or do differently if you are an owner? Let me know in the comments!

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Real Estate Broker · Temecula, CA · Member since 2014 · 992 posts · 782 votes
7y

Yup, I agree that clear communication is key.  We also have 200 photos of the home prior to move in so we can clearly show the damage we are charging for was not there upon movein.  For example, the door that was cracked in 2, is shows to be in beautiful condition at their movein.   no questions once I provide a photo...

We also provide a nice detailed letter upon moveout indicating what was done for them prior to their move in and needs to be done prirot o their move out.  - similar to your list above.    WE do include fees for removal of personal items, including excess trash. 

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  • Real Estate Broker · Temecula, CA · Member since 2014 · 992 posts · 782 votes
    7y

    Yup, I agree that clear communication is key.  We also have 200 photos of the home prior to move in so we can clearly show the damage we are charging for was not there upon movein.  For example, the door that was cracked in 2, is shows to be in beautiful condition at their movein.   no questions once I provide a photo...

    We also provide a nice detailed letter upon moveout indicating what was done for them prior to their move in and needs to be done prirot o their move out.  - similar to your list above.    WE do include fees for removal of personal items, including excess trash. 

  • Rental Property Investor · Erie, PA · Member since 2018 · 84 posts · 462 votes
    7y

    that's a great idea! I never thought to give them a letter at the start about what we did to the unit prior to move. I definitely charge for removal of furniture and trash too

  • Member since 2016 · 13k+ posts · 12k+ votes
    7y

    As a landlord my time in the eyes of the court is worth nothing. For this reason I use contractors to do all my repairs and pass their fees along to the tenants. I do these repairs and bill the cost to tenants following my quarterly inspections. I never wait till move out to assess repairs. It is a ongoing process during a tenancy. This is the preferred method to insure minimum disputes after move out and law suites over thousands of dollars in tenant damage.

  • Rental Property Investor · Erie, PA · Member since 2018 · 84 posts · 462 votes
    7y

    That's also a really good idea. I use contractors for much of the work as well besides cleaning and painting

  • Rental Property Investor · Erie, PA · Member since 2018 · 6k+ posts · 9k+ votes
    7y

    Sounds like your on the right track Brandon.btw I invest in Erie pa myself. That’s a sizable portfolio you have for this area 

  • Rental Property Investor · Erie, PA · Member since 2018 · 84 posts · 462 votes
    7y

    Thanks Dennis, I wish i could say it was all mine haha. I only own about 45 myself. Trying to get to 100 by the end of 2019 but we will see!

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