All Forum Posts by: John Yu

@Bill S.I will consider the ETF route as you suggested next time. Thanks. 

@Doug N.Thanks Doug, really appreciate your suggestion. 

@Doug N.I will give the SD back to them, but just want to know my rights, for the future. If this is not enforceable, why would release agreement usually have this statement, and I know some property management companies actually do keep the SD when tenant break the lease. It is a big headache for tenant to move out before the end of the lease, so I am just wondering what I can and cannot legally do . 

@Bill S.Thanks for your advise and your ETF article. One question though, if keeping SD when tenant move out early is not enforceable by law (at least in Colorado), why would some of the lease agreements I've seen include this statement, I've seen this even in an release agreement from a large property management company. If I inform the tenant within the 30 or 60 day after they move out, that I will be keeping the SD as a penalty, do you think it can be done and I'd win the case in court if I ever get sued? 

I have a renter that broke the lease and moved out early. In the lease agreement they signed says "Security Deposit will be not be refunded to the TENANT and will be used as a penalty for early termination of the Lease term". The problem is that I did not give renter the written notice stating the reason for the retention of the security deposit, and they've moved out over 60 days. And the Colorado law says if the notice is not given within 60 days, the landlord no longer has the rights to withhold any portion of the security deposit. This renter is a real estate related lawyer and is aware of this law. Should I keep the deposit or return it in this case, and in case I got sued, any chance I could win because the lease agreement says deposit will not be returned to the renter due to early termination?

Below is the Colorado Statutes on this matter:

(1) A landlord shall, within one month after the termination of a lease or surrender and acceptance of the premises, whichever occurs last, return to the tenant the full security deposit deposited with the landlord by the tenant, unless the lease agreement specifies a longer period of time, but not to exceed sixty days. No security deposit shall be retained to cover normal wear and tear. In the event that actual cause exists for retaining any portion of the security deposit, the landlord shall provide the tenant with a written statement listing the exact reasons for the retention of any portion of the security deposit. When the statement is delivered, it shall be accompanied by payment of the difference between any sum deposited and the amount retained. The landlord is deemed to have complied with this section by mailing said statement and any payment required to the last known address of the tenant. Nothing in this section shall preclude the landlord from retaining the security deposit for nonpayment of rent, abandonment of the premises, or nonpayment of utility charges, repair work, or cleaning contracted for by the tenant.

(2) The failure of a landlord to provide a written statement within the required time specified in subsection (1) of this section shall work a forfeiture of all his rights to withhold any portion of the security deposit under this section.

There is a short sale I am interested in Colorado. Does anyone know how to find out how much someone owes on their mortgage? This property is in Douglas County, will I be able to find this out on the county website? 

I totally agree with Micki. Zillow is terrible for real time data in Denver. I only use Zillow for comps and rent rate, and also for posting ads for rental. Redfin is the best (if you don't have MLS access) for searching for properties. As soon as a property is on the market, Redfin will pull it and send me a notification.