If the Applicant gives notice of cancelling the rental agreement prior to November 24th, Applicant will forfeit one hundred fifty dollars ($150.00) of the Holding Deposit.

Buyer will have 3 business days from issuance of this notice to close – should buyer not close, seller is able to cancel thiscontract with earnest monies being forfeited to the seller." - And after all the above, they *still* give themselves this clause, which extends the closing date three business days!

Again, read through your standard purchasing sale contract for your state to understand how this earnest money can be forfeited or retained.

If they have no case after talking to a lawyer, you could just tell them sorry but they can forfeit the deposit and move out if they prefer…

If it does't rent out and tenant doesn't pay, you can put it towards rents due and actual damages, but I don't believe it can just be forfeited. 

Once they sign the lease, the deposit will be forfeited if they change their mind.

I've kept 3 deposits because people move before 4 years and forfeit their deposit. 

Why not just say so and forfeit the security deposit?

I have ( I should say had) a potential tenant she past the screening process says she doesn't want the apartment for another 30 days (July 1st) ok no problem I said I wanted a security deposit = (to 1 months rent) if you decide after the 30 days you still want the apartment I return your deposit and you are still due me 1st month and security deposit to begin lease agreement. if after the 30 days you decide you don't want the apartment you forfeit your deposit. and we move on ....is this fair?.

The IRA holder is also forfeiting any compensation to avoid self-dealing.