Can they keep a holding deposit?
A full guide to how holding deposits work can be found here. Landlords are only allowed to keep the holding deposit for 15 days, unless both parties agree another deadline in writing. If the landlord has failed to accept or reject the application by the deadline, then the money must be returned to the tenant in full.
What does a holding deposit mean?
A holding deposit is a payment to a landlord or agent to reserve a property. In most cases, you should get the money back if the landlord decides not to rent to you. The landlord or agent might keep the money if you decide not to go ahead.
How long can a deposit be held?
Rules surrounding returning a deposit If your landlord holds your deposit (so should be protected in the Insured scheme), the landlord should pay your deposit back within 10 days of your request for the deposit to be returned. A tenant cannot request the return of their deposit before the tenancy ends.
Can a landlord keep a holding deposit if a tenant doesn’t move in?
California rental regulations state that the landlord can keep a “reasonable” amount of the holding deposit if the tenant is at fault and doesn’t move in. The amount varies according to how many days the property is off the market and the amount of money it takes to market the apartment.
How much is a holding deposit for an apartment?
The amount varies according to how many days the property is off the market and the amount of money it takes to market the apartment. Holding deposits are non-refundable in all but a few circumstances. What’s more, a holding deposit only guarantees that the landlord will not rent the unit to anyone else for a holding period.
Why would a landlord require an application deposit?
Some landlords and property managers require an application deposit as a sort of guarantee that an applicant will follow through and rent the apartment after their application is approved. When a potential tenant submits an application for rent, but ultimately decides they no longer want to rent the apartment, it holds up the rental process.
Can a landlord accept a screening fee for a holding deposit?
The law dictates that the landlord cannot accept a fee for this purpose. A holding deposit is not the same as a screening fee. Is the landlord offering the unit only to you and asking for a holding deposit to secure the unit for you only?