Security Deposits
02 March 2020
SECURITY DEPOSITS
At the beginning of a landlord-tenant relationship, landlords usually collect a security deposit from the tenant to cover the costs of damages and unpaid rent at the conclusion of the tenancy relatioship. It is customary for a landlord to collect the maximum allowable security deposit of one and a half month's rent to cover any damage and/or unpaid rent. This money is held seperatley from all rental income.
It is required that the tenant provide the landlord with a forwarding address within four (4) days of the conclusion of the lease in order for the landlord to provide the tenant with a return of their deposit if there are no damages or for the landlord to provide tenant with a detailed breakdown of any damages incurred. The deposit or any balance, if there are damages owed, shall be returned to the tenant within thirty (30) days of the tenant vacating the property. It is important that each landlord follow the statutory requirments because there are harsh penalties if a landlord violates the security deposit statute.