Start a new topic

Is it ok to get potion of security deposit before lease agreement?

Hi,  I'm taking portion of security deposit from a potential tenant before his background check and lease signing. Is this ok? Are there any legal ramifications?  Thanks, Sachin

call it a holding fee.   Have them sign something like this
Receipt of Holding Fee  This receipt is acknowledgment of receiving $XXXX Holding Fee from XXXXX (Applicants) to hold the rental Home at the following address:  XXXXXXXXXXXXXXX until July 1st, 2018.    If the home is not available at the agreed upon date the landlord will make a full refund of the fee without interest, and with no liability or penalty to either party.  This Holding Fee will be applied to the  security deposit when Applicant Pays 1st month's rent and takes possession of the above-described Home.   If Applicant fails to pay 1st month's rent and/or take possession.   The landlord may deduct any additional costs to find a new tenant from the holding fee including but not limited to: advertising,  realtor fees, and the daily cost of vacancy.
Sorry, the spacing/return formatting doesn't stay when you post on here.
Thank you so much! This is very helpful.
Login to post a comment