Tips for landlords on rental deposits
- 15th March 2012
- Property Tips
Safeguarding rental deposits is key to avoiding disputes with tenants
Since the Government introduced the Tenancy Deposit Protection scheme in April 2007, landlords must pay the tenant’s deposit into one of the Government’s three deposit schemes.
Paying the deposit into an approved scheme is intended to help both the landlord and the tenant avoid a dispute when the lease runs out.
Rental deposit tips for landlords:
•Ensure that a comprehensive inventory has been drawn up for the property. Failing to provide an inventory with a sufficient level of detail will make it harder for landlords to keep all or part of the deposit at the end of the lease
•Landlords must pay the deposit into one of the three approved schemes. Any landlord who does not do and is deemed to have failed to keep the deposit safe faces having to pay three times the amount of the deposit out in compensation to their tenant
•After taking the deposit, the landlord should provide the tenant with a receipt and a clear understanding of what the deposit is for and the conditions for its full return
•At the end of the lease the landlord should return the deposit to the tenant within 10 days, providing the property has not been damaged beyond the usual wear and tear and the rent is up to date
FREE & INSTANT PROPERTY VALUATION
IN JUST 60 SECONDS