Summer is here, and many people are ready to start looking for new rental properties. Unfortunately, this can be a stressful time for some individuals. Especially with all of the different agreement terms, paperwork, and fees!
One fee you'll see a lot when your house or apartment hunting is a security deposit. If you're not sure what this term means, keep reading to find out!
What Is a Security Deposit
Security deposits insure you and the property managers. For example, a security deposit is saved and won't be used unless you cause damages to your apartment. Security deposits could also cover any unpaid rent, which could save you from going to a small collections court in the future!
Can I Get My Security Deposit Back?
You're probably wondering if you can get your security deposit back, especially if you always paid on time and left no damages.
The answer is yes! In most cases, a person can receive their security deposit back if the renting unit is left clean, undamaged and you have no pending payments. However, to get the most accurate, check out your state laws are reimbursements of security deposits!
What Is an Average Security Deposit?
A security deposit depends on a few factors. For starters, if your credit score is low, a property management company may charge more because they consider you a "riskier" investment.
If you own any pets, a security deposit will also increase because you'll be at a higher risk for damages! Upon signing your lease, a property manager should inform you of your security deposit. However, be aware that this price is different than an application fee or utility bill!
An application fee only covers the costs of running a background and credit score check! And utility bills are the month-to-month expenses of your home like electricity and water. Overall, the average security deposit can range anywhere reform $250 to $1,000, depending on your location.
Refusal of Security Deposit after a Good Term Lease
As mentioned previously, your security deposit will be returned if your renting unite is left under good terms. In more cases, people will receive their security deposit 20 to 60 days after their lease ends.
However, there are cases where a renting company will refuse to give back security deposits. In these cases, you should write a demand letter stating why your security deposit should be given back.
Most of the time, the property management company will agree with you and refund your security deposit. However, if your deposit is still being refuted, you could file a claim with a property lawyer. But be aware that this process can be lengthy and more expensive than the deposit itself!
A good way to avoid this situation is by ensuring your lease agreement has a full refund for security deposits. You should also take pictures of your apartment on your move-in day. This way, any previous damages from the past tenant cant be applied to you.
Renting Made Easy
Know that you're caught up on what's a security deposit; you can sign your lease and enjoy your new home! And always remember to stay on top of your home repairs and payments.
If you have any more questions on property listing and rental agreements, contacts us today!
