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Just finished speaking to LL. Gave LL deposit about 2 months ago because they told me they would have a room ready by the beginning of the next month (arrangement was made through a relative who is friends with LL so no papers beyond a handwritten receipt for deposit were drawn up. They were in the middle of renovating the apartment and needed a month to finish work) Never signed a lease or even an application. Since then I have decided to not take the apartment due to the fact that they took a bit longer than expected to complete the renovations and as well I have fallen into a bit of debt. My gf spoke to the LL (bad move ) and they told her that in most cases they would keep the ENTIRE deposit because that is what a deposit is for, ensuring they get some money cases such as this where a soon-to-be tenant backs out AND in the case that we were to leave the apartment in shambles. They have agreed to refund us HALF of our deposit because we are friends of friends. My gf agreed to the arrangement without my knowledge. Can they do this? It was my understanding that the deposit was only given in the case that we damaged the apartment but we NEVER MOVED IN. We even paid for a special light fixture that my gf wanted for the bathroom. If this isnt legal what should we do now?
You did not post which state you are in. Here in NJ, verbal agreements are binding, however, I ALWAYS suggest having a lease in writing. There are too many variables that turn into he said/she said, and need to be avoided. If, in fact the renovations took more time than estimated, this may be your way out. In this case, think of how you would feel if this were done to you. Let your conscience be your guide.
In some jurisdictions it certainly is. Some allow a LL to keep the deposit as recompense for backing out of a verbal contract (unless the reason for backing out is the LL rejecting the tenant's application, written or otherwise, or the LL has changed the terms of the contract that were agreed to at the time the deposit was paid). You need to research the laws not just in Texas but in your county or city.
The deposit can also be used for unpaid rent, so yes, it's legal for them to keep it.
Yes but the landlord breached the agreement(apartment wasn't ready), so the OP is entitled to his full deposit back. Of course OP you have to prove the apartment wasn't ready. If you can't prove it your in tough shape.
I have in my leases that security deposit is non refundable but will be refundable after paying first months rent and after moving in, used for any damages, etc. I have the tenants sign next to that line so they clearly know what they are signing. I have to take the property off the market after signing the contract and btw. so far never experienced any issues about this issue. the better the contract is written the less confusion can surface.
I agree w/ Houston 3...you have enough of a 'contract' to be presented...the receipt.
It will be up to you to show the landlord failed to provide you the other end of the contract....the unit. Do you have emails, texts, witnesses- anything showing you did NOT get the key the day you were supposed to? And by that meaning the LL wasn't trying to give you the key but you weren't around to get it....
That would be the start of your case.
Good luck. It's worth a few bucks for small claims court if you live nearby.
The deposit can also be used for unpaid rent, so yes, it's legal for them to keep it.
Legally, the prospective LL is intitled to keep the deposit, unless the LL's benevolent enough to decide to refund a portion. It's an inconvienence and loss of monies, relisting, showing ect. and may have lost other qualified applicants.
Deposits are an agreement to hold a unit or property prior to signing a lease, when the remainder of the security deposit and rental fees are paid.
Since there has been no legal agreement signed, it does not qualifyas rental fees.
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) and they told her that in most cases they would keep the ENTIRE deposit because that is what a deposit is for, ensuring they get some money cases such as this where a soon-to-be tenant backs out AND in the case that we were to leave the apartment in shambles. They have agreed to refund us HALF of our deposit because we are friends of friends. My gf agreed to the arrangement without my knowledge. Can they do this? It was my understanding that the deposit was only given in the case that we damaged the apartment but we NEVER MOVED IN. We even paid for a special light fixture that my gf wanted for the bathroom. If this isnt legal what should we do now?
oops
