What Can a Landlord Deduct from a Security Deposit?

Image Credits: Unsplash Image Credits: Unsplash

As a landlord, deductions from a tenant's security deposit must be based on legitimate reasons outlined in the lease. Let's explore what is permissible and what is not.

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Allowable Deductions

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1. Repair Costs for Tenant-Caused Damage

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Deductions can include fixing broken windows, doors, or fixtures, repairing holes or scratches on walls, and addressing damage to flooring, countertops, or appliances caused by tenant negligence.

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2. Cleaning Costs for Excessive Dirtiness

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Landlords are allowed to deduct the cost of professional cleaning for properties left in an unclean or unhygienic state beyond normal wear and tear. This includes excessive dirt, grime, debris, hoarding, or pet-related issues.

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3. Removal or Disposal Costs for Abandoned Items

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Deductions can be made for the cost of removing and disposing of personal belongings or large items left behind by the tenant that were not part of the original rental agreement.

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4. Unpaid Rent or Utilities

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Landlords can deduct unpaid rent or utility bills from the security deposit if the tenant has not fulfilled their financial obligations as outlined in the lease agreement.

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Prohibited Deductions

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1. Normal Wear and Tear

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Landlords cannot deduct expenses for normal wear and tear, such as faded paint, minor scuffs, worn carpets, or the replacement of light bulbs or batteries.

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2. Pre-Existing Damage

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Deductions for repairing damages that existed prior to the tenant's occupancy are prohibited. Landlords are responsible for maintaining the property in a habitable condition before renting it out.

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3. Lease Violations Beyond Damage or Unpaid Rent

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Landlords cannot deduct expenses for lease violations unrelated to property damage or unpaid rent, including penalties for late rent payments, unauthorized pets, or disturbances.

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4. Excessive or Unreasonable Deductions

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Landlords are not permitted to make arbitrary or excessive deductions. They must provide itemized receipts and justifications for any deductions made from the security deposit.

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Read Also: When Moving To A New Rental, You’ll Likely Need To Pay A Security Deposit. How Much Is This Often?

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What Can a Landlord Deduct from a Security Deposit?

What Can a Landlord Deduct from a Security Deposit?

Oaklakeapts.com

Oaklakeapts.com

As a landlord, deductions from a tenant's security deposit must be based on legitimate reasons outlined in the lease. Let's explore what is permissible and what is not.

As a landlord, deductions from a tenant's security deposit must be based on legitimate reasons outlined in the lease. Let's explore what is permissible and what is not.

Allowable Deductions

Allowable Deductions

1. Repair Costs for Tenant-Caused Damage

1. Repair Costs for Tenant-Caused Damage

Deductions can include fixing broken windows, doors, or fixtures, repairing holes or scratches on walls, and addressing damage to flooring, countertops, or appliances caused by tenant negligence.

Deductions can include fixing broken windows, doors, or fixtures, repairing holes or scratches on walls, and addressing damage to flooring, countertops, or appliances caused by tenant negligence.

2. Cleaning Costs for Excessive Dirtiness

2. Cleaning Costs for Excessive Dirtiness

Landlords are allowed to deduct the cost of professional cleaning for properties left in an unclean or unhygienic state beyond normal wear and tear. This includes excessive dirt, grime, debris, hoarding, or pet-related issues.

Landlords are allowed to deduct the cost of professional cleaning for properties left in an unclean or unhygienic state beyond normal wear and tear. This includes excessive dirt, grime, debris, hoarding, or pet-related issues.

3. Removal or Disposal Costs for Abandoned Items

3. Removal or Disposal Costs for Abandoned Items

Deductions can be made for the cost of removing and disposing of personal belongings or large items left behind by the tenant that were not part of the original rental agreement.

Deductions can be made for the cost of removing and disposing of personal belongings or large items left behind by the tenant that were not part of the original rental agreement.

4. Unpaid Rent or Utilities

4. Unpaid Rent or Utilities

Landlords can deduct unpaid rent or utility bills from the security deposit if the tenant has not fulfilled their financial obligations as outlined in the lease agreement.

Landlords can deduct unpaid rent or utility bills from the security deposit if the tenant has not fulfilled their financial obligations as outlined in the lease agreement.

Prohibited Deductions

Prohibited Deductions

1. Normal Wear and Tear

1. Normal Wear and Tear

Landlords cannot deduct expenses for normal wear and tear, such as faded paint, minor scuffs, worn carpets, or the replacement of light bulbs or batteries.

Landlords cannot deduct expenses for normal wear and tear, such as faded paint, minor scuffs, worn carpets, or the replacement of light bulbs or batteries.

2. Pre-Existing Damage

2. Pre-Existing Damage

Deductions for repairing damages that existed prior to the tenant's occupancy are prohibited. Landlords are responsible for maintaining the property in a habitable condition before renting it out.

Deductions for repairing damages that existed prior to the tenant's occupancy are prohibited. Landlords are responsible for maintaining the property in a habitable condition before renting it out.

3. Lease Violations Beyond Damage or Unpaid Rent

3. Lease Violations Beyond Damage or Unpaid Rent

Landlords cannot deduct expenses for lease violations unrelated to property damage or unpaid rent, including penalties for late rent payments, unauthorized pets, or disturbances.

Landlords cannot deduct expenses for lease violations unrelated to property damage or unpaid rent, including penalties for late rent payments, unauthorized pets, or disturbances.

4. Excessive or Unreasonable Deductions

4. Excessive or Unreasonable Deductions

Landlords are not permitted to make arbitrary or excessive deductions. They must provide itemized receipts and justifications for any deductions made from the security deposit.

Landlords are not permitted to make arbitrary or excessive deductions. They must provide itemized receipts and justifications for any deductions made from the security deposit.

Read Also: When Moving To A New Rental, You’ll Likely Need To Pay A Security Deposit. How Much Is This Often?

Read Also: When Moving To A New Rental, You’ll Likely Need To Pay A Security Deposit. How Much Is This Often?