Landlord Question and Answer Forum

We are about to renew the lease with our current tenant for another year. They have been in the house for 12 months and they would like to stay for another 12 months. My assumption was that we would keep the deposit until they move out (in 12 months) but the tenant is asking if we could give them 75% of the deposit because they have been "good" tenant. Here is there argument: "we would like to get three-fourths of our deposit returned to us. We have taken very good care of the house and I don't foresee any expenses on your part, more less, expenses exceeding this amount." I am still new to all of this. Is this a usual request? What should I do? Thanks a lot Pierre

Well, Pierre - I am not a fan of not having a security deposit. Although things have been good with this tenant for the past year, people change and circumstances change. The security deposit is lilke an insurance policy. If your house did not sustain any incidents of damage or problems, you would not cancel your insurance policy? I would simply explain to your tenants that even though they have been very good tenants, it is your policy to return the security deposit after a tenant leaves.

Posted by Donna , NC on Monday, June 15, 2009

Don"t do it. Security must always stay until the tenatn vacates. So much can change from year to year.

Posted by JAK Property Management , NY on Tuesday, June 16, 2009