Security Deposit Return ? - Landlord Forum thread

Security Deposit Return ? by T (UT) on February 17, 2012 @15:28

We had a tenant move into our house while we tried to short sale it. They paid $100 a month and $500 deposit. They ended up being there only two months and only paid us one and the house foreclosed in Sept 2011 and we never got a forwarding address. They got $4000 to move out and totally banked on the deal. We now, suddenly just heard from them and they want their deposit back and finally gave us an address. What are we suppose to do...

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Re: Security Deposit Return ? by Anonymous on February 17, 2012 @15:48	[ Reply ]

Did you mail them the required SD reconciliation letter in your state's mandated timeframe? Did you charge them for all the cleaning and damages that you incurred? Was there any refund available? Did they sign a lease or break a lease? It would cost them a couple hundred dollars to file in small claims court to get a net $300.00. Would they sue you?

Re: Security Deposit Return ? by Jake on February 17, 2012 @16:37	[ Reply ]

"What are we suppose to do?" Send the deposit. Most states do not allow use of the deposit for rent. Besides, the unpaid rent is only $100 of the $500 deposit. The damages belong to the bank. You did not fix it up for the bank before the foreclosure did you? If taken to court, you will not win this one. You may even end up paying 3X$500.

Re: Security Deposit Return ? by Anonymous on February 18, 2012 @01:48	[ Reply ]

Who gave them 4000 to move out? In my state, I keep 100 for the unpaid rent, as well as any cleanup costs and damages that I incurred after they left. Find your state laws, or an attorney that can help you with this. They wouldn't get another dime from me. I can collect rent right up to the moment the bank has actual possession of the house, at least in my state.