Although deposits have become an accepted part of the landlord-and-tenant relationship, some newer landlords still neglect to ask for them.
We strongly advise that you make deposits part of your tenancy agreement. A deposit acts as your financial safety net if any problems arise at the end of the tenancy, and can be used to offset a number of necessary costs.
Here we explain your rights and responsibilities when it comes to taking a tenant’s deposit.
What is a tenancy deposit?
A tenancy deposit is a sum of money, usually the equivalent of four or six weeks’ rent, that is taken from the tenant at the beginning of their stay, and held for the duration.