I live in Sanford Florida
How do you determine what to charge for a security deposit?
Do most landlords collect the last months rent?
I’m planning on renting my main residence and new to all of this, you’re help will be appreciated.
Depending on your property I would advise you asking for First, Last and Deposit. Each in the amount of the monthly rent.
I had a situation where I had a tenant that I only asked for first and security deposit, on a high-end home. He left without paying the last month rent. There were repairs in the amount of $1650 that I had to do to the house in order to reset it for sale. To claim the deposit you have to write certified letters to the old tenant and try to collect and also inform them that you will use the security deposit money for the repairs. My tenant never accepted the certified mail letters.
So going forward my mode of operation is to ask for all three: first, last, and a security deposit.
I am in Florida as well. I always ask for first and last months rent as well as a security deposit. (All equal to one months rent). I also charge a nonrefundable animal fee.
If you don’t get the last month up front you are asking to be stiffed when they move out. Because they will use the money to put down on their next rental.
As far as sending a letter for claiming the deposit for damages or anything else check the local laws as well as the Florida statutes. I’ve never had any issue retaining the security deposit for damages the tenant caused.
@Denise Sanford Make sure to check your landlord/tenant laws in your municiaplity and state. I know in Connecticut there is a cap on what you can charge for total move in money (deposit + first months rent) based on the age of the occupant.
For someone 62 or older the max is two months (1 month rent, 1 month security typically) and for someone under 62 the max is three months total (2 months security/1st months rent OR 1 month security/first and last months rent)
Some states have limitations about how much you can charge.
I charge based on a level of risk. Most tenants pay equal to a month's rent. Some pay 1.5 or 2x the rent. I do not charge last month's rent.
I determine the level of risk using an objective score sheet. The higher the risk, the more they pay to rent from me. it's worked great for many years, reduces my workload, and has significantly cut down on the number of tenants leaving damages that exceed their deposit.
l charge a security deposit of 1.5 times the monthly rent . See Chapter 83 for landlord-tenant statutes.
Thanks everyone for your help!