When you first move into a property, it has now become almost mandatory that the tenant pays a security deposit before being given the keys. This will usually be the equivalent of a month’s (or even a month and a half’s) rent and will be paid directly to the landlord. This doesn’t mean that the landlord can do whatever he wants with it; after all, it’s still your money up until the point at which you do something that requires a deduction to be made. The Tenancy Deposit Scheme was established in 2007 to stop a tenant’s deposit from being mismanaged or misplaced while they’re under a STA (Shorthold Tenancy Agreement.
The benefit to a tenant living under an STA is that they know that their deposit will always be safe for the duration of their tenancy, and that they are able to retrieve their full entitlement at the end of their stay. This doesn’t suggest that you are guaranteed to get the full sum back whatever happens, as there would be no point in having deposits in the first place, merely that your landlord cannot treat it as though it is their money whilst it is in their possession. Whenever you come to the conclusion of an STA, there are certain specific scenarios where a landlord might be allowed to make deductions from your tenancy deposit. These are:
Deductions For Cleaning: If the tenancy agreement states that the rented accommodation (or specific fixtures and fittings therein) ought to be cleaned to a particular standard prior to vacating the accommodation and they are not met, the landlord can make deductions to make certain the expense of this is covered. But, as a tenant, you are only responsible for cleaning anything that has been damaged beyond standard wear and tear. It is essential that you compare the descriptions of all items listed on the inventory list with the actual condition of the items when you take control of a property. It might also help if you take photographic or video proof to help your case should a dispute arise.
Deductions For Property Damage: If you damage any of the items in the property then you will typically be liable for repairing or replacing the goods involved. Even though this means that if you break a washing machine, you’re required to pay for it to be fixed or even replaced, you are only obliged to replace like for like. If the item is old when you break it, you will not need to buy a brand new item to replace it but one of equivalent or similar condition/value. Insist upon itemisation of any items repaired/replaced or even work undertaken and materials required if the landlord makes any deductions.
Deductions Regarding Rent Arrears: Should you leave a property without paying the rent that’s due, a landlord will be allowed to deduct the owed amount from your deposit. The best way to prevent this is to pay all of the rent you owe before you leave. If you think that you do not owe any money, but the landlord believes you do, then you may need to get legal advice about the best way to handle the situation. If you paid rent by direct debit, bank statements can be used as proof by either individual to demonstrate whether or not payments have gone into arrears.
No matter what type of rental situation is involved (whether it is Houseshare, Flat Share, Rooms For Rent or even student accommodation), you are required by law to take measures to protect all of your tenants’ deposits in either a custodial deposit protection scheme or an insurance based scheme.