Sec Return B4 expenses??
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Sec Return B4 expenses?? (by Dee Ann [WI]) Sep 27, 2022 11:02 AM
       Sec Return B4 expenses?? (by Gene [OH]) Sep 27, 2022 11:30 AM
       Sec Return B4 expenses?? (by Busy [WI]) Sep 27, 2022 11:41 AM
       Sec Return B4 expenses?? (by S i d [MO]) Sep 27, 2022 11:56 AM
       Sec Return B4 expenses?? (by Moshe [CA]) Sep 27, 2022 12:36 PM
       Sec Return B4 expenses?? (by Robert J [CA]) Sep 27, 2022 12:42 PM
       Sec Return B4 expenses?? (by mapleaf18 [NY]) Sep 27, 2022 12:54 PM
       Sec Return B4 expenses?? (by Dee Ann [WI]) Sep 27, 2022 7:40 PM
       Sec Return B4 expenses?? (by Tonia [RI]) Sep 29, 2022 9:10 AM
       Sec Return B4 expenses?? (by zero [IN]) Oct 5, 2022 8:14 AM

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Sec Return B4 expenses?? (by Dee Ann [WI]) Posted on: Sep 27, 2022 11:02 AM
Message:

I don't want to get dinged double the security deposit for not returning a Security Deposit when due.

How is the hive returning a Security Deposit before expenses are unknown, i.e. as follows:

Security Deposit in WI is Due 21 days after move out

H20 Bills Due at an unknown date after tenants move, are responsible for, but payment is not due until some future date (bills are for prior periods, but due after that period, but at a date sometime after the 21 day security deposit is due.

Rent is due on the 1st of each month after tenants move (if replacement tenants are not found; ELT), again, security deposit is due 21 days after move.

Thanks in advance for your valuable input!

--75.11.xx.xx




Sec Return B4 expenses?? (by Gene [OH]) Posted on: Sep 27, 2022 11:30 AM
Message:

Dee Ann [WI], for the water bill, why not call the water company and ask them for an estimated bill for the meter reading and the date when the tenant moved out. I do this all the time.

In fact, for the houses where I am responsible for the water bill, at lease signing I collect a utility deposit equal to the equivalent of one water bill cycle. I deduct the estimate from that amount and return the rest. --99.165.xx.xxx




Sec Return B4 expenses?? (by Busy [WI]) Posted on: Sep 27, 2022 11:41 AM
Message:

I was just thinking about this, as I may have a turnover soon . Hadn't come up with a perfect solution, though City of Milwaukee will do a reading for a fee of $35. At least that's what its been in the past; haven't looked it up lately. I don't know if the reading generates a bill, or if I would have to calculate it. And, if it does generate a bill, how does it handle all of those other charges City of Milwaukee is tacking on to the 'Combined Services Bill.' Haven't ever used this. I don't care to spend $35 of my tenant's security deposit on city fees.

I'm thinking I may do something like take an average of the last, oh, maybe two or three years' bills for the quarter we are in, then prorate the tenant's portion. Then, to show I am not attempting to overcharge, I could even take off $10 with a notation that is done to ensure I am not overcharging, as it is an estimate. Just realized- MWW probably doesn't show records that far back, so might not be able to take an average. Might just be able to use the last year's quarter only.

On security deposit accounting statement ( hmmm... I think there is a more correct name for that, but it escapes me just now...) anyway, I put a few items that were questionable as to whether wear and tear or damages, and I show zero charges for those questionable items. There may also be some items that are certainly damages, with the charge listed. By showing a few things that I decided to NOT charge for, I am showing that I did err on the 'side' of leniency.

Caution to those that don't know me: small-time landlord, not a lot of properties, tend to have very long-term tenants, so not many turnovers. Not many at all. Haven't ever been to court, so my methods aren't court-tested. --70.92.xxx.xxx




Sec Return B4 expenses?? (by S i d [MO]) Posted on: Sep 27, 2022 11:56 AM
Message:

Get a bid from a reputable contactor for the repairs. When you do the refund, issue it would the words "This is a preliminary estimate of charges based on bids for work to be completed. Actual charges may vary and will be settled as soon as work is complete."

Now here's the kicker: most states allow 30 days. Yours only allows 21 which means you have to be Johnny on the Spot getting these things started. If you're not able to finish the work by then I'm guessing one of two things has happened: 1) the place is SO badly damaged that all the deposit will be eaten up and they will be the one's owing you or 2) your list of contractors is too short and you need a few backups, because you wouldn't want to get stuck with an existing tenant who cannot get service for a legit maintenance issue in a reasonable time.

3 weeks should be enough time to gather bids.

So the ball is kind of in your court on how to handle this, but at least you should make some effort to notify the tenant of the situation and return any funds you're fairly sure you will not need. My guess in this case is the damages are so bad that there isn't going to be a penny going back to them anyway, so you just send them the bids showing a total above the security deposit and let them know if it ends up not taking the whole thing then you will refund the balance. That way they have the accounting statement on time; it is accurate to the best of your knowledge; and you have offered to return anything that isn't needed.

Worse case they'd try to sue you for double damages on $0, and that won't work out to well for them.

--184.4.xx.xx




Sec Return B4 expenses?? (by Moshe [CA]) Posted on: Sep 27, 2022 12:36 PM
Message:

In CA, law allows landlord to deduct from deposit what is final, and to withhold good faith estimate of expenses not yet billed.

Check your own laws to see if you can do that, too.

--47.139.xx.xxx




Sec Return B4 expenses?? (by Robert J [CA]) Posted on: Sep 27, 2022 12:42 PM
Message:

Moshe is right. What I do as a landlord or contractor for clients is to give a "good faith" estimate, in writing. Then within the 21 day period, I provide receipt for work already done and also the estimate by a "contractor" or "Handyman" with a business license. I then deduct the estimated amount from the deposit and sent the refund and information to the x-tenant via The Mail with a Tracking Number. I do not need for them to sign for it. I also follow up with a phone call, email or text message saying it's been mailed and they should have it in a week or less and to give me a call if they don't get it. --47.156.xx.xx




Sec Return B4 expenses?? (by mapleaf18 [NY]) Posted on: Sep 27, 2022 12:54 PM
Message:

Here in lovely NYS we have FOURTEEN days to return the sec dep. No time to do an analysis of stuff that is inevitably missed on the exit inspecion. --72.0.xxx.xx




Sec Return B4 expenses?? (by Dee Ann [WI]) Posted on: Sep 27, 2022 7:40 PM
Message:

BUSY: I'm in your situation> A few rentals, never been to court as I am fair and honest. I do the same as your thinking on the water bill, taking the last year's quarter would be the most accurate, then deducting $10 with the notation is an excellent idea.

GENE: I LOVE the idea of a water bill deposit and using from now on. I do take an additional $100 on each room deposit, and have not specified it to be for anything specific, so will do it your way next occupancy.

I don't believe there will be damage, but you never know. I was there on an inspection today and will be back Friday for an additional inspection on issues I asked to correct.

They indicated they would NOT pay rent beyond their stay (ELT thru May 31) see SURPRISE! If they leave on the 1st, and rent is due the next month and we have no takers, I can't keep any security deposit for rent that we have no replacements for? I've had running ads up year round, lots of calls throughout the summer. NIL after school started. --75.11.xx.xx




Sec Return B4 expenses?? (by Tonia [RI]) Posted on: Sep 29, 2022 9:10 AM
Message:

Yes, I have done it to get rid of a tenant (with guestimate deductions if needed). Sometimes, for me, it's a way to pay them to go away quicker --68.15.xx.xx




Sec Return B4 expenses?? (by zero [IN]) Posted on: Oct 5, 2022 8:14 AM
Message:

Wow, we have 45 days to return the deposit with a statement of what the funds were used for.

Unless someone is a total rear end I never take the full allotted time. --107.147.xx.xxx



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