Rental deposits: How to end contracts without disputes
There are often disputes about what was broken before a tenant moves in, what broke during the rental period and what the tenant is responsible for fixing versus the rental property owner/manager.
Picture: Pixabay.com
702 and CapeTalk's Africa Melane speaks to Gary Phelps from Icon Property.
Listen below:
When it comes to rental deposits at the end of your lease without plans to renew, how do you get your full deposit back without any schlep?
Phelps believes that when it comes to deposit disputes, "It'll end well, if it starts well."
If you're renting through an estate agent, regular inspections throughout the rental process are conducted, while an outgoing inspection is also completed, making the transition process smooth.
"If a tenant moves out and hands you the property in the same condition or better, they are entitled to their full deposit, plus interest, and away they go - it's really that simple."
- Gary Phelps, Icon Property
However, contractually, tenants can't get away with substituting the final month's rent due for the deposit amount.
If the cost of repair is greater than the deposit and interest accrued, the tenant is allowed to pay the money within a certain amount of time. If the amount due is not paid within the agreed-upon time, the case will move to civil litigation.
Phelps advises that if damage to the property is incurred and tenants need to pay extra to have it fixed, an open line of communication between the tenant and the rental property owner/manager should be established regarding the amount that needs to be paid.
For example, if the tenant asks to pay off an extra R5,000 of damages to the property in instalments over two or three months, the rental owner/manager can agree.
But Phelps says he's 'never had a tenant that didn't cooperate' as long as everyone is on the same page.
Scroll up to the audio player to listen to the full conversation.