What if the tenant does not appear on the day of move-in? You already took the property off the market, and now you have no tenant. How can you protect yourself?
A common practice is to collect a reservation deposit. Do not confuse this with a security deposit or advance rent. In Georgia, a landlord cannot accept those types of funds until after conducting a move-in inventory and giving the tenant occupancy. But the parties can enter into a separate agreement (or there can be language in the lease to this effect), for the prospect to give a payment as a demonstration of good intent. Such money would be nonrefundable, but usually it can be credited to the first month’s rent upon successful move-in. Under such an arrangement, the landlord has something to cover the damages of a no-show.
It may seem like semantics, as to what you label this payment, but it may make a big difference, if the landlord is forced to go before a judge to defend keeping the money. The law in Georgia is very clear—no inventory, no security deposit.
If you need a property manager in your area, call our number today.
Daniel R. Wilhelm
3 Options Realty, LLC.
678-397-1282
http://www.3OptionsRealty.com
3 Options Realty is committed to providing Georgia's best property management services. But in the unlikely event that a landlord…
Read More
A dream tenant on move-in day can turn into an eviction case six months later. Missed rent, damage to your property,…
Read More
Are you struggling to maintain multiple rental properties? Have you recently purchased your first real estate investment, but are feeling overwhelmed…
Read More
Most property management companies are designed around the departmental organizational structure. 3 Options Realty is much different and there are…
Read MoreThe author of this Blog is not an attorney. Nothing written should be construed as legal advice. Conclusions conveyed are outcomes based upon practical experience and should not be depended upon to be a common outcome of other similar circumstances.
Do you own rental property? Are the responsibilities overwhelming? If so, hiring a professional property management company can help. At…
Read More
Real estate is intensely competitive, fast-paced, and ever-changing. As a property owner, being on top not only means timely rent collection…
Read More
As a rental property owner, turnovers are expensive. From preparing the property for rental and advertising the vacancy to showing the…
Read More
As a property owner, ensuring a peaceful rental experience is crucial. The last thing you want is misunderstandings, conflicts, and frustration.…
Read More