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.
The 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.
If you have been rummaging through web results for “property management companies near me,” then you are at the right place. 3 Options Realty’s property managers in Atlanta are experienced and trained to deliver top-tier service. Call 3 Options Realty to speak with a friendly representative today to learn more about our property management & real estate services. We are ready to take your call.
We use professional market research to determine fair-market rent, and we use broad market advertising to reach a large audience. Our agents will also help you prepare your property and skillfully present your property. Prospective tenants will undergo comprehensive interviews and background screening before we negotiate with them the rental agreement using our proprietary, attorney-reviewed forms.