A security deposit is money a tenant gives a landlord to secure performance of the lease. It stays the tenant's money. Florida sets how it must be held and what a landlord must do at the end of a tenancy: return it within fifteen days, or send written notice of a claim against it within thirty, in the form the statute prescribes.
- It is not income and it is not the landlord's. Treating it as working capital is how small owners create liabilities they cannot see.
- The notice requirements are specific and the deadlines are short. Missing them can cost the claim entirely.
- At closing, deposits are credited to the buyer, who now owes them back. Reconcile the list against the leases, not against the seller's summary.
- Last month's rent collected in advance is a different thing with different rules. Do not let one line on a roll cover both.
Related terms
All termsRent Roll
A rent roll is the schedule of every unit in a building and what it earns: the tenant, the rent, the lease start and end, the deposit held, and whether the unit is occupied.
ClosingEstoppel Letter
An estoppel letter is a written statement of what is actually owed and agreed, given by the party in a position to know and binding on them afterward.
ClosingProration
Proration is the division of ongoing costs and income between seller and buyer at the closing date: property taxes, collected rent, association dues, and utility and service periods.
Terms arrive with the writing.
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