What Happens to a Security Deposit at the end of a Lease?

For many of you renting an apartment, a security deposit is nothing out of the ordinary. Landlords commonly require it to cover any damages made to the apartment during the life of the lease, or to cover any unpaid rent. What many do not realize, though, is that under Florida law, there are specific restrictions in the way a security deposit is handled.

When a landlord first receives your security deposit, he or she must notify you (in writing) within 30 days of the manner in which they are holding the deposit. For example, if the security deposit is held in a trust account, a landlord must notify you of this AND must pay you either 75% of the interest the money earns or 5% a year on the money.

So what happens to the security deposit AFTER you've packed all of your belongings and moved out? First, a landlord has 15 days to return the money used for the security deposit OR notify you of any claims made against it within 30 days. If a claim is made, you have 15 days to object. If no objection is made, the remaining balance (if any) is returned to the tenant. If an objection IS MADE, and no agreement is reached, a resolution might have to be reached before a court of law.

Many disputes regarding security deposits are fact-specific and vary from one to the other. For example, did the tenant terminate the lease prematurely, or was the tenant given a defective 15-day notice? If you have any concerns regarding your security deposit, seek the help of an attorney.