What will happen to my security deposit
if I vacate the property before the end of my
lease?
In addition to any physical damage which
you may have caused to his property, the
landlord may also deduct from your security
deposit his actual damages caused by your
moving out of his property before the end of
your lease term; however, he may not charge
you a “termination fee” or impose any other
penalty or forfeiture of deposit for your early
termination. For example, your rent is S600
per month and you move out of the landlord's
property two months before the end of your
lease. If it takes the landlord (using his best
efforts) one month to re-rent the property, he
may deduct $600 from your security deposit
as lost rent for the period during which his
property was vacant. In addition, the landlord
may use the security deposit to recover any
reasonable fees or commissions charged by a
licensed broker to re-rent the property.
What wih happen to my security deposit if,
for some reason, I am unable to pay my rent?
If you fail to fulfill your obligations under
the lease (including your obligation to pay
rent), the landlord or his agent may evict you
from his property. (The court proceeding
is known as “summary ejectment.") In addition
to having you removed from his property, the
landlord (or agent) may recover from you any
unpaid rent and, of course, the cost of repairing
any physical damage which you may have caused
to his property — but not damage due to ordinary
wear and tear. In addition, if you leave behind
any of your personal property (furniture, clothing,
etc.), the landlord may also recover from you the
cost of storing your property. If your security
deposit will not cover the landlord’s damages for
unpaid rent, physical damage to his property, and
storage of your personal property, you will be
liable for payment of any remaining costs. If a civil
judgment is entered against you by the court, it
could adversely affect your credit rating.
Is there a deadline by which the landlord or
agent must return my security deposit?
Within 30 days after the termination of your
tenancy, the landlord or agent must send you
either a full refund of your deposit or a written
itemized accounting of any deductions along with
any remaining refund amount. Where the full
amount of damage cannot be determined within
30 days, the landlord or agent may send you a
written interim accounting of deductions claimed.
followed by a final accounting no later than 60
days following the end of the tenancy. So, it is
important to give your landlord or agent a full
forwarding address. If you cannot be located,
the landlord or agent must hold for at least six
months in his or her trust account the amount
to be refunded to you. If the landlord or agent
fails to refund your deposit or make the required
accounting, you can sue for recovery of the
deposit and reasonable attorney fees. The failure
to make the accounting as required under the Act
is a forfeiture of the landlord’s right to retain any
portion of the deposit.
What wih happen to my security deposit if the
ownership or management of the property that I
rent is transferred to someone else?
If the landlord who collected your security
deposit transfers ownership of his property to
someone else during the term of your lease,
he must either refund your security deposit to
you (after making any allowable deductions),
or transfer your deposit to the new owner (after
making any allowable deductions) and notify
you in writing of the new owner’s name and
address. In either case, your deposit must be
refunded or notice given to you of the new
owner’s name and address within thirty days of the
transfer. Likewise, if you have paid your security
deposit to the landlord’s agent and the agent
discontinues managing the property during the
term of your lease, the agent must either transfer
your deposit to the landlord/owner or, with the
owner’s permission, transfer your deposit to the
new manager. In either case, the agent to whom
you paid your security deposit must notify’ you
of the new location of your deposit and, if your
deposit is being transferred to the owner, advise
the landlord of his or her responsibilities to you
under the Tenant Security Deposit Act (NC Gen.
Stat. § 42-50 et seq.).
Scan the code below to access the
Commission Web site from your mobile devices.
THE NORTH CAROLINA
REAL ESTATE COMMISSION
P.O. Box 17100 Raleigh, NC 27619-7100
Phone:
919/875-3700
Web Site: www.ncrec.gov
REC 3.24
5/1/13
Оиосшош
andAnawlSB on:
00,000 copies of this public document were printed at a cost of S.000 per copy.
