I'm half way done.....I've returned half of the security deposits for residents "departing" rental homes this summer...70% got ALL of their deposit back....I'm so pleased.
I have never intentionally make deposit returns a "profit center" for my company. I do charge a 20% service charge (written into my lease) for any non-rent/late fee charges taken from security deposits.
On the flip side, I do go overboard to provide departing residents with all the tools necessary to get their FULL deposit back. Check out instructions are in the Resident Handbook they get BEFORE they sign the lease...so they know what is expected of them during their lease AND at move-out.
I ONLY have fixed term leases * they end at NOON, on the 3rd Friday or May, June, July or August.
I provide a check out letter a month before the lease termination date with a 2-page cleaning check list (this is helpful with roommates who divide cleaning duties and if they use a professional cleaning serivce). I also provide copies of the business cards of my preferred cleaning service and carpet cleaners. For future move-outs, I'll provide a third card - my preferred yard service.
I encourage residents to schedule these services EARLY to make sure they are able to vacate and have the cleaning done BEFORE they return the keys to my office.
When they return their keys, I request that residents provide their forwarding address on a business size #10 envelope for the return of their deposit * this way any delay is because of the sloppy handwriting * and most provide a stamp which is beneficial. Since I have 45 days to account for their deposit, I wait until the 40th or 43rd day and do the returns at one time.....I am often tempted to provide the deposit earlier, and true to form, something is found that should be charged.....
The most common items that I deducted for were......missing/burnt out light bulbs; yard not weeded or mowed; items left at the property (one tenant left bath towels which I've appropriated for my new PUPPIES); dirty mini-blinds (some pro cleaning services clean the windows, pull up the blinds and NEVER CLEAN THE BLINDS!!)....
The CLEANER residents leave their rental properties, the less work needs to be done before new residents move in and that is a PLUS!!!
Wallace S. Gibson, CPM * GIBSON MANAGEMENT GROUP, Ltd.
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It must make it easier to find tenants when your only filling vacancies in the summer. I haven't heard of doing that before but it sounds like a good idea.