When to cash security deposit?

[Ihatetowait]

First time landlord here, I've read through the tenant act but I can't seem to find clarification.

For example if I (the landlord) sign a lease with the tenants on January 1 for a rental set to start on Feb 1 when do I cash the security deposit? On the first day of the tenancy or immediately?

[Stephen81]

strong username to thread ratio*


*sorry i have nothing to contribute.

[Superman403]

I have been a landlord for several years.

I've always immediately cashed, just to make sure things don't bounce.
And I tell the tenant that I'm going to (just in case it is post dated and they might not have funds. I don't want them to have an overdraft fee) . They are "securing" the contract with the deposit.


Note : you are supposed to keep the security deposit in an account that accumulates interest and when you pay it back you pay interest back to tenant. That's legally speaking but many do not do it.

My advice as a new landlord is to be good to them. Buy them chocolates for Xmas. Be available by text or email all the time. Respond within 24 hours.
Make them feel at home.
Long term tenants are the best

[90_Shelby]

Originally posted by Superman403


Note : you are supposed to keep the security deposit in an account that accumulates interest and when you pay it back you pay interest back to tenant. That's legally speaking but many do not do it.



Most don't do this because the minimum interest rate has been 0% since 2009.

http://www.servicealberta.ca/1033.cfm

[Ihatetowait]

Originally posted by Superman403
I have been a landlord for several years.

I've always immediately cashed, just to make sure things don't bounce.
And I tell the tenant that I'm going to (just in case it is post dated and they might not have funds. I don't want them to have an overdraft fee) . They are "securing" the contract with the deposit.


Note : you are supposed to keep the security deposit in an account that accumulates interest and when you pay it back you pay interest back to tenant. That's legally speaking but many do not do it.

My advice as a new landlord is to be good to them. Buy them chocolates for Xmas. Be available by text or email all the time. Respond within 24 hours.
Make them feel at home.
Long term tenants are the best

Thanks for the info. Definitely going to make sure I treat my tenants right. I've had enough bad landlords in recent years to know exactly what not to do.

On another note how often before the rent date do you usually start to see lots of interest? I put the townhouse in question up for rent around mid december and I haven't seen much of anything other than some young kids whos references didnt check out. Renting for feb 1st.

Ive compared my price and features to market prices and I am right in the area of other rentals in similar communities.

[cam_wmh]

Originally posted by Ihatetowait


Thanks for the info. Definitely going to make sure I treat my tenants right. I've had enough bad landlords in recent years to know exactly what not to do.

On another note how often before the rent date do you usually start to see lots of interest? I put the townhouse in question up for rent around mid december and I haven't seen much of anything other than some young kids whos references didnt check out. Renting for feb 1st.

Ive compared my price and features to market prices and I am right in the area of other rentals in similar communities.

You're probably overpriced.

[Ihatetowait]

What would you say market price for a brand new 1300 sq ft townhouse in kincora with 2 car attached and heated garage with 2 bed 2.5 bath?

Looking at the market it's anywhere from 1600 to 1900 and I'm on the low end of that.