Under a traditional security deposit scheme, when you rent a property, PropertyLoop – on behalf of your landlord – will take an initial deposit of five weeks' rent to cover any potential losses the landlord may experience due to your tenancy. This can include missing rent payments, unpaid bills, damage to the property, and more. In order to ensure your money is safe, your security deposit will be kept in a government-backed deposit protection scheme (DPS) so that you know your money is safe.
After the end of your tenancy, you will reach an agreement with the landlord on if there will be any deductions, and if so, how much. Possible reasons for deduction will be detailed beforehand and will include the potential loss of any money the landlord suffers as a result of your actions as a tenant. For example, if you fail to keep the property in good condition and excessive wear and tear occurs, the landlord may deduct money from the deposit to make necessary repairs to the home.
Once you come to an agreement, the deposit will be returned to you within 10 days. If you are unable to come to an agreement, the DPS dispute resolution service can assist in resolving the problem.