Flat rent
Since the rental process is a risky business, those who are looking to make money on their own apartment are wise to use certain types of protection against potential damage or fraud.
A deposit when renting an apartment is one of the tools to compensate for possible material risks associated with real estate. We are talking about damage to property and the condition of the housing itself. In addition, in the event of sudden insolvency of the tenants, the security deposit will allow the landlord to avoid financial losses.
In most cases, the deposit when renting an apartment is equal to the amount of payment for accommodation for a month. But exceptions are possible. For example, tenants may be required to pay for several months (3-4) at once. If we consider the situation with luxury real estate that is rented out, then it makes sense to expect a requirement to pay the annual cost.
Registration with Rosreestr or penalties
Starting from 2014, it is necessary to register the rental of real estate for a period of at least 12 months. Based on judicial practice, we can say that such contracts include those concluded from January 1 to December 31, as well as documents that do not have validity periods. After all, according to the law, the maximum term of the contract is 5 years.
The agreement requires registration with Rosreestr within 30 days from the date of its conclusion between the property owner and the tenant.
Fortunately, in the vast majority of cases, courts do not invalidate a lease when it is not registered. The legislation states that the owner is required to register a document, but there are no references to its nullity if this does not happen.
However, penalties for violating the required registration deadlines are a frequent occurrence. Thus, the owner faces a fine of 5,000 rubles.
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Security deposit under the rental agreement
Some agencies take a slightly different approach to such a tool for compensating possible damages. We are talking about a scheme in which such a deposit is not considered as a security deposit or an advance payment for the last month of rent.
This money cannot be used to pay rent; its only purpose is to guarantee the financial security of the apartment owner in the event of damage to his property by tenants. Therefore, when understanding what a deposit is when renting an apartment, it is worth taking into account this approach to the rental process.
Purpose of opening a deposit
Citizens open deposit accounts for two main purposes. The first is to ensure the safety of personal funds. Storing them at home under the pillow is not always rational and safe. The second is receiving profit in the form of interest.
In practice, it turns out that by opening a deposit, the client first of all protects his capital from the influence of inflation. This event does not bring much profit; inflation eats up the accrued interest quite seriously.
For example, for 2021 the overall inflation rate was 4.27%. That is exactly how much the funds of a citizen who kept them under his pillow would depreciate. And the average interest rate on deposits in 2018 was approximately 5.5%. So it turns out that the actual profit from placing a deposit only slightly exceeded 1%.
In practice, it turns out that by opening a deposit, the client first of all protects his capital from the influence of inflation
Despite the low actual profit, it is worth opening deposits. This is an excellent tool for preserving capital and protecting it from the effects of inflation.
Refund of a deposit
The peculiarity of using the insurance amount when renting an apartment becomes clear at the end of the lease. When the last month of living in the apartment has been paid for, the owner takes over the real estate from the tenant, which means inspecting the condition of the housing and property in particular.
If any damage was discovered (furniture was damaged or repair questions arose), then a security deposit, which is kept by the apartment owner, is used to compensate for it. The remaining funds after payment of the damage are returned to the tenant. If there are no complaints, the owner gives the entire amount to the tenant.
If an agreement was used during the rental process, then there should be no problems with returning the deposit. Thus, in this situation, the deposit when renting an apartment can be considered as a security payment.
Other types of deposits
In addition to classic deposits in the form of deposits, there are two more options. The first is an impersonal metal account. It’s also a kind of deposit, but its currency is precious metals. The investor's profitability directly depends on the exchange rate of the selected metal on the market. The second is deposit boxes in which citizens store valuables. The cells do not make a profit; their purpose is to protect the client’s property.
A deposit is, in simple words, an account into which you can deposit money at interest. To attract depositors and capital, banks develop a range of programs, add additional options to them, create especially profitable seasonal offers, etc. And depositors successfully take advantage of this, receiving higher income and flexible terms for placing funds.
about the author
Irina Rusanova - higher education at the International East European University in the direction of "Banking". Graduated with honors from the Russian Economic Institute named after G.V. Plekhanov with a major in Finance and Credit. Ten years of experience in leading Russian banks: Alfa-Bank, Renaissance Credit, Home Credit Bank, Delta Credit, ATB, Svyaznoy (closed). He is an analyst and expert of the Brobank service on banking and financial stability. [email protected]
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How to correctly draw up an apartment rental agreement with a deposit
Initially, it is worth noting that the current legislation of the Russian Federation does not provide grounds for clearly defining the conditions for the return of the security deposit. For this reason, based on Article 329 of the Civil Code, both parties will have to independently determine what obligations the payment of the deposit will imply.
But if we apply the most common scheme that is used in contracts, then attention should be focused on the following points:
- payment of rent that does not meet the established deadlines;
- damage caused to property located in the apartment;
- unilateral termination of the lease agreement without warning and before the end of the agreed period;
- lack of payment for rent, telephone calls and utilities.
It is very important to make sure that the rental agreement for an apartment with a security deposit contains all the reasons why a security deposit may be withheld. It would be a good idea for the tenant to check the conditions for returning the security deposit.
It is advisable for each party to ensure that all their interests are respected. For example, if the apartment owner insists on stipulating the tenant's liability for early termination of the contract, the tenant, for his part, can demand the same from the property owner.
Bail amount
Strictly speaking, there are no rules limiting the amount of security deposit paid to the landlord.
Therefore, he is free to indicate any amount that, in his opinion, may be sufficient to compensate for possible losses.
Of course, this amount should not be exorbitant. In current practice, apartment owners usually ask for a deposit in the amount of a month's rent.
Sometimes this amount can increase to two months' payment. The main thing is that its size is determined not in words, but in a written agreement. After all, unscrupulous landlords can change their minds. And residents who need an apartment urgently have to agree to new conditions that are not very favorable for themselves.
Therefore, it is in the interests of both parties to conclude an agreement that will reflect all the essential aspects of their relationship. In particular, you need to specify the amount of such deposit, the procedure for its payment and return.
Receipt for transfer of funds
The issue of issuing a security payment must be resolved competently. Therefore, upon receipt of funds corresponding to the amount of the security deposit according to the agreement, the apartment owner must write a receipt stating that the money was transferred. This will save both the tenant and the homeowner from possible unpleasant nuances associated with paying the deposit.
The receipt itself must include the following information:
- landlord's passport details;
- the amount of the accepted payment;
- date of transaction confirmation.
At the same time, considering what a deposit is when renting an apartment and what are the features of its registration, it is important to note the following fact: in some cases, the amount of the security payment may be divided into several months. If there was such an installment plan, then the party accepting the money needs to write a receipt for each paid part of the deposit.
Compliance with this format for concluding a transaction is important, since otherwise it will be difficult to prove anything in court.
Who can open a deposit?
A bank deposit is a simple account that can be opened by any client. Banks are developing separate lines of deposits for different categories of depositors:
- for individuals. Any citizen can open a deposit and use it to store and accumulate funds;
- for legal entities. Separate programs are being developed for companies and individual entrepreneurs;
- Some banks provide a separate line of deposits for pensioners. Such products are maximally tailored to the needs of this category of borrowers. Usually they always have a replenishment function connected to them, and to open a deposit it is enough to deposit a small amount of 1000 rubles into the account.
A deposit account is opened by signing a service agreement with the bank and depositing a certain amount of money into the deposit being opened. Each bank and each deposit program has its own restrictions. There are deposits for which it is enough to deposit 1,000 rubles into the account, for others you need at least 30,000, for others - 100,000 rubles.
Most often, the larger the minimum placement amount, the better the general terms of service and the more favorable the interest rates.
Possible difficulties
One common mistake on the part of the landlord is the intention to use the security deposit under the lease agreement as payment for the last month of the tenant's occupancy. The risk in this situation is quite obvious: if a few days before the transfer of the apartment property is damaged or large telephone bills are discovered, the owner will not be able to compensate for the losses incurred.
Another point to consider is the normal wear and tear of property and renovations. Sometimes tenants are blamed for such changes, resulting in tense conflicts. But if you pay attention to the civil code, you will notice that the apartment owner has no right to demand financial compensation for natural wear and tear.
An example is the loss of color saturation of curtains (fading in the sun), which the renter had no influence on. But if, say, the curtains were damaged by the tenant's active pet, then in this case the claims against him will be fair.
Types of deposits
What is a bank deposit? This is a regular account, but it can be opened under different conditions. Banks offer opening deposits under three main programs:
- Poste restante. This is an account that cannot be called a full-fledged deposit. There are no conditions for its use, the client can perform any operations he likes, but the rate is usually set at 0.1%.
- Urgent. The client opens a deposit for a certain period at a set percentage. For the duration of the agreement, he “forgets” about the existence of the account and cannot perform any transactions with it. Such programs are subject to the highest interest rates, which can be accrued both periodically and at the end of the funds placement period.
- Cumulative. Deposit programs that provide an expanded list of client options. He can partially withdraw funds up to a certain limit, or replenish the deposit. The more possible options, the lower the rate, but such programs still attract citizens. Especially those who use a deposit as a tool for accumulating funds for a specific purpose.
It is impossible to say unequivocally which type of deposit is better. For one client, urgent is convenient, for another, cumulative. Here you need to focus on your needs.
Banks offer opening deposits under three main programs
Each deposit program has its own terms for concluding an agreement. If we are talking about 3, 6 or 9 months, such deposits can be characterized as short-term. The longest terms are 1-3 years. The period for placing deposits is usually calculated in days.
How to determine the amount of compensation
This question is also relevant, since both parties may not have the same opinion regarding the cost of the damage caused. A striking example of such a situation is a refrigerator breakdown. The owner of the apartment may require that this type of household appliance be completely replaced. The tenant, not agreeing with such a solution to the problem, is able to offer compensation for the cost of repairs. Obviously, the difference in costs will be significant.
Therefore, it is advisable to indicate such points in the contract from the beginning.
Having figured out what a deposit is when renting an apartment, the owner should take into account the following principle: the amount of the security deposit should be returned only after receiving all bills, including telephone bills. Then it will be possible to objectively assess the presence of any losses.
If you neglect this rule, you may find yourself having to pay for long long-distance calls from former tenants.
