Can my deposit be held because I changed my mind to move into a unit?

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Can my deposit be held because I changed my mind to move into a unit?

I changed my mind to move into an apartment but I gave 1 months security deposit. The managment secratery told me I will loose my security deposit if I decide to not move in. The only thing that I signed was a application for the unit and because the owners were holding it for me and took it out of the market, they do not want to give back the deposit. I also paid for other fees to owners that I know will not be refunded.

Asked on October 29, 2010 under Real Estate Law, Connecticut

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 13 years ago | Contributor

A security deposit is a deposit to make good the landlord for damages a tenant (or tenant's guests, etc.) cause to the apartment or for non-paid rent. In either event, you have to actually be a tenant for the landlord to potentially have grounds to retain the deposit, since if you never entered into any lease, (1) there's no rent due, and hence no unpaid rent; and (2) you never had possession of the apartment, so you'd not be responsible for any damages. A deposit  that was not a security deposit but was instead a deposit on the apartment, for the landlord to hold it, could be retained if the prospective tenant was the one who walked on the deal. The key issue is what kind of a deposit is it; and related--if it's ambiguous, what can you prove, or what evidence do you have for  it being a security deposit and not a deposit to hold the premises? If  the landlord believes it's the latter, not the former, whether he can retain it will come down to what can be proven about the kind of deposit it was.


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