Upon successful completion of the lease and once a Tenant has moved out of a property using the appropriate 30-day written notice, all belongings have been removed from the property and the keys have been returned to our office, the Property Manager will complete their final inspection.
The security deposit is often held by the Broker in a Trust Account that is FDIC insured, as mandated by the California State law and the Department of Real Estate.
A security deposit is never paid in lieu of the last month’s rent and should not be referred to as such. Should the tenant decide to end their tenancy, they can submit their 30 day Notice along with their payment of the last month’s rent. That way there is never any confusion about the fact that the security deposit IS NOT the last month’s rent.
Within 21 days of move-out the Tenant will receive at their forwarding address a comprehensive accounting and/or disposition of the security deposit. California State law allows that the security deposit shall be accounted for and/or returned to the Tenant within 21 days of move out and returning of keys.