The move-in cost for a tenant is typically the equivalent of two months’ rent. This includes the first month’s rent plus a security deposit. In most cases, the tenant, upon move-in, will place all of the utilities in their own name. Some utilities may require a deposit if they have been turned off or if there is no payment history for the tenant.
The security deposit is held by the broker in a Trust Account and 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 security deposit.