Holding Deposits

It is increasingly common, once a prospective tenant has expressed a genuine interest to entering into a tenancy agreement, to take a Holding Deposit in order that the property is reserved and taken off the market. Unfortunately there are too many people who say they will definitely take a property, but for whatever reason do not proceed, make no further contact and don’t respond to any messages left.

It is increasingly common, once a prospective tenant has expressed a genuine interest to entering into a tenancy agreement, to take a Holding Deposit in order that the property is reserved and taken off the market. Unfortunately there are too many people who say they will definitely take a property, but for whatever reason do not proceed, make no further contact and don’t respond to any messages left. Therefore the idea of a Holding Deposit is to eliminate this behaviour.

If a Holding Deposit is taken then a receipt should be issued and it should be made clear that the Holding Deposit is non-refundable if the prospective tenant simply changes their mind. On the assumption that the tenancy does go ahead then whatever sum has been paid as the Holding Deposit is then put towards the Security Deposit.