Moving out of your rental home can be hectic, but ensuring you get your security deposit back should not be complicated. In Alberta, the Residential Tenancies Act (RTA) sets clear rules to protect tenants and landlords. Here is what you need to know to recover your security deposit smoothly.
What is a security deposit?
A security deposit, also known as a “damage deposit”, is money which you pay to your landlord at the start of your tenancy. In Alberta, the deposit cannot exceed one month’s rent (RTA, Section 43(1)). It is security for the landlord, to cover any unpaid rent or damages beyond “normal wear and tear” when you move out.
“Normal wear and tear” is defined in the Residential Tenancies Act as “deterioration that occurs over time with the use of the premises even though the premises receive reasonable care and maintenance.” Examples of normal wear and tear would be fading in the carpet or drapes, chips in the floor grout, and rust on the plumbing fixtures.
Steps to ensure you get your deposit back
Your landlord can deduct from your deposit for unpaid rent or utilities, damage to the property, and cleaning costs.
Clean thoroughly. Leave the property as clean as when you moved in. This includes appliances, bathrooms, walls and floors.
Repair any damages you, your pets, or your guests caused. Normal wear and tear is acceptable; excessive damage is not. For instance, if your pet scratches holes in the carpet, you will be liable for the repairs.
Attend the move-out inspection. The move-out inspection is to be completed within one week of you moving out. During this inspection, the landlord goes through the property to see if any damage has been done since you moved in. You have the right to be present at the move-out inspection (RTA, Section 19(2)). Both you and the landlord should sign the inspection report.
Timeline for return of your security deposit
The landlord must return your deposit and a statement of account within 10 days after you move out (RTA, Section 46(2)). Any funds withheld to repair damage must be in the statement of account. The necessary repairs claimed should reflect what is in the inspection report.
It is worth noting that landlords must put your security deposit into an interest-bearing trust account. Interest accrued on the deposit amount must be paid to you annually unless otherwise agreed to. The government prescribes the current interest rate for security deposits, and those rates can be found on the Service Alberta website.
If there is a dispute
If you believe your deposit was not returned properly, discuss the issue with your landlord. If that doesn’t work, you can seek help from the Residential Tenancy Dispute Resolution Service (RTDRS). As a last resort, you can go to court for a resolution. Likewise, the landlord can seek assistance from RTDS or the court if the security deposit does not cover the costs you owe for damages and/or payment arrears.
Tips
Keep Records. Save all correspondence with your landlord. Keep copies of the lease, notices, and inspection reports. Document the condition of the premises. Take photos or videos when moving in and out. Your documentation will be valuable evidence if a dispute arises.
Final thoughts
Understanding your rights and responsibilities under the Residential Tenancies Act helps ensure a hassle-free return of your security deposit. Following these guidelines lets you leave your property with peace of mind and money back in your pocket.
For more information, refer to the following page: Security Deposits – Landlord and Tenant – CPLEA
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DISCLAIMER The information in this article was correct at time of publishing. The law may have changed since then. The views expressed in this article are those of the author and do not necessarily reflect the views of LawNow or the Centre for Public Legal Education Alberta.
About Cemal Zivali
