Can a landlord require more than one month's deposit

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One month or two months? Can I, as the owner, require more than one month's rental deposit? Well, the decision has been made, you are going to rent your home , but... do you know exactly how much you can ask for a deposit from the tenant? This is a much more common question than you think among owners of rental apartments, so in this article we explain what is the maximum rental deposit that you can legally ask for from the tenant.

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As a landlord, can I require more than one month's rent deposit?
This answer is simple: Yes, it is possible to require more than Sri Lanka Phone Number List one monthly payment in the lease , but BEWARE! Not as a deposit if the rental is for residential use. Before formalizing a contract with this special feature, you should know that there are legal limits and regulations that you should be aware of before doing so.

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And...what does the Law say?
The Urban Leasing Law (LAU) regulates the rental of housing in Spain, and this is where everything related to rental deposits is established. Well, according to the LAU, the rental deposit is equivalent to a monthly payment of the rental income . Therefore, in principle, you can only require a month's deposit.

Here we leave you what the LAU tells us about bail in general:

Article 36. Bail.
1. At the conclusion of the contract, the requirement and provision of a cash deposit in an amount equivalent to one month's rent in the rental of housing and two in the rental for use other than housing will be mandatory.

2. During the first five years of the contract, or during the first seven years if the lessor is a legal entity, the deposit will not be subject to updating. But each time the lease is extended, the landlord may demand that the deposit be increased, or the tenant that it be decreased, until it is equal to one or two monthly payments of the current rent, as appropriate, at the time of the extension.

3. The updating of the bond during the period of time in which the agreed term for the lease exceeds five years, or seven years if the lessor is a legal entity, will be governed by the provisions stipulated for this purpose by the parties. In the absence of a specific agreement, the agreement regarding the updating of the rent will be presumed to also be agreed upon for the updating of the deposit.

4. The balance of the cash deposit that must be returned to the tenant at the end of the lease will accrue legal interest after one month has elapsed from the delivery of the keys by the tenant without said restitution having been made effective.

5. The parties may agree on any type of guarantee for the lessee's compliance with its rental obligations in addition to the cash deposit.



In the case of housing leasing, in contracts of up to five years in duration, or up to seven years if the landlord is a legal entity, the value of this additional guarantee may not exceed two monthly rents.

6. The General Administration of the State, the Administrations of the autonomous communities and the entities that make up the Local Administration, autonomous organizations, public business entities and other public entities linked to or dependent on them, are exempt from the obligation to provide security, and The Mutual Funds that collaborate with Social Security in their public function of collaboration in the management of Social Security, as well as their Joint Centers, when the income must be paid from their respective budgets.