Agent refusing to return holding deposit.

JaherulAlom

Hi All,

Myself and my family recently found a property we were quite happy to rent. We were told to pay a £500 holding deposit to secure the property.

There was a salary criteria that we had to meet in order for us to qualify for the property, whilst i was sure that my family would meet this my mother was unsure and hesitant, however, we continued to pay the deposit based on the letting agent saying he would return the deposit to us if we did not qualify.

Upon meeting the landlord ourselves there were other factors that we were not pleased about which i highlighted to the agent but as we paid the holding deposit we were still going to continue with the tenancy. Upon checking the salaries we found that we fell short of the requirement and thus did not qualify for the property as well as myself being made redundant that same week, i went on to pursue the holding deposit.

The agent initially refused to return the deposit as he said that we had pulled out the deal, after bringing him to the statement he made that he would return the deposit if we did not qualify. The agent has now given me an email saying that he would return the deposit to me based on me accepting the following two statements,

1. The agent sources another tenant for the property
2. Accepting that i pulled out the deal

He has given me till the end of the month the satisfy those decisions, however if statement one is not fulfilled i he still will not be returning my deposit.

Can someone please advise me on what i can do? I

Guest101

Letter Before Action, Small Claims Court....

JaherulAlom

do i stand a chance? i have no experience in such matter

TBagpuss

Was his original agreement to return the deposit if you didn't qualify on salray made in writing? Has the agent confirmed in writing since then that he made that agreement?

If not, then while you can, of course issue a letter before action and try to sue him, I think you may have an uphill struggle as the point of a holding deposit is that it holds the property for you - the normal terms would mean that it is lost if you don't proceed

G_M

JaherulAlom wrote: »

....We were told to pay a £500 holding deposit to secure the property.

There was a salary criteria that we had to meet in order for us to qualify for the property, ......we continued to pay the deposit based on the letting agent saying he would return the deposit to us if we did not qualify.
I assume you have this in writing? If so, your legal position is strong.

.....as we paid the holding deposit we were still going to continue with the tenancy.
OK
Upon checking the salaries we found that we fell short of the requirement and thus did not qualify for the property....
so you fall back on the written statement regarding yoyr deposit

The agent initially refused to return the deposit as he said that we had pulled out the deal,
Is he still claiming this?
after bringing him to the statement he made that he would return the deposit if we did not qualify. The agent has now given me an email saying that he would return the deposit to me based on me accepting the following two statements,

1. The agent sources another tenant for the property
2. Accepting that i pulled out the deal

He has given me till the end of the month the satisfy those decisions, however if statement one is not fulfilled i he still will not be returning my deposit.

Can someone please advise me on what i can do? I

Small Claims via
https://www.moneyclaim.gov.uk/web/mcol/welcome

JJG

You say you fell short of the salary requirements, but were they still happy to rent to you despite this? Nowhere do you say that they have refused to rent the property to you.

Marvel1

Who backed out of renting the property?

JaherulAlom

Unfortunately i do not have it in writing that he would return the deposit if we did not match the salary criteria.

I do have in email writing the agent saying "and we did have the conversation in the property and while your mother hesitated(salary requirements)... you confirmed... and proceeded to pay the deposit"

In my most recent communication with the agent he has said that if i do not agree to the two conditions by the 28th of march and the agents do not source another tenant then he will not be returning my holding deposit.

I feel like i am being treated unfairly and when i have agreed to take the property but fall short on the salary expectations and now being refused the return of my deposit unless the letting agents find another tenant for the property.

JaherulAlom

The letting agents have refused to rent me the property and have informed me they are looking to source new tenants.

pinkshoes

JaherulAlom wrote: »

There was a salary criteria that we had to meet in order for us to qualify for the property, whilst i was sure that my family would meet this my mother was unsure and hesitant, however, we continued to pay the deposit based on the letting agent saying he would return the deposit to us if we did not qualify.

Did they tell you specifically what this criteria was before you paid the holding deposit? E.g. The amount you needed to earn to be able to rent the property?

If not, then they need to return money in full, as you cannot put conditions on deposits without saying specifically what they are!

If they refuse to return, just send a letter before action.

G_M

You have 4 options:

* Agree to their terms. They find new tenant. You get deposit back

* Agree to their terms. They don't find new tenant. You don't get deposit back

* send a Letter Before Action giving them 7 days to return the deposit. You cite the fact that the deposit was refundable in the event of your failing the salary requirements. Agent may back down and refund deposit. If not, you sue, and convince the court of the oral statement you received.

* walk away and take care next time