Curious about Flatio's deposit policies? Use this article to understand how the deposit can be set and what limitations apply.
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Can I ask the tenant for a refundable deposit?
Stays of less than 180 days
Flatio landlords cannot require a security deposit for stays of less than 180 days (6 months). (Please note that exceptions are made in certain regions of some countries, such as in Spain, where local laws require landlords to collect a security deposit, regardless of the length of stay. In such cases, a deposit can be charged even for short-term stays.)
However, to give you peace of mind and provide you with possible financial compensation in the event of damage to your property, we offer a free Rental Insurance - Powered by AXA coverage to all reservations that don't require a deposit. This coverage goes way above standard coverage as it also includes assistance services and legal protection, together with a 24/7 online support of AXA Assistance.
Stays of more than 180 days
For stays longer than 180 days, the landlord decides whether to require a classic refundable deposit (unless it’s required by the law), or whether to be covered by our Rental Insurance - Powered by AXA.
NOTE: Reservations that require a deposit payment can’t be covered by the Rental Insurance and the deposit will serve as the only coverage in case any issues arise.
Important information
If you require a deposit, you must set the deposit in the My Rentals web application. (The process is explained in more detail later in this article.)
If you don't set the deposit and still demand the classic deposit from the tenant, the tenant isn't obligated to pay the required deposit and you can't refuse to hand over the accommodation without penalty. (Flatio may impose a fine of up to one month's rent in accordance with the General Terms and Conditions.)
It's because the lease agreement was concluded with the reference to a zero deposit and the tenant is entitled to move in according to the agreement.
If you continue to insist on a deposit, the tenant may exercise their rights under the lease agreement and refuse to take possession of the accommodation on the terms you set. If the tenant agrees to pay the required deposit to you, we recommend that you include this information in a lease agreement amendment that you have to create as a landlord.
You can read more about the deposit payment and settlement processes in this article.
How do I set the deposit in My Rentals?
- In the Properties section, click on the listing for which you want to set the deposit.
- Select “Refundable deposit”.
- Check the box "I require a refundable deposit (for stays of 180 days or more)", whereupon a field will appear for entering the value of the deposit as a percentage.
If the rental price for a period of 30 days is already known, the refundable deposit amount for a specific reservation will be calculated. This amount is selected based on your price setting for the listing and the move-in date.
The maximum allowed value of the field is 100(%), which means a deposit equal to the rental price for 30 days.
(Note: The settings are different for landlords in certain countries, such as Spain, where local laws require landlords to collect a security deposit, regardless of the length of stay.) - Save the changes by clicking on "Save".
