Holding Deposits

You can choose to charge a tenant a deposit to hold a unit while their application is being screened and/or as security that the tenant will move in once a rental agreement has been offered. You must give the tenant a written statement of the terms immediately upon payment as well as a receipt. You must return the holding deposit if the tenant fails the application screening or if the unit fails a housing inspection from a rental assistance program such as the section eight voucher with Seattle Housing Authority.  If the tenant does move in, the holding deposit must be applied to either the first month's rent or the security deposit. Read the state requirements.