What happens at move-out with residents who purchase a deposit alternative?
At Jetty, we spend a lot of time talking to leasing teams and prospective partners about how to offer deposit alternatives at move-in. But equally important is what happens at the end of a resident’s lease.
For leasing teams who’ve only worked with traditional cash deposits in the past, the process is a bit different. The biggest difference is that there’s no need to mail a check to the resident—meaning that, in most cases, the move-out process is even easier.
But for residents who’ve caused damaged or skipped rent, this is where Jetty can step in to cover the cost.
Of course, the best way to prepare for a smooth move-out is to make sure the resident understands exactly what a deposit alternative does at move-in, and that they’ll be expected to pay for any damages and outstanding balances at the end of their lease.
That said, here’s how the move-out process works for residents who’ve purchased a deposit alternative:
1. The leasing team performs their standard move-out inspection
After the resident moves out, the leasing team will need to perform their standard move-out inspection. If the resident hasn’t caused any damage beyond standard wear and tear, that’s it! There’s no need to return a cash deposit, and the resident is good to go.
If the resident has caused damage, the leasing team will need to document that damage and estimate the cost to repair—just as they do at the end of any other lease.
2. The property bills the renter for damage or missed rent
Before filing a claim with Jetty, the property will need to bill the resident for any damages or missed rent. We recommend getting in contact with the resident as soon as possible, so that they’re aware of the outstanding balance.
3. The property can file a claim for any outstanding costs
If the resident fails to pay within a reasonable amount of time (about 10-15 business days), the property can then file a claim with Jetty. Each claim is reviewed individually, and for covered claims, we’ll provide payment up to the bond amount.
It’s important to note here that this is true even if a resident opted for monthly payments with Jetty and has fallen behind on those payments. The bond is in place as soon as the first payment is made, and we will honor that bond.