Sample Vacation Rental Deposit Refund Letter (When Withholding for Damages)


    Below are two examples of letters that you could send to your renters when you need to withhold some or all of the damage deposit.  You should also include a copy of your signed rental agreement (with the damage deposit refund policy highlighted), and be sure to refer the renters to the section of your contract that refers to the stipulations around damage deposits.

    Also be sure to enclose any receipts for the replacement of the damaged item, as well as any fees associated with the damage. If you took a photo of the damaged item (and we hope you did), then send them a copy of the photo, too.

    You should notify the renters within the specified time frame per your contact for damage deposit refunds. In some states, it is required by law to notify renters or refund damage deposits within 30 days. However, if your contract states damage deposit refunds will be mailed within 14 days, then be sure to abide by the time frame in your contact.  Refund letters can be sent via USPS certified mail with signature required and return receipt.
     
     

    When you need to withhold a portion of the damage deposit:

    Your name
    Your address
    Your City, State, Zip
    Your phone number
    Your e-mail address
    Your webpage address http://your website address.com

    Today's date

    Dear Mr/Ms. Renter,

    Thank you for renting our home located at [your vacation home address], from the dates of _______ to _______ .  We hope you enjoyed your stay.

    Regretfully, we have to withhold a portion of your damage deposit because of [damaged item]. Per item [clause/item #] of the attached signed rental contract, the damage deposit will be withheld for damages incurred during the dates of your reservation.

    I have included a photograph of the [damaged item], which shows the [explanation of damages], which was discovered upon checkout after your stay. Also enclosed is a copy of the bill which shows the exact amount to replace the [damaged item.]

    Enclosed is a check for [$X] which is equal to your original deposit of [$X] minus [$X, the cost to repair the damaged item].


    Sincerely,

    [Your Original Signature]



    When you need to withhold the entire deposit:

    Your name
    Your address
    Your City, State, Zip
    Your phone number
    Your e-mail address
    Your webpage address http://your website address.com

    Today's date

    Dear Mr/Ms. Renter,

    Thank you for renting our home located at [your vacation home address], from the dates of _______ to _______. We hope you enjoyed your stay.

    Regretfully, we have to withhold your damage deposit because [explanation of damaged item]. Per item [clause/item #] of the attached signed rental contract, the damage deposit will be withheld for damages incurred during the dates of your reservation.

    Enclosed is a photograph of the [damaged item], which shows the [explanation of damages], which was discovered upon checkout after your stay. Also enclosed is a copy of the bill which shows the exact amount to replace the [damaged item].

    Regretfully, we must keep your entire damage deposit as the total damages, [$X], for the [explanation of damages] equaled/exceeded the amount of your damage deposit.

    Sincerely,

    [Your Original Signature]

                                 


     

     


    Download our sample deposit letters here!