Common use of Holding Fee Clause in Contracts

Holding Fee. A holding fee is generally taken from a tenant applying to rent a property. The purposes of this fee is to verify the tenant’s serious intent to proceed, and to protect the Agency against any administrative expenses (taking out references, conducting viewings) that may be incurred should the tenant decide to withdraw the application. The holding fee does not protect the Landlord against loss of rent due to the tenant deciding to withdraw, or references providing unsuitable although early acceptance of rent from the applicant would not be advisable until satisfactory references have been received. Landlords should notify the Agency where they wish a larger security fee or deposit to be carried to protect against loss of rents. If the tenancy proceeds, the holding deposit will be used towards the deposit.

Holding Fee. A holding fee is generally taken from a tenant applying to rent a property. The purposes purpose of this fee is to verify the tenant’s serious intent to proceed, and to protect the Agency against any administrative expenses (taking out references, conducting viewings) that may be incurred should the tenant decide to withdraw the application. The holding fee does not protect the Landlord against loss of rent due to the tenant deciding to withdraw, or references providing proving unsuitable although early acceptance of rent from the applicant would not be advisable until satisfactory references have been received. Landlords should notify the Agency where they wish a larger security fee or deposit to be carried to protect against loss of rents. If the tenancy proceeds, the holding deposit will be used towards the deposit.