You mean they keep a portion of the deposit to determine who receives the payout?
If you meant they only keep a portion of the revenues produced by the investment, which obviously must be one of the safest ones available and thus will have low return on investment, I’m afraid that would not be economically viable for the escrow company.
Looks like there are accounts that can earn 3.5%. It’s an hour or two of work. Average occupancy rate is close to three years. A $2000 deposit would cover an inspection after a year.
Fallback could be on the renter if there is reason to withhold and on the owner if there is no need to withhold.
Assuming your numbers are correct, after one year the interest is $70. I doubt you’d get anyone out to conduct the inspection at that price, let alone the additional work should there be a dispute by the tenant or the landlord.
The escrow company gets to invest the deposit. They can use a portion of those funds to determine who receives the payout.
You mean they keep a portion of the deposit to determine who receives the payout? If you meant they only keep a portion of the revenues produced by the investment, which obviously must be one of the safest ones available and thus will have low return on investment, I’m afraid that would not be economically viable for the escrow company.
Looks like there are accounts that can earn 3.5%. It’s an hour or two of work. Average occupancy rate is close to three years. A $2000 deposit would cover an inspection after a year.
Fallback could be on the renter if there is reason to withhold and on the owner if there is no need to withhold.
Assuming your numbers are correct, after one year the interest is $70. I doubt you’d get anyone out to conduct the inspection at that price, let alone the additional work should there be a dispute by the tenant or the landlord.