Extremadura Landlord-Tenant Laws: SECURITY DEPOSITS

Understanding the requirements for Security Deposits in Extremadura is essential for landlords. Since the national Ley de Arrendamientos Urbanos (LAU) took effect on 1 January 1995, specific standards have governed the collection and return of these funds, while Extremadura mandates strict regional administrative procedures for their deposit and management.

The Legal Landscape of Extremadura

In Extremadura, the management of security deposits is governed by Article 88 of Ley 11/2019. Landlords are legally obligated to lodge the cash deposit (fianza) with the regional administration. Failure to do so constitutes a serious infraction and may result in administrative sanctions, including fines ranging from 3,001 to 30,000 euros if the amount exceeds 1,200 euros.

Essential Guidelines for Landlords

When managing properties in Extremadura, adhering to these core principles ensures compliance with both national and regional statutes:

1. Mandatory Regional Lodgment: You must deposit the statutory fianza with the Caja General de Depósitos of the Junta de Extremadura. Private retention of these funds is a violation of regional housing regulations.
2. Written Documentation: All lease agreements, move-in reports, and fianza deposit receipts must be maintained in writing. This documentation is required for any potential legal action in the Juzgados de Primera Instancia.
3. One-Month Return Rule: Under LAU Article 36.4, the landlord has one month from the moment keys are delivered to return the balance. If the deposit is returned later, legal interest applies automatically.