Eviction = 'actual eviction' via court (unlawful detainer) — never self-help (no lock-outs/utility cuts)
Before you read
Test yourself first: 5 questions
Question 1 of 5
A broker holds $3,000 in earnest money, $1,500 in security deposits for a managed rental, and $2,000 of the broker's own funds, all in one general checking account used for everything. The principal problem is that the broker has:
Answer: B. Holding clients' earnest money and security deposits together with the broker's personal funds in one operating account is commingling and a serious violation.
Question 2 of 5
In property management, a security deposit collected from a tenant should generally be:
Answer: C. Security deposits are typically trust funds that must be held in a separate account and not commingled with the manager's or owner's operating money until properly disbursed under the lease.
Question 3 of 5
If a landlord's failure to maintain the premises makes them uninhabitable and the tenant moves out, it may be:
Answer: A. Constructive eviction occurs when the landlord's neglect effectively forces the tenant out, relieving the tenant of lease obligations.
Question 4 of 5
Removing a defaulting tenant through the proper court process is:
Answer: A. Actual eviction is the lawful court-ordered removal of a tenant; landlord 'self-help' (changing locks, etc.) is generally illegal.
Question 5 of 5
Ending a lease early by mutual agreement of landlord and tenant is:
Answer: A. Surrender is the mutual giving-up of the lease; abandonment is the tenant leaving unilaterally; eviction is landlord removal.
Keep the streak going with more questions like these, each with a full rationale.
Must-know rules
- Deposit caps, holding rules & return deadlines are STATE law — itemized deductions required
- Normal wear & tear is NOT deductible; damage is
- Eviction = 'actual eviction' via court (unlawful detainer) — never self-help (no lock-outs/utility cuts)
- Constructive eviction: uninhabitable premises let the TENANT terminate
- Retaliatory eviction (after complaints) is illegal
Security Deposits & Eviction Basics: FAQs
Is Security Deposits & Eviction Basics on the real estate exam?
Yes. Leasing & Property Management is a scored domain on the real estate licensing exam, and this topic appears in the national portion.
Is this cheat sheet free?
Yes — every page on Cinna RE's resource library is free to read, print and share. The app adds practice questions, mock exams and a readiness score.
