Roommate moving out: how to handle their deposit share
Quick answer
The landlord holds the deposit until the lease ends, so a roommate who leaves early needs a private settlement. Four ways work: the replacement pays the leaver, the remaining roommates buy them out and collect from the replacement, the leaver waits for the refund, or the landlord re-papers the lease. On a $2,400 deposit split three ways, the leaver's share is $800.
Key points
- The landlord holds the deposit until the lease ends, so a leaver's share either changes hands privately or waits for the refund.
- On a $2,400 deposit split three ways, the leaver's share is $800. If two remaining roommates buy it out, that is $400 each.
- Agree a walkthrough date. Damage shown in photos that day is the leaver's, and damage that is not belongs to whoever lives there after.
- Ask the landlord in writing before anyone is added to or removed from the lease or the deposit. Rules vary by place, so check local tenant resources.
On this page
Who holds the deposit when a roommate leaves?
The landlord does, until the lease ends, so the leaver cannot take their share with them. Rules on holding and returning deposits vary by place, so check your local tenant resources for those. What you can control is how the roommates settle the leaver’s share between themselves.
Say three roommates, Noor, Sam and Jules, each pay $800 in rent and put $800 each toward a $2,400 deposit. Noor leaves after month 8 of a 12-month lease, with 4 months to run. Kai is moving in to take the room. There are four ways to settle Noor’s $800.
What are the four ways to settle the leaver’s share?
Each way moves the $800 differently, and the leaver is paid at a different point.
| Pattern | Who pays whom | When Noor is paid |
|---|---|---|
| Replacement buys in | Kai pays Noor $800 | When Kai moves in |
| Remaining roommates buy out | Sam and Jules pay Noor $400 each, then Kai pays Sam and Jules $400 each | At move-out, before Kai arrives |
| Leaver waits | Noor’s $800 stays in the deposit and comes back with the refund | After the lease ends and the landlord returns it |
| Lease re-papered | The landlord changes the names and moves money as it says | When the landlord says |
The replacement buys in. Kai pays Noor $800 directly. The landlord’s $2,400 does not move, Sam and Jules keep their $800 stakes, and Kai takes over Noor’s. It is the simplest pattern, but Noor is paid only once Kai has moved in.
The remaining roommates buy out. Sam and Jules each pay Noor $400 on move-out day, so each now holds $1,200 of the $2,400. When Kai arrives, Kai pays each of them $400 and everyone is back to $800. They fund $800 between them while the room is empty. If no replacement comes, they keep the $1,200 stakes.
The leaver waits. Noor’s $800 stays in until the lease ends, 4 months later, and then she gets her share of what the landlord returns. It costs the other two nothing up front, but Noor waits, and any deductions come out of the pot.
The lease is re-papered. Ask the landlord to put a new lease or an addendum in place that takes Noor off and adds Kai. The landlord may return Noor’s share and take a new deposit from Kai, or carry the existing deposit over. Ask in writing which. Read your lease for what it says about changes. This page is not legal advice.
How should you treat damage found after the leaver is gone?
Agree a rule before Noor leaves, and use dated photos. On the day she hands back her key, walk through the room together, photograph every wall, floor and fixture, and have everyone reply “agreed” to the photo set. Damage visible in those photos is Noor’s. Damage that is not in them belongs to whoever lives there afterward.
Say Noor waits for the refund, and the landlord returns $2,100 of the $2,400 at the end of the lease, keeping $300 for a carpet stain. What each person gets depends on the photos:
| Walkthrough photos show | Noor gets | Sam and Jules each get |
|---|---|---|
| The stain | $500 | $800 |
| Clean carpet | $800 | $650 |
| Cannot tell | $700 | $700 |
If the stain is in the photos, it comes out of Noor’s share: $800 minus $300 is $500. If the carpet was clean, Sam and Jules carry it, $150 each, and each receives $650. If nobody can tell, split the $300 three ways, which is $100 each, and each receives $700. Every row adds up to the $2,100 returned.
In the first two patterns, Noor is paid at the handover, so settle any deduction then. The price she is paid can include a reduction for damage in the photos. After that, deductions fall on whoever holds the stake.
What should the deposit handover note say?
Send a short message that everyone answers, and keep it with the lease. Something like:
Deposit handover for [address]. Total deposit $2,400, paid on [date], $800 each from Noor, Sam and Jules. Noor moves out on [date]. Her $800 share will be paid by [Kai on date / Sam and Jules on date / the landlord’s refund after the lease ends], less any deduction agreed below. Damage shown in the walkthrough photos from [date] is Noor’s. Damage after that date is for whoever lives there. Reply “agreed” to confirm.
The replies are the record. If a deduction arrives later, you have the rule in writing.
How do you track the handover in EvenOut?
If the handover runs through your group’s balances, add Noor’s share as an expense: “Noor’s deposit share”, $800, “Paid by” Noor, with “Exact amounts” giving Kai $800 and Noor nothing. That is a bookkeeping entry, and it makes the balance read that Kai owes Noor $800. When Kai pays, “Settle up” records it. EvenOut records payments and does not move money. A replacement who is not on EvenOut yet can be added as a guest in the group, and invited to claim the spot later.
What should you do next?
Pick the pattern, then send the handover note before the move-out date. How to split a security deposit between roommates covers how the deposit was split in the first place, and what roommates owe each other when one moves out early covers the rent that remains. The roommate move-out checklist lists the other money items to close out.
Frequently asked questions
What if no replacement is found?
The buyout still works. Two remaining roommates who pay the leaver $400 each end up holding $1,200 each of the $2,400, and the refund at the end of the lease divides that way. Whether they also owe rent on the empty room is a separate question, covered in the guide on moving out early.
What if the deposit was split by rent, not equally?
Use the leaver's own share, by the same rule everyone paid in. With rents of $900, $800 and $700 and a $2,400 deposit split by rent, the share for the $700 room is $700, because the rents also total $2,400. Whatever rule paid the deposit in should also pay the leaver out.
Can the leaver be paid in installments?
Yes, if everyone agrees in writing. An $800 share could be $400 on move-out day and $400 on the 15th. Record each part as it arrives. EvenOut keeps showing what is still owed after a partial payment.
Do you need the landlord's permission to swap roommates?
If your lease names each tenant, adding or removing someone is a question for your lease and your landlord. Ask in writing before the replacement moves in and keep the reply. This is not legal advice.
Keep reading
- Guide How to split a security deposit between roommates Equal or by rent share? On a $2,400 deposit with rents of $1,000, $800 and $600, see both splits, who fronts it and how to log it.
- Guide What roommates owe each other when one moves out early The money timeline when a roommate leaves early: rent until a replacement signs, a prorated last month, deposit, shared items, internet and a final settle-up.
- Template Roommate move-out checklist for money matters A printable 15-row roommate move-out checklist for money only: final rent, utilities, accounts, deposit share, buyouts and a settle-up 7 days before keys.
- Guide Apartment move-in costs and how roommates split them A line-by-line list of apartment move-in costs, which ones multiply by headcount, and a worked three-roommate example of who owes what at signing and move day.