Security or Good Tenancy Deposits in Zimbabwe

In general, a security deposit in Zimbabwe is paid by a tenant upon moving into a rented property and it is a form of financial security. This deposit is meant to cover breaches of the lease agreement, potential damages or unpaid rentals.

In the case of Goodliving Real Estate Private Limited & Another v Zhongmin SC 61-13, the Supreme Court held that:

“For the avoidance of doubt, it must be noted that a security or good tenancy deposit does not constitute a prohibited payment in terms of s 19. This is clearly recognised in s 20 of the Regulations which provides that only such deposit must be refunded to the lessor within fourteen (14) days of the termination of the lease in question.”

A landlord can withhold and deduct from the tenant’s or good tenancy security deposit according to the lease agreement (if any). Furthermore, when the tenant fails to pay rentals and utilities or damages property and or any way breach of the lease agreement, a landlord is entitled to withhold and deduct from a tenant’s security deposit. In FBC Building Society v Pavian Investments (Pvt) Ltd HH 34-17 it was held that:

“Although it was brought to the defendant’s attention that there were rates arrears, the defendant did not bother to settle these forcing the plaintiff to settle the arrears from the good tenancy deposit which the defendant had paid.”

Sign a clear lease agreement that states when the deposit can be withheld or deducted.

Inspect the rented premises regularly for noting any damages beyond normal wear and tear.

Provide detailed deduction statements supported by receipts and invoices

In Zimbabwe, landlords cannot withhold tenant’s security deposit without just cause or valid reason. As well as, failure to clarify how the deductions were made and towards what they were made.

Section 23 of the Commercial Rent Regulations spells out the tenants rights and obligations:

Tenants have rights and responsibilities to:

Pay deposit as expected by the landlord and enter into a formal lease agreement.

Observe the lease agreement.

Maintain the leased property in good shape or condition.

Give a notice before moving or terminating the contract.

If a tenants’ security deposit is unjustly withheld, the tenant may take the following steps:

Request a deduction breakdown.

Consult a lawyer / Consult the Rent Board

Take legal action.