Deposit Interest Rate to Remain at 0%

Interest on security and pet damage deposits is payable at a rate prescribed by section 4 of the Residential Tenancy Regulation. It states that the rate will be set each January 1st for that calendar year, with the rate being "4.5% below the prime rate of the principal banker to the Province." This means that for interest to be payable, the prime rate must be at least 4.6%. We're confident in predicting that the prime rate will be well below 4.6% next month!

The security deposit interest rate has been 0% since 2009, meaning that for any tenancy ending in 2012 that began later than January 1, 2009, there is no interest payable.

Interest rates for earlier years were 1.5% for each of 2007 and 2008, 0.5% for 2006 and 0% for 2002 to 2005 inclusive.

Security and pet damage deposit interest is compounded, so when a tenancy of many years' duration ends, an appreciable amount of interest might be due to the departing renters. You can calculate the amount of interest owing in literally a few seconds by using the Residential Tenancy Branch Deposit Interest Calculator. Go to rto.gov.bc.ca and click on Deposit Interest Rates & Calculator in the column on the left of the page.

-- Al Kemp

10 Tips: How to keep their attention on the phone

With the market at one of its softest points at recent history, it's important to continue to screen tenants before allowing them to move in, while at the same time making sure you don't let any of the good ones go. (Thank you to Rent&Retain for these great tips!)

1. Learn to say "goodbye" before you say "hello;" meaning eliminate all distractions and focus on the task at hand.

2. Make sure get your caller's name, but don't overuse it.

3. Ask them how many different ways they heard about your vacancy. (Often, there's a combination of advertising sources that prompted them to contact you.)

4. If you're comfortable with the caller, ask: "When would you plan on moving into our community?" It's a great pre-qualifying question that starts the assumptive close.

5. Find out if they have any special needs that your community has to offer, such as walk-in closets or a full sized washer and dryer.

6. Always ask for an appointment.

7. Repeat back to them what they told you was important. It shows you paid attention during the call.

8. Offer to text Mapquest directions to your property to their cellphone.

9. Offer to set up a reminder call or email about their appointment.

10. Thank them for calling and tell them you're looking forward to helping them find their new home.

-- Carly Ludwar