Lot 407 Storefront | Simple Security Deposit & Move-Out Calculator

Simple Rule on Rent: Monthly rent is paid as usual each month. The ₱300,000 security deposit is not used to pay monthly rent while active—it stays safely parked until move-out.

5% Standard Rent Increase in Year 2

Total Rent Paid So Far Month 6

₱300,000

Rent Lost on Unused Months: ₱930,000

Refund to Second Party Option 3 Highlight

₱65,000 of ₱300,000

Range Across Options: ₱0 to ₱150,000

Can Deposit Cover Bills? Bills Fully Covered

₱135,000 Est. Move-Out Bills

Option 3 Bill Fund (₱200k) leaves ₱65,000 spare

First Party Net Take-Home Option 3 Outcome

₱400,000 After Bills Paid

Covers 2.0 mos of 3-mo search for new tenant

Adjust Move-Out Month & Expected Bills

Pick when the lease ends and slide the expected move-out costs to see how much each side keeps or gets back.

When Does the Lease End? (Move-Out Month)

Move-Out Timing: Year 1 Early Exit (18 Mos Left)

Rent Used (Months 1–6): ₱300,000.00

Unused Advance Rent: ₱0.00

Rent Lost on Unused Months: ₱930,000.00

Unpaid Power Bills (PALECO)

₱

₱0 (All Paid) ₱30,000 (1–2 Mo Bill Delay) ₱60,000

Floor, Tile & Wall Repairs

₱

₱0 (Spotless) ₱40,000 (Standard Cleanup) ₱80,000

Business Permit & Tax Closure Costs

₱

₱0 (Closed by Second Party) ₱50,000 ₱100,000

Months Empty (Finding a New Tenant)

Mos

1 Month 3 Months (Typical Wait) 6 Months

The 3 Ways to Handle the ₱300,000 Security Deposit

Side-by-side breakdown for the First Party and Second Party

Chart 1 • Deposit Split

Who Keeps What from the ₱300,000 Deposit?

Compares Deposit Kept by First Party, Cash Refunded to Second Party, and Actual Move-Out Bills across the 3 options.

Chart 2 • Inside Option 3 (The Balanced Approach)

How Option 3's Three Buckets Work (₱300,000 Total)

Shows what happens to the Year 1 Bonus (₱50k), Year 2 Bonus (₱50k), and the Bill & Repair Fund (₱200k).

Side-by-Side Comparison Table

Clear summary of rent paid, deposit kept, cash refunded, and bill coverage for both sides.

● Bills Fully Covered ● Safe Bill Fund Held ● Needs Closer Look

What We Are Comparing	Option 1: All-or-Nothing Deposit Standard Contract Rule	Option 2: 3-Month Fixed Cap Quick 5-Day Refund	Option 3: Step-by-Step Earned Refund The Balanced Approach

Option 1 • All-or-Nothing Original Draft

How Option 1 Works

If the Second Party moves out before Month 24, the First Party keeps the entire ₱300,000 deposit to pay for bills and empty months. While simple, this can feel heavy for the Second Party if they have already completed most of the 2-year lease.

Option 2 • 3-Month Fixed Cap 5-Day Refund

How Option 2 Works

If the Second Party leaves early, the maximum kept is capped at ₱150,000 (3 months' rent), and the other ₱150,000 is returned within 5 days. Because electric bills and city permit closures take 30 to 60 days to process, 5 days is often too quick to check actual bills.

Option 3 • Step-by-Step Earned Win-Win Middle Ground

Why Option 3 Works for Both Sides

Splits the deposit into a Year 1 Bonus (₱50k), a Year 2 Bonus (₱50k), and a Bill & Repair Fund (₱200k). Finish Year 1, and the Second Party locks in their ₱50,000 bonus. Meanwhile, the ₱200,000 fund pays only actual, receipted bills—and every spare peso left over goes right back to the Second Party.