The deposit is the money most often argued about, and the argument usually starts on the day you move out.
What can be asked at signing
For units the Rent Control Act covers — ₱10,000 a month or below in Metro Manila and other highly urbanized cities, ₱5,000 or below elsewhere — the limit is set by law.
“The lessor cannot demand more than one (1) month advance rent. Neither can he/she demand more than two (2) months deposit”
Above that, there is no legal limit. The contract decides, which is why the deposit lines in the contract matter so much.
Wear is not damage
Keeping the unit fit to live in is the landlord’s duty for the whole lease, not something to bill you for at the end — unless the contract says otherwise in writing.
“The lessor is obliged: (1) To deliver the thing which is the object of the contract in such a condition as to render it fit for the use intended; (2) To make on the same during the lease all the necessary repairs in order to keep it suitable for the use to which it has been devoted, unless there is a stipulation to the contrary; (3) To maintain the lessee in the peaceful and adequate enjoyment of the lease for the entire duration of the contract.”
When it does not come back
Start at the barangay. For most disputes between people living in the same city or municipality this is not optional — going straight to court is blocked until you have been through it.
“No complaint, petition, action, or proceeding involving any matter within the authority of the lupon shall be filed or instituted directly in court or any other government office for adjudication, unless there has been a confrontation between the parties before the lupon chairman or the pangkat, and that no conciliation or settlement has been reached as certified by the lupon secretary or pangkat secretary as attested to by the lupon or pangkat chairman or unless the settlement has been repudiated by the parties thereto.”
Bring the signed contract and any receipts. The barangay and the courts work from written proof, not from what was said.
This page quotes the law and links to the source. It is information, not legal advice, and it is not written for any one person’s situation. For your own case, go to your barangay or to a lawyer.
Law text checked 2026-08-08