MN deposit issues/land Lord issues (lease agreement, security deposit, house, fee)

[Adisiwaya]

Good afternoon

I was in a rent to own for last two years. Choose to move as the appraisal of house was 36k lower than what he was asking. I was paying full cost of his mortgage. He was 3 months behind I paid it all up. 815 towards deposit and 420 towards pet deposit that isn't expected to be returned. And 815 for first months rent. About two months into first renting here I found out black mold in basement. It's a 1940s school house converted into a house. I have pictures of the house before we moved in and land Lord never did a walk through paper nor have us any to list various issues with the place. Anyways I did demo and put purple foam board and drywall up (I did this for 4 years I know what I'm doing for remodeling) basement was plaster and 70s faux wood panels. I did everything except doors even fixed the foundation around old sewer pipe. He was okay with us doing this. Now complaining about it since I gave my month notice as lease ended. I am curious what rights he has towards keeping my deposit as I read from few posts that if they didn't do a walk through with signing paperwork that I am entitled to my full deposit. I insulated garage and upgraded property in other places because intentions were to buy it projects were verbally okayed. He is a co-worker at work and also causing problems at work now. So figure I would reach out and ask for some advice about security deposits and I had him take his washer and dryer and fridge now wanting me to supply him with new ones. (I took my fridge and washer and dryer and the portable dishwasher. I did clean property up (even things he left there 2 years ago) place isn't trashed nor damaged. Kinda mumble jumbled together trying remember things.

Thanks

[oregonwoodsmoke]

You were rent to own. A different situation than just being a regular tenant.

[Adisiwaya]

I should clarify lease was for renting the property for 2 years. With that being I was first one to get option to buy the place when the lease was up. The still was a security deposit.

[MrRational]

Originally Posted by Adisiwaya

I should clarify lease was for renting the property for 2 years.
With that being I was first one to get option to buy the place when the lease was up.
The still was a security deposit.

Are you suggesting that you had an option to buy which btw means paying a FEE and having a fixed dollar value set
on the property with a fixed period of time to exercise that option (get a mortgage and buy)...
...and you also had a "rent to own" arrangement which can mean any number of usually bad things
...and you had a regular lease agreement with deposits etc... all in ONE document?

I really hope not.

So what does your lawyer say about the situation?
You know, the one you consulted with and who approved the contract you signed?

...since I gave my month notice as lease ended.

As to your deposit... you might be able to get that back if you can actually prove any of the condition issues.
But you'll have to go to Court to do so.

[WorldKlas]

Actually, you were leasing with first rights to purchase. You decided not to exercise the right and simply gave proper notice. Your big mistake was making improvements on the property before you had any legal ownership rights and not getting written permission to do so. This is not a pretty situation. If you simply get off with losing your deposit, consider it tuition in the school of hard knocks and move on. If you learned never to assume a property will be yours before proper documents are executed, it was worth the lost funds if it was just a month's rent. If vastly higher than that amount, it may be time to lawyer up.