Landlord Filed Bankruptcy (allegedly) Ghosting On Deposit Return. Texas

Hello! Hoping to get some guidance on what to do, where to begin, or if it’s even worth pursuing.

Some details: we rented a single family home from a private owner on a one year lease term, with the lease end date of 12/31/2024. From the beginning it was the hope that we would purchase the home, however towards the end of the lease it was made clear by the landlord that he was financially burdened by the home and we were no where near ready to purchase. We sought a new rental and vacated by the 31st and cleaned/patched walls despite the owner telling us not to worry as the plans he had for the home didn’t include turnkey condition. During our tenancy we had a very pleasant relationship with the landlord. Always paid our rent on time (if not early), kept the home and yard(s) tidy and presentable. The landlord gave us glowing reviews to our new landlord.

On 1/1/25, the day after we vacated, my husband received a call from the landlord. During this phone call the landlord advised my husband that he (the landlord) was filing for bankruptcy. He told my husband that he wanted to return our deposit ($1,500), but that he didn’t have the money anymore as he had to use it to cover portions of the mortgage that our rent did not satisfy (we knew from the beginning that our rent was well below the mortgage, but these were the terms that we all agreed to and signed for).

He asked for a little bit of time to get the funds and my husband, sympathetic to financial pains and not wanting to soil an otherwise good relationship, agreed that if the landlord needed time that was fine.

It is now 3/17/25 and we have not heard a whisper from the landlord about the deposit return since that aforementioned phone call. I found that I could search bankruptcy cases online and did so, hoping to maybe get some information on who to contact about our deposit (as I was told we would need to file a motion with the court). I have searched high and low, through both the courts where the house resides and the court where the landlord is now located. I cannot find a thing.

I’m at a loss of what to do. From my understanding is our deposit was never supposed to be used to pay for the mortgage, it was always legally our money paid to cover damages to the home outside of wear and tear. I feel as though I’ve been taken for a ride. Everyone close to me is pushing that we (my husband and I) pursue this to try to recover our deposit, but is it worth it? Where does one even begin? Is it a lost cause?