Security deposits are one of the most misunderstood aspects of renting. While laws vary by state, most follow a similar pattern of protecting both landlords and tenants.
What Is a Security Deposit?
A security deposit is money a tenant pays the landlord before moving in. It covers:
- Unpaid rent
- Damages beyond normal wear and tear
- Cleaning costs if the unit is left excessively dirty
Legal Limits on Deposit Amounts
Many states limit security deposits to one or two months’ rent. For example:
- California: Up to 2 months for unfurnished, 3 for furnished
- New York: 1 month maximum for residential leases
- Texas: No legal limit, but must be “reasonable”
Always check your state laws.
Landlord Obligations
Most states require landlords to:
- Return the deposit within 14–30 days after move-out
- Provide a written itemized list if any money is withheld
- Keep the deposit in a separate account (in some states like Florida or Illinois)
If these steps aren’t followed, you may be entitled to double or triple damages in court.
“Normal Wear and Tear” vs. Damages
Landlords cannot deduct for things like:
- Faded paint
- Loose doorknobs
- Minor carpet wear
They can deduct for:
- Holes in walls
- Broken appliances
- Pet damage or cigarette burns
Take photos when you move in and out to protect yourself.
What to Do If Your Deposit Isn’t Returned
- Send a demand letter requesting the deposit
- File a complaint with your state housing agency
- Sue in small claims court (usually without a lawyer)
Most tenants win if they have documentation.
Final Tip
Know your rights before you move in—and protect yourself with a signed lease, photos, and a clear understanding of what’s allowed. Security deposits are refundable if you respect the property and the law.