Rent Agreement

Security deposit  ›  Rules by state

Security deposit rules by state (2026)

Each US state sets its own rules for the maximum security deposit a landlord can charge, the deadline to return the deposit, and whether interest must be paid on the deposit while the landlord holds it. This table summarizes the current rules — always verify with your state housing authority before drafting your lease.

StateMaximum depositReturn deadlineInterest
Alabama1 month's rent60 daysNot required
Alaska2 months' rent (rent under $2,000/mo)14–30 daysNot required
Arizona1.5 months' rent14 daysNot required
California1 month's rent (since July 2024)21 daysNot required statewide
ColoradoNo limit30–60 daysNot required
FloridaNo limit15–60 daysRequired if held > 6 months
GeorgiaNo limit30 daysNot required
IllinoisNo statewide limit (Chicago: 1.5 months)30–45 daysRequired (5+ units, 6+ months)
Massachusetts1 month's rent30 daysRequired (5%)
Michigan1.5 months' rent30 daysNot required
New Jersey1.5 months' rent30 daysRequired
New York1 month's rent14 daysRequired (6+ units)
OhioNo limit30 daysRequired (over $50, 6+ months)
Pennsylvania2 months yr-1, 1 month after30 daysRequired (2+ years)
TexasNo limit30 daysNot required
Virginia2 months' rent45 daysNot required
WashingtonNo limit30 daysNot required
Rules change. The most recent major update was California's July 2024 reduction of the deposit cap from 2 months to 1 month for most landlords (small landlords with two or fewer units retain the 2-month cap). Always confirm with your state housing department before signing.

How states regulate security deposits

State security deposit law typically covers four things:

  1. Maximum amount — usually expressed as a multiple of monthly rent.
  2. Where the deposit must be held — many states require a separate, interest-bearing account.
  3. Return deadline — counted from the day the tenant vacates and returns possession.
  4. Itemized statement — landlords must provide a written list of deductions, not just a lump sum.

FAQs

What is the maximum security deposit a landlord can charge?

The maximum varies by state. Common caps are 1 month (California, New York, Massachusetts), 1.5 months (Arizona, Michigan, New Jersey), or 2 months (Alaska, Virginia). Many states (Texas, Florida, Colorado, Illinois statewide) have no statutory limit.

How long does a landlord have to return a security deposit?

Return deadlines range from 14 days (Alaska, New York, Arizona) to 60 days (Alabama, Florida for contested deductions). Most states fall in the 21–30 day range.

What can be lawfully deducted from a security deposit?

Unpaid rent, repair costs for damage beyond ordinary wear and tear, and cleaning costs to restore the unit to its move-in condition. Routine wear (faded paint, minor carpet wear, small nail holes) cannot be deducted in most states.

Generate a state-aware lease →