A security deposit is a refundable amount a tenant pays at lease signing to cover unpaid rent or damage at move-out. Almost every state caps the maximum amount, sets a return deadline, and requires an itemized statement of any deductions.
§ I — What "security deposit" means
A security deposit is money a tenant pays the landlord at the start of a lease that the landlord holds during the tenancy. At move-out, the landlord must return it (minus lawful deductions for unpaid rent or property damage beyond ordinary wear) within a state-specific deadline. The deposit is the tenant's property — the landlord is a custodian — and most states require it to be held in a separate account.
§ II — How security deposit varies by state
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Massachusetts
Massachusetts caps deposits at one month's rent and requires itemized return within 30 days; deposits over $100 must be in a separate interest-bearing account. M.G.L. c. 186, § 15B.
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Florida
Florida sets a 15-day return deadline (no deductions) or 30 days (with deductions) and requires written notice of any claim. F.S. § 83.49.
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California
California caps deposits at one month's rent (post-AB 12, July 2024); the landlord must return any unused balance plus an itemized statement within 21 days of move-out.
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New York
New York caps deposits at one month's rent and requires return within 14 days of move-out (HSTPA 2019). RPL § 7-108.
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Texas
Texas has no statutory cap on the deposit. The landlord must return the deposit (with an itemized statement of deductions) within 30 days of the tenant's surrender of the premises and delivery of a forwarding address. Tex. Prop. Code § 92.103; § 92.107. Bad-faith retention exposes the landlord to a $100 fine + 3× the wrongfully withheld amount + reasonable attorney's fees under § 92.109.
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North Carolina
North Carolina uses a tiered cap: 2 weeks' rent for weekly tenancies, 1.5 months for month-to-month, and 2 months for longer terms. N.C. Gen. Stat. § 42-51(b). The landlord must hold the deposit in a trust account and return it (with itemized deductions) within 30 days of termination, extendable to 60 days when final accounting is delayed. § 42-50; § 42-52.
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Georgia
Georgia imposes no statutory cap on the deposit. The landlord must itemize claimed deductions within 3 business days and return any unused balance within 30 days of move-out. O.C.G.A. § 44-7-34. Wrongful withholding exposes the landlord to treble damages under § 44-7-35.
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Pennsylvania
Pennsylvania caps deposits at two months' rent for the first year (one month thereafter); deposits held over two years must accrue interest. 68 P.S. § 250.511a.
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Illinois
Illinois has no statewide deposit cap. Landlords with 5+ units must return the deposit within 30 days (with itemization) or 45 days (no claim) under 765 ILCS 710/1; landlords with 25+ units must pay statutorily-set interest under 765 ILCS 715/1. Chicago RLTO and Cook County RTLO add local rules including a 1.5× deposit cap inside Cook County.
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Ohio
Ohio has no statutory cap on the deposit but imposes a 5% annual interest requirement on the portion of the deposit exceeding 1 month's rent or $50, when held more than 6 months. Ohio Rev. Code § 5321.16(A). Return is due within 30 days after termination + delivery of possession + tenant's forwarding address; wrongful withholding exposes the landlord to double damages plus attorney's fees on the disputed amount. § 5321.16(B)–(C).
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Michigan
Michigan caps the deposit at 1.5 months' rent (MCL 554.602) and requires return within 30 days after termination (MCL 554.609). A landlord who fails to itemize and return forfeits the right to retain any portion of the deposit under MCL 554.610.
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Washington
Washington requires deposits to be held in a trust account and returned within 30 days with an itemized statement. RCW 59.18.270.
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Arizona
Arizona caps the deposit at 1.5 months' rent (A.R.S. § 33-1321(A)) and requires return within 14 business days after termination; wrongful withholding exposes the landlord to double damages of the wrongfully withheld amount under § 33-1321(D)–(E).
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Virginia
Virginia caps the deposit at 2 months' rent (Va. Code § 55.1-1226(A)) and requires the landlord to provide an itemized statement and refund any unused balance within 45 days of termination + delivery of possession. For lease terms exceeding 13 months, the deposit accrues interest at the Federal Reserve discount rate − 1pp under § 55.1-1226.
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New Jersey
New Jersey caps the deposit at 1.5 months' rent (N.J.S.A. 46:8-21.2) and requires the landlord to hold it in an interest-bearing account at a New Jersey bank and pay accrued interest annually (N.J.S.A. 46:8-19). Return is due within 30 days of termination, with an itemized statement; wrongful withholding exposes the landlord to double damages under N.J.S.A. 46:8-21.1.
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Colorado
Colorado caps the deposit at 2 months' rent (C.R.S. § 38-12-102.5, HB23-1099, eff. Aug 7 2023) and requires return within 30 days by default (extendable to 60 days by lease). Wrongful withholding exposes the landlord to treble damages plus attorney's fees. § 38-12-103.
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Tennessee
Tennessee imposes no statutory cap on the deposit. URLTA-counties (Davidson, Shelby, Knox, Hamilton, and other 75 000+ population counties) require the deposit to be held in a separate account and returned with an itemized statement; outside URLTA counties, common-law principles govern. Tenn. Code § 66-28-301; § 66-28-302.
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Minnesota
Minnesota has no statutory cap on the deposit but requires the landlord to hold it in an interest-bearing account and pay the tenant the accrued interest. Minn. Stat. § 504B.178 subd. 2. Return is due within 21 days after the tenancy ends (5 days if the building has been condemned). § 504B.178 subd. 3.
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Maryland
Maryland caps deposits at one month's rent for leases signed on or after October 1, 2024 (Md. Code, Real Prop. § 8-203(b)) and requires return within 45 days with an itemized statement. Deposits ≥ $50 held ≥ 6 months must accrue interest at the greater of 1.5%/yr or the 1-year U.S. Treasury yield. § 8-203(e).
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Indiana
Indiana imposes no statutory deposit cap and does not require interest on the deposit. The landlord must mail an itemized notice and return any unused balance within 45 days of termination + delivery of possession + tenant's forwarding address. IC 32-31-3-12; IC 32-31-3-14. Wrongful withholding exposes the landlord to full deposit + reasonable attorney's fees (no multiplier) under § 32-31-3-12(b).