Laws on the Return of Tenants' Deposits in California

Laws on the Return of Tenants' Deposits in California thumbnail
Landlords can deduct damage from a security deposit.

When a tenant first moves into a rental property, the landlord will charge him a security deposit. The landlord holds this security deposit while the tenant lives at the property. Once the tenant moves, the landlord must return the security deposit or provide a reason why she did not. California law provides strict guidelines on returning the deposit to the tenant.

  1. Deposit Limits

    • The landlord can charge a tenant a deposit up to a certain limit. The security deposit protects the landlord from damage to the property. The landlord can charge up to twice the amount of monthly rent for an unfurnished apartment. The landlord can charge three times the monthly rent if the apartment comes furnished, according to the Rent Law website. The lease must state the amount needed for a security deposit. The tenant should request that the landlord give him a receipt after paying the deposit to avoid later disputes.

    Deductions

    • When a tenant moves out, the landlord has the right to inspect the property and use the security deposit to bring the property back to the condition it was when the tenant moved in. The landlord can deduct money from the security deposit to repair damage that exceeds normal wear and tear. The landlord can deduct a cleaning fee from the deposit. If the rental came furnished, the landlord can deduce the cost of repair or replacement of any damage furniture. The landlord can also deduct unpaid rent.

    Returning Deposits

    • The California Department of Consumer Affairs reports that the landlord has 21 days to return the deposit to the tenant after she moves out. If the landlord took any deductions from the security deposit, he must provide the tenant with an itemized list. If the landlord hired a third party to complete any work, he must also provide the tenant with a copy of the third party's invoice. However, he does not have to provide an itemized list or invoice for any repairs or cleaning that cost less than $126, according to the California Department of Consumer Affairs.

    Renter's Rights

    • If the landlord does not return the security deposit or provide a list of deductions, the tenant has the right to take legal action. As a first step, the tenant should try to contact the landlord directly. If the landlord agrees, the tenant can ask a third-party mediator to settle the dispute. If the landlord and tenant cannot reach an agreement, the tenant can sue the landlord in small claims court.

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