California Tenants Rights on Deposits

Landlords in California often charge security deposits that may be difficult for a tenant to get back.

A security deposit is a sum of money from a tenant to a landlord above and beyond monthly rent to cover costs of any damage to the rental unit during tenancy or rent owed at the termination of tenancy. Landlords must return the security deposit at the end of tenancy if the tenant did not damage the property and did not owe rent. Each state sets its own regulations regarding the rights of tenants to the return of the security deposit. Municipalities may set additional regulations regarding rental units.

Deposit Use

Landlords may use a security deposit to pay back-owed rent, repair or replace damaged or unreturned personal property, repair damage done to the rental unit during tenancy or cover costs to clean the rental unit up to its condition upon the start of tenancy. Landlords may use other names for a security deposit, according to the California Department of Consumer Affairs, including "pet deposit," "key fee" or "cleaning fee." These are all legally considered security deposits. It is unlawful for landlords to state in a rental agreement that any of these security deposits are nonrefundable.

Amount of Deposit

Landlords may not charge a security deposit equaling more than two times the monthly rent for an unfurnished unit. If the tenant plans to use a waterbed in the rental unit, this maximum deposit is raised to 2 1/2 times the monthly rent. If the tenant rents a furnished rental unit, this maximum deposit is raised to three times the monthly rent. The landlord may not require payment of the security deposit in cash. If stated in the rental agreement, the landlord may change the amount of the security deposit, as long as the deposit remains below the legal limit described above.

Tenant Protective Measures

Tenants should be sure that the rental agreement states the amount he or she gives as a security deposit and under what conditions the landlord may keep the deposit. Additionally, tenants should request a receipt for the security deposit from the landlord.

Last Month's Rent

If part of the security deposit is called "last month's rent" in the rental agreement, the tenant may use it as such. In other words, the tenant will not have to pay an additional last month's rent unless otherwise stated in the rental agreement.

Deposit Return

Under California law, landlords must return any unused security deposit to the tenant within 21 days of tenancy termination. If the landlord does not return the entire deposit, he or she must send or personally deliver an itemized and detailed list of all repairs and costs plus copies of all receipts. If the landlord or his or her employees perform the repair or service, the receipt must list the work done, the time spent and a reasonable hourly wage. All third-party service and repair receipts must contain the business name, address and phone number. If the landlord or third party cannot complete the work within 21 days following tenancy termination, the landlord must state work to be done, estimate cost and and send all necessary receipts and any extra deposit funds within 14 days after work is complete.

References

• California Department of Consumer Affairs: California Tenants
• San Francisco Tenant's Union: Getting Your Security Deposit Back
• Rent Law: California Security Deposit