Short answer: Since July 1, 2024, California security deposit law limits most landlords to one month’s rent as a deposit, counting every pet, key or cleaning fee toward that cap (Cal. Civ. Code § 1950.5). The landlord has 21 days after you move out to refund the deposit or send an itemized statement with receipts and photos. If it withheld the deposit in bad faith, a court may award up to twice the deposit on top of your actual losses.
California’s rules changed three times in two years. The one-month cap arrived with AB 12 in 2024. Photo requirements followed in 2025, and starting January 1, 2026, a deposit paid electronically generally has to come back electronically. Older guides and many leases still describe the two- and three-month limits that no longer apply to most rentals. This guide reflects the current rules as summarized by the California Department of Real Estate and the Attorney General.
California security deposit law: the essentials
| Rule | California | Statute |
|---|---|---|
| Deposit limit | One month’s rent; two months for qualifying small landlords; all fees count | § 1950.5(b), (c) |
| Return deadline | 21 days after move-out | § 1950.5(g) |
| Itemized statement | Itemized deductions with receipts (if $125 or more) and photographs | § 1950.5(g) |
| Interest / separate account | No state requirement; some cities require interest | § 1950.5 |
| Penalty | Bad faith: up to twice the deposit plus actual damages | § 1950.5 |
| Small claims limit | $12,500 for an individual | California Courts Self-Help |
The one-month cap and the small-landlord exception
The Department of Real Estate’s 2026 tenant guide explains that from July 1, 2024, landlords may charge no more than one month’s rent as a deposit, for furnished and unfurnished homes alike, citing § 1950.5(c)(1). Deposits collected under the old rules were not affected.
The guide is emphatic that labels do not matter. Under § 1950.5(b), “last month’s rent,” a pet deposit, a key fee and a cleaning fee are all part of the security deposit, so together they cannot exceed one month. There is no extra allowance for a pet, and no pet deposit at all for a service or emotional support animal.
Only a “small landlord” may charge up to two months’ rent. The Attorney General’s consumer alert defines that as a natural person, or an LLC whose members are all natural persons, owning no more than two residential rental properties with no more than four units in total.
Service members
Even a small landlord may charge a service member only one month’s rent, according to the DRE guide. Since April 1, 2025, a landlord that charges a service member a higher deposit because of credit or rental history must explain the reason in writing by lease signing, and must return the extra amount after six months if rent is current.
Photos, inspections and the 21-day statement
California now builds a photo record into the law. For tenancies that begin on or after July 1, 2025, the DRE guide says the landlord must photograph the unit immediately before or at the start of the tenancy, citing § 1950.5(g)(1). As of 2025, the landlord must also photograph the unit after you return possession but before any repairs or cleaning it plans to charge you for, and again after that work is done. Ask for copies of the move-in photos, and take your own.
You also have a right to a pre-move-out inspection. The Attorney General’s alert says that once a landlord learns you plan to move, it must tell you that you can ask for an initial inspection. If you ask, it must happen within the two weeks before you move out, you may be present, and the landlord must give you an itemized list of problems so you can fix them before any charge.
What the itemized statement must include
Within 21 days after you move out, the landlord must refund the deposit or mail or personally deliver an itemized statement of deductions, together with the balance. According to the DRE guide and the California Courts self-help guide:
- If deductions total $125 or more, the landlord must attach invoices or receipts. Work done by the landlord’s own staff must show the work, time spent and hourly rate.
- The statement must include photographs, or a link or flash drive with photographs, of the repairs and cleaning charged.
- If work cannot be finished in 21 days, the landlord may deduct a good faith estimate, then must send final receipts and any refund within 14 days after the work is done.
- Email delivery is allowed only if you agreed to it; otherwise the statement goes to your last known address, which may be the old unit if you gave no forwarding address.
Starting January 1, 2026, if you paid the deposit or rent digitally, such as by bank transfer or an online portal, the DRE guide says the landlord must return the deposit digitally unless you both agree in writing to another method.
Lawful deductions and ordinary wear and tear
The Attorney General lists four permitted uses of a deposit: past-due rent; repairing damage caused by you or your guests, excluding ordinary wear and tear; cleaning to return the unit to its move-in level of cleanliness; and replacing the landlord’s personal property, such as furniture, if the lease allows it. A deposit may not be used for damage that existed at move-in, for unreasonable or unnecessary expenses, or for ordinary wear and tear. If you sue, the landlord bears the burden of proving its deductions were reasonable.
The DRE guide adds that a landlord cannot deduct for damage caused by a domestic violence survivor’s abuser if the tenant did not invite the abuser onto the property. For more on where the wear-and-tear line falls, see our wear and tear guide.
Worked example: Priya in Sacramento
Priya rents a $2,400-a-month apartment from a large management company, so her deposit is capped at $2,400, which she paid. She moves out on June 30. Her landlord’s deadline is July 21.
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On July 18 she receives a statement keeping $900: $200 for cleaning, with an invoice, and $700 to replace carpet that was eight years old and simply worn, with no photos. She gets $1,500 back. The cleaning charge is documented; the carpet charge is ordinary wear and tear and lacks the required photographs.
If a judge finds the carpet charge was withheld in bad faith, Priya could recover the $700 plus up to twice the deposit, or $4,800, for as much as $5,500. That fits within the $12,500 small claims limit for individuals.
Sale of the building, early termination and local rules
When a building changes owners, the DRE guide says the prior landlord must either transfer your deposit to the new owner or return it to you, less lawful deductions, citing § 1950.5(i). If you hear the building has sold, ask the new owner in writing to confirm the amount it received.
Survivors of domestic violence, sexual assault, human trafficking, stalking or elder or dependent adult abuse may end a lease early under Civil Code § 1946.7 with written notice and qualifying documentation no more than 180 days old. The courts’ self-help guide says the landlord cannot use the deposit as a penalty for ending the lease early, though ordinary deposit rules still apply.
State law does not require interest on deposits, but the Attorney General notes that some cities do. Check your city’s rent or housing office if you rent in a city with local tenant protections.
Getting a California deposit back
The courts’ self-help guide recommends two steps. First, send a demand letter asking for the deposit and keep a copy; our demand letter template can help. Second, sue in small claims or civil court. A tenant suing as an individual can claim up to $12,500 in small claims court, and the demand may include the deposit plus up to twice its amount if the landlord acted in bad faith. See our guide on suing a landlord in small claims.
Frequently Asked Questions
Can a California landlord charge a pet deposit on top of one month’s rent?
No. The DRE guide says pet deposits count as part of the security deposit under § 1950.5(b), so everything together must stay within one month’s rent, or two months for a qualifying small landlord. Assistance animals cannot be charged a pet deposit at all.
How do I know if my landlord is a “small landlord”?
The landlord must be a natural person or an LLC owned only by natural persons, and own no more than two residential rental properties with no more than four units total. A corporation or a large LLC with outside investors does not qualify.
My landlord emailed the itemized statement. Is that valid?
Only if you agreed to receive it by email, according to the DRE guide. Otherwise it should be mailed or personally delivered.
Do I get receipts if the deductions are small?
Receipts are required with the statement only when deductions total $125 or more. Below that, you can still request copies within 14 days after receiving the statement, and the landlord must send them within 14 days of your request.
Does my landlord owe me interest on the deposit?
Not under state law. Some California cities require interest by local ordinance, so check your city’s rules.
If your 21 days have passed, send a written demand today that cites § 1950.5 and asks for the statement, receipts and photos. This guide is general information rather than legal advice; for help with your own case, find a legal aid office through LSC’s Get Legal Help page. Moving across a border? Compare Arizona.
Sources
- Cal. Civ. Code § 1950.5 (California Legislative Information)
- California Department of Real Estate, A Guide to Residential Tenants’ and Landlords’ Rights and Responsibilities (2026)
- California Attorney General, Know Your Rights as a California Tenant: Security Deposits
- California Courts Self-Help Guide, Security Deposits
- Legal Services Corporation, Get Legal Help