Security Deposits
- Adina Katz, Esq.
- Feb 28, 2017
- 2 min read
A landlord may require tenants to pay a security deposit, however the security deposit must not exceed the amount of two months’ rent. For example, if your rent is $1,000 a month, the security deposit cannot exceed $2,000. If your landlord requires more than two months' rent, you may be eligible to receive treble damages, also known as triple damages.
Under Maryland Landlord Tenant Law § 8-203(1) (i), “The landlord shall maintain all security deposits in federally insured financial institutions,” that do business in the State of Maryland. The security deposit must also “be maintained in branches of the financial institutions which are located within the State and the accounts shall be devoted exclusively to security deposits and bear interest.”
All funds pertaining to security deposits are to be deposited within 30 days of receipt from the tenant. Under Maryland Landlord Tenant Law, the tenant must receive a receipt for the security deposit. After the tenancy is finished, the security deposit must be refunded within 45 days of the end of the tenancy. If a landlord fails to return any part of the security deposit at the end of 45 days, as well as accrued interest, without just cause, “the tenant has an action of up to threefold of the withheld amount, plus reasonable attorney’s fees.” A landlord can withhold a portion or all of the security deposit to cover fees for damages caused by the tenant, for unpaid rent or other breach of the lease under Maryland Landlord Tenant Laws.
The tenant does have the right to be present at inspection of the property and to receive written notice if any portion of the security deposit is retained, and the reason(s) why. It is prudent for the tenant to take pictures or video of the condition of the property during this walkthrough or sometime before.
It is important for the parties to understand that only costs for actual damages and not “ordinary wear and tear” are considered when determining damages. For example, a carpet that has some stains may be considered ordinary wear and tear, while holes in the carpet would most probably not be considered ordinary wear and tear.
If your landlord refuses to give you back the security deposit after your tenancy is complete, call The Law Office of Adina S. Katz at 240-606-4591. We can help you get back your security deposit that you are entitled to.
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