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Can landlords use security deposits to pay for repairs?

On Behalf of | Jan 2, 2025 | Landlord-Tenant Law, REAL ESTATE LAW - Landlord/Tenant Matters |

The security deposit is a sum that represents trust between landlord and tenant. Yet, it often becomes a source of dispute at the end of a lease. Can landlords dip into these funds to cover repair costs?

Security deposits serve as a financial safety net for landlords

In California, the law allows landlords to use security deposits for specific purposes:

  • Unpaid rent
  • Cleaning costs to restore the unit to its original condition
  • Repairs for damage beyond normal wear and tear fall under acceptable use
  • Replacement of personal property listed in the rental agreement

Normal wear and tear, including minor scuffs on walls, worn carpet due to regular use and small nail holes for hanging pictures, does not qualify for deductions.

Despite these allowances, landlords must follow strict guidelines. They must provide an itemized breakdown of any deductions within 21 days after the tenant vacates, including receipts for any repairs or cleaning. In some cases, returning any unused portion of the deposit to the tenant is also necessary.

Tenants have rights, too. They can dispute unfair deductions and request a walk-through inspection before moving out. They can take the matter to small claims court if they believe the landlord made unfair claims.

Clear communication benefits both parties. Documenting the condition of the property before and after the tenancy is crucial. Photos and detailed checklists help prevent or resolve disputes.

Legal guidance can provide clarity in landlord-tenant matters

California law aims to protect both landlords and tenants. Yet, misunderstandings can still arise, and legal terms and conditions can be complex. Consulting with an attorney ensures both parties understand their rights and obligations.