California Security Deposit Law
A 2026 guide for California landlords: how much you can hold, the 21-day deadline to return it, whether interest is required, and the penalties for getting it wrong — plus a free calculator set to California's rules.
Deposit cap
1 month's rent (2 months for landlords who own no more than 2 residential units, and unless certain shared-housing rules apply)
Refund deadline
21 days
Interest required?
No
No statewide requirement, but some cities (e.g., San Francisco) mandate annual interest on deposits.
Separate account?
Not required
Penalty for noncompliance
Bad-faith retention can expose the landlord to up to twice the deposit in damages.
Statute: Cal. Civ. Code § 1950.5
California security deposit refund calculator
Pre-set to California's 21-day deadline. Enter the deposit and any deductions to see the refund and the exact due date.
Itemized deductions
Result
$1,500.00
Amount owed back to the tenant
- Deposit held
- $1,500.00
- Total deductions
- −$0.00
Legal deadline in California
Return the deposit (or an itemized statement of deductions) within 21 days of move-out.
How to return a security deposit in California
- 1
Inspect and document the unit
As soon as the tenant moves out, photograph every room and compare it against the move-in condition. In California, deductions generally must reflect actual damage beyond normal wear and tear.
- 2
Itemize every deduction in writing
List each deduction with a dollar amount. California — like nearly every state — can bar a landlord from keeping any of the deposit if deductions aren't itemized in a written statement.
- 3
Confirm no interest is required
No statewide requirement, but some cities (e.g., San Francisco) mandate annual interest on deposits. That means you generally return the deposit minus documented deductions, with no added interest.
- 4
Return the balance within 21 days
Send the remaining balance and the itemized statement to the tenant's forwarding address within 21 days of move-out. Missing this deadline is the single most common way landlords lose a deposit dispute.
California security deposit FAQ
How much can a landlord charge for a security deposit in California?
1 month's rent (2 months for landlords who own no more than 2 residential units, and unless certain shared-housing rules apply).
How long does a landlord have to return a security deposit in California?
A landlord generally has 21 days after the tenant moves out to return the deposit or send an itemized statement of deductions.
Is interest required on security deposits in California?
No statewide requirement, but some cities (e.g., San Francisco) mandate annual interest on deposits.
Does California require the deposit to be held in a separate account?
California does not impose a statewide separate-account requirement, though keeping deposits separate is still good practice.
What happens if a landlord wrongfully withholds a deposit in California?
Bad-faith retention can expose the landlord to up to twice the deposit in damages.
Related free tools
Deposit laws in other states
This page summarizes general state-level rules as of 2026 and does not cover city or county ordinances, which can be stricter. Verify against the statute cited above (Cal. Civ. Code § 1950.5) or with a local attorney before relying on it.