Maryland Security Deposit Law
A 2026 guide for Maryland landlords: how much you can hold, the 45-day deadline to return it, whether interest is required, and the penalties for getting it wrong — plus a free calculator set to Maryland's rules.
Deposit cap
2 months' rent
Refund deadline
45 days
Interest required?
Yes
Interest is required annually at a rate tied to the U.S. Treasury yield (roughly 1.5%+ depending on year).
Separate account?
Not required
Penalty for noncompliance
Bad-faith withholding can result in up to 3x the wrongfully withheld amount.
Statute: Md. Code, Real Property § 8-203
Maryland security deposit refund calculator
Pre-set to Maryland's 45-day deadline and interest rule. Enter the deposit and any deductions to see the refund and the exact due date.
Maryland generally requires interest on held deposits. This estimate uses a 5% simple annual rate — confirm the exact current rate for your state before finalizing.
Itemized deductions
Result
$1,500.00
Amount owed back to the tenant
- Deposit held
- $1,500.00
- Estimated interest
- $0.00
- Total deductions
- −$0.00
Legal deadline in Maryland
Return the deposit (or an itemized statement of deductions) within 45 days of move-out.
How to return a security deposit in Maryland
- 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 Maryland, deductions generally must reflect actual damage beyond normal wear and tear.
- 2
Itemize every deduction in writing
List each deduction with a dollar amount. Maryland — like nearly every state — can bar a landlord from keeping any of the deposit if deductions aren't itemized in a written statement.
- 3
Add any interest owed
Maryland requires interest on held deposits. Interest is required annually at a rate tied to the U.S. Treasury yield (roughly 1.5%+ depending on year). Include the interest in the amount returned.
- 4
Return the balance within 45 days
Send the remaining balance and the itemized statement to the tenant's forwarding address within 45 days of move-out. Missing this deadline is the single most common way landlords lose a deposit dispute.
Maryland security deposit FAQ
How much can a landlord charge for a security deposit in Maryland?
2 months' rent.
How long does a landlord have to return a security deposit in Maryland?
A landlord generally has 45 days after the tenant moves out to return the deposit or send an itemized statement of deductions.
Is interest required on security deposits in Maryland?
Interest is required annually at a rate tied to the U.S. Treasury yield (roughly 1.5%+ depending on year).
Does Maryland require the deposit to be held in a separate account?
Maryland 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 Maryland?
Bad-faith withholding can result in up to 3x the wrongfully withheld amount.
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 (Md. Code, Real Property § 8-203) or with a local attorney before relying on it.