Security Deposit Laws in Maryland
How long does a landlord have to return a security deposit in Maryland?
Under Md. Code, Real Prop. § 8-203, a landlord in Maryland has 45 days after you move out to either return your full security deposit or provide an itemized statement of deductions along with any remaining balance.
Important Maryland-specific details
As of October 1, 2024, maximum deposit for new leases is 1 month's rent (previously 2 months). Exception: up to 2 months allowed if all three conditions are met: (1) tenant qualifies for utility assistance through DHS, (2) lease requires tenant to pay utilities directly, AND (3) both parties agree in writing. Leases signed before Oct 1, 2024 remain under the old 2-month cap. Deposit must be held in a separate interest-bearing account at a federally insured Maryland institution. Tenant has right to be present at move-out inspection.
What happens if the landlord misses the deadline in Maryland?
Missing the deadline has real consequences for landlords in Maryland. Under the statute, the penalty is: If landlord without reasonable basis fails to return deposit within 45 days, tenant may recover up to 3x (threefold) the amount wrongfully withheld plus reasonable attorney's fees.
In practice, this means if your landlord doesn't return the deposit (or a proper itemized statement) within 45 days, you likely have a strong case in small claims court.
What can the landlord legally deduct from your deposit in Maryland?
Maryland law generally allows landlords to deduct for:
- Unpaid rent
- Damage to the unit beyond normal wear and tear — holes in walls, broken fixtures, stains, pet damage
- Cleaning costs, if the unit is left noticeably dirtier than at move-in
- Breach-of-lease costs, such as early termination fees where legally permitted
Landlords cannot deduct for normal wear and tear — faded paint, worn carpet from regular use, minor scuffs, or small nail holes from hanging pictures.
Calculator: check your deposit situation
Enter your move-out date and deposit amount below to see exactly when your landlord's deadline is — and whether they've already missed it.
Security Deposit Return Calculator
Find out when your landlord must return your deposit and what they're legally allowed to deduct.
What to do if your landlord won't return your deposit in Maryland
- Send a demand letter by certified mail. Cite Md. Code, Real Prop. § 8-203 and the amount owed. Keep a copy and the delivery receipt.
- Give the landlord a reasonable response window — typically 7 to 14 days after the demand letter.
- File in small claims court. In most states you can sue for up to $5,000–$10,000 without a lawyer. Filing fees are usually $30–$75 and often recoverable as costs.
- Bring evidence. Lease, move-in and move-out photos, the demand letter, proof of delivery, and any communications with the landlord.
For a complete walkthrough, see our guide: What to Do If Your Landlord Won't Return Your Security Deposit.
Maryland Security Deposit FAQ
- How long does a landlord have to return a security deposit in Maryland?
- In Maryland, landlords must return the security deposit within 45 days of the tenant moving out, per Md. Code, Real Prop. § 8-203. They must either return the full deposit or provide an itemized statement of any deductions.
- What is the maximum security deposit a landlord can charge in Maryland?
- In Maryland, the maximum security deposit is 1 month of rent under Md. Code, Real Prop. § 8-203.
- What happens if my landlord doesn't return my deposit on time in Maryland?
- In Maryland, the penalty for wrongfully withholding a security deposit is: If landlord without reasonable basis fails to return deposit within 45 days, tenant may recover up to 3x (threefold) the amount wrongfully withheld plus reasonable attorney's fees. You can sue in small claims court to recover the deposit plus the statutory penalty.
- Does my landlord in Maryland have to pay interest on my security deposit?
- Yes. Maryland requires landlords to pay interest on security deposits. Landlord must pay simple interest on deposits of $50 or more, held 6+ months. Rate is the greater of the U.S. Treasury 1-year yield curve rate (as of the first business day of each year) OR 1.5% per year. Interest accrues monthly from the day the deposit was given and is not compounded.
- Does my landlord have to itemize deductions from my deposit in Maryland?
- Yes. Maryland law requires landlords to provide an itemized statement of any deductions made from your security deposit.