Key Takeaways
No Statewide Limit: Florida law doesn’t set a maximum amount for security deposits, but the amount must be reasonable and fully refundable if lease terms are met.
Written Notice Required: Landlords must provide written notice within 30 days of receiving the deposit, including where it’s held and whether it earns interest.
Legal Deductions Allowed: You can withhold part or all of the deposit for unpaid rent, excessive cleaning, property damage beyond normal wear and tear, and lease violations—but you must provide an itemized deduction notice on time.
Collecting a security deposit from your residents is a smart move for Florida landlords.
Under the Landlord-Tenant Laws, it serves as a financial safety net, helping to protect your rental property in case things don’t go as planned during or after the lease.
A well-managed deposit can cover a variety of unexpected costs, from unpaid rent to property damage. For example, if a resident leaves behind unpaid utility bills, Florida law allows you to deduct those amounts from the deposit.
You can also use it to pay for excessive cleaning if the property is returned in poor condition beyond normal wear and tear. If rent is missed or the lease is broken early, the deposit helps offset those losses.
And when it comes to repairing damage like broken fixtures, stained carpets, or unauthorized changes to the unit, that deposit ensures you’re not left covering the costs out of pocket.
In this guide from Gulf Income Properties, we’ll walk you through everything Florida landlords need to know about collecting, holding, and returning security deposits the right way.
Guide to Florida’s Security Deposit Law
Here's everything you need to know about Florida’s Security Deposit Laws:
Florida Security Deposit Limit
Florida law does not set a specific limit on how much a landlord can charge for a security deposit.
This means you can decide the amount, but it must be reasonable. Most landlords charge an amount equal to one to two months' rent, which is enough to protect against most common damages or lease violations.
Still, it’s crucial to stay competitive with other rentals in your area. Charging an unusually high deposit could discourage prospective residents or raise questions during disputes.
Nonrefundable Fees in Florida
Florida does not allow landlords to label any part of the security deposit as nonrefundable.
While you can charge other fees separately, like application or cleaning fees, security deposits must be fully refundable as long as the resident meets the terms of the lease and leaves the unit in good condition.
Clearly outline any fees in the lease to avoid legal confusion and disputes.
Storing a Tenant’s Deposit in Florida
Florida landlords must follow specific rules when holding security deposits.
You have three legal options:
Non-Interest-Bearing Account: Place the deposit in a Florida bank account that does not accrue interest.
Interest-Bearing Account: Place it in an account that earns interest, which must be shared with the tenant annually.
Surety Bond: Post a surety bond with the county where the property is located, plus pay the tenant appropriate annual interest.
In all cases, you must not commingle these funds with your personal or business funds.
Florida law also requires landlords to notify the resident in writing within 30 days of receiving the deposit, providing details about where and how the deposit is stored.
Written Notice After Receiving a Security Deposit
Yes, Florida law requires that landlords send a written notice to the resident within 30 days of receiving the security deposit.
This written notice should include:
The name and address of the bank or bonding company holding the funds
Whether the deposit is in an interest-bearing account and the terms of it
The amount received
Failure to provide this written notice means you waive your right to make deductions from the deposit unless the resident causes intentional damage or owes unpaid rent.
Reasons to Withhold a Security Deposit in Florida
As a Florida landlord, you can legally withhold part or all of the security deposit for the following reasons:
Unpaid rent at move-out
Cost of repairs beyond normal wear and tear
Professional cleaning is required if the property is left excessively dirty
Damage to appliances, walls, flooring, or fixtures
Damages due to breach of lease terms, such as unauthorized pets or smoking
However, you cannot charge the resident for damage that results from normal aging of the property, such as faded paint or minor carpet wear. Also, you must provide an itemized statement of deductions within the legal timeframe.
Walk-Through Inspection Requirements
Florida law does not require a move-out walk-through inspection, but conducting one can be beneficial for both landlords and residents.
It allows you to document the condition of the property, provide transparency, and reduce disputes.
To be effective, take photos, make notes, and if possible, involve the resident during the inspection. It’s also a good idea to compare the move-in inspection report with the move-out findings to ensure fairness.
Security Deposit Refund Timeline in Florida
After the resident vacates the property, you must return the security deposit (or the balance, if deductions apply) within 15 days if no deductions are made.
If you plan to keep any portion of the deposit, you must send written notice via certified mail within 30 days of move-out.
The notice must include:
Your intent to keep all or part of the deposit
A detailed itemization of deductions
Instructions on how the resident can object
The landlord has a maximum of 60 days to return the remaining security deposit to the tenants. However, if they challenge it, and you don’t reach a mutual agreement, the matter may go to small claims court.
Change in Property Ownership
If you sell or transfer the rental property to a new owner, Florida security deposit law allows you to handle the resident’s deposit in one of two ways:
Transfer the deposit to the new owner, who assumes responsibility for its return. You must notify the resident in writing of this transfer, including the name and contact information of the new landlord.
Return the deposit to the resident directly (minus any lawful deductions) and notify the new owner of this action.
This ensures transparency and protects both parties from disputes down the line.
Managing rental laws and obligations can be stressful.
Bottom Line
Understanding and complying with Florida’s security deposit laws protects your property and income, and also helps foster clear communication and trust with your residents.
If you have detailed questions about your obligations as a landlord, it’s best to speak with a qualified Florida attorney.
Or better yet, work with a professional property management company like Gulf Income Properties, that knows the ins and outs of Florida law and can do the heavy lifting for you.
Disclaimer: This blog is for informational purposes only and should not be used as a substitute for legal advice from a licensed attorney in Florida. Laws change frequently, and this article may not be up to date when you read it.
