Mississippi’s security deposit law provides landlords with a clear roadmap for managing deposits and avoiding unclear charges, improper returns, or disagreements at move-out.
To help, this guide outlines everything you need to know about these regulations, including the maximum amounts landlords can request, how to store deposits, whether landlords must pay interest, legal grounds for deductions, returning deposits, handling disputes, and more.
Statutes Regulating Mississippi Security Deposits
Mississippi’s security deposit laws appear in Section 89-8-21 of the Mississippi Residential Landlord and Tenant Act, which sets clear rules for how landlords collect, manage, and return deposits.
Maximum Security Deposit Amounts Under Mississippi Law
Mississippi law does not cap the amount landlords may collect for a security deposit. Landlords can set any reasonable deposit, and this flexibility applies across all lease types, contract lengths, and rental arrangements.
Security Deposit Storage Regulations
Mississippi law does not require landlords to use a specific account or follow defined procedures when holding security deposits. Since the state sets no rules for storage methods or receipts, landlords can choose any approach that suits their rental operations and financial practices.
Security Deposit Interest in Mississippi
Mississippi law does not require landlords to place security deposits in interest-bearing accounts, and landlords also do not need to pay tenants interest on any deposits they hold.
Making Security Deposit Deductions
Landlords use security deposit deductions to protect the long-term condition of a rental property. Tenants sometimes move out without paying rent or cause damage beyond normal wear and tear. As such, landlords need funds available to square up balances or make repairs that return the unit to its original condition.
When Landlords Can Deduct
Mississippi landlords may draw from a tenant’s security deposit for the following reasons:
- Damage beyond normal wear and tear that requires repair or replacement.
- Unpaid rent that remains due at the end of the tenancy.
- Costs tied to a tenant’s violation of the lease agreement.
- Expenses needed to correct unauthorized alterations to the unit.
- Charges resulting from tenant actions that create a documented financial loss.
When Landlords Can’t Deduct
Mississippi landlords may not draw from a tenant’s security deposit for the following reasons:
- Routine cleaning that occurs between one tenancy and the next.
- Minor cosmetic issues that develop through everyday use.
- Repairs needed because of normal aging of appliances or fixtures.
- Problems caused by structural or mechanical failures outside tenant control.
- Improvements the landlord chooses to make that exceed the unit’s earlier condition.
Necessary Documentation to Accompany Deductions
Mississippi law requires landlords to give tenants a written, itemized list of any deductions taken from a security deposit. Landlords must explain each deduction, but the law does not require receipts, invoices, or other supporting documents to accompany that list.
What to Do When Deductions are Greater Than the Deposit
Sometimes, tenant damage or unpaid rent exceeds the security deposit, and landlords need to collect the remaining balance directly from the former tenant. Mississippi law gives landlords 45 days to return any remaining funds or provide the itemized deductions, and landlords may seek payment for any outstanding amount if the tenant refuses to cover the cost.
Returning Security Deposits to Tenants
Mississippi law sets clear rules for how landlords must return any remaining security deposit funds after applying eligible deductions, helping both parties understand the process and expectations.
Required Timeline for Return
Mississippi law requires landlords to return the deposit or provide an itemized deduction statement within 45 days after the tenancy ends and the tenant vacates. The 45-day period begins once the tenant moves out and returns possession of the rental unit to the landlord.
Method for Return
Landlords in Mississippi may return the deposit through any reasonable method, such as mailing a check to the tenant’s last known address. When withholding part of the deposit, landlords must include a written itemized list of deductions with the payment or a mailed notice.
Penalties for Late Return
Landlords who miss the 45-day deadline or fail to provide the required itemized deductions may owe the full deposit amount. Courts may also award additional damages up to the amount wrongfully withheld, along with reasonable attorney fees, when a landlord violates the statute.
Security Deposit Disputes
Tenants who disagree with how a landlord handles their security deposit have the right to raise a dispute. They often start by sending a written request for clarification or sharing their own documentation. If the issue still stands, they may turn to mediation or take the matter to court.
As a landlord, prepare for security deposit disputes by using move-in and move-out checklists, staying on top of accounting and bookkeeping, and setting clear expectations in the lease agreement. Strong documentation, familiarity with Mississippi laws, organized records, and strict attention to required timelines can only help your case.
Using Condition Reports to Document Damage
When managing security deposits in Mississippi, use detailed condition reports to establish a clear record of a unit’s condition, reduce disagreements with tenants, and make daily property management easier by providing reliable evidence when questions about damage arise.
Landlords can streamline the entire process by using property management software to create digital reports with photos and videos from a smartphone. Documenting the property’s condition before move-in and after move-out provides landlords with strong proof to support security deposit deductions and helps prevent disputes.
Sign up for a free TurboTenant account to simplify documentation and build a smoother, more confident security deposit process.
FAQs: Mississippi Security Deposit Law
Can a landlord deduct painting from a security deposit in Mississippi?
A landlord in Mississippi may deduct painting costs only when the damage goes beyond normal wear and tear. When tenant actions cause marks, stains, or wall damage, a deduction may apply. Routine touch-ups or paint that is aging do not qualify as deductible expenses.
Are nail holes considered normal wear and tear in Mississippi?
Small nail holes from typical picture hanging usually count as normal wear and tear in Mississippi. Larger holes, excessive damage, or numerous unapproved fasteners may qualify as tenant-caused issues, which allows landlords to deduct the cost of repairs from the security deposit.
Who has to pay for carpet cleaning in Mississippi, the landlord or the tenant?
A tenant pays for carpet cleaning only when the condition goes beyond normal wear and tear, such as spills, stains, or misuse. Routine carpet cleaning tied to everyday living remains the landlord’s responsibility and does not justify a deduction from the security deposit.
What happens if a landlord doesn’t return a security deposit within 45 days in Mississippi?
If a landlord does not return the deposit or provide the itemized deductions within 45 days, they may owe the full deposit amount. Courts may also award additional damages up to the amount withheld, along with reasonable attorney fees, when the landlord violates the statute.
