Washington’s security deposit laws provide a clear roadmap to prevent disputes, missed deadlines, and deduction errors that often strain relationships between landlords and tenants.
This guide covers everything you need to know, including the maximum amounts landlords can collect, how they must store deposits, whether they must pay interest, lawful deduction reasons, return timelines, dispute procedures, and more.
Statutes Regulating Washington Security Deposits
Washington houses its security deposit rules in Chapters 59.18.253 through 59.18.285 of the Revised Code of Washington, which outlines how landlords collect, store, and return deposits throughout a tenancy.
Maximum Security Deposit Amounts Under Washington Law
Washington sets no statewide limit on the amount a landlord may request for a security deposit. This freedom applies to every lease type and rental arrangement, so property owners can set amounts that match the tenant risk and condition of each unit.
However, some cities create their own rules. For instance, Seattle caps the combined total of security deposits and nonrefundable move-in fees at 1 month of rent and limits any pet damage deposit to 25 percent of the monthly rent. Seattle also requires optional payment plans for many move-in costs.
Security Deposit Storage Regulations
Washington requires landlords to place every security deposit in a trust account at a financial institution or secure it with a surety bond. Landlords must keep these funds separate from personal or business money, provide a written receipt, and tell tenants where the deposit is stored.
For example, a landlord cannot store a tenant deposit in an operating account that mixes rental income with other business funds.
Security Deposit Interest in Washington
Washington does not require landlords to place security deposits in interest-bearing accounts. State law requires landlords to use a trust account or a surety bond to secure these funds, and it imposes no obligation to earn or pay interest to the tenant.
Making Security Deposit Deductions
Effective security deposit deductions help landlords maintain the long-term condition of a rental property. Tenants sometimes leave damage beyond normal wear and tear, and landlords need dependable funds to restore the unit to its original condition and keep the property running smoothly.
When Landlords Can Deduct
Washington landlords may use a tenant security deposit for the following reasons:
- Repairing damage that exceeds normal wear and tear
- Replacing items harmed through negligence or improper tenant use
- Recovering unpaid rent that accumulated during the tenancy
- Covering cleaning costs needed to meet the documented move-in checklist
- Restoring unauthorized alterations that require professional correction
When Landlords Can’t Deduct
Washington landlords may not draw from a tenant’s security deposit for the following reasons:
- Routine cleaning that reflects ordinary use of the rental
- Minor cosmetic issues that naturally occur during day-to-day living
- Damage caused by building system failures or structural problems
- Repairs needed only because materials and fixtures aged over time
- Costs for upgrades or improvements that enhance the unit beyond its earlier condition
Necessary Documentation to Accompany Deductions
Washington requires landlords to provide tenants with a complete statement explaining each deduction from the deposit. That statement must include supporting materials such as receipts, paid invoices, or repair estimates that clearly justify the charges.
What to Do When Deductions are Greater Than the Deposit
Some tenants damage the unit or vacate with unpaid charges that exceed the deposit amount. In those situations, Washington landlords may request additional payment from the former tenant or send a formal demand for the remaining balance. State law allows landlords to pursue amounts beyond the deposit when they follow the procedures outlined in RCW 59.18.280.
Landlords who cannot collect the outstanding amount may file a claim in their local Washington small claims court.
Returning Security Deposits to Tenants
Washington law outlines clear rules for how landlords must return any remaining portion of a tenant’s security deposit after making all lawful deductions.
Required Timeline for Return
Landlords must either refund the security deposit or provide a complete itemized statement of deductions within 30 days after the tenant vacates the unit and returns possession, or within 30 days after the landlord learns the tenant abandoned the property. The 30-day period begins as soon as the landlord regains possession.
Method for Return
Landlords may return the deposit by check, money order, or another agreed-upon payment method. They must send the refund or statement to the tenant’s last known address or a verified forwarding address. Washington also requires an itemized list of deductions and supporting documents, such as receipts or repair estimates, when applicable.
Penalties for Late Return
A landlord who misses the 30-day deadline or fails to provide the required written statement loses the right to keep any portion of the deposit. Courts may also award tenants up to twice the deposit amount, along with court costs and attorney fees, if the landlord intentionally withholds funds.
Security Deposit Disputes
Tenants who disagree with how a landlord handles their security deposit have every right to dispute the charges. They typically begin by asking for written clarification, requesting copies of documentation that supports the deductions, or challenging any charges they believe conflict with Washington requirements. If they cannot resolve the issue with their landlords, some tenants may pursue mediation or file a claim in small claims court.
As a landlord, prepare for potential disputes by using move-in and move-out checklists, staying on top of accounting and bookkeeping, and including clear terms surrounding security deposits in your lease agreement. Detailed documentation, strict attention to Washington timelines, and a solid grasp of state laws will you your chances of ending up on the right side of any potential dispute.
Using Condition Reports to Document Damage
Managing security deposits in Washington works far more smoothly when landlords use detailed condition reports to track a unit’s condition over time, confirm damage, and justify deductions.
Landlords can use property management software to create digital reports with photos and videos from their smartphone. Documenting a property’s condition before move-in and after move-out helps validate any deductions and lower the risk of tenant disputes.
Sign up for a free TurboTenant account to build stronger security deposit documentation and streamline every step of the move-in and move-out process.
FAQs: Washington Security Deposit Law
Can a landlord deduct painting from a security deposit in Washington?
A landlord may deduct painting costs only when a tenant leaves damage that goes beyond normal wear and tear. Routine repainting during standard turnover does not qualify, and any charge must be accompanied by clear documentation supporting the deduction.
Are nail holes considered normal wear and tear in Washington?
Small nail holes from hanging lightweight items usually count as normal wear and tear in Washington. Larger holes, wall anchors, or extensive markings may qualify as damage, allowing a landlord to deduct reasonable repair costs upon proper documentation.
Does the landlord or tenant have to pay for carpet cleaning in Washington?
A landlord may deduct carpet cleaning costs only when a tenant leaves excessive dirt, stains, or pet damage beyond ordinary wear and tear. Basic turnover cleaning stays the landlord’s responsibility and does not qualify for a security deposit deduction.
What happens if a landlord doesn’t return a security deposit within 30 days in Washington?
A landlord who fails to return the deposit or provide the required itemized statement within 30 days loses the right to withhold any portion of the deposit. Courts may also award the tenant up to twice the deposit amount, plus court costs and attorney fees, when the landlord intentionally withholds funds.
