Overview
Georgia is one of the states that does not impose a cap on the amount a landlord may collect as a security deposit. However, Georgia law includes important requirements for how deposits must be held, the documentation landlords must provide, and timelines for returning the deposit.
This guide covers everything landlords and tenants need to know about security deposits in Georgia.
Deposit Limits
Georgia law does not set a maximum amount for security deposits. Landlords may charge any amount they choose, though in practice most charge one to two months' rent.
However, Georgia imposes specific holding requirements depending on the size of the landlord's operation:
- Landlords with more than 10 units or those using a property management company: Must place the deposit in an escrow account at a state or federally regulated depository and provide the tenant with the account information
- Landlords with 10 or fewer units who self-manage: Exempt from the escrow requirement but still subject to return and accounting rules
Regardless of whether escrow is required, the landlord must provide the tenant with a written list of pre-existing damage to the unit at or before the time the deposit is collected. Failure to provide this list may limit the landlord's ability to make deductions.
cite: Ga. Code § 44-7-31 to § 44-7-33
Allowable Deductions
Landlords may deduct from the security deposit for the following reasons:
- Unpaid rent: Any rent owed at the time of move-out
- Damage beyond normal wear and tear: Costs for repairing tenant-caused damage to the unit
- Cleaning: Costs to restore the unit to the condition at the start of the tenancy, accounting for normal wear and tear
- Other lease obligations: Costs arising from the tenant's failure to comply with lease terms
What Constitutes Normal Wear and Tear?
Normal wear and tear includes:
- Minor scuffs on walls and floors
- Small nail holes from hanging pictures
- Worn carpet from regular foot traffic
- Faded paint from sunlight exposure
Damage beyond normal wear and tear includes:
- Large holes in walls or doors
- Stained, burned, or torn carpet
- Broken windows, fixtures, or appliances
- Unauthorized modifications to the unit
Return Timeline
Landlords must return the security deposit within 30 days of the tenant vacating the unit. The return must include:
- The remaining deposit amount (after any deductions)
- An itemized written statement listing each deduction and the corresponding amount
The landlord must mail or deliver the deposit and statement to the tenant's last known address. If the landlord fails to return the deposit or provide the required statement within 30 days, the tenant may recover the deposit plus damages in court.
Pre-Move-Out Inspection
Georgia does not have a statutory requirement for a pre-move-out inspection. However, the law does require landlords to provide a move-in inspection list of pre-existing damage before or at the time the deposit is collected. Conducting a move-out walkthrough is recommended to document the condition of the unit and reduce the potential for disputes.
Dispute Resolution
If a tenant believes their deposit was wrongfully withheld, they can:
- Send a demand letter to the landlord requesting the return of the deposit
- File a claim in Magistrate Court (small claims jurisdiction up to $15,000)
- File a complaint with the Georgia Department of Law Consumer Protection Division
If the landlord acted in bad faith by failing to return the deposit, the court may award the tenant up to three times the amount wrongfully withheld, plus reasonable attorney fees.