Overview
Texas security deposit laws are governed by the Texas Property Code, Chapter 92, Subchapter C (§ 92.101 et seq.). While Texas does not set a statutory cap on deposit amounts, the law provides clear rules for how deposits must be returned and what deductions landlords may take. Texas is considered a landlord-friendly state, but tenants still have meaningful protections when it comes to security deposits.
This guide covers everything landlords and tenants need to know about security deposits in Texas.
Deposit Limits
Texas has no statutory limit on security deposit amounts. Landlords may charge any amount they choose. In practice, most landlords charge one to two months' rent as a security deposit.
There are no restrictions on whether the deposit amount differs for furnished versus unfurnished units. The deposit amount is typically negotiated as part of the lease agreement.
cite: Tex. Prop. Code § 92.101
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: Repairs for damage caused by the tenant, their guests, or occupants
- Cleaning costs: Charges to restore the unit to move-in condition
- Early termination fees: If the tenant breaks the lease, applicable charges under the lease terms
- Other lease obligations: Any charges permitted under the lease agreement
What Constitutes Normal Wear and Tear?
Normal wear and tear includes:
- Minor scuffs on walls from everyday use
- Small nail holes from hanging pictures
- Worn carpet from regular foot traffic
- Faded paint or curtains due to sunlight exposure
Damage beyond normal wear and tear includes:
- Large holes in walls or doors
- Pet damage to carpet, flooring, or blinds
- Broken windows, mirrors, or light fixtures
- Excessive stains or burns on surfaces
- Unauthorized modifications to the unit
Return Timeline
Landlords must return the security deposit within 30 days of the tenant surrendering the premises. The return must include:
- The remaining deposit amount (if any deductions were made)
- A written description and itemized list of all deductions
The landlord must mail the refund and statement to the tenant's forwarding address. The tenant should provide a forwarding address in writing; however, the landlord's duty to refund the deposit is not eliminated if the tenant fails to provide one. The landlord must still refund the deposit to the tenant's last known address.
If the landlord fails to return the deposit or provide the required itemized list within 30 days, the landlord may be liable for an amount equal to the sum of $100, three times the wrongfully withheld deposit, and reasonable attorney's fees.
cite: Tex. Prop. Code § 92.103
Dispute Resolution
If a tenant believes their deposit was wrongfully withheld, they can take the following steps:
- Send a written demand letter to the landlord requesting return of the deposit and providing a forwarding address
- File a claim in Justice Court (small claims division) for amounts up to $20,000
- Seek statutory penalties: If the landlord acted in bad faith, the court may award $100, three times the amount wrongfully withheld, and reasonable attorney's fees
Texas law places the burden of proof on the landlord to demonstrate that deductions were reasonable and properly documented. Landlords who retain any portion of the deposit must prove the charges were justified.
Tenants should document the condition of the rental unit at move-in and move-out with dated photographs, videos, and written records. A move-in inventory checklist signed by both parties is particularly valuable in disputes.