Published 2026-09-27 · 8 min read

Georgia Security Deposit Law 2026: Limits, Deadlines & Deductions

Georgia caps security deposits at two months' rent (since the 2024 Safe at Home Act), requires return within one month of lease end, mandates an escrow account for larger landlords, and punishes intentional wrongful withholding with three times the amount withheld plus attorney's fees — under O.C.G.A. §§ 44-7-30 through 44-7-37. Georgia's move-in/move-out inspection lists are among the most detailed in the country. Every section below is from Georgia's security deposit article.

The short version: For leases entered or renewed after July 1, 2024, charge at most two months' rent. Give the tenant a signed move-in damage list, inspect within 3 business days of move-out, hold the money in a Georgia escrow account (if you own more than 10 units), and return the balance with an itemized statement within one month. Skip the escrow or the inspection lists and you forfeit the right to withhold anything; withhold intentionally and wrongfully and you owe triple.

The statute table

Limits: how much can you charge?

Two months' rent under § 44-7-30.1, added by 2024's Safe at Home Act (H.B. 404, signed May 2024) for leases entered into or renewed after July 1, 2024. Before that, Georgia had no cap at all — so pre-July-2024 leases aren't retroactively rewritten, but every new and renewed lease must comply. Nonrefundable fees are allowed but must be separate from the security deposit and clearly agreed to; refundable pet deposits and advance-rent deposits count as security deposits.

Check your cap with the Security Deposit Max Checker.

The 30-day deadline, precisely

Within one month after termination of the lease or surrender and acceptance of the premises, whichever is last, return the full deposit — or provide a written statement listing the exact reasons for retention, with payment of the difference. Mail it first-class to the tenant's last known address. The move-out inspection feeds this deadline: inspect within 3 business days of the tenant vacating, compile the damage list with dollar values, and give the tenant 5 business days after move-out to inspect the unit and challenge your list.

Find your exact date with the Security Deposit Deadline Finder.

Run every deposit through the Security Deposit Disposition Tracker — the inspection clocks, the escrow record, and the one-month return deadline on one sheet, so a missed list can't forfeit your deductions.

When the clock actually starts

Georgia runs three different clocks, and they do not share a start date. The move-out inspection clock runs from the tenant vacating: you have 3 business days to inspect and prepare the signed damage list. The tenant's inspection clock runs alongside it: the tenant may inspect within 5 business days after move-out and dispute items in writing. The return clock is longer and uses different language — the deposit and any itemized statement are due within one month after termination of the lease or surrender and acceptance of the premises, whichever happens last. That "whichever is last" matters when a lease formally ends before the tenant actually surrenders the unit, or the reverse. A fourth date sits at the front of the tenancy: the signed move-in damage list must be in the tenant's hands before you collect the deposit. Log all four dates — move-in list delivery, vacating, your move-out inspection, and mailing of the return — because forfeiture and the treble-damages claim are both measured from paperwork, not from memory.

A worked example

Say a tenant vacates on Monday, March 2, 2026, from a unit renting for $1,800 a month, with a $3,000 deposit — under the two-month cap of $3,600 for that rent. Your move-out inspection and signed damage list are due within 3 business days: by Thursday, March 5, 2026. The tenant's window to inspect and dispute the list runs 5 business days: through Monday, March 9, 2026. Suppose the list supports $400 of unpaid amounts and $250 of documented damage beyond ordinary wear and tear — $650 in total. You must mail the balance of $2,350, with a written statement listing the exact reasons for the $650 retention, to the tenant's last known address within one month — by Thursday, April 2, 2026. Work backwards from April 2: inspect by March 5, price every item from invoices or a dated repair log while the tenant's dispute window is open, and have the statement and check in first-class mail several days before the month closes, not on the final day.

Deductions and the itemized list

Deduct for unpaid rent and utilities, excessive cleaning from negligence or misuse, damage beyond reasonable wear and tear, and lease-breach costs. The move-in list is your foundation: before collecting the deposit, give the tenant a comprehensive signed list of existing damage and let them inspect to confirm or dispute it. At move-out, the 3-day inspection list becomes the basis for every withholding on your written statement. Ordinary wear and tear is never deductible. If the tenant gives no forwarding address, you may retain the deposit after 90 days.

Build the letter with the Security Deposit Deduction Letter Generator.

Move-out compliance checklist

1. Start with the move-in list. Confirm the file holds the comprehensive signed list of existing damage you gave the tenant before collecting the deposit, with any disputed items noted in writing — every later deduction is measured against it.

2. Fix the vacating date on day one. Record the day the tenant vacated and the day you accepted surrender of the premises; the inspection clocks run from vacating and the one-month return clock runs from whichever of termination or surrender happened last.

3. Inspect within 3 business days. Walk the unit, prepare the complete damage list with estimated dollar values, sign it, and provide it to the tenant inside that window.

4. Honor the tenant's 5-business-day inspection window. Give the tenant the chance to inspect and to sign the list or specify disputed items in writing; an undisputed list is far harder to contest later.

5. Price deductions from records, not guesses. Tie each amount to unpaid rent or utilities, documented damage beyond ordinary wear and tear, or lease-breach costs, using invoices, receipts, or a dated repair log.

6. Confirm the escrow record. Verify the deposit sat in an escrow account at a federally regulated bank for the whole tenancy (if you are a covered landlord) and that the tenant received written notice of the account's location.

7. Mail the return inside one month. Send the balance with the written statement listing the exact reasons for any retention, by first-class mail to the tenant's last known address, and keep a copy with the inspection lists in the deposit file.

Interest and where the money sits

No interest is required — you needn't use an interest-bearing account or pay the tenant any interest earned. But the escrow account is mandatory for covered landlords: the deposit must sit in an escrow account at a banking institution regulated under federal law, and you must notify the tenant in writing of its location. Owners (counting family members) with 10 or fewer units are exempt from the escrow and inspection-list requirements — unless a third party manages the units for a fee, which pulls you back under the full rules.

The penalty, spelled out

Two layers. Procedural: if you didn't hold the money in escrow or didn't provide the inspection lists, you forfeit the right to withhold any of the deposit. Substantive: a landlord who intentionally and wrongfully withholds is liable for three times the amount withheld plus attorney's fees under § 44-7-35. The "intentional" qualifier gives you a defense for good-faith errors made despite reasonable procedures — which is exactly what documented escrow, inspection lists, and timely itemization establish.

Run the worked example through that penalty: if a landlord intentionally and wrongfully kept the $2,350 balance due in the example above, the exposure is three times $2,350 — $7,050 — plus the tenant's attorney's fees, to protect $650 of deductions. The forfeiture scenario is quieter but just as complete: skip the escrow account or the inspection lists and the $650 of legitimate deductions cannot be taken from the deposit at all; the full $3,000 goes back and your only route to the $650 is a separate claim. Set against the modest amounts most landlords are protecting, the signed lists and the escrow notice are worth several times the money at stake in the deductions themselves.

FAQ

Does the two-month cap apply to my 2023 lease?

No — it's not retroactive. It applies to leases entered into or renewed after July 1, 2024.

I own 8 units I manage myself. Do the escrow rules apply?

No. Owners (plus family) of 10 or fewer units are exempt from the escrow and inspection-list rules — unless a third-party manager handles the units for a fee.

What if the tenant won't sign the move-in list?

Have them note disputed items in writing on the list, then sign. An unsigned or unchallenged list still documents condition, but a signed one is far stronger.

Can I charge nonrefundable fees?

Yes, but they must be clearly separate from the security deposit and agreed to in the lease. Undisclosed fees may have to be refunded.

Does the deposit earn interest?

No. Georgia requires an escrow account but no interest payments to the tenant.

What if the tenant abandoned the unit?

You're granted a "reasonable" period (rather than 3 business days) to inspect. Document the abandonment carefully — dates, notices, condition photos.

When exactly do the Georgia clocks start?

The inspection clock runs from the tenant vacating — 3 business days for your signed damage list, and 5 business days for the tenant to inspect and dispute it. The return clock runs from termination of the lease or surrender and acceptance of the premises, whichever happens last, and the deposit with its itemized statement is due within one month of that date. Your cleaning schedule and repair quotes do not move any of these dates.

How do I document the escrow and inspection-list duties?

Keep four records together in the deposit file: the signed move-in damage list given before the deposit was collected, the written notice of the escrow account's location, the signed move-out damage list prepared within 3 business days, and a copy of the itemized return statement mailed within one month. Together they are what defeats a forfeiture argument and shows that any error was made in good faith, not intentionally.

Read the statute yourself

Everything on this page traces back to O.C.G.A. §§ 44-7-30 through 44-7-37. If a deadline, deduction, or escrow question is ever disputed, the primary sources — not a summary — are what control:

• O.C.G.A. § 44-7-34 — Return of security deposit (Cornell Law Institute) — a readable full-text version of the section covering the one-month return deadline, the itemized statement, and the 90-day rule when no forwarding address is given.
• O.C.G.A. § 44-7-33 — Inspection lists (Cornell Law Institute) — a readable full-text version of the section covering the signed move-in list, the 3-business-day move-out inspection, and the tenant's 5-business-day inspection window.

Georgia's 3-business-day inspection clock: inspect within 3 business days of the tenant vacating, then return the deposit with an itemized statement within one month — skip the move-in/move-out inspection lists and you forfeit every deduction; withhold wrongfully and you owe triple. The Security Deposit Disposition & Deadline Tracker keeps your inspection checklist, deduction ledger, and deadline calendar in one formula-driven tracker ($14.95, one-time purchase).

More security deposit guides

• Security deposit laws by state
• Florida security deposit law
• Hawaii security deposit law
• Delaware security deposit law
• Idaho security deposit law

Last verified: October 14, 2026. This is general information, not legal advice. Verify with a licensed Georgia attorney before acting.