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Free Maryland Security Deposit
Return Letter Template

Last reviewed September 2026

Written by LawLease Editorial

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Maryland Security Deposit Return Letter

When a tenancy ends, a Maryland landlord has a set time to return the deposit or send an itemized list of deductions. Here’s what Maryland’s statute says.

Maryland rules at a glance

Maryland rules for a Security Deposit Return Letter
Return deadline45 days. Within 45 days after the tenancy ends, the landlord must return the deposit with interest, or mail an itemized list of damages and costs by first-class mail.Real Prop. §8-203(e)
PenaltyMissing the list forfeits the right to withhold for damage, and withholding without a reasonable basis exposes the landlord to up to three times the amount withheld.Real Prop. §8-203(e), (g)

Security deposits in Maryland

Since October 1, 2024, a Maryland landlord may not collect a security deposit of more than one month’s rent per unit, regardless of how many tenants sign (§8-203(b)). The cap covers every advance payment made to protect the landlord — including a pet deposit and prepaid “last month’s rent” — and a tenant can’t be required to pay more than the deposit plus the first month’s rent to move in (§8-208(d)(11)).

  • Only exception — Up to two months’ rent is allowed only where the tenant qualifies for utility assistance through the Department of Human Services, the lease requires utility payments to the landlord, and both sides agree in writing. Overcharging exposes the landlord to up to three times the excess plus attorney’s fees (§8-203(b)).
  • Receipt — The deposit receipt must be part of the written lease and must spell out the tenant’s rights: a move-in inspection on request within 15 days, a move-out inspection, the 45-day return rule, and the up-to-3× penalty. Failing to give a receipt costs $25 (§8-203(c), §8-203.1).
  • How it’s held — In an account used only for security deposits, at a federally insured institution with a Maryland branch, opened within 30 days of receipt (§8-203(d)).
  • Interest — Simple interest at the greater of the 1-year U.S. Treasury yield-curve rate (as of the first business day of the year) or 1.5% a year, accruing monthly — but only on deposits of $50 or more held at least six months (§8-203(e)).
  • Return — Within 45 days after the tenancy ends, the landlord must return the deposit with interest, or mail an itemized list of damages and costs by first-class mail. Missing the list forfeits the right to withhold for damage; withholding without a reasonable basis exposes the landlord to up to three times the amount withheld (§8-203(e), (g)).
  • Move-out inspection — If the tenant gives 15 days’ notice by certified mail with the move date and new address, the landlord must inspect within five days before or after move-out, with the tenant present (§8-203(f)).

Tenant protections you can’t waive

  • Prohibited lease terms — A lease can’t include a confession of judgment, a waiver of legal rights or a jury trial, a notice period shorter than the law allows, or a clause penalizing a tenant for calling police or emergency services. Any such clause is unenforceable (§8-208(d), (g)).
  • No retaliation — A landlord can’t sue for possession, raise rent, cut services or end a periodic tenancy because a tenant made a good-faith complaint, joined a tenants’ organization or went to court; damages run up to three months’ rent plus attorney’s fees (§8-208.1).
  • Deposit rules are firm — No provision of the security-deposit statute can be waived in any lease (§8-203(l)).
  • Right of first refusal — In 1-, 2- and 3-unit properties, a named tenant who has lived there six months gets the first chance to buy before a sale to a third party, and a lease can’t waive it (§8-119).

Maryland Security Deposit Return Letter FAQs

How much can a landlord charge for a security deposit in Maryland?

No more than one month’s rent per unit for leases signed on or after October 1, 2024 — down from two months. Pet deposits and prepaid last month’s rent count toward the cap, and a tenant can’t be required to pay more than the deposit plus first month’s rent to move in (§8-203(b), §8-208(d)(11)).

How long does a landlord have to return a security deposit in Maryland?

45 days after the tenancy ends, with interest if the deposit was $50 or more and held at least six months. To keep any part, the landlord must mail an itemized list of damages and costs by first-class mail within the same 45 days; withholding without a reasonable basis can cost up to three times the amount withheld (§8-203(e), (g)).

More Maryland landlord documents

Security Deposit Return Letter in other states

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