Overview
Washington security deposit laws are governed by the Residential Landlord-Tenant Act (RCW 59.18). Washington has some of the strongest documentation requirements in the country, including mandatory move-in checklists and detailed itemization of deductions. Some cities like Seattle have additional local rules. Using security deposit management software helps landlords meet these strict requirements.
Maximum Security Deposit
Washington state does not set a statewide maximum for security deposits. Landlords may require a deposit in any amount, provided it's clearly stated in the written rental agreement (RCW 59.18.260).
Seattle Exception
Seattle has stricter local limits. Landlords in Seattle must stay within a one-month cap for the combined total of security deposits and nonrefundable fees.
In practice, most Washington landlords charge one to two months' rent. Market conditions typically keep deposits reasonable even without a state cap.
Return Timeline
Under RCW 59.18.280, landlords must return the security deposit within 30 days after:
- Termination of the rental agreement, AND
- The tenant vacates the premises (or the landlord learns of abandonment)
The landlord complies if the deposit accounting statement and any refund are delivered personally or deposited in the U.S. mail with first-class postage within the 30-day period. (Oregon follows similar guidelines—see Oregon security deposit laws.)
Required Itemization
If any portion is withheld, the landlord must provide a full and specific statement of the basis for retaining any deposit, along with supporting documentation (invoices, receipts, estimates).
Interest Requirements
Washington does not require landlords to pay interest on security deposits (RCW 59.18.270). Landlords are not required to hold deposits in interest-bearing accounts.
Storage Requirements
While interest is not required, landlords must store security deposits properly:
- Deposits must be held in a trust account, bank, or with a state-licensed escrow agent
- After receiving the deposit, the landlord must provide a written receipt with the name and address of the financial institution holding the deposit
- If the depository changes, the landlord must inform the tenant
Allowable Deductions
Security deposits may only be used for:
- Damages beyond normal wear and tear
- Unpaid rent
- Unpaid utilities (if included in the lease)
- Other lease violations
Important: No portion of any deposit may be withheld for carpet cleaning without documentation that the condition is beyond wear resulting from ordinary use. Normal wear and cleaning are not valid reasons for withholding funds.
Move-In Checklist Requirement
Washington has strict documentation requirements. Under RCW 59.18.260:
- Before collecting any deposit, landlords must provide a written move-in condition checklist
- The checklist documents the state of the unit at move-in
- This checklist serves as crucial evidence if there's a disagreement about damage versus normal wear and tear
Failure to provide this checklist can weaken a landlord's ability to justify deductions.
Penalties for Non-Compliance
Washington imposes significant penalties for violations:
- Intentional refusal: Courts may award up to twice the deposit amount for intentional refusal to provide the statement, documentation, or refund
- Attorney's fees: The prevailing party in any deposit dispute is entitled to reasonable attorney's fees and court costs
- Missing documentation: Without proper move-in checklists and itemized statements, landlords may lose the right to retain any portion
Common Compliance Questions
What counts as "normal wear and tear"?
Normal wear and tear includes minor scuffs on walls, slightly worn carpet in high-traffic areas, small nail holes from hanging pictures, and faded paint from sunlight. It does not include large holes in walls, stained or burned carpet, broken fixtures, or damage from pets. When in doubt, document the condition at move-in with dated photos.
How should I document the unit's condition?
Complete a detailed move-in checklist with the tenant, noting existing damage, appliance conditions, and overall cleanliness. Take timestamped photos or video of every room. At move-out, repeat the process. This documentation protects both parties and makes deduction decisions defensible if disputed. See how Passive works to automate your documentation workflow.
Can I deduct for unpaid utility bills?
Only if your lease specifically allows it and the utilities are in your name. If utilities are in the tenant's name, contact the utility company directly—they have their own collection processes. Never make unauthorized deductions, even for amounts you believe the tenant owes.