Georgia Security Deposit Returns and Deductions

Georgia Security Deposit Returns and Deductions

Most states, such as Georgia, do not have a legal limit on how much a landlord can charge for damages except that the charges must be reasonable.

If the cost of the damages exceeds the amount of the security deposit, landlords are entitled to seek additional damages from the former tenant.

What is Considered Normal Wear and Tear in Georgia?

“Normal wear and tear” is described [2] by Georgia law as deterioration that occurs from the “use of the premises for the purposes for which the premises were intended.”

“Damage” is described [3] by Georgia law as destruction to the rental unit that occurs because of “negligence, carelessness, accident, or abuse of the premises by the tenant or members of his or her household or their invitees or guests.”

Can the Landlord Charge for Replacing the Carpet in Georgia?

Landlords can charge for replacing the carpet if it is damaged beyond normal wear and tear.

A carpet that is slightly discolored or gently worn will be considered normal wear and tear. A carpet with visible stains, major discoloration and rips will be considered excessively damaged.

Can the Landlord Charge for Nail Holes in Georgia?

Landlords in Georgia can charge a tenant for nail holes if they damage the walls in a way that is not a result of ordinary enjoyment of the rental unit.

Tenants have the right to use the walls within their unit in a reasonable way. This includes inserting small nails or thumbtacks to hang posters or pictures.

However, large holes from drilling, multiple nail holes, large nail holes, and holes made for hanging heavier things may be considered damage and thus, chargeable to the tenant.

Can the Landlord Charge a Cleaning Fee in Georgia?

Landlords in Georgia can include a standard cleaning fee in the lease agreement. Landlords may also deduct reasonable cleaning costs from the security deposit.

Can the Landlord Charge for Painting in Georgia?

In Georgia, landlords can charge for painting, except for normal wear and tear. For example, if the tenant:

Normal wear includes:

Landlords can charge for repainting if the damage is not the result of normal use. This includes stains, large or deep scratches, and water damage.

Security Deposit Returns in Georgia

Landlords must return a security deposit within 30 days from the date the tenant vacates the unit to the last known address of the tenant via first-class mail.

If the landlord intends to make deductions they must also include a written statement of deductions with the documentation of damages from the initial inspection (if any).

How Long Do Landlords Have to Return Security Deposits in Georgia?

Georgia landlords have 30 days [4] after the tenant vacates the rental unit to return any unused portion of the security deposit.

Do Landlords Owe Interest on Security Deposits in Georgia?

Unlike in some states, such as New Jersey, landlords in Georgia do not owe interest on security deposits. If the security deposit is held in an interest-bearing account, the landlord can choose whether or not to credit the tenant.

How Do Landlords Give Notice?

When a lease ends in Georgia, the landlord must:

When the tenant inspects the unit and reviews the itemized list of damages, they can either sign to agree with the damages (thereby waiving their right to make a claim in court for those items) [7] or provide a statement that they disagree with some or all of the list. [8]

If the tenant vacates the unit without notifying the landlord, the landlord must do the inspection within a reasonable time after finding out that the tenant has left. [9]

The written explanation of deductions must be sent with the security deposit by first-class mail to the tenant’s last known address. [10] If damages were identified in the initial inspection, the documentation should be included with the notice to the tenant.

If a landlord is an individual (not a corporation, partnership, etc.) and they own ten or fewer rental units, together with their immediate family, and do not use a company to manage the units and/or collect rent, they are not required to provide the itemized list of damages. [11]

Can a Security Deposit Be Used for Last Month’s Rent in Georgia?

Georgia law does not forbid the security deposit from being used for any outstanding rent.

Landlords can include a provision in the lease agreement that the security deposit cannot be used for the last month’s rent until the tenant vacates the rental unit.

Security Deposit Disputes in Georgia

If landlords do not return the security deposit within the required time period, tenants can file a claim in court for up to three times the amount of the deposit wrongfully withheld plus reasonable attorneys’ fees. [12] If the landlord can prove their fault was unintentional, the tenant may only be awarded the amount of the deposit withheld. [13]

Tenants can also take legal action against a landlord for:

How Can Tenants File a Dispute for a Security Deposit in Georgia?

If a landlord fails to perform their obligations regarding a security deposit, the tenant can file a dispute in Small Claims Court if the amount of damages is less than $15,000. [14] If the amount is greater, the tenant must file a civil case in State or Superior Court. [15]

A small claims case regarding the return of a security deposit must be filed within 4 to 6 years depending on whether the lease agreement was written or oral.

Cases are filed in the county where the defendant lives. An attorney is not required but permitted.

Sources

No security deposit shall be retained to cover ordinary wear and tear…Nothing in this Code section shall preclude the landlord from retaining the security deposit for nonpayment of rent or of fees for late payment, for abandonment of the premises, for nonpayment of utility charges, for repair work or cleaning contracted for by the tenant with third parties, for unpaid pet fees, or for actual damages caused by the tenant’s breach…

…ordinary wear and tear which occurred as a result of the use of the premises for the purposes for which the premises were intended…

…negligence, carelessness, accident, or abuse of the premises by the tenant or members of his or her household or their invitees or guests.

Within 30 days after obtaining possession of the premises as provided in subsection (b) of Code Section 44-7-33, a landlord shall return to the tenant the full security deposit…

Within three business days after the termination of the residential lease and vacation of the premises or the surrender and acceptance of the premises, whichever occurs first, the landlord or his or her agent shall inspect the premises and compile a comprehensive list of any damage…

The tenant shall upon request have the right to inspect the premises and such list within five business days…

If the tenant is present for the inspection of the premises after vacancy and signs the landlord’s final damage list or fails to dissent specifically in accordance with this Code section, the tenant shall not be entitled to recover the security deposit or any other damages…

If the tenant refuses to sign the list, he or she shall state specifically in writing the items on the list to which he or she dissents and shall sign such statement of dissent.

If the tenant vacates or surrenders the premises without notifying the landlord, the landlord shall inspect the premises and compile a comprehensive list of any damage…within a reasonable time after discovering the premises has been surrendered by vacancy.

The landlord shall be deemed to have complied with this Code section by mailing such statement and any payment required to the last known address of the tenant via first-class mail….

…shall not apply to rental units which are owned by a natural person…collectively own ten or fewer rental units…this exemption does not apply to units for which management, including rent collection, is performed…

Any landlord who fails to return any part of a security deposit which is required to be returned to a tenant pursuant to this article shall be liable to the tenant in the amount of three times the sum improperly withheld plus reasonable attorney’s fees.

…the landlord shall be liable only for the sum erroneously withheld if the landlord shows by the preponderance of the evidence that the withholding was not intentional and resulted from a bona fide error…

Each magistrate court and each magistrate thereof shall have jurisdiction…the amount demanded or the value of the property claimed does not exceed $15,000.00…

Each state court shall have jurisdiction…of civil actions without regard to the amount in controversy…concurrent with the superior courts…