Pennsylvania/ Security Deposits
Your Security Deposit Rights in Pennsylvania
Pennsylvania caps deposits at two months' rent in year one and one month after. Landlords must itemize and refund within 30 days or owe double what they wrongly keep.
Pennsylvania caps a security deposit at two months' rent during the first year of a lease and at one month's rent from the second year on, including any renewal. When you move out, the landlord has 30 days to give you a written list of damages and pay you the rest of the deposit, provided you have given your new address in writing. A landlord who sends no list in time loses the right to keep any of the deposit for damage, and one who keeps more than the actual damage owes you double the excess, though the landlord can still apply the deposit to rent you owe.
How much can a Pennsylvania landlord charge?
Section 511.1 of the Landlord and Tenant Act of 1951 (68 P.S. section 250.511a) ties the limit to how long you have rented:
| Your tenancy | Most the landlord can hold |
|---|---|
| First year of the lease | 2 months' rent |
| Second year and later, or any renewal | 1 month's rent |
| 5 years or more in the unit | 1 month's rent, and a rent increase cannot require a larger deposit |
The cap covers money held for damage to the unit and for unpaid rent in residential rentals, and it cannot be waived: a lease clause that tries to waive it is void. Once the second year begins, the landlord can no longer hold more than one month's rent, so ask in writing for the excess back.
Example: your rent is $1,200 and you paid a $2,400 deposit. At the start of the second lease year, the cap drops to $1,200, so request the other $1,200. If your rent rises to $1,300 at a renewal in year three, the cap rises with it to $1,300. After you have lived there five years, a rent increase cannot come with a deposit increase. For when a landlord can ask for more, see can a landlord increase your security deposit, and to compare Pennsylvania's cap with other states, see how much a landlord can charge for a security deposit.
Philadelphia adds a payment option. Under a city ordinance in effect since December 2, 2025, for leases signed or renewed after September 3, 2025, a landlord that asks for more than one month's rent as a first-year deposit must let you choose to pay one month's rent up front and the rest in three equal payments. Those payments can be due no more than once a month, start the month after your tenancy begins, and cannot raise the total. On the $1,200 rent and $2,400 deposit above, you would pay $1,200 at move-in and $400 in each of the next three months. Landlords that operate or manage two or fewer rental units are exempt.
When do you earn interest on the deposit?
Section 511.2 adds rules once the landlord has held your deposit for two years. From then on, for any deposit over $100:
- The money must be held in an interest-bearing escrow account (an account that holds the deposit for you) at a federally or state-regulated bank.
- The landlord must tell you in writing the name and address of the bank and the amount on deposit.
- You receive the interest the account earns, minus an administrative fee of 1 percent of the deposit per year that the landlord may keep. The landlord pays your share each year on the anniversary of the date your lease began.
Example: a $1,200 deposit in an account paying 3 percent earns $36 in a year. The landlord may keep 1 percent of $1,200, or $12, and owes you $24. If the account pays 1 percent or less, the fee can take all of the interest.
Instead of using an escrow account, a landlord may post a bond from a bonding company authorized in Pennsylvania guaranteeing that your deposit and interest, minus the cost of needed repairs, will be returned. Any interest not yet paid to you must be included when the landlord settles the deposit at move-out. Our guide to interest on security deposits covers the rules in other states.
What must the landlord do within 30 days of move-out?
Under section 512 of the Act (68 P.S. section 250.512), the landlord has 30 days from the end of your lease, or from accepting your surrender of the unit (your handing it back) if that comes first, to give you:
- A written list of any damage to the unit it says you are responsible for.
- Payment of the difference between your deposit, plus any unpaid interest, and the actual cost of that damage.
The landlord can also keep deposit money for unpaid rent or for a breach of another lease condition. Normal wear and tear does not count as damage, and if you sue, the landlord must prove the actual damage you caused.
Your forwarding address decides whether these rules protect you. If you do not give the landlord your new address in writing when the lease ends or when you surrender the unit, the landlord is relieved of any liability under section 512, which includes both penalties below. Send the address in a letter or email you can prove you sent, and keep a copy. To compare Pennsylvania's deadline with other states, see security deposit return timelines by state.
What happens if the landlord misses the deadline or keeps too much?
| What the landlord did | Result |
|---|---|
| Sent no written damage list within 30 days | Loses the right to keep any of the deposit or its interest for damage, and to sue you for damage to the unit |
| Kept more than the actual damage, or did not pay the balance within 30 days | Owes you double the amount by which the deposit, plus interest, exceeds the actual damage |
Example: you paid a $1,200 deposit and owe no rent. The landlord sends a damage list on time but keeps the whole deposit, and a judge finds $300 of actual damage. The deposit exceeded the damage by $900, so the landlord owes you double that amount, $1,800.
Neither penalty applies to rent you owe: the forfeiture bars a lawsuit against you for damage to the unit, not one for unpaid rent. Any lease clause that waives these protections is void.
Philadelphia leases signed or renewed after September 3, 2025, carry a second remedy. The city code bars a landlord from charging more than the state cap or unlawfully keeping a security deposit, and a tenant who sues over a violation of the city's deposit rules can recover actual damages or, by choosing before judgment, one month's rent, and the court may add reasonable attorney's fees and costs.
How to get your deposit back in Pennsylvania
- Before you move out, give the written notice your lease requires (see Pennsylvania lease rights), pay your rent through the end of the lease, photograph every room, and return all keys.
- Give your new address in writing by the day the lease ends or you hand back the unit.
- If 30 days pass without a damage list and payment, send a written demand that cites section 512 and states what you are owed.
- File a claim if the landlord does not pay. Outside Philadelphia, file with your magisterial district court, the local court that hears civil claims up to $12,000. In Philadelphia, the Municipal Court hears small claims up to $12,000. Larger claims go to the Court of Common Pleas.
For how Pennsylvania compares with other states, see our overview of state security deposit laws.
Sources
- Landlord and Tenant Act of 1951, Article V, sections 511.1, 511.2, 511.3, and 512 (68 P.S. sections 250.511a to 250.512) (Pennsylvania General Assembly)
- 42 Pa.C.S. section 1515 (jurisdiction of magisterial district judges) (Pennsylvania General Assembly)
- 42 Pa.C.S. section 1123 (jurisdiction of the Philadelphia Municipal Court) (Pennsylvania General Assembly)
- Municipal Court Civil Division (The Philadelphia Courts, First Judicial District of Pennsylvania)
- Bill No. 250044-A, amending Philadelphia Code section 9-804 (security deposits), certified copy, signed September 3, 2025 (City of Philadelphia, City Council)
- Security Deposits in Pennsylvania (Community Legal Services of Philadelphia)
Legal Disclaimer: Tellus provides this content for informational purposes only. This is not legal advice. Laws vary by state and locality, and regulations may have changed since this article was published. Consult a qualified attorney for guidance specific to your situation.
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