Delaware Security Deposit Deductions: What a Landlord Can Keep and Must List

By the FigureMyTax Editorial Team · How we calculate

Delaware lets a landlord keep a deposit for three purposes and requires an itemized list with estimated repair costs. Here is what the statute allows, how pet damage fits and how to object.

What can a Delaware landlord deduct from a deposit?

The security deposit has three purposes (25 Del. C. 5514(c)):

1. To reimburse the landlord for actual damages caused to the premises by the tenant which exceed normal wear and tear, or which cannot be corrected by painting and ordinary cleaning.
2. To pay all rental arrearage due under the rental agreement, including late charges and rent due for premature termination or abandonment by the tenant.
3. To reimburse all reasonable expenses incurred in renovating and rerenting the premises caused by the tenant’s premature termination, with reimbursement for a termination under section 5314 limited to 1 month’s rent.

What must the list show?

An itemized list of damages to the premises and the estimated costs of repair for each, within 20 days after the rental agreement ends, with payment of the difference between the deposit and those costs (5514(f)). A list that is late, or that does not give an estimated cost for each item, does not do what the statute describes. Check the date with the deposit deadline calculator.

Can a landlord charge for painting and cleaning?

The statute allows damage that exceeds normal wear and tear or that cannot be corrected by painting and ordinary cleaning. Ordinary painting and cleaning therefore are not a basis for deduction on their own, though the lease may deal with them separately. Ask a licensed Delaware attorney how a particular charge fits.

What about pet damage?

If the lease required a pet deposit, damage to the unit caused by an animal is first deducted from the pet deposit, and only if that is insufficient from the security deposit; the pet deposit follows the same escrow, 20-day and itemization rules (5514(i)). See Delaware pet deposits and fees.

What if the tenant disagrees?

A tenant’s acceptance of a payment submitted with the itemized list is agreement on the damages unless the tenant, within 10 days of receiving the payment, objects in writing to the amount withheld (5514(f)). Write and keep a copy. Then use the forwarding address and objection rules.

What proof helps?

Move-in and move-out photographs, any condition form, the lease, receipts or estimates for the repairs and your written forwarding address. The statute requires estimated costs, so a landlord should keep quotes or invoices for each item.

A checklist for tenants

Photograph every room at move-in and move-out; keep the lease and rent receipts; give your forwarding address in writing at or before the end of the rental agreement; compare the landlord’s list line by line with your photographs; and object in writing within 10 days of receiving any payment you do not agree with.

A checklist for landlords

Keep the deposit in an escrow account and be ready to say where; calendar the 20 days; list each item of damage with the estimated repair cost; credit pet damage to the pet deposit first; and send the list and the balance to the forwarding address.

What the statute does not say

The deposit section does not define normal wear and tear, does not require receipts to be attached to the list and sets no dollar threshold below which the landlord may skip the list. It requires an itemized list with an estimated cost for each item of damage, so a total without that breakdown is hard to defend. A court decides whether a charge exceeds normal wear and tear.

Frequently asked questions

Official sources

• 25 Del. C. 5514: security deposit

This is general information, not legal advice. It is based on the cited Delaware statutes, rules and court opinions, and every case turns on its own facts. Confirm how the law applies to your situation with a licensed Delaware attorney.