Florida Deposit Holding, Interest and Forwarding Address Rules
Florida gives landlords three ways to hold a deposit and sets disclosure, interest and new-address rules. Here is how each works and what happens on a sale.
How must a Florida landlord hold the deposit?
In one of three ways (Fla. Stat. 83.49(1)): (a) in a separate non-interest-bearing account in a Florida financial institution for the tenant’s benefit; (b) in a separate interest-bearing account in a Florida financial institution, with the tenant receiving at least 75 percent of the annualized average interest rate on the account, or 5 percent per year simple interest, whichever the landlord elects; or (c) by posting a surety bond with the clerk of the circuit court for the total deposits held or $50,000, whichever is less, plus paying the tenant 5 percent per year simple interest. The landlord may not commingle the money or use it until it is actually due.
What disclosure does the tenant get?
In the lease or within 30 days after receiving advance rent or a deposit, a landlord renting five or more units must give written notice stating the depository’s name and address or that a bond was posted, whether the tenant is entitled to interest, and the statutory disclosure about moving out, giving a new address and objecting to a claim. A change in how or where the money is held needs new notice within 30 days (83.49(2)). Failing to give the notice is not a defense to paying rent.
When is interest paid?
Where interest is required, the landlord must pay it directly to the tenant, or credit it against the current month’s rent, at least once a year; it need not pay interest to a tenant who wrongfully ends the tenancy before the end of the term (83.49(9)).
Why should I give a new address?
The statutory disclosure tells the tenant to give the landlord a new address so notices about the deposit can be sent, and a tenant who vacates must give 7 days’ written notice by certified mail or personal delivery with an address where the tenant can be reached (83.49(2), (5)). Send it in writing and keep proof.
What if the property is sold?
On a sale or a change of rental agent, all deposits and advance rents must be transferred to the new owner or agent with the interest earned and an accurate accounting by tenant, and the transferor is released once the new owner provides a written receipt. There is a rebuttable presumption that the new owner received the deposit, limited to one month’s rent (83.49(7)).
Is there a move-out inspection right?
The deposit section does not give Florida tenants a pre-move-out inspection right. Ask the landlord in writing to walk through with you, take dated photographs and keep them. See the Florida security deposit return deadline calculator for the date your landlord’s clock ends.
A worked example of interest
On a $3,600 deposit held in an interest-bearing account where the landlord elects the 5 percent option, simple interest for a full year is $180.00. If the landlord elects the other option, the tenant gets at least 75 percent of the annualized average rate the account pays, which depends on the account. A landlord holding the money in a non-interest account owes none. The interest is paid or credited to rent at least once a year.
A checklist for landlords
Choose and document how you hold the money; keep it out of your operating account; give the written disclosure within 30 days if you rent five or more units; transfer deposits with an accounting if you sell; and pay interest annually where it is owed.
Frequently asked questions
Where must a Florida landlord keep my deposit?
In a separate Florida account, interest-bearing or not, or under a surety bond, and not mixed with its own funds.
Do I earn interest on my deposit in Florida?
Only if the landlord holds it in an interest-bearing account or posts a bond.
How much interest is required?
At least 75 percent of the account’s annualized average rate or 5 percent per year simple, at the landlord’s election.
Does the landlord have to tell me where the deposit is?
Yes, if it rents five or more units, within 30 days after receiving it.
What happens to my deposit if the landlord sells?
It must be transferred to the new owner with the interest and an accounting.
Official sources
A local landlord-tenant attorney can review your situation — many offer a free consultation.
This is general information, not legal advice. It is based on the cited Florida statutes, rules and court opinions, and every case turns on its own facts. Confirm how the law applies to your situation with a licensed Florida attorney.