Maryland Security Deposit Return Letter

Date of Letter: [[Date of Letter]]

TO (Tenant): [[Tenant Full Name(s)]]
[[Tenant Forwarding Address]]
[[City]], Maryland [[ZIP Code]]

FROM (Landlord / Property Manager): [[Landlord or Property Manager Full Name or Company]]
[[Landlord Mailing Address]]
[[City]], Maryland [[ZIP Code]]
Phone: [[Landlord Phone]] | Email: [[Landlord Email]]

RE: Return of Security Deposit, [[Rental Property Full Address, City, Maryland, ZIP Code]], -

This letter provides the written accounting and return of the security deposit as required by Maryland Code Annotated, Real Property § 8-203.

Under Maryland law, a landlord must return a tenant's security deposit (or the remaining balance after lawful deductions) together with an itemized statement of any deductions within forty-five (45) days after the tenancy terminates and the tenant vacates the premises and provides a forwarding address. Failure to return the deposit or provide a proper itemized statement within the statutory period may result in liability for up to three (3) times the amount wrongfully withheld, plus reasonable attorney's fees.

If the deposit was held for more than six (6) months, interest must be paid at the rate established by the Maryland Banking Commissioner.

All user-supplied values appear as `[[Token Name]]` placeholders. Fixed statutory periods and requirements are stated in full.

Part I, Pre-Move-Out Inspection Offer (Recommended)

Maryland law encourages landlords to provide tenants an opportunity to inspect the premises before vacating to minimize disputes over the condition. While not strictly mandated in every case, offering a pre-departure inspection is best practice and helps document the condition at move-out.

PRE-DEPARTURE INSPECTION OFFER

Date: [[Date of Offer Letter]]

Dear [[Tenant First Name(s)]],

Your tenancy at the above-referenced property is scheduled to end on [[Lease End / Vacate Date]]. To help ensure a smooth transition and accurate accounting of your security deposit of $[[Original Security Deposit Amount]], I am offering you the opportunity to participate in a joint move-out inspection of the Premises prior to your final departure.

If you wish to schedule an inspection, please contact me in writing no later than [[Inspection Request Deadline, e.g. 3-5 days before vacate date]]. The inspection will document the condition of the Premises so that any necessary cleaning or repairs can be discussed before you vacate.

Whether or not you participate in the inspection, a complete written accounting of your security deposit, including any itemized deductions and the return of any balance, will be provided within the time required by Maryland Real Property § 8-203.

Please provide your forwarding address in writing if you have not already done so.

Sincerely,

[[Landlord or Property Manager Full Name]]
[[Title]], -

Part II, Security Deposit Return Letter, Full Return (No Deductions)

*Use this version when returning the full deposit with no deductions.*

SECURITY DEPOSIT RETURN, FULL RETURN
Maryland Real Property § 8-203

Date of Letter: [[Date of Letter]]

Tenant: [[Tenant Full Name(s)]]
Forwarding Address: [[Tenant Forwarding Address, City, MD ZIP]]

Property: [[Rental Property Full Address]]

Dear [[Tenant First Name(s)]],

Your tenancy at [[Rental Property Full Address]] terminated on [[Move-Out / Possession Return Date]]. You returned possession of the Premises and all keys on [[Key Return / Final Vacate Date]] and provided your forwarding address on [[Forwarding Address Receipt Date]].

After conducting the final inspection (with or without your participation), no deductions are being made from your security deposit.

Enclosed please find check number [[Check Number]] dated [[Check Date]], payable to [[Tenant Full Name(s)]] in the full amount of $[[Security Deposit Amount]].

This letter and the enclosed payment constitute Landlord's complete and final accounting of your security deposit in accordance with Maryland Code Annotated, Real Property § 8-203.

If the deposit was held longer than six months, interest has been calculated and included in the payment at the rate set by the Maryland Banking Commissioner for the applicable period.

Thank you for your tenancy. Please retain this letter and the check for your records.

Sincerely,

_____________________________________________
[[Landlord or Property Manager Full Name]]
[[Title / Company]]
[[Date Signed]], -

Part III, Security Deposit Return Letter, With Itemized Deductions

*Use this version when making deductions. Provide supporting documentation for deductions exceeding $125 where required or customary.*

SECURITY DEPOSIT ACCOUNTING AND RETURN, ITEMIZED DEDUCTIONS
Maryland Real Property § 8-203

Date of Letter: [[Date of Letter]]

Tenant: [[Tenant Full Name(s)]]
Forwarding Address: [[Tenant Forwarding Address, City, MD ZIP]]

Property: [[Rental Property Full Address, City, Maryland, ZIP Code]]

Dear [[Tenant First Name(s)]],

Your tenancy at the above property terminated on [[Move-Out / Possession Return Date]]. You vacated and returned all keys and access devices on [[Key Return Date]]. You supplied your forwarding address on [[Forwarding Address Receipt Date]].

Pursuant to Maryland Real Property § 8-203, Landlord must provide this written itemized statement of deductions and return any remaining balance of the security deposit within forty-five (45) days after the date the tenancy terminates and you deliver possession and provide a forwarding address., -

A. Deposit Summary

The net balance of $[[Net Balance Returned]] is being returned to you by check number [[Check Number]] dated [[Check Date]], payable to [[Payee Name(s)]]., -

B. Itemized Deductions

Maryland law permits deductions from the security deposit only for:

1. Unpaid rent or other amounts owed under the lease.

2. The reasonable cost of repairing damage to the Premises caused by the tenant, the tenant's family, guests, or invitees, beyond ordinary wear and tear.

3. The reasonable cost of cleaning the Premises to return it to the condition at the beginning of the tenancy (ordinary wear and tear excepted).

Deductions for ordinary wear and tear are not permitted. "Ordinary wear and tear" means the natural deterioration of the Premises that results from normal living, such as faded paint, worn carpet in high-traffic areas, or minor scuffs.

(Continue table rows or add separate line items as needed. Keep tables to 6 or fewer columns.), -

C. Calculation of Balance and Interest (if applicable)

1. Total deposit held: $[[Total Deposit Held]]

2. Less total lawful deductions: ($[[Total Deductions Amount]])

3. Subtotal: $[[Subtotal]]

4. Interest accrued (if deposit held > 6 months): $[[Interest Amount or 0.00]] (calculated at Maryland Banking Commissioner rate for the holding period)

5. Net amount returned: $[[Net Balance Returned]]

A check for the net amount is enclosed. If any amount was withheld improperly or the accounting was not timely, Tenant may be entitled to a penalty of up to three (3) times the wrongfully withheld amount plus reasonable attorney's fees under § 8-203., -

D. Forwarding Address and Final Acknowledgment

Tenant provided the following forwarding address for return of the deposit and this statement:

[[Tenant Forwarding Address as received]]

If your forwarding address changes or if you have questions about this accounting, please contact Landlord in writing at the address above within thirty (30) days., -

Landlord Signature and Certification

I certify under penalty of perjury that the foregoing is a true and accurate itemized statement of all deductions made from the security deposit, and that all deductions were for lawful purposes under Maryland Real Property § 8-203.

_____________________________________________
[[Landlord or Property Manager Full Name]]
[[Title]]
Date: [[Date Signed]]

Enclosures:
- Check number [[Check Number]] in the amount of $[[Net Balance Returned]]
- Copies of receipts / invoices / estimates for deductions over $125 (as applicable)
- Photos documenting condition (if used), -

Part IV, Legal Notice and Tenant Rights

Important information for Tenant:

• You have the right to dispute any deduction in writing within a reasonable time.
• If Landlord fails to return the deposit or provide an itemized statement within 45 days, or withholds amounts not permitted by law, you may be entitled to recover up to three times the wrongfully withheld amount, plus reasonable attorney's fees and court costs.
• Interest is required on deposits held more than six months.
• This letter and attachments constitute the complete accounting. Retain all documents for your records.
• This is a template example and not legal advice. Consult the full text of Maryland Real Property § 8-203 and seek professional advice for your situation.

Statutory Reference: Maryland Code Annotated, Real Property § 8-203 (as of 2026). Penalty provisions, itemization requirements, 45-day return period, and interest accrual rules are applied as stated in the statute., -

Template, not professional legal advice. Verify all periods, caps, required forms, interest rates, and procedures against the current Maryland Code Annotated, Real Property Article § 8-203 and any local rules before using. The Maryland Banking Commissioner sets the interest rate for deposits held over six months; confirm the current rate at the time of return. This sample incorporates the key requirements from the statute for a residential tenancy in Maryland.

Sources: Maryland Code Annotated, Real Property § 8-203; standard residential security deposit return practices in Maryland.