SOUTH DAKOTA SECURITY DEPOSIT RETURN LETTER

Date: [[Letter Date]]

Landlord / Property Manager Name: [[Landlord or Management Company Full Name]]

Landlord Address: [[Landlord Mailing Address, City, South Dakota, ZIP]]

Phone: [[Landlord Phone]] Email: [[Landlord Email]]

Tenant Name(s): [[Tenant Full Legal Name(s)]]

Tenant Forwarding Address: [[Tenant Forwarding Address, City, State, ZIP]]

Property Address: [[Rental Property Full Street Address, City, South Dakota, ZIP]]

Lease Termination / Move-Out Date: [[Move-Out Date or Key Return Date]]

Original Security Deposit Amount: [[Original Security Deposit Amount]]

Statement Regarding Return of Security Deposit

Pursuant to SDCL § 43-32-24, every lessor of residential premises shall, within two weeks after the termination of the tenancy and receipt of the tenant's mailing address or delivery instructions, return the security deposit to the tenant, or furnish to the tenant a written statement showing the specific reason for the withholding of the deposit or any portion thereof.

This letter constitutes the required notice and accounting and is being provided within the statutory period.

Date tenancy terminated and keys returned / premises vacated: [[Move-Out Date]]

Date Landlord received Tenant's forwarding address or delivery instructions: [[Date Forwarding Address Received]]

Date this statement prepared and mailed or delivered: [[Letter Date]]

Security Deposit Accounting

Amount of Security Deposit Being Returned to Tenant: [[Net Refund Amount or "The full original deposit of [[Original Security Deposit Amount]] with no deductions"]]

Method of Return: Check mailed to the forwarding address above / Electronic funds transfer to account on file / Hand delivery / Other: [[Return Method Details]]

Check Number or Transaction Reference (if applicable): [[Check Number or "N/A"]]

Date Payment Issued or Mailed: [[Payment Issue Date]]

Detailed Itemized Statement of Deductions All deductions are limited to amounts reasonably necessary to remedy tenant defaults in the payment of rent or of other funds due to the landlord pursuant to the agreement or to restore the premises to their condition at the commencement of the tenancy, ordinary wear and tear excepted, as permitted by SDCL § 43-32-24.

1. Unpaid Rent or Other Funds Due:
[[Detailed breakdown by month or charge or "None - all rent paid in full"]]

2. Cleaning Costs to Restore Move-In Condition:
The Premises was inspected on [[Move-Out Inspection Date]] using the original Move-In Inventory and Condition Report (Exhibit A from the lease). Areas requiring cleaning beyond ordinary wear and tear included:

• [[Specific Area 1 e.g. Kitchen floors, counters, appliances - cost breakdown]]

• [[Specific Area 2 e.g. Bathroom fixtures, tile, mirrors]]

• [[Specific Area 3 e.g. Carpet cleaning or spot treatment in high-traffic areas]]

• [[Specific Area 4]]

Total cleaning: [[Cleaning Deduction Amount]] (see attached receipts/estimates).

3. Repairs for Damage Beyond Ordinary Wear and Tear:
The following damage was documented and is attributable to Tenant, occupants, or guests (not ordinary aging or use):

• [[Damage Item 1: location, description, cause if known, repair method and cost]]

• [[Damage Item 2]]

• [[Damage Item 3]]

Supporting photos were taken on [[Photo Dates]] and are available upon request or attached. Contractor estimates or final invoices: [[References]]. Total repairs: [[Repairs Deduction Amount]].

4. Other Permissible Deductions:
[[Full itemized list with amounts and justification or "None"]]

Supporting Documentation Attached or Referenced:
- Move-in and move-out condition checklists with photos
- Itemized invoices and receipts totaling the deduction amounts
- Payment ledger showing any unpaid rent or charges
- Written estimates where actual invoices were not yet available (to be supplemented within 45 days if requested)

If any single deduction exceeds $125, copies of receipts or invoices are included with this letter. Upon Tenant's request made within 45 days after termination, Landlord will provide an itemized accounting of any deposit withheld.

Key South Dakota Legal Requirements - Return Deadline: Two weeks (14 days) after termination of tenancy and receipt of forwarding address (SDCL § 43-32-24).

• Maximum Deposit: Generally one month's rent. A larger deposit may be agreed upon only where special conditions pose a danger to maintenance of the premises (SDCL § 43-32-6.1). Pet-related additional deposits must be documented as special conditions.

• Forfeiture for Non-Compliance: Any lessor who fails to comply with the return and statement requirements shall forfeit all rights to withhold any portion of the deposit. Tenant may be entitled to recover the full deposit plus other remedies available at law.

• Itemized Accounting on Request: Even after full return, Tenant may request an itemized accounting within 45 days.

• Permissible Deductions Only: Deductions may not include normal wear and tear, pre-existing conditions documented at move-in, or costs for improvements that were not repairs.

Procedures Followed 1. Pre-move-out inspection offered to Tenant on [[Pre-Move-Out Inspection Offer Date or "N/A"]].

2. Move-out walkthrough conducted on [[Move-Out Date]] with [[Tenant Present or "Tenant not present; notice given"]].

3. Keys and access devices returned: [[List of Items Returned or "All keys and devices returned"]]

4. Final utility readings and any landlord-paid final bills reconciled (if applicable): [[Reconciliation Details or "N/A"]]

5. Deposit accounting prepared and mailed within the two-week statutory window.

Tenant Rights and Next Steps If Tenant believes any deduction is improper or the deposit was not returned in accordance with the law:

• Contact Landlord in writing at the address above within a reasonable time, providing specific objections and any supporting evidence.

• Landlord will respond in writing within a reasonable time.

• Tenant may file a claim in the appropriate South Dakota small claims court or pursue other legal remedies. Prevailing parties may recover costs as permitted by law.

• Copies of the lease, move-in/move-out reports, photos, and this letter should be retained by Tenant.

Landlord contact for questions or disputes about this accounting: [[Landlord or Agent Name, Direct Phone, Email]]

Confirmation and Release By cashing or accepting the enclosed payment (if any), or by failing to object in writing within a reasonable time after receipt of this letter, Tenant acknowledges receipt of the accounting and payment and agrees that this constitutes full and final settlement of the security deposit for the tenancy at the Property, except for any claims expressly reserved in writing or ongoing obligations under the lease.

Tenant provided the forwarding address listed above. If the address changes, Tenant must notify Landlord promptly in writing.

Signature

Landlord or Authorized Agent

Signature: _______________________________ Date: [[Landlord Signature Date]]

Printed Name and Title: [[Landlord or Agent Full Name and Title]], -

Enclosures (check all that apply and list):

• [ ] Refund check or electronic payment confirmation in the amount of [[Net Refund Amount]]

• [ ] Itemized receipts, invoices, and estimates for all deductions over $0

• [ ] Move-out inspection report and photos

• [ ] Copy of original move-in checklist (Exhibit A)

• [ ] Rent ledger / payment history

• [ ] Other supporting documents: [[List Additional Enclosures]], -

*This South Dakota Security Deposit Return Letter is prepared in accordance with SDCL § 43-32-24 and § 43-32-6.1. The deposit must be returned or a detailed itemized written statement provided within two weeks after lease termination and receipt of the tenant's mailing address. Failure to return timely or properly itemize results in forfeiture of the landlord's right to withhold any portion. The maximum deposit is one month's rent except for documented special conditions. This document is a template example and is not a substitute for professional legal advice. All information must be verified and accurate for the specific tenancy. Consult a licensed South Dakota attorney or property management professional for questions. Provisions current as of 2026-06. Complete all [[Token Name]] fields with actual transaction details before sending.*