VIRGINIA SECURITY DEPOSIT RETURN LETTER

Date: [[Date of Letter]]

To (Tenant):
[[Tenant Full Legal Name(s)]]
[[Tenant Forwarding Address]]
[[Tenant Phone (optional)]] | [[Tenant Email (optional)]]

From (Landlord / Authorized Agent):
[[Landlord or Agent Full Legal Name]]
[[Landlord or Agent Address]]
[[Landlord Phone]] | [[Landlord Email]]

Re: Security Deposit Accounting and Return
Property: [[Property Full Address]]
Lease Period: [[Lease Start Date]], [[Lease End Date]]
Move-out / Termination Date: [[Move-out or Termination Date]] (or date keys returned, whichever later)
Original Security Deposit: $[[Original Security Deposit Amount]]

Dear [[Tenant Name(s)]]:

Pursuant to the Virginia Residential Landlord and Tenant Act (VRLTA), Va. Code § 55.1-1226, Landlord is providing this written itemized statement of the security deposit together with any balance due within forty-five (45) days after the termination of the tenancy or the date you vacated the dwelling unit, whichever occurred last.

Security Deposit Final Accounting

• Original security deposit received: $[[Original Security Deposit Amount]] on [[Deposit Receipt or Move-In Date]]
• Permissible deductions (itemized below with supporting documentation attached for amounts over applicable thresholds):
• Unpaid rent (including permitted late charges per the Lease): $[[Unpaid Rent Amount]]
• Cleaning to restore the Premises to move-in condition (beyond ordinary wear and tear): $[[Cleaning Deduction Amount]]
• Repairs for damage beyond reasonable wear and tear: $[[Repair Deduction Amount]]
• Other charges permitted by the Lease and law: $[[Other Deduction Amount]]
• Total deductions: $[[Total Deductions Amount]]
• Balance due to you: $[[Balance Due to Tenant]] (or $0.00 if fully applied)

Payment of balance: Enclosed is check number [[Check Number]] in the amount of $[[Balance Due to Tenant]] made payable to [[Tenant Full Legal Name(s)]], or confirmation of electronic transfer if applicable. The check is drawn on [[Bank Name]] and dated [[Check Date]].

If the balance is zero or a negative (amount owed by you), this letter constitutes demand for any remaining amounts owed under the Lease.

Itemized Statement of Deductions

The following is a detailed itemization as required by Va. Code § 55.1-1226. Deductions are limited to: (i) accrued rent and reasonable late charges specified in the rental agreement; (ii) damages suffered by reason of Tenant's noncompliance with Va. Code § 55.1-1227, less reasonable wear and tear; (iii) other damages or charges as provided in the rental agreement; and (iv) actual damages for breach.

If damages required the services of a third-party contractor and exceeded the deposit, Landlord provided written notice of that fact to Tenant within the initial 45-day period and is providing this itemization within the additional 15-day period permitted by § 55.1-1226.

Ordinary Wear and Tear vs. Damage Virginia law prohibits charging tenants for ordinary wear and tear. Ordinary wear and tear includes minor scuffs, faded paint, carpet wear from normal foot traffic, and aging of appliances through ordinary use. Deductions are made only for damage caused by misuse, neglect, abuse, or failure to maintain (e.g., pet urine stains beyond normal, holes in walls from misuse, broken fixtures from negligence).

Landlord's itemization and photos distinguish damage from wear and tear. If you believe any deduction is for ordinary wear and tear, please respond in writing with your specific objections and any supporting evidence within ten (10) days of receipt of this letter.

Interest on Deposits Held 13 Months or Longer If this security deposit was held for thirteen (13) months or more, any interest that accrued at the rate established by the Virginia Treasury Board (to the extent required or provided under the Lease or governing provisions) has been calculated and is reflected in the accounting above or will be paid with the balance.

Forwarding Address and Record You provided (or were required to provide) the forwarding address above. If your address has changed since move-out, notify Landlord immediately in writing.

Your Right to Dispute If you dispute any deduction, respond in writing within a reasonable time (suggested 10 days) stating the specific items disputed and providing evidence. Landlord will attempt to resolve the dispute in good faith. Failure to dispute does not waive your rights under the VRLTA.

If Landlord wrongfully withholds any portion of the deposit, you may be entitled to recover the amount wrongfully withheld plus damages and attorney fees as permitted by law. Landlord's failure to provide the itemized statement and return any balance within the statutory period may result in forfeiture of the right to retain any portion of the deposit.

Pre-Move-Out Inspection You [[Did / Did Not]] request a pre-move-out inspection on [[Date of Request or N/A]]. The pre-move-out inspection report (if any) is attached as Exhibit 1. You had the right to be present; any items noted are reflected in the deductions.

Enclosures and Supporting Documents The following are enclosed or attached:

• Check or payment confirmation for balance due (if any)
• Itemized receipts, invoices, or contractor estimates for deductions exceeding $125 (or applicable threshold)
• Dated photographs of condition at move-in (Exhibit A) and move-out
• Move-In / Move-Out Inventory and Condition Checklist (Exhibit A)
• Any third-party contractor notices and additional 15-day extension notice (if applicable)
• Ledger of rent and charges
• Pre-move-out inspection report (if performed)

Sample Deduction Explanations (Use or Adapt as Applicable)

Example A, Unpaid Rent: "Rent for the period [[Month Year]] was not received. Per the Lease and ledger, $[[Amount]] remains due. See attached rent history."

Example B, Cleaning: "Upon move-out inspection, the following areas required professional cleaning beyond ordinary wear: kitchen counters and appliances (grease and residue), bathrooms (soap scum and scale), and carpet stains in living room from pet. Professional cleaning invoice attached: $[[Amount]]."

Example C, Damage Repair: "Tenant-installed shelf caused multiple holes in drywall (see photos). Drywall repair, texture, and paint: $[[Amount]]. Contractor estimate and receipt attached. This exceeds normal wear and tear."

Example D, Other: "[[Describe permitted charge, e.g., replacement of broken window screen caused by misuse]]. Supporting photo and receipt attached."

Tenant Remedies and Rights Summary Under the VRLTA, if Landlord fails to return the deposit or provide a proper itemized statement within the required time, Tenant may have remedies including recovery of the deposit, additional damages, and attorney fees in an appropriate action. Landlord may not retain any portion of the deposit if the itemization and payment (or proper notice) requirements are not met.

Tenant should retain this letter, the check, and all enclosures. If payment is by electronic means, retain the confirmation and this letter.

Service and Delivery Methods This letter and enclosures were delivered by: [[e.g., First-class mail with certificate of mailing / Certified mail, return receipt requested / Hand delivery with signed receipt / Email with read receipt to address on file]] on [[Delivery Date]].

Landlord retains proof of mailing/delivery and a complete copy of this letter and all attachments in the tenant file.

Compliance Checklist for Landlord (Internal Reference, Not Part of Letter to Tenant)

1. Deposit did not exceed two months' rent at the time of collection (§ 55.1-1226).
2. Written itemized statement and any balance delivered within 45 days of termination or vacating date.
3. If contractor repairs exceeded deposit, timely notice given within 45 days + 15-day extension used.
4. Deductions limited to categories permitted by statute and Lease.
5. Supporting documentation attached for larger deductions.
6. Interest handling noted if deposit held 13+ months.
7. Forwarding address used for mailing.
8. Copy of this letter and all enclosures retained in the tenant file.

Numbered Guidance Steps for Tenants and Landlords (Fillable)

1. Tenant must provide a written forwarding address at or before move-out to ensure timely receipt of this accounting.

2. Landlord must complete the final walkthrough and prepare the itemization using only permissible categories under Va. Code § 55.1-1226.

3. Attach actual receipts or detailed estimates for any deduction over the statutory or Lease threshold (commonly $125); photos are recommended for all claims.

4. Calculate and note any interest if the deposit was held thirteen months or longer.

5. Mail or deliver this letter and payment (or zero-balance statement) within the strict 45-day window measured from the later of lease termination or actual vacating and key return.

6. If using the additional 15-day period for contractor repairs, document the initial notice to tenant within 45 days.

7. Tenant should retain copies of all move-in/move-out photos, checklists, and correspondence.

8. Any dispute should be raised promptly in writing with evidence so the parties can resolve without litigation.

9. Both parties should keep records for at least the applicable statute of limitations period.

10. Landlord must not commingle the deposit with personal funds in a manner that prevents proper accounting (recommended separate account).

11. Tenant may request an initial (pre-move-out) inspection in writing; Landlord should accommodate and document the results.

12. Upon full resolution, both parties should sign or acknowledge the final accounting where practical.

Sample Tenant Dispute Response Template (Optional Attachment)

Date: [[Date]]

To: [[Landlord Name and Address]]

Re: Dispute of Deductions, [[Property Address]]

I dispute the following deductions from my security deposit:

1. [[Item and reason, with evidence reference]]

2. ...

Please provide additional documentation or reconsider within 10 days. I request return of the disputed amount.

Sincerely,
[[Tenant Name]]

Acknowledgment of Receipt (Optional)

Tenant acknowledges receipt of this Security Deposit Return Letter, the itemized statement, payment (if any), and all listed enclosures.

Tenant Signature: ______________________________________________ Date: ___________

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

Landlord / Agent Signature: ______________________________________________ Date: ___________, -

*Template example, not professional legal advice. This letter is drafted in accordance with Va. Code § 55.1-1226 of the Virginia Residential Landlord and Tenant Act. Security deposit capped at two months' periodic rent; itemized statement and any balance (or notice of retention) required within 45 days after termination of tenancy or date tenant vacates, whichever last occurs. Failure to comply may result in forfeiture of the right to retain any portion of the deposit. Interest handling for deposits held 13+ months per the rate set by the Virginia Treasury Board where applicable. Verify current statutes, the specific Lease, and local requirements before use. Provisions current as of 2026-06.*

Sources: Va. Code § 55.1-1226 (Security deposits); VRLTA §§ 55.1-1200 et seq.; standard Virginia practice for itemized final accounting letters. Consult the Virginia Department of Housing and Community Development and a licensed Virginia attorney for the most current requirements and forms. All [[tokens]] are user-fillable fields. No Outcome paragraph.