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Arizona security deposit law

Source: Ariz. Rev. Stat. § 33-1321 · Checked against the statute

Maximum deposit
Security, however labeled, including prepaid rent, may not exceed one and one-half months' rent. A tenant may still choose to prepay more rent.
Return deadline
14 business days after the tenancy terminates (Tenant has demanded the deposit)
If the landlord keeps it wrongly
If the landlord fails to comply, the tenant recovers the money due plus damages equal to twice the amount wrongfully withheld (§ 33-1321(E)).

Calculate your Arizona deadline

Choose your state and move-out date to see when your landlord must return the deposit.

When the deposit must be returned

  • Within 14 days, excluding weekends and legal holidays, after the tenancy ends, possession is delivered, and the tenant demands it, give an itemized list of deductions and any amount due.

Unless the tenant arranges otherwise in writing, the landlord mails the itemized list and refund by first-class mail to the tenant's last known place of residence.

Itemized list of deductions

Required: Yes. An itemized list of all deductions with the amount due. If the tenant doesn't dispute it within 60 days after it is mailed, it becomes final.

What can and can't be deducted

The section doesn't define normal wear and tear. Deductions are limited to rent, charges in the signed lease, and damages from the tenant's breach of the duties in § 33-1341, subject to the landlord's duty to mitigate.

Nonrefundable fees

Allowed, but the landlord must state the purpose of every nonrefundable fee or deposit in writing. Any fee or deposit not labeled nonrefundable is refundable.

Interest, bank account and move-in inspection

  • Interest required: No. No statewide interest requirement.
  • Separate account required: No. Not required. During the tenancy the landlord may use refundable deposits as allowed by any property management agreement, but must refund them at the end.
  • Move-in inspection required: Yes. At move-in the landlord must give the tenant a move-in form to list existing damage, plus written notice that the tenant may attend the move-out inspection.

Penalties and bad faith

If the landlord fails to comply, the tenant recovers the money due plus damages equal to twice the amount wrongfully withheld (§ 33-1321(E)).

No bad-faith test. The double damages apply to amounts wrongfully withheld.

Getting your deposit back in court

Justice court small claims division up to $5,000, not counting interest and costs (A.R.S. § 22-503). Regular justice court civil cases go up to $10,000 (§ 22-201). Court information

Before filing, many tenants send a written demand first. Write a Arizona demand letter →

Also good to know

  • On request, the landlord must tell the tenant when the move-out inspection will happen. A joint inspection isn't required if the tenant is evicted for a material and irreparable breach and the landlord reasonably fears violence.
  • The Arizona Judicial Branch small claims info page still shows $3,500; the statute (A.R.S. § 22-503) now says $5,000.

Sources

Laws change. This page was checked against the sources above on October 11, 2026. It is legal information, not legal advice; see our methodology.