State law strictly limits how security deposits can be collected, stored, and returned. If a landlord violates these rules, tenants may be entitled to triple damages and attorney’s fees under Massachusetts law.
1 Month
Maximum security deposit allowed by Massachusetts law.
30 Days
Deadline to return the deposit or provide an itemized statement after move-out.
Separate Account
Deposit must be held in a separate interest-bearing Massachusetts bank account.
3× Damages
Possible penalty if the landlord violates security deposit rules.
What Landlords Can Charge Upfront
Massachusetts law strictly limits what landlords can collect at the start of a tenancy. Only a few charges are allowed.
Legal Move-In Costs in Massachusetts
If a broker is involved, a separate broker fee (often one month’s rent) may also apply. This fee is paid to the broker, not the landlord.
Security Deposit Rules in Massachusetts
Massachusetts law has strict requirements for how landlords must handle security deposits.
Separate bank account
The deposit must be kept in a separate, interest-bearing bank account located in Massachusetts, not mixed with the landlord’s personal funds.
Interest belongs to the tenant
Security deposits must earn interest. Tenants are entitled to receive the interest each year or as a rent credit.
Receipt and bank disclosure
Landlords must give you a receipt when you pay the security deposit. Within 30 days, they must also provide the bank name, address, and account number where the deposit is being held.
Statement of Condition
At the start of the tenancy, the landlord must provide a written Statement of Condition describing the apartment so any existing damage is documented.
What Can Be Deducted
Landlords in Massachusetts can only deduct for actual damage beyond normal wear and tear, unpaid rent, or other specific losses related to the tenancy.
Not Deductible
- Faded paint from sunlight
- Minor scuffs on walls
- Worn carpet in high-traffic areas
- Minor marks on wood floors
- Loose door handles
Can Be Deducted
- Large holes in walls
- Broken windows or doors
- Stained or burned carpet
- Damaged appliances (misuse)
- Pet damage to floors or walls
- Unpaid rent or unreturned keys
Getting Your Deposit Back
Take photos or video of the apartment’s condition when you leave. This helps document that you did not cause damage.
Give the landlord your new mailing address in writing (email or certified mail). Keep proof that you sent it.
Within 30 days, the landlord must either return the full deposit or provide an itemized list of deductions with receipts.
You should receive the remaining deposit or a written explanation. If they miss the deadline, they may lose the right to keep any portion.
Triple Damages for Violations
If a landlord violates certain requirements, tenants may be able to recover three times the deposit amount plus court costs and attorney’s fees.
What If Your Landlord Won’t Return Your Deposit?
If your landlord fails to return your security deposit or provide a proper itemized deduction within 30 days, you have several options.
Send a demand letter
Send a written demand letter by certified mail referencing Massachusetts General Laws Chapter 186, Section 15B. Clearly state the amount owed and request the return of your deposit. Many disputes are resolved at this stage.
File in Small Claims Court
If the landlord does not respond, you can file a case in Small Claims Court. Small claims in Massachusetts generally covers disputes up to $7,000, and the process is designed so tenants can represent themselves.
Consider Housing Court
For larger claims or more complex cases, tenants may choose to file in Housing Court, where attorney’s fees and additional damages may be pursued.
How to Protect Your Security Deposit
Taking a few simple steps at move-in and move-out can help prevent disputes and make it easier to recover your full deposit.
At Move-In
At Move-Out
Last Month’s Rent Interest
If your landlord collects last month’s rent when you move in, they must pay you interest on that money every year.
The landlord can either:
• Pay the interest directly to you, or
• Credit it toward your rent.
If the interest hasn’t been paid during your tenancy, it must be applied to your final month’s rent.