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Landlord compliance · Deductions

What landlords can legally deduct — and what courts routinely strike down

No state permits deductions for normal wear and tear. Courts also consistently reject charges for pre-existing damage, fully depreciated items, and improvements that go beyond restoring the unit to its original condition. The lists below are drawn directly from the statutes.

Last updated: June 2026 · Researched by the DepositHawk Research Team

The universal rules

Allowed and prohibited deductions in every state

These rules apply in all 50 states and DC. Individual states may add further restrictions — see the state-specific notes below.

Generally allowed

  • Unpaid rent
  • Damage beyond normal wear and tear
  • Cleaning if lease requires and unit was left dirty
  • Lease-break fees if specified in lease
  • Costs to replace items tenant removed or kept

All allowed deductions must be itemized in writing and supported by documentation.

Generally prohibited

  • Normal wear and tear (minor scuffs, small nail holes, faded paint)
  • Carpet replacement after useful life (typically 7-10 years)
  • Painting after 2+ year tenancy (normal wear)
  • Pre-existing damage not noted at move-in
  • Upgrades or improvements beyond restoring to original condition
  • Costs to fix landlord deferred maintenance

Including a prohibited item in an itemized statement may expose you to the full penalty multiplier for bad-faith withholding.

The core distinction

Normal wear and tear vs. actual damage

Normal wear and tear is the gradual deterioration that comes from ordinary residential use — no single act of negligence, just time and living. Minor scuffs on baseboards, small nail holes from picture hooks, carpet pile worn from foot traffic, faded or slightly marked paint after a multi-year tenancy. No state permits deductions for these.

Actual damage is different: a hole punched in a wall, a carpet stained by a pet, a door handle broken off, a window cracked from impact. These are chargeable — but only the portion that exceeds normal wear and tear, and only with documentation. Courts expect itemized invoices, not lump-sum estimates.

The depreciation rule cuts across both categories. Even for legitimate damage, if the damaged item was near the end of its useful life, you can only charge the depreciated replacement value — not the full cost of new materials. A carpet with a seven-year useful life that was already six years old when the tenant damaged it: the maximum charge is one-seventh of the replacement cost, not the full amount.

State-specific additions

Additional restrictions in high-population states

California Cal. Civ. Code § 1950.5

  • Costs for items with remaining useful life (prorated value only)
  • Reasonable cleaning costs if unit left unclean

Texas Tex. Prop. Code § 92.109

  • Repairs not documented with receipts

Massachusetts Mass. Gen. Laws ch. 186, § 15B

  • Any deduction without receipt or written notice

New York N.Y. Gen. Oblig. Law § 7-108

  • Deductions without itemized statement sent within 14 days

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FAQ

Common landlord questions about deductions

Each answer is anchored to the controlling statute and is independently verifiable.

Only if the carpet was damaged beyond normal wear and tear AND it still had useful life remaining. Courts and most state guidance treat carpet as a depreciable item with a useful life of roughly 7–10 years. If the carpet was 8 years old and the tenant left it in typical condition, the full replacement cost is not a valid deduction — the carpet had already reached the end of its useful life. If the carpet was 2 years old and the tenant burned a hole in it, you can deduct a prorated share of the replacement cost based on the remaining useful life, not the full amount.

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DepositHawk provides legal information for landlords and tenants, not legal advice, and is not a law firm. Information on this page is for informational purposes only. Deduction rules vary by state and may change — always verify against the current statute in your jurisdiction. For complex situations, consult a licensed attorney in your state.

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