Washington security deposit account for landlords
Easily collect and manage deposits for every property with dedicated security deposit accounts.
Why use a security deposit account in {{ state }}
Security deposit funds are instantly separated, making move-in, move-out, and returns completely clear.
Benefits for property
owners
Repair and maintenance
Covers property damage such as paint, carpet, or floor damage, including costs caused by pets.
Fund separation
Meet state requirements for holding deposits in a dedicated tenant security deposit account.
Streamlined returns
Simplifies refunding tenants while accounting for deductions like cleaning or unpaid utilities.
Benefits for tenants
Fair protection
Funds are protected from misuse, covering only actual repair costs like cleaning, carpet replacement, or floor damage.
Transparency on deductions
Tenants can clearly see allowable charges, protecting against unfair claims on normal wear and tear.
Savings potential
Deposits may be held in a tenant security deposit account or rental deposit account that earns security deposit interest, helping tenants recover more than they put in.
Baselane accounts cannot hold security deposits in states requiring escrow or state-based accounts, but can be used to collect, track, and securely transfer deposits to compliant external accounts.
{{ state }} security deposit account
Each tenant's security deposit in Washington must be deposited in a trust account in a Washington-based financial institution or with a licensed escrow agent located in the state.
{{ state }} security deposit
limits
There are no statewide maximum security deposit limits Washington landlords can charge. But, it’s a best practice to charge between 1 to 2 months’ rent, which also aligns with the typical national average security deposit.
{{ state }} security deposit interest
State law security deposit doesn’t specify any official guidelines for paying interest on security deposit in Washington. This means the security deposit interest rate doesn’t apply.
Go beyond standard security deposit accounts
Collect, return, and track deposits by tenant and
property, even when funds are held in external accounts.
{{ state }} security deposit accounts
Keep every deposit organized and accounted for with secure transfers to [State] security deposit accounts.
Unlimited accounts for all entities
Manage deposits for all entities under one login — LLCs, corporations, partnerships, and individuals.
Free online payments
Collect rent and deposits online for free and easily return deposits via ACH, wire, or check.
Automated bookkeeping
Track and tag payments to the right tenant and property — automatically.
Essentials for every door
Everything you need for every part of the rental process.
Lease creation and e-sign
Upload or create and e-sign state-specific leases online.
Free tenant screening
Screen tenants online for free — instantly verify credit, background, evictions, ID, and income.
Property-specific accounts
Open unlimited checking and savings accounts to easily separate funds for all your properties with no monthly maintenance fees.
{{ state }} security deposit rules
Washington has no official security deposit limit, but it’s recommended to charge not more than 2 months’ rent upfront for the deposit.
No official guidelines
Must be kept in a dedicated trust account in a state-or federally regulated financial institution, or in an escrow account with an agent based in Washington. The tenant must be informed of the name and location of the security deposit bank account in Washington.
Unpaid rent, utilities, lease violations, and damage beyond normal wear and tear
30 days
Additional resources
ARTICLE
How to collect security deposits
FAQs
How much security deposit can a landlord charge in Washington?
There are no official guidelines on the Washington security deposit limit. But, it’s recommended not to charge more than 2 months’ rent along with the first and last month’s rent.
Is interest required on landlord security deposits in Washington?
Even though tenant’s deposit should be kept in a separate landlord tenant security deposit bank account in Washington (a trust account), landlords are not required to pay security deposit interest.
How should I issue a security deposit receipt to tenants in Washington?
Although not legally required, you should always give the tenant a written receipt. Include the total deposit amount, the name and address of the financial institution holding the funds, and the account number. This receipt creates a proof of payment so tenants cannot legally claim you mishandled the money.
How many days to return the security deposit in Washington?
Tenant security deposit Washington rules state that landlords should either return the full deposit amount within 30 days of tenancy ending or give tenants a written, itemized list of deductions (such as unpaid rent or damages) and the remainder of the deposit, if any.
What can a landlord deduct from a security deposit in Washington?
As per the landlord’s rights security deposit law, funds can be used to cover any unpaid rent or major damage to your rental property—whether it is a house rental, an apartment, or a condo—that is beyond normal wear and tear (like floor damage, wall holes, or broken equipment). But landlords become liable for double damages (paying the tenants twice the amount of the damages wrongfully withheld) if funds are used to cover normal wear and tear on the property.
Can a security deposit be used for unpaid rent in Washington?
Yes, landlords can use the funds from the security deposit escrow account in Washington to cover any unpaid rent when the tenancy ends.
Can a landlord keep a security deposit for breaking a lease in Washington?
Yes, the landlord's security deposit in Washington can be used to pay for debt due to early termination of the lease. Since the tenant is responsible for rent until a new tenant is found (the landlord must try to re-rent quickly), the deposit helps cover that loss. Such deductions must be agreed upon in writing in the lease.
