San Jose Rental Property Rules: Security Deposit Rules Rules (2026)

Civil Code §1950.5, as amended by AB-12, caps residential security deposits at one month's rent regardless of furnishing status. A narrow small-landlord exception lets owners with two or fewer properties and four or fewer total units charge up to two months, except where the tenant is an active-duty service member. Landlords must return the deposit within 21 days after move-out together with an itemized statement of any deductions for unpaid rent, contracted cleaning, or tenant-caused damage beyond ordinary wear. Santa Clara County has no overriding local cap; tenants in unincorporated areas use small claims court or the Office of Supportive Housing's referral resources for disputes.