By Dolev Nehorai, editor of los-angeles.com
If you’ve signed a lease in Santa Clarita in the last couple of years, there’s a decent chance you were asked for more deposit money than the law now allows. California changed the rules on July 1, 2024, and plenty of renters, and some landlords, still haven’t caught up.
These are state rules, so they apply in Santa Clarita, Valencia, Canyon Country and Newhall the same way they apply in Los Angeles or San Diego. Here’s what changed, who it covers, and what to check before you hand over a check or hand back your keys.
The limit: one month’s rent
Under AB 12, a California landlord can ask for no more than one month’s rent as a security deposit, whether the unit is furnished or unfurnished. That’s on top of the first month’s rent, which isn’t counted as security.
The cap applies to deposits a landlord demanded or received on or after July 1, 2024. A larger deposit collected before that date was legal when it was taken and doesn’t become illegal now. So the question isn’t just “how much did I pay?” but “when did I pay it?”
There’s a full breakdown of the rule, including how to tell which cap applies to you, in this guide to California’s security deposit law.
The small-landlord exception
Some landlords can still ask for up to two months’ rent. To qualify, a landlord has to pass two tests, not one:
- Who they are: a natural person, or an LLC whose members are all natural persons.
- What they rent out: no more than two residential rental properties, with no more than four units between them.
A corporate landlord fails the first test no matter how small it is. An individual who owns three rental houses fails the second, even if each one is a single-family home. Both tests have to be met.
One more twist: if you’re a servicemember, the exception doesn’t apply to you. The one-month cap applies whoever your landlord is. With the Santa Clarita Valley’s military families, that one is worth knowing.
Everything called “security” counts
The cap isn’t just about the line on the lease labeled “deposit.” Money held as security counts toward the limit, whatever the lease calls it: a pet deposit, a key deposit, a refundable cleaning deposit, or “last month’s rent” held up front as security.
So a full month’s deposit plus a separate pet deposit can push a renter over the limit. A lease also can’t make any part of a security deposit “non-refundable.” A “non-refundable cleaning fee” is still a security deposit under state law.
What doesn’t count: the first month’s rent, and an application screening fee, which falls under a different law.
Getting it back: the 21-day rule
The other half of the story is the end of the lease. After you move out, your landlord has 21 calendar days, not business days, to return what’s left of your deposit along with an itemized statement of anything deducted and why.
If the repair and cleaning deductions add up to more than $125, the landlord generally has to include receipts, invoices or a description of the work. Under that amount, you can still ask for the paperwork within 14 days of getting the statement.
The clock usually starts when you give back possession, which in practice means when the keys go back. Keep proof of that date. More detail is in this guide to security deposit return in California.
The step almost nobody takes
Before your lease ends, your landlord has to tell you in writing that you can ask for an initial inspection. If you ask, it happens no earlier than two weeks before you move out, and the landlord gives you a list of what they plan to deduct. That gives you time to fix things yourself while it’s still cheap.
Most renters never ask, usually because nobody told them they could. If you’re a few weeks from moving, that request is probably the most valuable thing you can do for your deposit.
A quick checklist for Santa Clarita renters
- Moving in: add up everything held as security. If it’s more than one month’s rent and you signed after July 1, 2024, ask whether your landlord qualifies for the small-landlord exception.
- During the lease: keep your lease, receipts and photos of the unit’s condition in one place.
- Before moving out: ask in writing for the initial inspection.
- After moving out: note the date you returned the keys and count 21 calendar days.
This article is general information, not legal advice. If your situation is complicated or a lot of money is at stake, talk to a tenant attorney or a local tenant help organization.
Dolev Nehorai is the editor of los-angeles.com, which publishes free tools and plain-English guides to housing rules in Los Angeles and California.
