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The law does not cap private deposits — the three-rent limit is only for non-profit flats
Updated July 2026

🔑 Can the landlord ask for a three-month rent deposit?

With conditions
Quick answer

It depends on the type of tenancy — for a private market rental the law does not cap the deposit at all, while the three-month limit applies only to non-profit flats. The deposit is a cash security that, when you move out, covers damage beyond normal use plus any unpaid rent and costs. For a private market tenancy its amount is a matter of contract; in practice it is one to three months of rent, but it may be otherwise, because the Housing Act (SZ-1) does not cap private deposits. The statutory limit of at most three months of rent applies to the deposit for non-profit (public) flats. The myth that the landlord may keep the deposit for any wear is false: normal use does not count as damage, and at the end of the tenancy the untouched part must be returned — so write the condition and the amount into the contract and the handover record.

📋 The rules

  • On move-out the deposit covers restoring the flat to its move-in condition, allowing for normal use, plus unpaid rent and costs — it is not rent paid in advance.
  • For a private market tenancy the Housing Act does not cap the deposit; it is set by the contract, in practice usually one to three months of rent.
  • The statutory limit of at most three months of rent applies to the deposit for non-profit flats; the tenant may, with the landlord's consent, pay it in instalments.
  • On termination the landlord deducts proven unpaid dues and the cost of repairs beyond normal use, and transfers the remainder to the tenant's account.
  • The key evidence is the handover record at move-in (condition, meters, equipment, photos): without it, it is hard to prove which damage is new and which is wear.

🔓 Exceptions

  • For normal use and wear (faded walls, worn floors, minor traces of use) the deposit may not be withheld — it covers only damage that exceeds the expected use of the flat.
  • If a private tenancy contract does not mention a deposit at all, the landlord has no right to one; without a contractual basis the amount asked is merely an agreement between the parties.
  • For non-profit flats the deposit is kept at its value in euros and returned or set off at the end of the tenancy; the details are governed by the rules on allocating non-profit flats.

⚠️ Penalties & fines

A dispute over the deposit is the most common end to a tenancy. If the landlord does not return the deposit or withholds part of it without justification, this is an ordinary civil debt that the tenant recovers by written demand, then by lawsuit or enforcement; the awarded amount comes with default interest and procedure costs. Because the law does not regulate private deposits in detail, the contract wording and the evidence of the flat's condition decide — without a handover record it is often one word against another. A tenant who uses the deposit for the last month's rent risks termination for non-payment, and a landlord who withholds more than the actual damage risks repaying the excess with interest. Claims from a tenancy become time-barred fairly quickly (rent, as a periodic due, in three years), so it is better not to delay in claiming a refund or damage.

📎 Official sources

Last verified: 2026-07-12

❓ Frequently asked

How much deposit can a private landlord ask for?

For a private market tenancy the law does not cap the deposit, so it is a matter of agreement in the contract. In practice it is one to three months of rent, but it may be otherwise. The statutory limit of three months of rent applies only to non-profit, that is public, flats.

Can the landlord keep the deposit for wear and tear?

Not for normal use. The deposit covers only damage exceeding expected use, plus unpaid rent and costs. Faded walls or worn floors count as normal use, so withholding for them is not justified; the untouched part must be returned by the landlord.

When must I get the deposit back?

On termination of the tenancy, once the landlord deducts any unpaid dues and proven damage beyond normal use. The remainder must be transferred to your account; if it is not, it is a debt you can recover by demand and then by lawsuit or enforcement.

Can I use the deposit for the last month of rent?

Only if you expressly agree so with the landlord. The deposit is security for damage and debts, not a rent prepayment, so unilaterally clearing the last month from it is not a given. Otherwise you risk termination for non-payment and a dispute over the refund at the end.

What should I put in the handover record?

At move-in, list the condition of the flat and equipment, the meter readings, and add dated photos. At the end of the tenancy this record is the key evidence of which damage is new and which is mere wear. Without it, a deposit dispute is often one word against another.

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