Security Deposit in Iowa
State-specific overview · Property & Real Estate
Landlords must return deposits within 30 days and provide written explanation of deductions; deposits must earn interest.
How Iowa treats Security Deposit
Iowa requires landlords to return security deposits within 30 days of lease termination and to provide a written explanation of any deductions. Landlords must pay interest on deposits held longer than one year at a rate set by state law. If a landlord wrongfully withholds a deposit or fails to provide proper accounting, the tenant may recover the deposit plus interest and court costs.
The general definition of Security Deposit
Money a tenant pays upfront to a landlord as a guarantee against damage or unpaid rent.
A security deposit is cash that a tenant gives to a landlord at the start of a lease, held as insurance against property damage or unpaid rent. The landlord must keep this money in a separate account and return it to the tenant when the lease ends, minus any deductions for legitimate damages or unpaid bills. Most states have strict rules about how quickly landlords must return deposits (often 30–45 days) and require them to itemize any deductions. If a landlord wrongfully keeps the deposit, the tenant can sue for the full amount plus penalties.
Read the full Security Deposit entry →This page is a plain-English reference and is not legal advice. State laws change frequently. For specific situations consult a licensed attorney in Iowa.