Title 41 of Oklahoma Statutes guarantees landlords certain rights after establishing a rental agreement with a tenant. Among these is the right to ask tenants for a security deposit before moving in.
When renting out a property, you can be exposed to certain risks. These may include late rent or utility bill payments, negligent property damage, or even premature lease termination. These can have a severe impact on your bottom line.
That’s why charging a security deposit, in line with landlord-tenant laws, is important. It can help you offset all or some of these costs. But in so doing, you must be mindful of the Oklahoma security deposit laws. The following are important basics of the Oklahoma security deposit laws that you must abide by.
What Deductions Can a Landlord Make from a Tenant’s Security Deposit?
Under Oklahoma security deposit laws, a landlord can only make deductions to cover:
- Unpaid Rent, Utilities, or Fees - If the tenant moves out without paying the due rent or utility bills, you can make appropriate deductions from their security deposit.
- Cost of Fixing Damage Exceeding Normal Wear and Tear - You can hold the tenant liable for any damage that results from their negligence, carelessness, misuse, or abuse.
- Cost of Hiring Expert Cleaning Services - Most leases explicitly state that the tenant must return the unit in the same condition they found it in, less normal wear and tear. If the tenant leaves it exceptionally dirty, you can deduct appropriate costs from their deposit.
What’s the Difference Between Normal Wear and Tear and Excessive Damage?
Normal wear and tear refers to a property's natural deterioration over time. Examples include loose door handles, lightly scratched glass, gently worn carpets, and faded paint or flooring.
Please note that you cannot hold the tenant liable for fixing such types of damages. These are a result of normal use of the property. As a landlord, it’ll be your responsibility to make the fixes and cover the costs.
You can, however, hold the tenant liable for fixing damage exceeding normal wear and tear. The following are some examples of such type of damage in a rental property:
- Large holes in walls
- Broken windows or doors
- Broken or damaged appliances
- Stained or damaged carpets from spills, pets, or excessive wear and tear
- Damaged plumbing fixtures, lights, or electrical outlets
Usually, such types of damages result from a tenant’s carelessness, negligence, or misuse of the space. You can hold the tenant liable for fixing such damages if they move out of the unit without making the fixes themselves.
Is There a Security Deposit Limit in Oklahoma?
There is no limit that they must abide by. You can charge the tenant as much or as little as you want. You must, however, be careful not to undercharge or overcharge tenants.
Undercharging tenants can leave you vulnerable to financial strain. The amount you charge may not be able to cover the potential financial losses resulting from the tenant’s negligence or carelessness.
On the other hand, overcharging can make your property less desirable in the eyes of prospective tenants. Consequently, you may experience high vacancy rates resulting in lost rental income.
When Must Landlords in Oklahoma Return Tenants’ Security Deposits?
After an Oklahoma tenant moves out, you must return their security deposit within 45 days, less any allowable deductions. You must also provide the tenant with an itemized list of statements as well.
However, the 45-day period will only begin counting after any of the following events occur:
- The lease has expired and the tenant has moved out.
- The tenant has delivered the possession of the property back to you.
- The tenant has requested a refund of their deposit, less allowable deductions.
- The tenant will have up to six months to make a written request once they move out. If they fail to do so, you won’t have any responsibility to make any refund.
How Must Landlords Store Their Tenants’ Security Deposits?
Oklahoma requires that landlords keep their tenants’ deposits in a separate account. The account must be registered with the Oklahoma Real Estate Commission and domiciled in a bank in the state of Oklahoma.
Do Landlords Have To Notify Tenants of Deductions?
Landlords must notify their tenants if making deductions on their security deposit. You must provide the tenant with an itemized list of deductions, which you must send to them via certified mail.
Can a Tenant Use the Security Deposit as Last Month's Rent?
This is allowed per the state’s landlord-tenant laws. A tenant may be able to do so if the lease doesn’t explicitly prohibit it. As such, make sure the lease is clear to prevent the tenant from using the deposit for any outstanding rent.
Can a Landlord Charge for Nail Holes in Oklahoma?
Yes, you may be able to charge for nail holes in Oklahoma. The damage must, however, exceed normal wear and tear. For instance, large nail holes or nails drilled for hanging heavier items.
Can a Landlord Charge for Carpet Replacement in Oklahoma?
If the damage exceeds normal wear and tear, you may be able to withhold a portion of the tenant’s deposit. For example, if the carpet has a major discoloration or has visible stains.
Bottom Line
As a landlord, understanding the state’s security deposit laws is vital for legal protection and compliance. For expert help with property management, get in touch with OKC Homes 4 You! With our 20 years of experience, you can trust us to manage your rental property reliably and professionally. Contact us today to learn more about our property management services!
Disclaimer: Please note that the information provided in this blog is intended for general guidance and should not be considered as a replacement for professional legal advice. It is important to be aware that laws pertaining to property management may change, rendering this information outdated by the time you read it.
