562B.13 Rental deposits.
1. A landlord shall not demand or receive as a security deposit an amount or value in excess of two months’ rent.
2. All rental deposits shall be held by the landlord for the tenant, who is a party to the agreement, in a bank, credit union, or savings and loan association which is insured by an agency of the federal government. Rental deposits shall not be commingled with the personal funds of the landlord. All rental deposits may be held in a trust account, which may be a common trust account and which may be an interest-bearing account. Any interest earned on a rental deposit shall be the property of the landlord.
3. A landlord shall, within thirty days from the date of termination of the tenancy and receipt of the tenant’s mailing address or delivery instructions, return the rental deposit to the tenant or furnish to the tenant a written statement showing the specific reason for withholding of the rental deposit or any portion thereof. If the rental deposit or any portion of the rental deposit is withheld for the restoration of the manufactured or mobile home space, the statement shall specify the nature of the damages. The landlord may withhold from the rental deposit only such amounts as are reasonably necessary for the following reasons:
a. To remedy a tenant’s default in the payment of rent or of other funds due to the landlord pursuant to the rental agreement.
b. To restore the manufactured or mobile home space to its condition at the commencement of the tenancy, ordinary wear and tear excepted.
c. To remove, store, and dispose of a manufactured or mobile home if it is abandoned as defined in section 562B.27.
4. In an action concerning the rental deposit, the burden of proving, by a preponderance of the evidence, the reason for withholding all or any portion of the rental deposit shall be on the landlord.
5. A landlord who fails to provide a written statement within thirty days of termination of the tenancy and receipt of the tenant’s mailing address or delivery instructions shall forfeit all rights to withhold any portion of the rental deposit. If no mailing address or instructions are provided to the landlord within one year from the termination of the tenancy the rental deposit shall revert to the landlord and the tenant will be deemed to have forfeited all rights to the rental deposit.
6. a. Upon termination of a landlord’s interest in the manufactured home community or mobile home park, the landlord or the landlord’s agent shall, within a reasonable time, transfer the rental deposit, or any remainder after any lawful deductions to the landlord’s successor in interest and notify the tenant of the transfer and of the transferee’s name and address or return the deposit, or any remainder after any lawful deductions to the tenant.
b. Upon the termination of the landlord’s interest in the manufactured home community or mobile home park and compliance with the provisions of this subsection, the landlord shall be relieved of any further liability with respect to the rental deposit.
7. Upon termination of the landlord’s interest in the manufactured home community or mobile home park, the landlord’s successor in interest shall have all the rights and obligations of the landlord with respect to the rental deposits, except that if the tenant does not object to the stated amount within twenty days after written notice to the tenant of the amount of rental deposit being transferred or assumed, the obligations of the landlord’s successor to return the deposit shall be limited to the amount contained in the notice. The notice shall contain a stamped envelope addressed to the landlord’s successor.
8. The bad faith retention of a deposit by a landlord, or any portion of the rental deposit, in violation of this section shall subject the landlord to punitive damages not to exceed two hundred dollars in addition to actual damages.
[C79, 81, §562B.13]
88 Acts, ch 1138, §15; 93 Acts, ch 154, §14; 2001 Acts, ch 153, §15, 16; 2001 Acts, ch 176, §80; 2010 Acts, ch 1017, §5, 11; 2013 Acts, ch 30, §261
Structure Iowa Code
Section 562B.3 - Supplementary principles of law applicable.
Section 562B.4 - Administration of remedies — enforcement.
Section 562B.5 - Exclusions from application of chapter.
Section 562B.6 - Jurisdiction and service of process.
Section 562B.7 - General definitions.
Section 562B.8 - Unconscionability.
Section 562B.9A - Computation of time.
Section 562B.10 - Terms and conditions of rental agreement.
Section 562B.11 - Prohibited provisions in rental agreements.
Section 562B.12 - Separation of rents and obligations to maintain property forbidden.
Section 562B.13 - Rental deposits.
Section 562B.14 - Disclosure and tender of written rental agreement.
Section 562B.15 - Landlord to deliver possession of mobile home space.
Section 562B.16 - Landlord to maintain fit premises.
Section 562B.17 - Limitation of liability.
Section 562B.18 - Tenant to maintain mobile home space — notice of vacating.
Section 562B.19 - Rules and regulations.
Section 562B.21 - Tenant to occupy as a dwelling unit — authority to sublet.
Section 562B.22 - Noncompliance by the landlord.
Section 562B.23 - Failure to deliver possession.
Section 562B.25 - Noncompliance with rental agreement by tenant — failure to pay rent.
Section 562B.25A - Termination for creating a clear and present danger to others.
Section 562B.25B - Right to summon emergency assistance — waiver of rights.
Section 562B.26 - Failure to maintain by tenant.
Section 562B.27 - Remedies for abandonment — required registration.
Section 562B.27A - Method of service of notice on tenant.
Section 562B.28 - Waiver of landlord’s right to terminate.
Section 562B.30 - Periodic tenancy — holdover remedies.
Section 562B.31 - Landlord and tenant remedies for abuse of access to mobile home space.