South Carolina security deposit laws are detailed under the South Carolina Code of Laws, Title 27, Chapter 40, specifically § 27-40-410 to § 27-40-510. These laws provide clear guidelines on how landlords must handle security deposits, ensuring both landlords and tenants are aware of their rights and responsibilities under South Carolina law. Please note that rules and regulations may vary by municipality.
Landlords may charge a security deposit equal to no more than one and a half times the monthly rent.
South Carolina does not prohibit commingling residential security deposits with other funds.
South Carolina security deposit laws do not require landlords to notify tenants where their deposit is held.
South Carolina does not require residential landlords to hold security deposits in interest-bearing accounts or pay tenants any interest on tenant security deposits.
The landlord must return the deposit within 30 days after the later of:
If deductions are made, the landlord must provide a written itemized list of the deductions within the same 30 day period.
South Carolina landlords may only deduct from the security deposit for:
If a landlord fails to return the security deposit or provide an itemized statement of deductions within the required 30-day period, the landlord may be liable for the full amount of the deposit, plus any additional damages as determined by the court up to 3x the deposit amount. Tenants may also be entitled to reasonable attorney’s fees and court costs if they prevail in a dispute over the deposit.
Different standards for determining deposit amounts: If a landlord (1) rents more than four adjoining dwelling units on the premises and (2) imposes different standards for calculating security/rental deposits required of different tenants on the premises, the landlord shall either post in a conspicuous place on the premises, or at the place at which rental is paid a statement clearly indicating the standards by which such security/rental deposits are calculated, or shall provide each prospective tenant with a statement setting forth the standards. If a landlord fails to comply with this subsection as to a tenant, the difference between the security/rental deposit required of the tenant and the lowest security/rental deposit required of any other tenant of a comparable dwelling unit on the premises is not subject to deductions for damages by reason of the tenant's noncompliance with Section 27-40-510.
Foreclosure: In the event of a foreclosure, the landlord must transfer the security deposit to the new owner. The new owner must then adhere to the original lease terms and deposit regulations. If the property is sold, the landlord must notify the tenant of the new owner and provide information about the new owner's contact details for the deposit.
DISCLAIMER: Security deposit laws may vary by county or municipality. The information provided by Build Whale, Inc. is for general informational purposes only and should not be construed as legal advice. It is not a substitute for consultation with a qualified attorney. While we strive to provide accurate and up-to-date information, Build Whale, Inc. makes no guarantees or warranties regarding the accuracy, completeness, or reliability of the information presented.