Security deposits in Nevada are regulated by Nevada Revised Statutes, Chapter 118A. Certain municipalities may have local laws that supplement state regulations. To ensure full compliance, verify the regulations applicable in your area.

Maximum Security Deposit

Nevada state law limits security deposits to three months’ rent. Landlords/property managers may request an additional deposit if a tenant with a disability requests approval to modify a dwelling unit, provided that the additional deposit: (a) is necessary to ensure the restoration of the dwelling unit; (b) does not exceed the actual cost of the restoration; and (c) is deposited in an interest-bearing account.

Holding & Interest Requirements

Holding Requirements: Nevada state law does not currently require security deposits to be held in a bank account within the state, in a separate account, or in an interest-bearing account. If an additional deposit is charged for a tenant with a disability under the circumstances described above, however, the additional deposit must be held in an interest-bearing account.

Interest on Deposits: Nevada state law does not currently require landlords/property managers to pay interest on security deposits. However, if an additional deposit is charged for a tenant with a disability under the circumstances described above, the interest earned on the additional deposit must be paid to the tenant.

Information Provided to Tenant: Upon the tenant’s request, landlords/property managers must provide a written receipt for the security deposit to the tenant.

Deposit Refunds

Timeline: Within 30 days of the tenant’s vacancy of the rental unit, the landlord/property manager must either (1) return the full security deposit or (2) provide the tenant with an itemized written accounting of any deductions to the security deposit, together with the portion of the security deposit being returned. 

Permissible Deductions: Landlords/property managers may deduct the following from security deposit funds:

• Unpaid rent
• Damages beyond normal wear and tear
• Reasonable cleaning costs to restore the premises to its condition at the start of the tenancy
• Storage or disposal costs for personal property left at the premises in the event the tenant abandons such property

Documentation of Deductions: The itemized written accounting of deductions to the security deposit must detail each deduction.

Penalties for Violations: Failure to return the security deposit or provide the itemized written accounting of deductions as required by Nevada state law may result in the landlord/property manager being liable to return the full security deposit and damages up to the amount of the deposit, plus attorney’s fees and court costs if the tenant wins in a lawsuit. 

Sale of the Rental Property

If the property is sold, the landlord/property manager must: (1) transfer the security deposit (after making any lawful deductions) to the new owner and notify the tenant in writing of the name, address, and phone number of the new owner, and that the landlord has transferred the security deposit to the new owner; or (2) return the security deposit to the tenant (after making any lawful deductions). The landlord must also notify the new owner if they return the deposit or portion thereof to the tenant.