Vermont Security Deposit Law (Statutes & Source Material)
This is the source-based version of the Vermont security deposit guide. It explains the statute, the 14-day rule, the deduction limits, and the remedies that matter when a landlord does not comply.
The main Vermont sources
The rules that matter most
- Vermont generally requires return of the deposit and a written itemized statement within 14 days using the discovery-or-notice trigger.
- Seasonal occupancy not intended as a primary residence uses a 60-day timeline.
- Deductions are limited to rent, tenant-caused damage not covered by normal wear and tear or events beyond tenant control, certain utilities or other direct charges, and abandoned-article removal costs.
- Normal wear and tear and damage beyond the tenant's control are not deductible tenant damage.
- Missing the 14-day return-and-statement rule forfeits withholding rights.
- Willful failure can trigger double the amount wrongfully withheld plus reasonable attorney's fees and costs.
- No statewide deposit cap was identified in 9 V.S.A. section 4461, but local ordinances may supplement the statewide rule if separately verified.
1. The 14-day discovery-or-notice trigger
Vermont's 14-day deadline runs from the date the landlord discovers the tenant vacated or abandoned the unit, or the date the tenant vacated if the landlord received notice of that date.
That makes written vacate-date notice a practical renter step. Keep proof that the notice was sent or received.
2. The 60-day seasonal rule
For seasonal occupancy and rental of a dwelling unit not intended as a primary residence, Vermont uses a 60-day return-and-statement timeline.
That rule matters if the rental was seasonal and not intended as a primary residence. For ordinary year-round rentals, the 14-day rule is usually the rule to understand first.
3. Written itemization
If the landlord keeps any amount, the written itemized statement is part of the return rule.
That written accounting is one of the first things to look for when a deposit is missing, reduced, or delayed.
4. Deductions and normal wear and tear
Vermont allows deductions for:
- nonpayment of rent
- damage to landlord property unless it is normal wear and tear or caused by actions or events beyond the tenant's control
- nonpayment of utility or other charges the tenant was required to pay directly to the landlord or utility
- expenses required to remove articles abandoned by the tenant
Normal wear and tear is not deductible. Damage caused by actions or events beyond the tenant's control is also outside the deductible tenant-damage category.
Local and transfer issues
Vermont allows towns and municipalities to adopt supplemental, non-inconsistent security-deposit ordinances. Local interest rules, housing-board procedures, or city-specific limits should be verified from the local source before relying on them.
If the landlord's interest in the property changes, the deposit should transfer to the new landlord and the new landlord should give actual notice with the new landlord's name, address, and a statement that the deposit was transferred.
5. Remedies if the landlord does not comply
If a landlord fails to return the deposit with a statement within 14 days, the landlord forfeits the right to withhold any portion of the deposit.
If the failure is willful, Vermont law can make the landlord liable for double the amount wrongfully withheld plus reasonable attorney's fees and costs.
That makes these practical facts especially important:
- the vacate date
- whether the landlord had notice of the vacate date
- when the landlord discovered the unit was vacated or abandoned
- whether the deposit and written itemization were sent on time
- whether deductions fit the allowed categories
- whether charges are really normal wear and tear or beyond the tenant's control
- the actual amount still owed
If the landlord did not follow the law
If the deadline was missed, the itemization is missing, or the deductions are weak, your next step is usually to use the facts you already have clearly.
Important: This page provides general educational information and is not legal advice. For the official text, use the Vermont statute and source links above.