Alaska Security Deposit Law

Learn the Security Deposit Limits and Regulations in Alaska

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Know Your Alaska Security Deposit Laws. Getty Images/Maskot

Alaska has specific statutes which define the rules for security deposits in the state. It is important for all landlords in the state to familiarize themselves with these laws. It is also important to note that landlords must check the laws of their local municipality as they may differ from the statewide statutes.

Is There a Security Deposit Limit in Alaska?

Yes. Landlords in the state of Alaska are prohibited from charged more than two times the monthly rent as a security deposit.

So, if the monthly rent is $1,000, a landlord cannot charge more than $2,000 for a security deposit. Units that rent for more than $2,000 a month are exempt from this security deposit rule.

Do You Have to Charge All Tenants the Same Amount as a Security Deposit?

No. While tenants who rent units for less than $2,000 a month cannot be charged more than two month’s rent as a security deposit, there is no limit to the maximum amount of security deposit you can charge for tenants of units which rent for more than $2,000 a month.

How Must You Store The Security Deposit in Alaska?

In the state of Alaska, landlords must store a tenant’s security deposit:

There is no requirement that the account must earn interest. If the account does earn interest, that interest is also the property of the tenant, unless the tenant has agreed in writing that the landlord is entitled to keep that interest.

Landlords do not have to store each tenant’s security deposit in a different account. All security deposits can be placed in the same account.

Is Written Notice Required After Receipt of the Security Deposit in Alaska?

Once a landlord has received a tenant’s security deposit and placed it in the appropriate account, the landlord must alert the tenant of the reasons and conditions under which the landlords can keep all or a portion of the tenant’s security deposit.

This notice may be made verbally or in writing.

What Are Some Reasons You Can Keep a Tenant’s Security Deposit in Alaska?

Landlords in Alaska may be able to keep a tenant’s security deposit or a portion of the tenant’s security deposit for the following reasons:

  • Unpaid Rent
  • Damage in Excess of Normal Wear and Tear

When Must You Return a Tenant’s Security Deposit in Alaska?

In Alaska, landlords must return a tenant’s security deposit within 14 days or within 30 days of termination of tenancy depending on the tenant having given the landlord proper notice of their desire to terminate tenancy.

Proper Notice:

  • Week to Week Tenants: Must provide the landlord with written notice of their desire to terminate tenancy at least 14 days before their desired move-out date.
     
  • Month to Month Tenants: Must provide the landlord with written notice of their desire to terminate tenancy at least 30 days before their desired move-out date.

Time to Return:

  • 14 Days: If the landlord was given proper notice by the tenant regarding their move out, then the landlord has 14 days from termination of tenancy to return the tenant’s security deposit less any deductions.
     
  • 30 Days: If the tenant has not given the landlord proper notice regarding their move-out, the landlord has 30 days from the termination of tenancy to return the security deposit to the tenant less any deductions.

    Itemized Written Notice:

    The landlord must mail the tenant’s security deposit less any deductions to the last known address of the tenant along with an itemized written notice which details any deductions that have been made from the security deposit.

    What Happens to the Security Deposit If You Sell Your Property?

    In the event that the property is sold, the new owner is responsible for returning the security deposit to the tenant. Those buying property should make sure this is an included clause in the purchase contract.

    What Happens If You Do Not Follow Alaska’s Security Deposit Law?

    Failure to adhere to the statewide law could result in the tenant being entitled to up to two times the amount of the security deposit withheld, plus damages.

    What Is Alaska’s Security Deposit Law?

    For the original text governing security deposits in the state of Alaska, please consult Alaska Statutes § 34.03.070; 34.03.120 and 34.03.290.