Security deposit law in Iowa

The rule in Iowa

Iowa limits a residential security deposit to 2 months' rent. The wording in Iowa Code § 562A.12(1), (3)(a): “in excess of two months' rent.”

The return deadline is 30 days, counted from termination of the tenancy, once the landlord has the tenant's mailing address or delivery instructions. The text reads: “within thirty days from the date of termination of the tenancy.”

Of the 44 jurisdictions verified here, 15 give landlords less time and 9 give more; the median is 30 days. 19 others also allow 30 days, among them Kansas, Maine, Massachusetts and Michigan.

What the cap means in dollars: $1,000 rent: up to $2,000, $1,500 rent: up to $3,000 and $2,000 rent: up to $4,000.

Worked date: if the clock starts on November 30, 2026, the deadline falls on December 30, 2026.

In neighbouring states with verified rules: Illinois allows 45 days and sets no cap, Minnesota allows 21 days and sets no cap, Missouri allows 30 days and caps deposits at two months' rent, Nebraska allows 14 days and caps deposits at one month's rent, South Dakota allows 21 days and caps deposits at one month's rent and Wisconsin allows 21 days and sets no cap.

If a deposit is not returned, the small claims limit in Iowa is $6,500 (small claims rules); at the cap, a full-deposit claim fits whenever rent is $3,250 a month or less.

Source: Iowa Legislature, Iowa Code § 562A.12 · last checked October 20, 2026.

If the deposit does not come back

The statute above sets the deadline; what happens after it passes is covered in general terms in the guide on a deposit that is not returned, and the way each state starts and counts the clock is compared in how deposit deadlines are counted.