Kentucky Security Deposit Law (2026): Where It Applies, the Damage Lists and the 60-Day Notice

Kentucky’s security deposit rules have a twist most renters don’t know about: they don’t apply everywhere. The deposit section of the Uniform Residential Landlord and Tenant Act, KRS 383.580, applies only where a city or county has adopted the act. Louisville Metro has; many smaller cities and counties have not. Where it applies, the rules center on a separate deposit account and two written damage lists, one when you move in and one when you leave. This guide explains how both situations work and how to leave a rental so cleaning costs you nothing.

Kentucky deposit rules at a glance

• Where they apply: cities and counties that have adopted the landlord-tenant act (KRS 383.500), including Louisville Metro
• Separate account: the deposit must be held in an account used only for deposits, at a regulated bank, and you must be told where it is
• Move-in list: before taking a deposit, the landlord gives you a written list of existing damage, and you can inspect the home to check it
• Move-out list: at the end of the tenancy, the landlord lists the damage; you can inspect it and dispute items in writing
• Refund notice: if a refund is due and you don’t respond to the landlord’s notice within 60 days, the balance can be kept
• Deposit cap: none set by the statute

This is general information, not legal advice. Laws change, so check the current statute or ask a lawyer about your situation.

Does the act apply to you?

Under KRS 383.500, a city, county or urban-county government can adopt the act for its area. Louisville Metro, which covers Jefferson County, has adopted it, and so has Lexington. Many surrounding cities and counties have not, so a rental in Oldham, Bullitt, Spencer, Nelson, Hardin or Meade County may or may not be covered depending on the local government. Ask your landlord, check your lease, or contact the city or county clerk. Where the act doesn’t apply, your lease and general contract law decide what happens to the deposit.

The separate deposit account

Where the act applies, the deposit must sit in an account used only for deposits, at a bank or lending institution regulated by Kentucky or the federal government, and you must be told the account’s location and number. The landlord’s right to keep any part of the deposit depends on following the account and damage-list rules.

The move-in damage list

Before you pay a deposit, the landlord gives you a written list of damage already in the home, with estimated repair costs, and you can inspect the home to check it. Take that seriously. Walk every room, open the oven, fridge and cabinets, check the basement and add anything missing to the list in writing. Take dated photos of every room as well. This list is the baseline your move-out is measured against.

The move-out damage list

When the tenancy ends, the landlord inspects the home and compiles a list of damage, which you can inspect. If you agree, you sign it. If you disagree with any item, you write down which items you dispute and sign that statement. A later claim is generally limited to the items you disputed in writing, and a tenant who neither signs nor disputes may lose the right to challenge the list, so read it carefully and respond in writing.

What can and cannot be deducted

Common Kentucky move-out charges: usually allowed and usually not

Usually deductible	Usually normal wear and tear
A greasy oven or a fridge left with food in it	Faded paint and light scuffs
Soap scum and mildew left to build up	Carpet worn along walking paths
Salt, mud or pet stains ground into carpet	A few small nail holes
Trash or belongings left in the basement or garage	Minor wear on blinds and handles
Holes in walls, broken blinds, pet damage	Fixtures that aged with normal use

The refund notice and the 60 days

When money is due back to you, the landlord notifies you of the amount. If you don’t respond within 60 days, the landlord may keep it. There is also a rule for tenants who leave owing the last month’s rent without asking for the deposit: the landlord may apply the deposit to that rent after 30 days. Give your forwarding address in writing, keep a copy, and watch your mail and email after you move.

Reading the move-out list

Each item on the move-out list should name what is damaged and give an estimated cost. Read it slowly rather than signing in a hurry, and compare each line with the move-in list and your photos. A line that just says “cleaning” with a round number is worth questioning politely: ask which rooms and what was dirty. Check carpet, paint and flooring charges against normal wear and tear; a landlord shouldn’t charge you to replace something that simply wore out with age.

Roommates, early move-outs and pets

When several people share a lease, the deposit is normally returned once, when the whole tenancy ends, and roommates settle shares between themselves. If you leave early, the landlord can usually apply the deposit to rent owed under the lease. If you have pets, expect the inspection to focus on hair, odors, stained carpet and scratched doors and floors; a careful pet clean with carpets extracted is the best protection.

If the act doesn’t apply

Outside adopting areas, there is no state deposit statute to fall back on, so the lease is what counts. Read its deposit section closely: what the deposit covers, whether any part is non-refundable, what cleaning standard is expected and when the refund is due. Ask for a move-in walk-through anyway, keep the same photos and records, and put your forwarding address in writing.

Keep a record that speaks for itself

Keep the lease, both damage lists, your written disputes, your notice, your forwarding address letter, receipts for any cleaning or repairs and every message with the landlord in one folder, with dated photos and short videos of every room at move-in and move-out. A receipt from a professional move-out clean, with the checklist it followed, is useful evidence if a cleaning charge is disputed.

If your deposit isn’t returned

Write to the landlord first, referring to the damage lists and your written disputes, and give your forwarding address again. Keep copies of everything. If that fails, the small claims division of your county’s district court handles most deposit disputes. The Legal Aid Society in Louisville and local bar referral services can point you to help.

A move-out plan that protects your deposit

• At move-in: check the landlord’s damage list, add anything missing in writing and photograph every room
• Two to three weeks out: give notice as your lease requires, ask for the inspection date and book your clean
• The day before: defrost and empty the fridge and freezer
• Moving day: remove everything, including the basement, closets, the garage and the porch
• Cleaning day: kitchen, bathrooms, radiators and vents, baseboards, the basement and floors, then photograph each room
• Inspection: read the move-out list, sign it or dispute items in writing, and hand over your forwarding address

Our move-out cleaning starts at $190 and follows the checklist Louisville landlords use, with the price confirmed before you book. See what Kentucky move-out cleans actually cost, find move-out cleaning in your Kentucky town or get a free quote.