Security Deposits in Costa Rica

Disclaimer: This guide provides general legal information for educational purposes only and does not constitute legal advice. Landlord-tenant laws change frequently. Always consult with a qualified attorney in Costa Rica for advice specific to your situation. Last verified: March 2026.

Security Deposit Limits

The General Law of Urban and Suburban Leases (Law No. 7527) does not explicitly establish a maximum or minimum limit for the security deposit a landlord can charge.

In the Costa Rican real estate market practice, the customary standard is to require an amount equivalent to one month's rent as a deposit. There is no legal prohibition against asking for deposits equivalent to two months or more if both parties agree, although higher amounts may be a barrier to attracting tenants.

Purpose of the Deposit

The security deposit (often just called "depósito" or "garantía") is intended to cover:

1. Damages to the property caused by the tenant or their guests (beyond normal wear and tear).
2. Unpaid public utility bills at the end of the lease (water, electricity, telephone, internet, cable, etc.).
3. Potential unpaid rent or financial breaches of the agreement.

Return Timelines

The law does not specify an exact timeframe in days (like 14 or 30 days, typical in other jurisdictions) for the return of the deposit once the property is vacated.

The standard dictates that it must be returned in a timely manner after finalizing the contract and verifying the state of the property against the original inventory. Generally:

• The landlord holds the deposit while the final utility bills for the days inhabited are checked and settled.
• Costs for extraordinary repairs are deducted.
• The remainder must be returned to the tenant, accompanied by invoices and receipts detailing any deducted expenses.