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Federal Dam, MN Security Deposit Laws 2026

Minnesota limits security deposits to 2 month(s) of rent. In Federal Dam, that's $1,946 at the median 2BR rent of $973/month. Miss the 21-day return deadline and you could owe $1,946+.

In Minnesota, landlords must return security deposits within 21 days after move-out. The maximum deposit is 2 month(s) of rent. Failure to return on time or provide an itemized statement can result in penalties of $1,946 or more.

This applies to properties in Federal Dam, MN. Check all requirements for your property →

Key Takeaways — Federal Dam Security Deposit Laws

  • Maximum deposit: 2 month(s) of rent = $1,946 at Federal Dam's median rent
  • Return deadline: 21 days after tenant moves out
  • Penalty for late return: Up to 2x the deposit ($1,946)
  • Itemized statement: Required with any deductions

Security Deposit Laws in Federal Dam

Under Minnesota law, landlords in Federal Dam may collect a maximum security deposit of 2 month(s) of rent. At Federal Dam's median 2-bedroom rent of $973/month, that means the most you can legally collect is $1,946.

$1,946

max deposit (2mo × $973)

21 days

return deadline

$1,946

max penalty for late return

Returning the Deposit: The 21-Day Clock

Once a tenant moves out of your Federal Dam rental, Minnesota law gives you exactly 21 days to either return the full deposit or provide an itemized statement of deductions. The clock starts on the day the tenant surrenders possession — not when you inspect the unit.

What you can deduct from a security deposit in Federal Dam:

  • Unpaid rent
  • Damage beyond normal wear and tear
  • Cleaning costs to restore the unit to move-in condition
  • Costs for restoring or replacing personal property (if lease allows)

What you cannot deduct:

  • Normal wear and tear (minor scuffs, carpet wear, faded paint)
  • Pre-existing damage (document with photos at move-in)
  • Professional cleaning if the tenant left the unit in reasonable condition

Penalty Warning

Violate Minnesota security deposit laws rules in Federal Dam and you could owe $1,946+. At Federal Dam's median rent of $973/month, even a single violation adds up fast.

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Federal Dam Rental Market Context

Federal Dam is the 729th-largest city in Minnesota (population 124). With a median 2-bedroom rent of $973/month, it falls in the budget range for Minnesota rental costs — 3% below the state median of $999/month.

How Federal Dam Compares in Cass County

Federal Dam ranks #10 of 10 cities in Cass County by population. Because security deposit laws rules are often tied to rent amounts, costs vary across the county.

City Population Median Rent Max Deposit
Walker 981 $973/mo $1,946
Pine River 930 $973/mo $1,946
Cass Lake 686 $973/mo $1,946
Pillager 521 $973/mo $1,946
Remer 398 $973/mo $1,946
Hackensack 300 $973/mo $1,946
Backus 271 $973/mo $1,946
Longville 158 $973/mo $1,946
Bena 151 $973/mo $1,946
Federal Dam 124 $973/mo $1,946

Rents based on HUD Fair Market Rents (FY2026) for Cass County, Minnesota. All cities follow Minnesota state law unless a local ordinance applies.

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How Federal Dam Rents Affect Deposit Amounts

Deposit amounts scale with local rents. Here's what Federal Dam landlords typically collect:

Unit Size Median Rent (Federal Dam) Max Deposit (2mo) Penalty Risk
Studio $729/mo $1,458 $2,916
1-Bedroom $768/mo $1,536 $3,072
2-Bedroom $973/mo $1,946 $3,892
3-Bedroom $1,300/mo $2,600 $5,200

Rents based on HUD Fair Market Rents (FY2026) for Cass County.

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Security Deposit Laws in Nearby Cities

Own properties in multiple cities? Rules may differ locally:

Bena, MN
Pop. 151
Longville, MN
Pop. 158
Walker, MN
Pop. 981
Remer, MN
Pop. 398
Hackensack, MN
Pop. 300

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How we researched this page: Security deposit laws rules are based on Minnesota state statutes. Rent data comes from HUD Fair Market Rents (FY2026) for Cass County. Last updated: August 2026.
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Reviewed by Rachid Abadli

Founder & CEO, LeaseBase · Sacramento landlord · Self-managing since 2019

LeaseBase is a property management platform — not a law firm. Consult an attorney for legal advice specific to your situation.