Security deposits in New York: the rules landlords count on you not knowing
Since the 2019 rent laws (the HSTPA), New York security deposit rules are some of the strongest in the country. Here's the short version.
The basics
- One month, maximum. A landlord cannot collect more than one month's rent as a deposit or advance (General Obligations Law §7-108). First month plus one month deposit is the most you should ever pay at signing, plus at most a $20 fee for a background or credit check.
- Your deposit stays your money. In buildings with six or more units it must sit in an interest-bearing account at a New York bank, and the interest (minus a small admin fee) belongs to you.
- You can request a move-in inspection. Ask for it, get existing damage in writing, and the landlord can't charge you for it later.
Getting it back
- Before you move out, you have the right to request a pre-move-out inspection and to fix anything flagged yourself.
- 14 days. After you move out, the landlord has 14 days to return your deposit with an itemized statement of any deductions. Miss that deadline and they forfeit the right to keep any of it.
- Normal wear and tear is never deductible. A willful violation can cost the landlord up to twice the deposit in punitive damages.
If your landlord ghosts you
Send a written demand (email counts, keep it), then file a complaint with the NY Attorney General or sue in small claims court - deposit cases are exactly what small claims is for, and the landlord carries the burden of proof on deductions.
Do this on day one: photograph every room at move-in, date-stamped. Ten minutes that can be worth a month's rent.
General information, not legal advice. Laws change and every situation is different. For advice about your specific case, talk to a tenant lawyer - free help may be available through the city's tenant protection resources or Legal Aid.