New York security deposit law: what tenants and landlords need to know

New York rewrote its deposit rules in 2019 with the Housing Stability and Tenant Protection Act, and the result — General Obligations Law §7-108 — is one of the most tenant-protective frameworks anywhere: a hard one-month cap, the shortest major-state return deadline in the country, and total forfeiture for landlords who miss it. These rules cover market-rate apartments, single-family homes, and small landlords statewide, not just NYC. (Rent-stabilized units follow separate rules under §7-107.)

How much can a landlord charge?

One month's rent, maximum — for deposits and advances combined. The HSTPA also banned most non-refundable move-in fees. Deposits are trust money under §7-103: held separately from the landlord's own funds, and for buildings of six or more units, in an interest-bearing New York account (the landlord may keep 1% annually for administration; the rest of the interest is the tenant's).

Your inspection rights — on both ends

New York wrote walkthroughs into the statute. At move-in, you have the right to inspect the unit with the landlord and document existing damage in a signed written agreement. Before move-out, the landlord must offer an inspection after notice of lease termination, then give you an itemized list of proposed deductions — with time to cure them before they become charges. Use both; they exist because condition evidence decides these cases.

The 14-day rule — the sharpest deadline in the country

Within 14 days of the tenant vacating, the landlord must provide an itemized statement of anything retained and return the balance. Both, within fourteen days. And the consequence is total: miss the deadline and the landlord forfeits the right to retain any portion of the deposit — New York appellate courts have enforced this against landlords who were merely days late, regardless of the unit's actual condition.

The burden is on the landlord

Two more tenant-favorable mechanics: deductions are limited to unpaid rent, utilities, and damage beyond ordinary wear and tear — and in any dispute over the amount retained, the landlord bears the burden of proving reasonableness (§7-108(1-a)(f)). Willful violations expose the landlord to punitive damages of up to twice the deposit.

Why New York deposit disputes are documentation disputes

The statute stacks everything on evidence: signed move-in condition agreements, pre-move-out inspection lists, itemized statements, and a burden of proof sitting on the landlord's shoulders. A landlord without condition documentation can't carry that burden; a tenant without their own record is betting the landlord's paperwork tells the truth.

SealMove gives both sides the unimpeachable version. Every photo and video is cryptographically sealed the instant it's captured, independently timestamped, and locked with Face ID into a tamper-evident archive. At move-out, your walkthrough lines up room-by-room against the sealed baseline — and either party can send the other a report to review and acknowledge, no app required.

This page is general legal information, not legal advice. Statutes change; verify current law or consult a New York attorney for your situation. Last reviewed: August 2026.

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QuestionNew York's answer
Maximum deposit1 month's rent (non-regulated units; HSTPA 2019)
Return deadline14 days after vacating — itemized statement + balance
Missed deadlineLandlord forfeits the entire deposit
Burden of proofOn the landlord, for every deduction
InterestRequired for buildings of 6+ units (NY account; landlord keeps 1%)
Move-in inspectionRight to joint walkthrough + signed damage agreement
Pre-move-out inspectionRequired offer; itemized cure list
Penalty for willful violationUp to 2x the deposit, punitive
StatuteN.Y. GOL §§7-103, 7-108

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