One month, refundable in full
Since the HSTPA took effect in 2019, General Obligations Law § 7-108(1-a) caps deposits at one month's rent for the dwelling units it covers. The deposit must be refundable except for lawful deductions. The cap does not reach some housing types, including seasonal-use units and owner-occupied co-ops, and units under the city rent-control laws have their own framework. If you rent a regular apartment or house, the one-month rule almost certainly applies.
A pre-move-out inspection you can request
New York is one of the few states that build a walk-through into the statute. After either side gives notice to end the tenancy (unless you give less than two weeks' notice), the landlord must tell you in writing about your right to request an inspection and to be there. If you ask, the inspection must happen no earlier than two weeks and no later than one week before the end of the tenancy, on at least 48 hours' written notice. The landlord then gives you an itemized statement of proposed repairs or cleaning, and you get the chance to cure them before you leave.
What can be deducted
Under GOL § 7-108(1-a)(b), a New York landlord may keep only the reasonable and itemized costs of unpaid rent, damage you caused beyond normal wear and tear, unpaid utility charges payable directly to the landlord under the lease, and moving and storing belongings you left behind. Nothing may be kept for ordinary wear and tear or for damage caused by a prior tenant. If you asked for a move-in inspection, § 7-108(1-a)(c) also bars deductions for any condition noted in the signed move-in agreement. Anything else must be returned.
The 14-day rule and its penalty
Within 14 days after you vacate, the landlord must give you an itemized statement explaining any amount retained, and return the rest. The statute is blunt about the consequence: a landlord who fails to provide the statement and deposit within fourteen days "shall forfeit any right to retain any portion of the deposit."
On top of actual damages, a landlord found to have willfully violated the subdivision is liable for punitive damages of up to twice the amount of the deposit. Courts treat willfulness as a factual question. An innocent mistake usually leads to the return of the deposit but no punitive award, while a landlord who knew the rule and ignored it risks the full penalty.
Interest on New York deposits
GOL § 7-103 makes the deposit your money held in trust. In buildings with six or more family dwelling units, the landlord must keep it in an interest-bearing account at a New York bank, may keep 1% per year as an administrative fee, and the rest of the interest belongs to you. The landlord must tell you in writing the name and address of the bank and the amount deposited.
How to recover a deposit in New York
- Request the pre-move-out inspection in writing and fix what you can.
- Photograph the unit on the day you leave and return all keys.
- Use our calculator to get the exact day-14 date.
- If the statement is late, write to the landlord citing § 7-108(1-a)(e) and demand the full deposit, since late means forfeiture.
- File in small claims court. In New York City the Small Claims Part hears claims up to $10,000. You can also complain to the New York Attorney General's office.
New York City and rent-stabilized apartments
Rent-stabilized tenants have additional protections administered by the state housing agency (HCR/DHCR), and some interest and deposit rules for those units come from the Rent Stabilization Code as well as the GOL. If your lease is a rent-stabilized lease, check HCR's fact sheets in addition to the statute.
Frequently asked questions
What is the maximum security deposit in New York?
One month's rent for covered dwelling units under General Obligations Law § 7-108(1-a)(a), in effect since the 2019 HSTPA.
How long does a New York landlord have to return a security deposit?
14 days after you vacate. The landlord must send an itemized statement for anything kept and return the rest.
What happens if the landlord misses the 14-day deadline?
The landlord forfeits any right to retain any portion of the deposit. If the violation was willful, a court can add punitive damages of up to twice the deposit.
Do New York landlords have to pay interest on deposits?
In buildings with six or more units, yes. The deposit must be in an interest-bearing account, and the landlord may keep 1% a year as an administrative fee.
Can I get an inspection before moving out?
Yes. You can request one; it must take place one to two weeks before the tenancy ends, with at least 48 hours' written notice, and you may cure listed problems.
Sources
- N.Y. Gen. Oblig. Law § 7-108 (NY State Senate)
- N.Y. Gen. Oblig. Law § 7-103 (NY State Senate)
- New York Attorney General — Recovering rent security deposits and interest
Last reviewed Oct 17, 2026. Read how we verify. Found an error? Tell us.