New Laws Favor Landlords in New York State

There are some new laws for 2024 that both renters and landlords should know in New York State. There are a lot of laws when it comes to renting real estate and both parties should know what could benefit them and also keep them safe.

Increased maximum security deposit amount: New York's security deposit laws in 2024 allow landlords to charge a higher maximum security deposit amount, providing them with better protection against potential damages or unpaid rent.

The updated laws in 2024 now give landlords more time to return security deposits to tenants, enabling them to properly assess any damages and deduct the necessary costs before refunding the remaining deposit.", according to PayRent.com.

When it comes to New York State's laws on security deposit, the deposit can only be up to one month's rent. Also, if a landlord then takes the security deposit and puts it in a savings account that offers an interest rate, the TENANT is entitled to some of the interest gained.

For example: A tenant pays a security deposit of $1,000. The landlord places the deposit in an interest-bearing bank account paying 1.5%. At the end of the year the account will have earned interest of $15.00. The tenant is entitled to $5.00 and the landlord may retain $10.00, 1% of the deposit, as an administrative fee, according to the New York State Attorney General's website.

It is important to note that this is only for apartment buildings that have six or more apartments in them. The landlord must inform the tenants, in writing, of what bank and interest rate that their security deposit is in.