Landlords in the Forest Hills area will generally ask tenants for a security deposit before tenants can occupy the premises. However, landlords should have a basic understanding of security deposit laws in New York, so they can protect their interests.
Where should security deposits be placed?
New York law does not contain provisions on how big a security deposit can be. However, if a landlord owns property that has five dwellings or more, any security deposits made must be placed in an interest-bearing account. Interest accrued in such accounts will go to the tenants. Also, all landlords have to provide tenants with a receipt of deposit that states which financial institution the security deposit is being placed in.
When should security deposits be returned?
New York does not give a specific timeframe that security deposits should be given back to tenants. Instead, the law simply states that tenants should be given back their security deposit within a reasonable amount of time when the lease is up. Landlords can keep a some or all of a security deposit if tenants fail to pay rent or cause damages to the premises.
Understand your rights and responsibilities
Landlords naturally want to find tenants who are responsible, paying their rent on time and keeping the rental properties clean and in good repair. Security deposits protect landlords from being financially liable if tenants cause damage to rental property or fail to pay what they owe in rent. However, landlords should understand their rights and responsibilities when it comes to security deposits. Real estate attorneys in New York understand state landlord-tenant laws and may be a useful resource for information on security deposits.