States/New Jersey/Security Deposit
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New Jersey renter guide

New Jersey Security Deposit Rules (2026)

New Jersey has a detailed security-deposit regime: a general cap of one and one-half months’ rent, trust or interest-bearing account requirements, annual interest or earnings rules, and a general 30-day return and itemization deadline after lease termination.

Last reviewed: August 30, 20262 official sources cited
General deposit cap1.5 months’ rent

N.J.S.A. 46:8-21.2.

General return/itemization30 days

After termination of the tenant’s lease or license agreement.

Ordinary wearNot a damage deduction

DCA guidance states landlords may deduct for property damage beyond ordinary wear and tear and amounts due under the lease.

Small owner-occupied exceptionUp to 2 rental units

The Act generally excludes qualifying owner-occupied premises unless the tenant gives 30 days written notice invoking the Act.

What to gather

  • Lease termination date.
  • Security deposit receipt and bank/account notice.
  • Annual interest or earnings records.
  • Itemized deduction statement.
  • Move-in and move-out condition evidence.

New Jersey has special shorter timelines

The ordinary 30-day rule is not the only timeline. The statute has shorter rules for certain displacement events and domestic-violence lease terminations, so those situations should be reviewed separately.

Check the exact statutory category. New Jersey has special deposit timelines for defined displacement and lease-termination situations. Do not replace the ordinary 30-day rule with a shorter period unless the statutory conditions actually apply.

Official sources

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