The Town Broker

Pet Security Deposits: Are They Legal?

The question came up again yesterday afternoon: Is it legal for landlord’s to take an additional security deposit to cover pet damage? It’s a question that came up so frequently when I was managing, that I thought I’d explain it here.

Pet Security Deposits ARE Legal.

First of all…a landlord is not required to allow pets in their rental property. They decide to do so (or not) at their own discretion. A landlord can also set limitations on the type and size of the pet that they would allow in the home. Hey…they still own the home, so it’s their call.

If a landlord does decide to allow pets, there is nothing specifically illegal about collecting additional security to cover pet damage. What could create problems is the amount of the additional security. I think this is where the issue sometimes gets confused.

NJ Law states that the most a landlord can collect in security is an amount equal to 1 1/2 month’s rent. There is no exception to this. It can be held as a general security deposit,  a pet security deposit, or even a combination of the two.

So if the landlord requires an initial security deposit equal to 1 1/2 months rent, they can’t legally ask for an additional amount to cover pet damage. If however the landlord requires a smaller amount for security…say 1 month…then they could legally ask for an additional deposit. But the TOTAL of all money held in security cannot exceed the 1 1/2 month limit.

So in the end, pet security deposits are legal in NJ… as long as the landlord doesn’t collect too much. If you have questions about security deposits, or anything else related to a real estate transaction, please feel free to contact me. I’d be happy to help!!

Tags: pets, security deposits

This entry was posted on Tuesday, April 27th, 2010 at 4:26 pm and is filed under Real Estate 101. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

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