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FACTSHEETS - Rent FAQ
From the Nolo.com Landlords & Tenants Center
Learn about the laws that cover security deposits, rent increases, and late fees.
What's Below:
How much security deposit can a landlord charge?
How can I protect my security deposit?
Do landlords have to allow a grace period for late rent before they charge late fees? Are late fees legal?
Does rent have to be due on the first of the month?
When are landlords allowed to raise the rent?
How do rent control laws work?
What's the difference between a rental agreement and a lease?
Are there lease or rental agreement terms that a renter should look out for?
How much security deposit can a landlord charge?
All states allow landlords to collect a security deposit when the tenant moves in; the general purpose is to assure that the tenant pays rent when due and keeps the rental unit in good condition. Half the states limit the amount landlords can charge, usually not more than a month or two worth of rent -- the exact amount depends on the state.
Many states require landlords to put deposits in a separate account and some require landlords to pay tenants the interest on deposits.
How can I protect my security deposit?
More than a few landlords withhold all or part of a tenant's security deposit when the tenant leaves as a matter of course, to pay for house cleaning, carpet cleaning, and perhaps repainting. But you are responsible only for excessive filth or significant damage to the rental unit. Your security deposit should not go towards ordinary wear and tear that occurred on the premises while you lived there.
You can protect your security deposit by recording the condition of the premises when you move in, by using a move-in checklist and/or taking pictures. For more information, see Take Steps to Protect Your Security Deposit When You Move In.
In addition, many states require landlords to put deposits in a separate account (and some states or cities require landlords to pay tenants the interest on the deposits).
Do landlords have to allow a grace period for late rent before they charge late fees? Are late fees legal?
Unless the lease or rental agreement specifies otherwise, there is no legally-recognized grace period -- in other words, if a tenant hasn't paid the rent on time, the landlord can usually terminate the tenancy the day after it is due. However, some leases and rental agreements do provide a five-day grace period for late rent.
Some landlords charge fees for late payment of rent or for bounced checks; these fees are usually legal if they are reasonable. The laws on late fees can be found in your state's landlord-tenant statutes.
Does rent have to be due on the first of the month?
By custom, leases and rental agreements usually require rent to be paid monthly, in advance. Often rent is due on the first day of the month. However, it is legal for a landlord to require rent to be paid at different intervals or on a different day of the month.
When are landlords allowed to raise the rent?
For month-to-month rentals, the landlord can raise the rent (subject to any rent control laws) with proper written notice, typically 30 days.
With a fixed-term lease, the landlord may not raise the rent during the lease, unless the increase is specifically called for in the lease, or unless the renter agrees. At the end of the lease, the landlord may raise the rent, subject to any rent control laws.
How do rent control laws work?
Communities in only five states -- California, the District of Columbia, Maryland, New Jersey, and New York -- have laws that limit the amount of rent landlords may charge.
Rent control ordinances (also called rent stabilization or maximum rent regulation) limit the circumstances and the times that rent may be increased. Many rent control laws also require landlords to have a legal or just cause (that is, a good reason) to evict a tenant -- for example, if the tenant doesn't pay rent or if the landlord wants to move a family member into the rental unit.
Landlords and tenants in New York City, Newark, San Francisco, and other cities with rent control should be sure to get a current copy of the rent control ordinance and any regulations interpreting it. Check the phone book for the address and phone number of the local rent control board or contact the mayor or city manager's office.
What's the difference between a rental agreement and a lease?
A rental agreement provides for a tenancy of a short period (often 30 days) that is automatically renewed at the end of the period unless the tenant or landlord ends it by giving written notice. For these month-to-month rentals, the landlord can change the terms of the agreement with proper written notice.
A written lease, on the other hand, gives a renter the right to occupy a rental unit for a set term -- most often for six months or a year but sometimes longer -- if the tenant pays the rent and complies with other lease provisions. The landlord cannot raise the rent or change other terms of the tenancy during the lease, unless the tenant agrees. Unlike a rental agreement, when a lease expires it does not usually automatically renew itself. A tenant who stays on after a lease ends with the landlord's consent will generally be considered a month-to-month tenant, subject to the rental terms that were in the lease.
Are there lease or rental agreement terms that a renter should look out for?
Yes, be wary of the following provisions:
Shared utility meters. Try to have the bill put in your name, and make sure your bill covers only your utility charges.
Automatic rent increases. Avoid provisions that allow the landlord to raise the rent if operating costs, taxes, or utilities increase.
Future rules of landlord. Don't agree to obey future rules of the landlord -- they may be unduly restrictive.Before you sign the lease or rental agreement, be sure you understand all of its terms. Also, never let your landlord fill in details in the lease later -- make sure all blanks are filled in when you sign it. Be sure to get a copy of the lease immediately after you and the landlord sign it.
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© 2004 Nolo.com.Disclaimer of Liability:
The information contained in this material is for the sole purpose of providing general information only, and must not be construed as legal advice, or take the place of competent legal counsel. Do not rely on these materials without consulting an attorney concerning your situation. The dissemination of this information does not create an attorney-client relationship and does not seek to represent you based upon your visit or review of this information.
Every effort has been made to ensure the information contained in the material is current. However, the law does change and the general information contained within may become dated. You should seek the advice of legal counsel for specific situations and advice to the "then existing" status of the law.