Security deposit regulations in the state of Connecticut provide property owners with a way to protect themselves if a renter damages their property. The regulation limits the security deposit that property owners can request to two months’ rent, however, it also has clear regulations regarding how the security deposit should be managed and returned. Continue reading below to gain a better understanding of the security deposit regulations for rental properties in the state of Connecticut.
Is there a limit on how much the property manager/owner can charge for an application fee? If so, what is that amount?
There is no limit on the application fee in the state of Connecticut.
What is the security deposit amount the landlord can collect?
As a Connecticut property owner, you can request a security deposit of up to two months rent to protect your property in the event of damages and unpaid rent. The maximum is reduced to one months rent for tenants over the age of 62.
Can the property manager/owner collect a fee for pets?
A pet deposit separate from the apartment security deposit is allowed in the state of Connecticut. Service pets are an exemption, and disabled persons with service pets do not have to pay an additional security deposit. However, if a service dog causes damages, the renter is still liable for covering any expenses incurred.
How does the security deposit need to be held?
Property owners in the state of Connecticut must place the security deposit into an escrow account in a financial institution for the benefit of the tenant.
Is the property manager/owner required to tell the resident where the deposit is held?
Yes. Property managers in the state of Connecticut must tell residents where their deposit is held, including name and address of the financial institution) within 30 days of receiving the security deposit.
Is the property manager/owner required to tell the resident what the interest rate on the account is (if applicable)?
Yes. The property manager must tell the resident what the interest rate is.
What can the property manager/owner deduct from the security deposit?
Property owners operating in Connecticut may keep a portion of the security deposit to cover unpaid rent or utilities or damages that exceed normal wear and tear. Property owners may also deduct damages or injuries suffered by the property owner.
How long does the property manager/owner have to return the security deposit after the lease has ended?
Property managers in the state of Connecticut must return the security deposit remainder (after additional costs have been incurred, if any) to the renter within 30 days from vacating the property, or 15 days from receiving, in writing, the forwarding address of the renter.
What penalties does the property manager/owner face if they do not return the security deposit on time?
Property owners operating in Connecticut that do not provide itemized descriptions of the damages and repair costs to tenants may be fined up to double the amount of the security charges. In addition, Property owners may be subject to an additional fine of up to $250 for each offense. if a property owner fails to pay the tenant the interest accrued on the security deposit on time, They may be fined $10, or twice the amount of interest accrued, whichever is greater.
What is the process for the property manager/owner to claim the security deposit funds?
There is no pre-set process regarding how property owners in the state of Connecticut must claim the security deposit funds. However, they must comply with the timeframe of 30 days from termination of the lease or 15 days from receipt of the forwarding address of the renter, to return the security deposit or it’s remainder after any deductions Alongside an itemized list of the deductions if applicable. The property owner must also, at this time, return the interest accrued on the security deposit.
Is the resident allowed to apply their security deposit towards the last month’s rent?
Residents cannot choose to use the security deposit for their last months’ rent, unless the property owner agrees upon it in writing.
To summarize, Connecticut law concerning security deposit regulations for rental properties, including where to hold the security deposit, and who the interest goes to, is clearly outlined. Property owners must adhere to regulations and provide renters with the required escrow information within the allotted time, and be sure to return it upon lease termination. Property managers must also keep accurate records of deductions at the end of the lease to provide the renter.
Disclaimer & Sources:
Qira aims to keep this information as up-to-date as possible. The content provided here is for informational purposes and should not replace legal counsel. Please refer to the relevant government sources to check for any changes or updates to the law.