New Mexico · Security deposits · Updated Oct 2026

New Mexico security deposit law

How much a landlord in New Mexico can charge, the deadline to return a deposit, what may be deducted, the penalty for keeping it wrongly and how to get yours back.

Short answer

In New Mexico, the deposit limit is: One month's rent if your lease is for less than one year. The landlord must return it as follows: Within 30 days after the rental agreement ends or you move out, whichever is later, the landlord must send you the rest of your deposit and an itemized written list of deductions.

deposit limit: 1 month's rent (with exceptions)
to return a deposit: 30 days
deposit penalty: See below

Security deposit in New Mexico

Limit: One month's rent if your lease is for less than one year. For a lease of one year or more there is no cap, but if the deposit is more than one month's rent the landlord must pay you yearly interest. Prepaid last month's rent is not counted as the deposit.
Deadline to return it: Within 30 days after the rental agreement ends or you move out, whichever is later, the landlord must send you the rest of your deposit and an itemized written list of deductions. Mailing it to your last known address counts as compliance, so give the landlord a forwarding address in writing.
Itemized list: Yes. If the landlord keeps any part, an itemized written list of deductions and the balance must be given within 30 days. Receipts are not required by the law.
What may be deducted: Unpaid rent, late fees, utilities, and the cost of repairing damage you caused and cleaning you failed to do (beyond normal wear and tear). The deposit may not be kept for normal wear and tear.
Interest: Only on a lease of one year or more when the deposit is more than one month's rent: the landlord must pay interest every year, at the passbook savings rate named in the statute.
If the landlord keeps it wrongly: If the landlord misses the 30-day deadline for the itemized list, the landlord loses the right to keep any of the deposit, to counterclaim in your deposit case, and to sue you separately for damage to the unit, and must pay your court costs and reasonable attorney fees. If the landlord kept the deposit in bad faith, you also get a $250 civil penalty.
Law: NMSA 1978, Section 47-8-18

Get your deposit back, step by step

Before you move out, clean, take dated photos and video of every room, and return all keys.
Give your landlord your new address in writing. In New Mexico: Mailing it to your last known address counts as compliance, so give the landlord a forwarding address in writing.
Wait for the deadline: Within 30 days after the rental agreement ends or you move out, whichever is later, the landlord must send you the rest of your deposit and an itemized written list of deductions.
If the money or an itemized list doesn't come, or the deductions are wrong, send a demand letter (below). Keep proof of mailing.
If that doesn't work, sue in small claims court. Limit: $10,000 in Magistrate Court (Metropolitan Court in Bernalillo County); New Mexico has no separate small claims court. Small claims court in New Mexico on Small Claims Map

Deposit return calculator for New Mexico

Find your state's deadline for returning a security deposit, whether your landlord is late and what you may be owed. Nothing you type here is sent anywhere.

Security deposit demand letter for New Mexico

A short, firm and polite letter asking your landlord to return your deposit by a date. It cites your state's deposit law. Many landlords pay at this step, and the letter is proof that you asked. Fill this in, download the letter as PDF or Word (or copy it), sign it, keep a copy and send it in a way you can prove, such as certified mail with a return receipt.

Small claims court in New Mexico

Deposit disputes usually go to small claims court, where you don't need a lawyer. Limit: $10,000 in Magistrate Court (Metropolitan Court in Bernalillo County); New Mexico has no separate small claims court.

How to file in New Mexico

Questions about security deposits in New Mexico

How much can a landlord charge for a security deposit in New Mexico?

One month's rent if your lease is for less than one year. For a lease of one year or more there is no cap, but if the deposit is more than one month's rent the landlord must pay you yearly interest. Prepaid last month's rent is not counted as the deposit.

How long does a landlord have to return a security deposit in New Mexico?

Within 30 days after the rental agreement ends or you move out, whichever is later, the landlord must send you the rest of your deposit and an itemized written list of deductions. Mailing it to your last known address counts as compliance, so give the landlord a forwarding address in writing.

What can I do if my landlord won't return my deposit in New Mexico?

If the landlord misses the 30-day deadline for the itemized list, the landlord loses the right to keep any of the deposit, to counterclaim in your deposit case, and to sue you separately for damage to the unit, and must pay your court costs and reasonable attorney fees. If the landlord kept the deposit in bad faith, you also get a $250 civil penalty.

What can a landlord deduct from a security deposit in New Mexico?

Unpaid rent, late fees, utilities, and the cost of repairing damage you caused and cleaning you failed to do (beyond normal wear and tear). The deposit may not be kept for normal wear and tear.

Does a landlord have to pay interest on a security deposit in New Mexico?

Only on a lease of one year or more when the deposit is more than one month's rent: the landlord must pay interest every year, at the passbook savings rate named in the statute.

What is the small claims limit in New Mexico?

$10,000 in Magistrate Court (Metropolitan Court in Bernalillo County); New Mexico has no separate small claims court.

More for New Mexico renters

Security deposit in nearby states

Sources

Last checked: Oct 2026.