Deposit laws by state › New Mexico
State law · New Mexico
New Mexico security deposit law
How long your landlord has to return your deposit, what they can deduct, and what happens if they get it wrong.
Short answer: Within 30 days after the rental agreement ends or the tenant leaves, whichever is later, the owner must send an itemized list of deductions with the balance.
How long does a landlord have to return a security deposit in New Mexico?
- Return deadline
- Within 30 days after the rental agreement ends or the tenant leaves, whichever is later, the owner must send an itemized list of deductions with the balance.N.M. Stat. § 47-8-18(C)
- Itemized list
- The itemized list is due within the same 30 days.N.M. Stat. § 47-8-18(C)
Prefer a full page? Use the security deposit deadline calculator.
What happens if a New Mexico landlord misses the deadline?
- If the landlord misses it
- An owner who misses the 30-day statement forfeits the right to withhold any part of the deposit, the right to counterclaim in a deposit suit, and the right to sue separately for property damage, and owes court costs and attorney's fees.N.M. Stat. § 47-8-18(D)
- Penalty
- An owner who keeps a deposit wrongfully and in bad faith owes a $250 civil penalty to the tenant, in addition to the deposit.N.M. Stat. § 47-8-18(E)
Penalties that depend on bad faith or willfulness are possible, not automatic. Only a judge can make that finding.
What can a New Mexico landlord deduct from your deposit?
What can be deducted: Unpaid rent or utilities, repair work, and other legitimate damages caused by the resident. (N.M. Stat. § 47-8-18(C))
Normal wear and tear: No deposit may be kept to cover normal wear and tear. (N.M. Stat. § 47-8-18(C))
What the itemized list must include: An itemized written list of deductions. (N.M. Stat. § 47-8-18(C))
More on common charges: normal wear and tear, cleaning, painting, and a missing itemized list.
Is there a limit on security deposits in New Mexico?
For a rental agreement of less than one year, the owner may not demand or receive a deposit of more than one month's rent. (N.M. Stat. § 47-8-18(A))
For a lease of one year or more there is no limit, but a deposit above one month's rent must earn yearly interest for the tenant.
Taking a deposit case to small claims court in New Mexico
Small-claims limit: New Mexico magistrate courts hear civil claims up to $10,000. (New Mexico magistrate court)
Most deposit disputes never get that far. A clear demand letter, sent by certified mail, often settles them first.
What to do if your New Mexico landlord kept your deposit
- Pin down your dates. When you moved out, returned the keys, and gave a forwarding address in writing. Compare them with the deadline above.
- Gather your evidence. Move-in and move-out photos, the lease, the landlord's list of deductions, receipts and messages. The case checklist covers what matters.
- Send a demand letter by certified mail. Ask for the money, cite New Mexico's rules, and give a deadline to pay. What a demand letter does.
- If they still don't pay, consider small claims court. You don't need a lawyer there.
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Sources
These rules come from the same verified table the Demand Letter Companion uses, checked against the sources below on October 25, 2026. Laws change; check the current official text before relying on a date.
- N.M. Stat. § 47-8-18: law.justia.com
Other states: see the guides for all 50 states and DC
This page is general legal information, not legal advice. Local ordinances can add rules, and your lease and facts matter. For advice about your situation, consult a licensed attorney in New Mexico.