Covered termLess than 1 year
The rule is tied to the duration of the rental agreement.
Maximum deposit1 month’s rent
For the covered shorter-term agreement.
Check the signed term first
- Month-to-month or other period under one year.
- Exact start and end dates.
- Security deposit versus last month’s prepaid rent.
- Any separately labeled payment that may not be a deposit.
Check the exact lease term and dates. New Mexico deposit limits differ by rental-agreement duration, and the accounting rule has specific timing language. Educational information only.