How to read a NYC lease before you sign it.

The short answerNessoo Report · nessoo.com

Check four things before you sign: the security deposit (max 1 month, returned with an itemized statement within 14 days of move-out), late fees (max $50 or 5% of rent), subletting, and the required notices.

• →A late fee can only be charged after rent is 5 days late.
• →In buildings with 4+ units, a landlord cannot unreasonably refuse a sublet.
• →Every fee must be itemized in writing before you sign.

Most people spend weeks finding an apartment.

Then 10 minutes reading the lease.

You are excited.
The landlord wants it signed today.
And the pages all look the same.

Here is what I would tell any friend before they sign. Every rule below comes straight from New York law. If a clause in your lease says something different, ask about it before you sign.

1. The security deposit

Look for the deposit amount and how you get it back.

1. The cap. A deposit can be no more than 1 month’s rent.
2. The return. Within 14 days after you move out, the landlord must give you an itemized statement of anything they kept, and return the rest.
3. The penalty. If the landlord misses that 14-day window, they lose the right to keep any of the deposit.
4. The inspection. The landlord has to tell you that you can ask for an inspection before you move out. If you ask, it happens 1 to 2 weeks before your lease ends, so you have a chance to fix things first.

If the lease says anything like “deposit returned within 60 days,” that is not the law.

2. Late fees

This is the clause people skip, and it is the one you will feel every month if something goes wrong.

1. The grace period. A landlord cannot charge a late fee unless rent is not paid within 5 days of the due date.
2. The cap. The fee can be no more than $50 or 5% of your monthly rent, whichever is less.

On a $4,000 apartment, 5% is $200. So the cap is $50.

If your lease says $100 on day 2, that clause does not hold up under New York law.

3. Subletting

Life happens. A new job, a semester away, a move you didn’t plan.

1. Who it covers. If your building has 4 or more units, you have a right to sublet with the landlord’s consent, and that consent cannot be unreasonably withheld.
2. How you ask. By certified mail, return receipt requested, with details on the subtenant, the dates and why you are subletting.
3. The clock. The landlord has 30 days to respond. No response counts as consent.

In smaller buildings, a landlord can say no without a reason. Know which one you are in.

4. Fees

Under the FARE Act, every fee you have to pay must be disclosed in the listing. Before you sign, you get an itemized list of every fee in writing, and you acknowledge it.

Two caps to check against that list:

1. Application and background check fee. No more than $20, or the actual cost if that is less.
2. Broker fee. You cannot be charged the fee of a broker the landlord hired. You only pay a broker you hired yourself.

If a fee shows up at signing that was not in the listing, stop and ask.

5. The notices that come with it

Some paperwork has to come with a NYC lease. What applies depends on the apartment.

1. Bedbug history. For new leases in NYC, owners have to give you a disclosure form showing the property’s bedbug history for the previous year.
2. Window guards and lead paint. In buildings with 3 or more apartments, owners have to include a notice about their window guard and lead responsibilities with each lease. New occupants also get a form asking if a child under 6 will live there.
3. Stabilized rider. If the apartment is rent stabilized, a completed lease rider must be attached to the lease and every renewal.

Missing pages are worth a question.

Here is how I see it

A lease is not a formality. It is the rulebook for the next year of your life.

Read it slowly.
Check it against the law.
Ask about anything that doesn’t match.

The best time to fix a lease is before you sign it.

“A lease is the one thing you can't fix after you sign.”

Frequently asked questions

How long does a NYC landlord have to return my security deposit?+

14 days after you move out. The landlord must send an itemized statement of anything kept and return the rest. If they miss the deadline, they lose the right to keep any of it.

What is the maximum late fee in New York?+

$50 or 5% of the monthly rent, whichever is less. And it can only be charged if rent is not paid within 5 days of the due date.

Can my landlord stop me from subletting in NYC?+

In a building with 4 or more units, the landlord's consent cannot be unreasonably withheld. You ask in writing by certified mail, and if the landlord does not respond within 30 days, that counts as consent.

What notices should come with a NYC lease?+

Depending on the apartment: a bedbug history disclosure for new leases, window guard and lead paint notices in buildings with 3 or more apartments, and a lease rider for rent stabilized apartments.

Cite thisCopy citation

Einhorn, Gabe. “How to read a NYC lease before you sign it.” Nessoo Report, Nessoo (nessoo.com), Oct 16, 2026.

About Gabe Einhorn

Co-founder of Nessoo, the verify-first rental marketplace in New York. He writes every Nessoo Report. nessoo.com

Sources

1. NY General Obligations Law 7-108 (deposit cap, 14-day itemized statement and return, pre-move-out inspection)
2. NY Real Property Law 238-a (late fees; application fee cap)
3. NY Real Property Law 226-b (right to sublease or assign)
4. NY State HCR, Leases (stabilized lease rider; bedbug disclosure form DBB-N)
5. NYC HPD, Required Signage and Notices (window guard and lead paint notices)
6. NYC Department of Consumer and Worker Protection, FARE Act FAQ (fee disclosure)