Connecticut proposes bill to limit security deposits to one month's rent

Connecticut's House Bill 6891, introduced on February 14, 2025, aims to reshape rental practices by capping security deposits at one month's rent for all tenants, regardless of age. This legislative move seeks to alleviate financial burdens on renters, particularly in a housing market where affordability remains a pressing concern.

The bill's primary provision prohibits landlords from demanding security deposits exceeding one month's rent, a significant reduction from the previous allowance of up to two months. This change is particularly relevant for younger tenants, who often face challenges in securing housing due to high upfront costs. Additionally, the bill mandates that landlords return any excess security deposit collected from tenants who turn 62 after the payment, ensuring that older renters are not penalized as they age.

Supporters of the bill argue that it addresses the growing issue of housing affordability in Connecticut, making it easier for individuals and families to secure rental housing without the burden of excessive upfront costs. Advocates believe that this measure could lead to increased housing stability and reduce the risk of homelessness among vulnerable populations.

However, the bill has faced opposition from some landlord associations, who argue that limiting security deposits could lead to increased risks for property owners. They contend that higher deposits are necessary to cover potential damages and unpaid rent, which could ultimately drive up rental prices as landlords seek to mitigate their risks.

As the bill progresses through the legislative process, its implications could be far-reaching. If passed, it may set a precedent for similar legislation in other states, potentially reshaping rental practices nationwide. The bill is set to take effect on July 1, 2025, and its passage could signal a significant shift in the balance of power between landlords and tenants in Connecticut's housing market.

In summary, House Bill 6891 represents a critical step towards enhancing tenant protections and addressing housing affordability, with the potential to impact the lives of many renters across the state. As discussions continue, stakeholders will be watching closely to see how this legislation unfolds and what it means for the future of rental housing in Connecticut.