Subleasing and Security Deposits in New Jersey

[bamboo]

Hello,

We will be subleasing our third bedroom and I wanted to know what needs to be done with the security deposit.

We are currently renting a house, and we gave a 1.5 month security deposit to our landlord. One person who is on the lease is moving out, and we have someone else who will be subleasing in order to compensate for the additional rent money. The landlord has already agreed to this, we just need to know what happens to the security deposit. Does the guy who's moving out get his security deposit back now (the lease says at the end of the lease he'll get it back). Or does he have to wait until the lease ends in May to get the security deposit back?

Also, we will be collecting a security deposit from the new roommate -- what has to be done with this money? Does it go to the landlord to hold, do we put it in a separate interest bearing account, does the person who is leaving need to hold on to it because her name is on the original lease?

Thank you!

[Mr. Knowitall]

To whom will your landlord be sending the former roommate's share at the end of the lease? If it's to you, it doesn't make much difference whether you refund your ex-roommate's deposit now. If it's to your ex-roommate, you would have to be careful. Also, you have to consider whether there is existing damage your landlord will be claiming.

As for what you have to do with the deposit money, you have to follow the laws of your state. Read this.

[bamboo]

Thank you!