Santa Fe, New Mexico: security deposit interest
No Santa Fe ordinance requires interest on residential security deposits — the city code has no deposit-interest rule, so New Mexico's state statute is the whole answer inside city limits.
Cited to Santa Fe City Code (complete code; no deposit-interest provision) and 1 more source · Verified August 28, 2026
One provision can mislead a keyword search: the city's fair-housing chapter lets a landlord and a tenant with a disability negotiate a restoration escrow for tenant-funded accessibility modifications, held in an interest-bearing account with all interest accruing to the renter's benefit. That escrow is expressly distinct from the security deposit — the same section forbids increasing a disabled tenant's customary deposit — and it is a negotiated, narrow arrangement mirroring the federal fair-housing formula, not a deposit-interest requirement.
Santa Fe deposit interest at a glance
| Interest owed under local law | No — no local law addresses it |
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How this interacts with state law
New Mexico's deposit-interest statute, § 47-8-18, applies in Santa Fe unmodified: the city code contains no security-deposit interest rule, no local rate, and no account or enforcement layer for rental deposits.
Notes and caveats
- The disability-escrow provision, precisely — Section 26-4.12(C)(2) makes it discrimination to increase a disabled person's customarily required security deposit, with one carve-out: to assure restoration funds after reasonable accessibility modifications, the landlord may negotiate an interest-bearing escrow, funded over a reasonable period and capped at the restoration cost, with all interest accruing to the renter. It is permissive, negotiated, tied to modification restorations only, and textually separate from the security deposit — encountering it in a search is the closest a reader gets to a Santa Fe deposit-interest rule, and it is not one.
Cite this page: "Landlord Atlas, Santa Fe, New Mexico: security deposit interest (verified August 28, 2026), landlordatlas.com/laws/deposit-interest/new-mexico/santa-fe/" — free to cite and quote with a link (how these records are verified).
Citations
- Santa Fe City Code (complete code; no deposit-interest provision) (verified 2026) Official source
- Santa Fe City Code § 26-4.12 (fair housing; disability) · (C)(2) (verified 2026) Official source
How this record was verified: Read of the complete Santa Fe City Code (codified through Ordinance No. 2026-8, adopted March 25, 2026) — every chapter, the charter, and all appendices — with every occurrence of security-deposit, landlord, and deposit-interest language classified, plus the city clerk's enacted-ordinance lists for 2018 through 2026.
This page records local law on deposit interest. The statewide position — New Mexico requires a landlord to pay annual interest on a security deposit, but only under an annual rental agreement where the deposit is greater than one month's rent — and the rate the statute names stopped existing in 1986. — lives on the New Mexico deposit-interest page with its own citations and verification date.