Avoiding Common Mistakes with Rent & Deposits in New Brunswick

Renting a home in New Brunswick comes with unique rules and requirements around rent payments and deposits. Making mistakes—such as sending a deposit the wrong way or misunderstanding your rent due date—can lead to stress, financial loss, or disputes. This guide will walk you through key pitfalls to avoid and explain your rights and responsibilities as a tenant in New Brunswick, with practical advice every step of the way.

Understanding Rent and Security Deposits

In New Brunswick, tenants are commonly required to pay a security deposit and their monthly rent according to the terms of the rental agreement. Knowing how deposits and rent work can help you avoid trouble:

• Security Deposit Limits: Landlords can only ask for a deposit up to one month's rent¹.
• Deposits Must Be Paid to the Office of Rentalsman: Unlike many other provinces, your deposit is paid directly to the Office of the Rentalsman, not the landlord.
• Rent Due Dates: Your rental agreement will state when and how rent should be paid. Always pay on time and through documented methods.

If you want to learn more about the basics of rental deposits, see Understanding Rental Deposits: What Tenants Need to Know.

Common Mistakes Tenants Make—And How to Avoid Them

1. Paying the Deposit Directly to the Landlord

In New Brunswick, the law requires you to pay your security deposit to the Office of the Rentalsman, not to your landlord. Your landlord should provide you with Form 2: "Notice of Tenancy" to complete your agreement. Sending the deposit directly to your landlord could result in complications returning your money when you move out.

2. Not Getting a Written Rental Agreement

While oral agreements are legal, problems can arise if there is a dispute. Always insist on a written lease. For more post-signing guidance, check What Tenants Need to Know After Signing the Rental Agreement.

3. Missing Rent Payments or Paying Cash Without a Receipt

Late or undocumented payments put you at risk of eviction or hard-to-prove disputes. Use cheques, e-transfers, or money orders and keep proof of every payment. Paying cash? Demand a signed receipt every time.

4. Not Understanding Damage Deductions

Your deposit can only be used for certain damages or unpaid rent—with proper documentation. Document your unit's condition at move-in with photos and an inspection report. This prevents unfair claims when moving out.

Get more advice on protecting yourself when moving out with How to Get Your Security Deposit Back with Interest When Moving Out.

5. Skipping the Initial Inspection

It’s your right to a property inspection when you move in. The Guide to the Initial Rental Property Inspection for Tenants shows how to properly document everything and avoid disputes later. Always keep a signed copy of the inspection form.

Key Forms for New Brunswick Tenants

• Form 2 – Notice of Tenancy:
  Required for all new tenancies. It states the rental agreement terms and is registered with the Office of the Rentalsman. Download the official Notice of Tenancy Form and complete it before paying a deposit.
• Form 6 – Application for Return of Security Deposit:
  Use this if you’re moving out and want your deposit returned (with interest). Submit to the Office of the Rentalsman, especially if there is a dispute with your landlord. Find Form 6 here.

Both forms are available on the official Residential Tenancies page of Service New Brunswick.

Rent Increases and Your Rights

Landlords in New Brunswick can increase rent, but only with proper written notice and after the minimum term set in your agreement. They must provide at least three months’ notice in writing for any increase.²

What Happens at Move-Out?

When your tenancy ends, clean the unit, repair any damage caused during your stay, and request an inspection. Your deposit will be returned with interest if there are no issues. If there is a disagreement, you can use Form 6 to apply for the return of your deposit through the Office of the Rentalsman.

Summary of Avoidable Mistakes

• Paying a deposit directly to the landlord, not the Rentalsman
• Not completing or keeping copies of official forms
• Failing to document payments and inspections
• Overlooking written notice requirements for rent increases

For detailed information about rules, deposits, increases, and move-out, see Tenant Rights and Landlord Rights in New Brunswick.

Looking to move? Find rental homes across Canada on Houseme for an up-to-date list of available housing options.

Frequently Asked Questions

1. How much deposit can a landlord ask for in New Brunswick?
   A landlord can only request a security deposit up to the amount of one month’s rent. The deposit must be paid to the Office of the Rentalsman, not directly to the landlord.
2. How do I get my security deposit back?
   Once you move out and the landlord agrees there is no damage or unpaid rent, you or your landlord can submit Form 6—Application for Return of Security Deposit—to the Rentalsman. If your landlord doesn’t agree, you can submit the form and a Rentalsman officer will make a decision.
3. What if my landlord tries to increase the rent without proper notice?
   Your landlord must give you at least three months’ written notice before any rent increase. If not, contact the Office of the Rentalsman for advice or assistance.
4. Can my security deposit be used for unpaid rent or damages?
   Yes, but only for unpaid rent, or to fix damages noted by the landlord (beyond normal wear and tear). Any dispute is handled through the Rentalsman’s process.
5. Is a written rental agreement required?
   It is strongly recommended, though not mandatory. Written agreements protect both tenants and landlords if there is a dispute.

How To: Secure Your Deposit and Stay Protected

1. How do I properly pay my security deposit in New Brunswick?
   Fill out Form 2 (Notice of Tenancy) with your landlord. Submit your deposit to the Office of the Rentalsman—not the landlord. Always keep copies of the completed forms and payment receipt.
2. How do I apply to get my security deposit back?
   Complete Form 6 (Application for Return of Security Deposit) after moving out. Submit the form and any supporting documents to the Rentalsman. If your landlord does not dispute, the deposit will be refunded with interest.
3. What steps should I take if I disagree with damage deductions?
   Submit Form 6 with photos and inspection reports as evidence to the Rentalsman. A Rentalsman officer will review and decide the outcome.

Key Takeaways for New Brunswick Tenants

• Always pay your security deposit to the Rentalsman, not your landlord.
• Use written tenancy agreements and keep copies of all forms and receipts.
• Understand your rent increase and notice rights under the Residential Tenancies Act of New Brunswick.

Need Help? Resources for Tenants

• New Brunswick Office of the Rentalsman – Guidance, forms, and dispute resolution
• Public Legal Education and Information Service of New Brunswick – Free legal information
• Tenant Rights and Landlord Rights in New Brunswick – Rules, tenant protections, and deposit facts

---

1. Residential Tenancies Act of New Brunswick
2. Office of the Rentalsman Forms and Requirements

Categories

Tenant Rights & Responsibilities Rent & Deposits Leases & Agreements Moving In / Out Maintenance & Repairs Evictions Roommates & Shared Housing Discrimination & Accessibility Utilities & Services Affordable Housing & Subsidies Dispute Resolution & LTB Safety & Security Privacy & Entry by Landlord Special Tenancy Situations Tenant Insurance & Liability Post-Eviction Resources Landlord Compliance & Penalties Legal Precedents & Case Summaries Mental Health & Tenancy