Under Pennsylvania law, what is the maximum rent an owner can charge as a security deposit?

In Pennsylvania, the law stipulates specific guidelines regarding security deposits that landlords can charge. The correct answer reflects these regulations, which allow a landlord to charge a maximum of two months’ rent as a security deposit for the initial year of the lease. Following that first year, for any renewed lease or subsequent years, the maximum allowed drops to just one month's rent. This structure is intended to provide a balance between protecting landlords' interests and ensuring tenants are not overburdened by excessive upfront costs.

This practice is grounded in the Pennsylvania Landlord-Tenant Act, which aims to ensure fairness in rental agreements and promote transparency around financial obligations. Understanding these limits is crucial for both landlords and tenants, as it helps establish clear expectations right from the beginning of a rental relationship.