The conditions of the economy often influence rent regulations. When the economy is growing, there are rises in rent. During economic challenges, every city may adopt laws that strive to achieve a balance aiding tenants and landlords.
In this guide, we’ll dive into the ever-evolving landscape of rent laws in New York.
2024 updates to New York’s rent increase guidelines
In 2023, the NYC Rent Guidelines Board established guidelines for rent-stabilized leases beginning October 1, 2023, and ending September 30, 2024. With the new rent control laws, a landlord can raise the rent as long as it’s no more than 3%. If a renter signs a two-year lease, the landlord can bump the increase to 2.75% for the first year and 3.20% for the second year.
In New York, non-stabilized leases mean landlords can raise rent without limits. If it’s a 5% or more hike though, tenants must have a heads-up through a written notice. Beyond rent, there are numerous tenant-related reforms.
Statewide rent laws in New York cap the security deposit up to one month of rent. For example, if the rent is $2,000 monthly, the landlord can charge up to $2,000 for the security deposit.
How to implement rent hikes in New York
Follow these simple steps to implement rent increases.
Step one: Determine your new rent prices
Before establishing your new rent price, research your local rent increase laws and consider how much you can afford each month without stretching your budget. By looking at the market conditions and how much money you have coming in (cash flow), you can arrive at a more informed decision on setting a new rental price that is fair to the tenant and will ensure all rental-related costs are covered.
Typically, landlords are allowed to implement annual rent increases for all housing except rent-stabilized apartments.
Step two: Prepare the notice of the new rent increase rates
Write a clear notice to your tenant stating the new rental increase for the renewed lease term. The notice can be delivered by email with a link or in written form.
Step three: Give a timely notice to your tenants for rent adjustments
While there is no limit on rent increases in homes or units that don’t fall under rent-stabilized housing, landlords must still give tenants notices.
Here is a breakdown of a minimum advance notice for different leases:
- Two-year lease or more: 90 days’ notice
- One-year lease or less than two: 60 days’ notice
- Less than one year: 30 days’ notice
These steps apply to periodic and fixed-term rental agreements.
Resolving issues about rent control
If you encounter any rent control-related hiccups, seek guidance from legal professionals specializing in real estate law with a focus on rent-stabilized apartments. For any other rent-related issues, here is a list of sources to help you navigate the twists and turns of increases in rent:
FAQ: New York rent guidelines
Tenants have 14 days to pay their rent before landlords can take action. New York State has no rent adjustment limit on non-rent-stabilized units as long as landlords provide sufficient notice according to the lease term.
A landlord can’t charge more than one month’s rent on a security deposit in New York State and can’t raise the rent more than once within a one-year lease term. Landlords also can’t unlawfully evict tenants. They must go through the proper channels with court proceedings.
There is a winter moratorium on evictions act that prohibits evictions during winter months between November through April.
Our final thoughts
Managing rent increases, maintenance issues, and potential evictions can be a delicate issue. It’s essential to balance economic considerations, your tenants’ well-being, and your return on investment. Learn how SingleKey’s Rent Guarantee Program helps landlords during the eviction action and through tough economic times. With a rent guarantee, landlords are given a financial safety net that reduces stress associated with unforeseen rental income delays.