8 FAQs about rent-regulated apartments in NYC.

In NYC you may hear people talking about rent control. It’s a blanket term to describe some sort of policy that restricts rent increases on housing. However, in NYC it means something a little different. New York City has both rent-controlled and rent-stabilized apartments (together they are referred to as rent-regulated apartments). The whole subject of rent-regulation can be a bit confusing, so here are 8 FAQs we get about this topic!

1. What is a rent-controlled apartment?

Rent control is a policy that restricts increases on apartments in buildings built before 1947. Rent control in NYC is VERY rare. The city only has about 16,000 rent-controlled units left. To qualify for rent control, a tenant must have been continuously living in an apartment since July 1, 1971, or be a qualifying family member who succeeded the apartment (more on this later). This is why most rent-controlled tenants are elderly – they’ve been living in the same space since the 70s! Their rent is from the 70s too – sometimes just a couple of hundred dollars.

When a rent-controlled apartment becomes vacant, it automatically becomes “rent stabilized”. This is why the number of rent-controlled apartments is so few – when the tenant passes away or vacates, the unit falls into stabilization status. Unlike rent-stabilized apartments, rent-controlled tenants don’t have a lease. They are a permanent tenant of that space – the landlord can never ask them to leave.

2. What is a rent-stabilized apartment?

It generally applies to buildings of six or more units built before 1974 that are not subject to rent control. Over the years, some of the buildings may have become destabilized for a variety of reasons. Some buildings have a mix of both rent-stabilized and market rate apartments. But many new construction buildings in NYC also have rent-stabilized apartments in them. Developers receive tax abatements in exchange for making their new buildings stabilized. If you have a stabilized apartment, your rent can only go up a certain amount every year and you are entitled to a lease renewal. Your landlord HAS to renew your lease every year. The rent increase gets set by the Rent Guidelines Board. They vote on the increase every June. 

3. How can I find a rent-stabilized apartment?

There are nearly 1 million rent-stabilized apartments in NYC – almost 50% of all the housing stock. That means it’s not impossible to get your hands on a rent-stabilized apartment. You can browse rent-stabilized listings on openigloo. You do not need to qualify to get a stabilized apartment. Anyone can rent one. A common misconception is that you can only find stabilized units in old or run down buildings. That’s not true. Many new units on the market are stabilized and some of them even have high rents. Rent-stabilization doesn’t mean cheap.

4. Can a landlord destabilize or deregulate apartments?

Prior to a bunch of law changes in 2019, there were some pathways landlords could use to destabilize a unit. They could do renovations to deregulate a unit or if the apartment’s rent hit a certain threshold, it would automatically become destabilized. All of that has changed. Unless a tax abatement is expiring (usually on new development buildings), it’s nearly impossible for a unit to fall out of stabilization.

5. How can I find out if my apartment is a rent-stabilized unit?

The only way to confirm 100% if your unit is regulated is to request your rental history from DHCR – the state agency in charge of rent-regulation. DHCR will mail you a physical copy of your rent history to your address – only the existing tenant can request this. In the history you’ll be able to see if your unit is stabilized and what the legal rent is. Make sure what you’re paying matches with what’s on the record. There are cases where tenants learn about overcharges. This is illegal. Know the status of your apartment and request your rental history!

6. What is a preferential rent? Is this normal?

Preferential rent is very normal and is when a landlord charges less than the legal rent. Let’s say the legal rent on the apartment is $2,000 but they are only charging you $1,800 – that is a preferential rent, a better price! Landlords must register this preferential rent on the history and your increases should be based on the preferential rent not the legal rent. This wasn’t the case before the 2019 law change. Landlords could increase your rent up to the legal rent amount even if they gave you a preferential rate the year before.

7. I got my rent history but I’m having a hard time understanding it? What does all this mean?

Your rent history may look something like this:

It will have the filing date (when the landlord registered the unit), the legal rent (what the landlord can charge), and the preferential rent (if applicable). On the report will be the name of the tenant as well. Sometimes the history may show EXEMPT – REG NOT REQUIRED; this means the unit fell out of regulation and the landlord no longer has to register the unit with DHCR. You may also see REG – NOT FOUND. This could be that the landlord is late to register the unit for the year. Just because the registration wasn’t found doesn’t mean the apartment isn’t regulated. If you think your unit was unfairly deregulated you can consult an attorney.

8. Can you inherit a rent-stabilized or rent-controlled apartment?

Yes you can. See our Tiktok explainer on this! Regulated apartments have succession rights. You can only “inherit” the apartment if you’ve been living there the previous 2 years. The requirement is only 1 year for persons over 62 or for people with disabilities. So for example, your grandparent (or great-grandparent) has a rent controlled or rent-stabilized apartment – as long as you’re living there for 2 years before they vacate, you can claim your succession rights. But if it’s a low rent apartment, prepar to prove your residency (the landlord and likely lawyers will verify). Succession rights on rent-stabilized apartments have become less relevant since 2019 as a unit can no longer fall out of stabilization at vacancy. The landlord cannot increase the rent or destabilize the unit once someone vacates.

Is your apartment a rent-stabilized unit? Does your landlord respect rent-regulation laws? Share an anonymous review on openigloo about your building, and help the next renter with their search.

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11 FAQs about Good Cause Eviction in New York City. 

Good Cause Eviction is a piece of legislation that passed in New York in April 2024. The law went into effect immediately and limits rent increases on market-rate apartments and entitles tenants to a lease renewal if they uphold the terms of their lease (i.e. paying rent and following the rules of the building). Tenants can challenge increases above 10% or 5% + inflation (whichever is lower). In NYC, there are 2.2 million rental units, half of which are rent-stabilized. Rent-stabilized tenants have a lot of protections already; their rent can only go up a certain amount every year and they are entitled to a lease renewal. Essentially, the landlord can never ask them to leave. But with the other half of apartments (market-rate apartments), landlords could increase the rent to whatever they wanted and choose to not renew a tenant’s lease. Good Cause addresses that issue and offers more protections for SOME market-rate tenants. Keep in mind, Good Cause does not apply to everyone, everywhere. Here are 11 frequently asked questions about the new Good Cause Eviction laws.

1. Did Good Cause Eviction pass for all of New York State or just New York City?

Good Cause passed, but does not automatically apply to all counties in New York State. NYC is automatically enrolled in Good Cause (all 5 boroughs). Other parts of the State need to opt in. 

2. Does Good Cause Eviction apply to me and my building?

Good Cause Eviction does NOT apply to the following examples:

• Buildings where a Certificate of Occupancy was issued after January 1, 2009. These buildings will be exempt for a period of thirty years following the issuance of the certificate.
• Buildings with less than 10 units where the landlord lives are exempt.
• Buildings owned by a landlord that owns less than 10 units total are exempt.
• Rent-stabilized units.
• Co-ops, condos, dorms, and hotels.
• To tenants who have a rent of 245%+ of the local fair market rent (see what the local FMR for your county is here).

For example; if you live in Manhattan and your rent is above any of the amounts listed below, Good Cause Eviction does NOT apply to you (based on FMR data from 2024). 

The exemptions and carve outs are a bit confusing. Search for your address on openigloo and see if it has a Good Cause Eviction badge on the building profile.

3. What if my landlord owns multiple units under different LLCs? Do they still have to follow Good Cause?

Yes. If a landlord owns 1 LLC with 5 units and a different LLC with 10 units, they own 15 units. That’s more than 10 total. So they need to abide by the terms of Good Cause Eviction.

4. How can I confirm how many LLCs my landlord owns?

This is tricky. There’s no scientific way to confirm. However, on openigloo, we’ve built thousands of landlord profiles to take out the guesswork. We’ve consolidated LLCs on various owners so you can get a better sense of how big or small your landlord is. Search for your building on openigloo to learn more.

5. What happens if my landlord sells the building? Do I have to move? 

You do not have to move. The new owner has to abide by the terms of Good Cause Eviction and give you a lease renewal if you are following the terms of your lease. A landlord can only ask you to move IF they want to give your unit to a family member or demolish the building.

6. How can I find out if Good Cause applies to me? 

Your landlord by law must disclose if Good Cause applies to you. They have 4 months from April 2024 to catch up to the disclosure requirements. You can also type your address into openigloo and see if it has a Good Cause Eviction badge. If it does, it’s likely the laws apply to you. Double check to make sure your rent does not surpass the 245% FMR exemption mentioned above.

7. My rent went up by 20% last year. Am I entitled to a refund?

No. Good Cause Eviction went into effect April 23, 2024. Good Cause does not apply to renewals signed before that date. You’ll benefit when you sign your next renewal.

8. I am rent-stabilized…does Good Cause Eviction apply to me? 

No. Good Cause Eviction does not apply to rent-stabilized tenants. Stabilized tenants already benefit from limited increases set by the Rent Guidelines Board.

9. I am subletting. Am I protected by Good Cause Eviction?

Good Cause Eviction does not apply to sublets. 

10. What can I do if my landlord increases my rent by more than 10%? Are they allowed to do that?

Landlords are technically allowed to increase the rent by more than 10%, if they can justify it (maybe they did significant improvements to the apartment/building or perhaps their expenses went up a lot). But they’d have to justify it in court if the tenant chooses to challenge it. If you want to challenge the increase, you need to take your landlord to housing court where they will need to present to a judge WHY they are increasing your rent beyond the threshold set in Good Cause Eviction. 

11. What can I do if my landlord isn’t renewing my lease and they’re supposed to?

You could challenge the non-renewal in housing court and file a case.

Good Cause Eviction is a bit complicated and has its fair share of criticism from landlords and tenants alike. If you’re apartment hunting and looking for price stability, prioritize renting in a building where Good Cause Eviction applies. Browse available listings on openigloo.

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