NYC Rent Increases - - Rent Stabilization and Rent Control.

[Procrustes Stretched]

Rent Stabilization in NYC. It is not the same as Rent Control. I lived in NYC and had a few apartments, one was rent stabilized. I was working, so I had no real issues with the rent increases at that time. I do remember my landlord and his management company doing the right thing -- putting my security deposit into an escrow account, where I earned the interest. A lot of landlords try keeping the security deposits in other accounts where they get to play with money that is not theirs to pay with. That said, I've always wondered why:

If owning rental buildings is such a hassle, and if owners really do feel it sucks, why do so many people buy and own units and buildings in areas with rent control or rent stabilization?

Some Agreement: Housing is expensive for both landlords and tenants.​

Landlords and tenants can agree on one thing: The problem of housing affordability runs deep and needs more solutions.

Deep Divisions: The votes over rent increases have drawn protests.​

Rent-stabilized apartments house roughly a quarter of the city’s population. In a city where rents on the open market have skyrocketed and available apartments are scarce, stabilized units are treasured finds. The median monthly rent was about $1,500 for a stabilized unit in 2023, compared with $2,000 for an unregulated apartment, according to a recent city survey.

But tenants and their advocates have called on the city to freeze or reduce rents for stabilized units in recent years, as many New Yorkers struggle with the high cost of living. Landlords, for their part, have asked for increases to help cover the high costs of property taxes, insurance, mortgages and maintenance.

The Rent Guidelines Board examines the factors affecting both constituencies when deciding whether to allow rent increases. The board consists of two members representing tenant interests, two representing the interests of owners and five representing the general public. All members are appointed by the mayor. The vote on Monday is set to be the third consecutive year of increases.

Rent Increases for 1 Million N.Y.C. Apartments Are Likely to Be Approved

The city panel that oversees rents for stabilized apartments had previously voted to back increases of between 2 and 4.5 percent on one-year leases.

www.nytimes.com

Rent control vs. rent stabilization in NYC, explained

Everything you need to know about rent regulations in New York City, including how to find these somewhat elusive apartments.

ny.curbed.com

 

[JoeB131]

As someone who owned rental property in the 1990's, I can tell you that being a landlord is a great big hassle.

I would never do it again (willingly, anyway.)

If I had to deal with goofy "Rent Control" laws like NYC, I wouldn't want to do it.

 

[Independent thinker]

As someone who owned rental property in the 1990's, I can tell you that being a landlord is a great big hassle.

I would never do it again (willingly, anyway.)

If I had to deal with goofy "Rent Control" laws like NYC, I wouldn't want to do it.

I have heard many horror stories. I don't live in New York but I had a client at my business once who owned several properties she rented out. She told me once that she had to raze three of them because the renters were so bad that that was really her only option. Many landlords were royally screwed during Covid, which has a lot to do with high rents now. You couldn't pay me enough to be a landlord.

 

[Procrustes Stretched]

I have heard many horror stories. I don't live in New York but I had a client at my business once who owned several properties she rented out. She told me once that she had to raze three of them because the renters were so bad that that was really her only option. Many landlords were royally screwed during Covid, which has a lot to do with high rents now. You couldn't pay me enough to be a landlord.

Pre covid. Why would people buy the buildings? I've heard horror stories from al sides. But If owning rental buildings is such a hassle, and if owners really do feel it sucks, why do so many people buy and own units and buildings in areas with rent control or rent stabilization?

 

[Procrustes Stretched]

As someone who owned rental property in the 1990's, I can tell you that being a landlord is a great big hassle.

I would never do it again (willingly, anyway.)

If I had to deal with goofy "Rent Control" laws like NYC, I wouldn't want to do it.

Everybody believes falsely that owning rental units is great. Just like everybody believes small business is the way to go.

And people use their own homes as banks or collateral. Owning a home is not a way to build equity except in the long term or become a flipper. And few see the real costs of owning a home vs renting,

But I'll never understand owners who buy in areas with rent control, or Rent Stabilization complaining. Reminds me of a client I once had trying to sell her home. Had me keep a few things on the down lo to prospective buyers (sleazy real estate agent herself). The school yard that her property abutted drove her nuts she said. What did I do?

Innocently asked her "What was here before you bought the home?" Uh oh! Of course the school and it's yard.

 

[JoeB131]

I have heard many horror stories. I don't live in New York but I had a client at my business once who owned several properties she rented out. She told me once that she had to raze three of them because the renters were so bad that that was really her only option. Many landlords were royally screwed during Covid, which has a lot to do with high rents now. You couldn't pay me enough to be a landlord.

Well, my first property was in Cicero, IL, which should have been a warning, but it was a starter place.

First tenants moved out after I bought the place.

Second group of tenants stiffed me for a couple months of rent before pulling a midnight move.

Third group of tenants were mostly nice, until she couldn't do her job due to an epileptic seizure. They offered her a computer job, and I helped her train on computer use. I also once had to break up a fight between her ex-husband and her daughter's boyfriend.

I sold the property after she moved to another city, but she turned the place over to her sister and brother. I had to sue to get them out to finalize the sale.

I thought I was through with rentals, but then my Condo underwent a deconversion. A lawsuit dragged that out for a year after I moved, but I was able to get a tenant in there.

 

[Independent thinker]

Pre covid. Why would people buy the buildings? I've heard horror stories from al sides. But If owning rental buildings is such a hassle, and if owners really do feel it sucks, why do so many people buy and own units and buildings in areas with rent control or rent stabilization?

It's their job. That's how they make money. Many people work in jobs that suck. In fact, most people probably aren't happy in the jobs that they do. But, that's what they do, for whatever reason.

 

[Procrustes Stretched]

It's their job. That's how they make money. Many people work in jobs that suck. In fact, most people probably aren't happy in the jobs that they do. But, that's what they do, for whatever reason.

Uhm, being a landlord is not a job. Investment vs earnings. Managing property is different.

Why would people buy the buildings? I've heard horror stories from all sides. But If owning rental buildings is such a hassle, and if owners really do feel it sucks, why do so many people buy and own units and buildings in areas with rent control or rent stabilization?

 

[Procrustes Stretched]

Well, my first property was in Cicero, IL, which should have been a warning, but it was a starter place.

First tenants moved out after I bought the place.

Second group of tenants stiffed me for a couple months of rent before pulling a midnight move.

Third group of tenants were mostly nice, until she couldn't do her job due to an epileptic seizure. They offered her a computer job, and I helped her train on computer use. I also once had to break up a fight between her ex-husband and her daughter's boyfriend.

I sold the property after she moved to another city, but she turned the place over to her sister and brother. I had to sue to get them out to finalize the sale.

I thought I was through with rentals, but then my Condo underwent a deconversion. A lawsuit dragged that out for a year after I moved, but I was able to get a tenant in there.

Condos! Saviors.

 

[Independent thinker]

Uhm, being a landlord is not a job. Investment vs earnings. Managing property is different.

Why would people buy the buildings? I've heard horror stories from all sides. But If owning rental buildings is such a hassle, and if owners really do feel it sucks, why do so many people buy and own units and buildings in areas with rent control or rent stabilization?

It's how they make money, which means it's their job. I doubt they do anything else. Just because it probably appreciates doesn't mean it's not their job.

 

[Procrustes Stretched]

It's how they make money, which means it's their job. I doubt they do anything else. Just because it probably appreciates doesn't mean it's not their job.

You're a bit confused.

May as well go with window washers at intersection and people picking up cans and bottles, stemming for change and call them jobs.

Earned income? Jobs?

You're a bit confused.

Investing in building units apartments is not a job. You may call it that, but that just makes you silly

 

[JoeB131]

Condos! Saviors.

I'm on my second Condo, and they are a mixed blessing. On one hand you get the advantages of ownership, including building equity.

On the other hand, you get all the pains of apartment living, including neighbors and their lack of boundaries.

 

[Procrustes Stretched]

I'm on my second Condo, and they are a mixed blessing. On one hand you get the advantages of ownership, including building equity.

On the other hand, you get all the pains of apartment living, including neighbors and their lack of boundaries.

I remember a few wise men speaking of how people wrongly view their primary residence (home) as an investment vehicle. It's not.

Investments in real estate are different. Home ownership is not best for everybody, just as owning vs leasing a vehicle is not.

Condos and Co-ops.

 

[JoeB131]

I remember a few wise men speaking of how people wrongly view their primary residence (home) as an investment vehicle. It's not.

Investments in real estate are different. Home ownership is not best for everybody, just as owning vs leasing a vehicle is not.

Condos and Co-ops.

Well, honeslty, I disagree. The rental property in Cicero paid half of it's own mortgage, and the value increased from $55,000 when I bought it to 96,000 when I sold it. (This is back in the 1990's, and it was a distressed area.)

I paid $96 for the first Condo and sold it for $121K, but this was during the 2008 crash, when it lost half its value, and people were snapping up units for $45,000.

My current property has increased in value by $50,000 in three years.

 

[Procrustes Stretched]

Well, honeslty, I disagree. The rental property in Cicero paid half of it's own mortgage, and the value increased from $55,000 when I bought it to 96,000 when I sold it. (This is back in the 1990's, and it was a distressed area.)

I paid $96 for the first Condo and sold it for $121K, but this was during the 2008 crash, when it lost half its value, and people were snapping up units for $45,000.

My current property has increased in value by $50,000 in three years.

Rental property. There you go. But housing "always goes up" is a much misunderstood thing. I've seen more people lose their shirt buying property. I worked for them. I know. I've know a few who were into real estate (brokers who also owned properties) and got out of the market each time it was tanking. How? I was told, they weren't greedy. So signs were not ignored.

I knew a few people who lost life savings trying real estate for investments . Sad shit

I guess I wasn't clear enough. No biggie.

 

[Procrustes Stretched]

note: People do not brag about their poor decisions in real estate.

 

[JoeB131]

note: People do not brag about their poor decisions in real estate.

Or the Stock Market. Or Crypto. Or any other investment. Investment includes the possibility of loss.

The middle property, the one I bought right before the 2008 Crash permanently cured me of voting for Republicans, was underwater after 2009 and didn't really recover until 2015 or so. Worse, the people who snapped up those foreclosed units rented them out to Section 8 people, which brought down the value of the property.

I was actually kind of glad when an investment company offered us a buyout.

 

[Independent thinker]

You're a bit confused.

May as well go with window washers at intersection and people picking up cans and bottles, stemming for change and call them jobs.

Earned income? Jobs?

You're a bit confused.

Investing in building units apartments is not a job. You may call it that, but that just makes you silly

If it is how they make money to pay their expenses then it is a job. Just because it appreciates doesn't mean it's not how they earn their living. You can buy buildings that appreciate for investment purposes without having to deal with renting units out if investment is all you want. Most of these people need the income from renters to live. I own my own business and I use it to pay for my expenses so it is my job. Just because it appreciates doesn't mean it's not my job. It is my job.

 

[DudleySmith]

I've owned a single story four plex and 3 other rent houses since the crash under Reagan's debt bubble, and have had zero problems keeping them up and occupied. It's a matter of being selective and keeping your renter vested in keeping the property up, is all. Most just try to gouge the crap out of every renter and then sniveling about the results. No wonder cities get rent control laws and vandalized properties.

I don't join any pity parties for real estate gamblers; too many genuine property managers out there with few problems to believe the cry babies and snivelers. Quit attending those seminars for idiots on how you're going to get rich in real estate with no money down! scams. Managing properties is not free money for deadbeats who just want to cash checks and sit on their asses. that's what stock markets are for, stupid gamblers.

 

[Dr.Know]

Demonrats have a NEW SCAM in NYC to rape the poor,,,,,THEY ARE GOING TO INCREASE WATER BILLS BY 8% AND THIS WILL RAISE RENTS.

And I bet the dumb asses in NYC will vote for that demented clown again.