NYC Rental Facts Reference (2026)

Section 1 — Rent Stabilization Limits (2025–2026)

Rent stabilization is the largest tenant-protection program in NYC. The following facts reflect the Rent Guidelines Board order in effect for leases beginning between October 1, 2025 and September 30, 2026.

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The NYC Rent Guidelines Board (RGB) sets the maximum annual rent increase for rent-stabilized apartments in New York City.

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For rent-stabilized leases beginning October 1, 2025 through September 30, 2026, the maximum increase is 2. 75% for a 1-year lease.

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For rent-stabilized leases beginning October 1, 2025 through September 30, 2026, the maximum increase is 5. 25% for a 2-year lease.

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Approximately one million NYC apartments are rent stabilized, representing roughly half of the city's rental housing stock.

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Buildings with six or more residential units built before January 1, 1974 are generally rent stabilized in New York City.

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Buildings built after 1974 can also be rent stabilized if they received 421-a or J-51 tax abatements.

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Rent stabilization status is recorded with the New York State Division of Housing and Community Renewal (DHCR).

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Tenants of rent-stabilized apartments have a statutory right to renew their lease, subject to narrow exceptions.

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Landlords of rent-stabilized apartments must offer renewal leases 90 to 150 days before the current lease expires.

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The 2019 Housing Stability and Tenant Protection Act (HSTPA) ended vacancy decontrol of rent-stabilized apartments.

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Before the 2019 HSTPA, apartments could be permanently deregulated when the rent exceeded a high-rent threshold; this mechanism was eliminated.

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Preferential rent is a rent lower than the legal regulated rent that a landlord agrees to charge a tenant.

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Under the 2019 HSTPA, preferential rent is locked in for the duration of a tenant's tenancy and cannot be raised to the legal rent at renewal.

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Individual Apartment Improvement (IAI) rent increases are capped at $15,000 of improvements over a 15-year period under the 2019 HSTPA.

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Major Capital Improvement (MCI) rent increases are capped at 2% per year under the 2019 HSTPA, down from 6% previously.

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MCI increases must be amortized over 12 years for buildings with 35 or fewer units and 12. 5 years for buildings with more than 35 units.

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Rent overcharge claims can be brought for up to six years of overcharges under the 2019 HSTPA.

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DHCR issues an official rent history showing every registered rent for a stabilized apartment since 1984.

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Tenants can request a free DHCR rent history for their apartment at hcr. ny.gov or by mail.

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Succession rights allow certain family members who have lived in a rent-stabilized apartment for at least two years to take over the lease when the named tenant leaves or dies.

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The Rent Guidelines Board holds public hearings each spring and issues its annual order in June, effective October 1.

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Rent control is a separate and older program from rent stabilization that applies to tenants who have continuously occupied the same apartment since before July 1, 1971.

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The Emergency Tenant Protection Act (ETPA) of 1974 is the state statute that authorizes rent stabilization in New York City and certain other municipalities.

Section 2 — Security Deposits

All residential security deposit rules below derive from New York General Obligations Law §7-108 as amended by the 2019 HSTPA.

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Under the 2019 Housing Stability and Tenant Protection Act (HSTPA), residential security deposits in New York State are capped at one month's rent.

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The one-month cap applies to both market-rate and rent-stabilized apartments in NYC.

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Landlords must return a residential security deposit within 14 days of the tenant vacating the apartment.

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When returning a deposit, landlords must provide an itemized statement of any deductions for damages beyond normal wear and tear.

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If a landlord fails to provide the itemized statement within 14 days, they forfeit the right to retain any portion of the deposit.

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Tenants of buildings with six or more units are entitled to have their deposits held in an interest-bearing account.

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Landlords may retain an administrative fee of up to 1% per year of a deposit held in an interest-bearing account.

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Tenants may sue for up to twice the amount of the deposit as punitive damages if a landlord willfully withholds a deposit in bad faith.

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"Normal wear and tear" cannot be deducted from a security deposit under New York General Obligations Law §7-108.

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Landlords must give tenants the right to inspect the apartment before move-out and again after move-out, with written notice of inspection rights.

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Pre-move-out inspections must be offered at a reasonable time within two weeks before the end of the tenancy.

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After a pre-move-out inspection, the landlord must provide an itemized list of proposed repairs that could be deducted from the deposit.

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Tenants are entitled to cure the listed conditions before moving out to avoid deductions.

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Last month's rent collected up front counts against the one-month deposit cap; landlords cannot collect both a full deposit and a separate "last month's rent" payment.

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Pet deposits, move-in fees, and other prepaid charges are generally treated as part of the security deposit under the one-month cap.

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The one-month security deposit cap does not apply to owner-occupied buildings with fewer than six units in certain circumstances, but most NYC rentals are covered.

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Landlords must provide a receipt for a security deposit upon request from the tenant.

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If ownership of a building changes, the outgoing landlord must transfer all security deposits to the new owner within five days and notify tenants in writing.

Section 3 — Application Fees, Broker Fees, and Other Charges

Rental fees in NYC are tightly regulated. The following facts reflect the 2019 HSTPA and the 2024 FARE Act.

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Rental application fees in New York State are capped at $20 under the 2019 Housing Stability and Tenant Protection Act.

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The $20 cap applies to the combined cost of any background check and credit check performed by the landlord or their agent.

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Landlords must provide a copy of any background or credit check report to the applicant.

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Landlords cannot charge an application fee if the applicant provides their own recent background and credit report from a reputable agency.

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Broker fees in NYC have historically ranged from 12% to 15% of annual rent when paid by the tenant.

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The Fairness in Apartment Rental Expenses Act (FARE Act) was signed into NYC law in November 2024.

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The FARE Act generally requires that broker fees be paid by the party who hired the broker, which in most cases is the landlord rather than the tenant.

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The FARE Act requires landlords to disclose all fees in rental listings.

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Under the FARE Act, a broker representing a landlord cannot charge the tenant a broker fee unless the tenant independently hires that broker in writing.

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Late rent fees in New York State are capped at $50 or 5% of the monthly rent, whichever is less.

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A late fee cannot be charged until rent is at least five days late.

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Landlords cannot charge a separate "processing fee" or "handling fee" on top of the $20 application fee cap.

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Move-in fees charged by condominiums and cooperatives are legal but are separate from landlord application fees.

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Lease-breaking fees must be reasonable and cannot exceed the landlord's actual damages; New York imposes a duty to mitigate on landlords.

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Since 2019, landlords in New York must take reasonable steps to re-rent an apartment after a tenant vacates early, limiting the tenant's liability.

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Landlords cannot charge a fee for providing a copy of the lease to the tenant.

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The FARE Act took effect June 11, 2025 after its 180-day enactment period.

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Holding deposits paid before lease signing are generally refundable under NYC law if the landlord later declines to lease the apartment.

Section 4 — HPD Violation Classes

The NYC Housing Maintenance Code categorizes housing violations into three classes based on severity and correction deadline.

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HPD is the NYC Department of Housing Preservation and Development, the agency responsible for enforcing the NYC Housing Maintenance Code.

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HPD housing violations are categorized into three classes: Class A (non-hazardous), Class B (hazardous), and Class C (immediately hazardous).

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HPD Class A violations are non-hazardous conditions with a 90-day correction deadline.

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HPD Class B violations are hazardous conditions with a 30-day correction deadline.

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HPD Class C violations are immediately hazardous conditions with a 24-hour correction deadline.

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Examples of HPD Class A violations include minor peeling paint in units without children, chipped plaster, and loose tiles.

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Examples of HPD Class B violations include roach infestation, mold, missing window guards in apartments with children under 10, and inadequate lighting in public areas.

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Examples of HPD Class C violations include no heat during heating season, no hot water, lead-based paint hazards in apartments with children under 6, rodent infestation, and gas leaks.

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HPD inspections are typically triggered by tenant complaints filed through 311 or the HPD Online portal.

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HPD complaints can be filed anonymously by tenants at hpdonline. nyc.gov or by calling 311.

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HPD is required to attempt an inspection within 72 hours for heat and hot water complaints during heating season.

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If a violation is not corrected by the deadline, HPD can issue penalties, perform emergency repairs, and bill the landlord through a tax lien.

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HPD violations and complaint history for any NYC building are publicly searchable at hpdonline. nyc.gov.

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The NYC Alternative Enforcement Program (AEP) is HPD's annual list of the 250 most distressed residential buildings, based on Class B and C violation counts per unit.

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Buildings on the AEP list receive quarterly targeted inspections and escalated enforcement.

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HPD publishes the annual AEP list in February of each year.

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Every residential building in NYC with three or more units must be registered annually with HPD.

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HPD registration must be renewed each year by September 1.

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Buildings that fail to register with HPD cannot sue tenants for nonpayment of rent in housing court.

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HPD violations are publicly available through NYC Open Data dataset `wvxf-dwi5`.

Section 5 — The 40x Rent Rule

The 40x rule is the informal income standard that most NYC landlords use to qualify tenants. It is not a statute, but it is near-universal.

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The "40x rule" is the standard NYC rental income requirement that a tenant's annual gross income must be at least 40 times the monthly rent.

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Under the 40x rule, an apartment with $3,000 monthly rent generally requires $120,000 in annual gross income to qualify without a guarantor.

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The 40x rule is an industry custom, not a law, and individual landlords may use stricter or looser income multipliers.

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Applicants who do not meet the 40x rule typically need a guarantor who earns at least 80 times the monthly rent.

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Most NYC landlords require guarantors to reside in New York, New Jersey, or Connecticut.

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Institutional guarantor services such as Insurent and TheGuarantors can substitute for a personal guarantor for a fee of 60% to 110% of one month's rent.

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Some landlords accept higher liquid savings (typically 40 to 80 times monthly rent) in lieu of meeting the 40x income threshold.

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Applicants with steady self-employment income can qualify under the 40x rule using two years of tax returns or a CPA letter as proof.

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The 40x rule applies to the combined income of co-applicants on the lease, not just one tenant.

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Income from spousal maintenance, child support, Social Security, and investment returns is typically counted toward the 40x threshold.

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Under New York's Source of Income Discrimination Law, landlords cannot refuse tenants who pay with housing vouchers (such as Section 8 or CityFHEPS).

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Landlords cannot require an income multiplier on the portion of rent paid by a government voucher; the 40x rule can only be applied to the tenant's share.

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Credit score requirements are separate from the 40x rule, but most NYC landlords require a score of 680 or higher.

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The 40x rule applies to gross (pre-tax) income, not take-home pay.

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Bonus and commission income must typically be averaged over two years to count toward the 40x threshold.

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Students without independent income typically need a guarantor regardless of savings, because most landlords will not count trust funds or family support toward the 40x requirement.

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Some NYC landlords waive the 40x rule for tenants who prepay six or more months of rent up front, though prepayment is not required by any tenant.

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New NYC arrivals without a U. S. credit history can often satisfy landlord underwriting with an international credit report, an employer letter, and proof of liquid assets.

Section 6 — Heat and Hot Water Requirements

NYC heat and hot water law is codified at NYC Housing Maintenance Code §27-2029 and is enforced by HPD.

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The NYC "heat season" runs from October 1 through May 31 each year.

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During heat season, between 6 a. m. and 10 p.m., landlords must maintain an indoor temperature of at least 68°F when the outdoor temperature is below 55°F.

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During heat season, between 10 p. m. and 6 a.m., landlords must maintain an indoor temperature of at least 62°F regardless of outdoor temperature.

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Hot water must be supplied year-round at a temperature of at least 120°F at the tap.

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Landlords must supply hot water 24 hours a day, 365 days a year; there is no hot water "season" in NYC.

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Heat and hot water requirements are set by NYC Housing Maintenance Code §27-2029.

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A failure to provide adequate heat is an HPD Class C (immediately hazardous) violation.

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Tenants can file a heat or hot water complaint through 311 or at hpdonline. nyc.gov.

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During heat season, HPD is required to attempt inspection of heat complaints within 72 hours.

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Civil penalties for confirmed no-heat violations can exceed $1,000 per day per building.

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NYC enforces "heat week" fines of up to $1,250 per day for repeat no-heat offenders.

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Tenants of buildings with chronic heat problems can seek a rent abatement in housing court.

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Landlords cannot require tenants to pay for heat in rent-stabilized apartments unless the lease explicitly excluded heat from rent before the initial lease.

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Tenants should document no-heat conditions with dated thermometer photographs and written 311 complaint numbers.

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The NYC heat laws apply to all multiple dwellings (buildings with three or more units), not just rent-stabilized buildings.

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A tenant's right to heat cannot be waived in a lease; any lease clause purporting to waive the right to heat is unenforceable.

Section 7 — NYC Housing Agencies

Dozens of NYC and New York State agencies touch residential rental law. The following are the agencies renters encounter most often.

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HPD (Department of Housing Preservation and Development) is the NYC agency that enforces the Housing Maintenance Code and operates HPD Online at hpdonline. nyc.gov.

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DOB (Department of Buildings) is the NYC agency that issues construction permits, inspects building systems, and enforces the Building Code.

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DHCR (New York State Division of Housing and Community Renewal) administers rent stabilization and rent control, and issues rent histories.

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NYC Rent Guidelines Board (RGB) is a nine-member board appointed by the Mayor that sets annual rent increase percentages for rent-stabilized apartments.

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ACRIS (Automated City Register Information System) is the NYC Department of Finance portal for property deeds, mortgages, and ownership records at a836-acris. nyc.gov.

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NYC 311 is the city's non-emergency complaint line and web portal for filing service requests including heat, noise, rodent, and sanitation issues.

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HCR (New York State Homes and Community Renewal) is the parent agency of DHCR.

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LPC (Landmarks Preservation Commission) regulates exterior alterations to buildings in historic districts and designated landmarks.

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DOF (Department of Finance) handles property tax assessments and publishes PLUTO tax lot data.

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DCWP (Department of Consumer and Worker Protection) licenses home improvement contractors and enforces fair housing.

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OATH (Office of Administrative Trials and Hearings) adjudicates housing and buildings violations.

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HCR's Tenant Protection Unit (TPU) investigates landlord fraud and unlawful deregulation of rent-stabilized apartments.

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The Attorney General of New York enforces the Real Estate Finance Bureau's oversight of cooperative and condominium offerings.

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The NYC Commission on Human Rights (CCHR) enforces the NYC Human Rights Law, which prohibits housing discrimination including source-of-income discrimination.

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HUD (U. S. Department of Housing and Urban Development) administers federal housing programs including Section 8 Housing Choice Vouchers.

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NYCHA (New York City Housing Authority) is the agency that owns and operates the city's public housing developments and administers the Section 8 program in NYC.

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HPD's Division of Code Enforcement is the unit responsible for inspecting buildings in response to complaints and issuing Housing Maintenance Code violations.

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DSNY (Department of Sanitation) enforces trash set-out rules and issues violations for improperly bagged garbage, which tenants typically pay through the landlord.

Section 8 — Key Dates and Deadlines

NYC rental law is governed by a fixed calendar of annual deadlines and minimum notice periods.

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The NYC Rent Guidelines Board annual order takes effect October 1 and governs renewal leases beginning through September 30 of the following year.

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HPD building registration must be renewed annually by September 1.

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Bedbug infestation disclosures must be filed by landlords annually by December 1 under NYC Local Law 69 of 2017.

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The NYC heat season runs from October 1 through May 31.

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Renewal leases for rent-stabilized tenants must be offered 90 to 150 days before the expiration of the current lease.

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Rent-stabilized tenants have 60 days to accept or reject a renewal lease offer.

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Security deposits must be returned within 14 days of the tenant vacating.

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Landlords must give at least 30 days' written notice to raise the rent or terminate a month-to-month tenancy of less than one year.

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Landlords must give at least 60 days' written notice for tenants who have lived in the apartment for more than one year but less than two years.

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Landlords must give at least 90 days' written notice for tenants who have lived in the apartment for more than two years.

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A housing court nonpayment proceeding cannot be commenced until a 14-day rent demand has been served.

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Section 8 inspection approval is required before a tenant can move in; inspections must typically be scheduled within 15 days of paperwork submission.

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Lead paint hazard inspections are required annually in apartments with children under 6 in buildings built before 1960.

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Window guards must be installed by November 15 in all apartments with children under 10.

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Annual boiler inspections are due to DOB by January 1 of each year.

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Annual façade inspections (FISP/Local Law 11) are required every five years for buildings over six stories.

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The 14-day rent demand required before a nonpayment proceeding must be served in writing and include the specific amount owed.

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Holdover eviction proceedings for unregulated tenants require a predicate notice (30, 60, or 90 days) based on the length of tenancy.

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Annual stove-top knob cover distribution to households with children under 6 is required by NYC law in apartments with gas stoves.

Legal Citations

The following statutes, regulations, and legal instruments are the primary sources for the facts above.

• NYC Housing Maintenance Code (NYC Administrative Code Title 27, Chapter 2, Subchapter 2, Article 1) — heat, hot water, habitability, and violation classes.
• New York General Obligations Law §7-108 — security deposit cap, 14-day return deadline, and itemization requirements (as amended by 2019 HSTPA).
• New York Real Property Law §226-c — notice requirements for rent increases and non-renewals.
• New York Real Property Law §227-c — lease termination rights for victims of domestic violence.
• New York Real Property Law §238-a — application fee cap and late fee limits (2019 HSTPA).
• Housing Stability and Tenant Protection Act of 2019 (HSTPA) — comprehensive overhaul of rent stabilization, deposits, fees, and eviction procedures.
• Emergency Tenant Protection Act of 1974 (ETPA) — the statutory basis for NYC rent stabilization.
• Local Emergency Housing Rent Control Act — the statutory basis for NYC rent control.
• Rent Stabilization Code (9 NYCRR Part 2520 et seq.) — DHCR regulations implementing rent stabilization.
• Rent Guidelines Board Order No. 57 (effective October 1, 2025 – September 30, 2026) — 2.75% one-year and 5.25% two-year increase caps.
• NYC Local Law 69 of 2017 — annual bedbug infestation disclosure requirements.
• NYC Local Law 11 of 1998 (Façade Inspection Safety Program) — five-year façade inspection requirement for buildings over six stories.
• Fairness in Apartment Rental Expenses Act (FARE Act, 2024) — NYC law shifting broker fees to the party that hires the broker.
• NYC Human Rights Law (NYC Administrative Code Title 8) — housing discrimination including source-of-income protection.
• Servicemembers Civil Relief Act (50 U.S.C. §§3951-3959) — federal lease termination rights for active-duty military.
• NYC Administrative Code §27-2029 — heat and hot water temperature requirements.