What Is The Difference Between Rent Control and Rent Stabilization?
What is the difference between rent control and rent stabilization?
The rent control program applies to residential buildings constructed before February 1947 in municipalities that have not declared an end to the postwar rental housing emergency.Â There are 51 municipalities that have rent control, including New York City. For an apartment to be under rent control, the tenant (or their lawful successor such as a family member, spouse, or adult lifetime partner) must have been living in that apartment continuously since before July 1, 1971.Â When a rent controlled apartment becomes vacant, it either becomes rent stabilized , or if it is in a building with fewer than six units, it is generally removed from regulation.
An Apartment in a one or two family house must have a tenant in continuous occupancy since April 1, 1953 in order to be subject to rent control.Â Once it is vacated after that date it is no longer subject to regulation.Â Previously controlled apartments may have been decontrolled on other grounds.
In NYC , rent stabilized apartments are those apartments in building of six or more units built between February 1, 1947 and January 1, 1974.
Tenants in buildings of six or more units built before Feb 1, 1947 and who move in after June 30, 1971 are also covered by rent stabilization.
There is a category of rent stabilized apartments where building with three or more apartments constructed or extensively renovated since 1974 with special tax benefits.Â These building are stabilized only while the tax benefits continue.
There are some exceptions- refer to New York State Division of Housing and Community Renewal at 718-739-6400.
New York City's rent stabliization system was enacted in 1969 when rents were rising sharply in many post war buildings.Â Rent stabilized tenants are protected from sharp increases in rent and have the right to renew their leases.Â The Rent Guidelines Board sets the allowable percentage increase for renewal leases each year.
When you are ready to buy or sell aÂ home in Brooklyn, feel free to contact me at 917-861-9166.Â I can help you with your Brooklyn Real Estate needs.
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