What types of rental periods are provided for under the laws of the State of New York?
The law provides for both fixed terms (such as 6 months, 1 year, etc) or periodic tenancies (week-to-week, month-to-month, etc) which do not have a specific termination date.
Is it necessary to have a written lease?
The lease can be oral or written, however, a lease of more than 1 year is not legally enforceable if it is not in writing. It is recommended that the parties sign a written agreement for their own protection.
What about a signed move-in move-out inspection report?
A written signed inspection report is not required, however, it is recommended to protect both parties’ interests and help to avoid disputes. At move-in the tenant should make a list of everything that is broken, stained, defective or damaged, sign the list and ask the landlord to sign it as well. If the landlord does not cooperate, the tenant should take pictures and get an impartial witness to view the premises as well. Both tenant and landlord should have a copy of the list. On move-out, both parties should inspect the premises and fill in another copy of the list, and negotiate (if possible) or make note of any disputed items.
Can the landlord charge a deposit?
Yes, the landlord can charge a security deposit, usually an amount equal to 1 month’s rent. The landlord must return the security deposit, less any allowable deductions, to the tenant at the end of the lease or within a reasonable time thereafter. The landlord may use the security deposit: (i) as reimbursement for the reasonable cost of repairs beyond normal wear and tear, if the tenant damages the property, or (ii) as reimbursement for any unpaid rent.
Regardless of the number of rental units in the property, landlords must treat the deposits as trust funds belonging to their tenants and may not co-mingle deposits with their own funds. Landlords of buildings with 6 or more apartments must put all security deposits in New York bank accounts earning interest at the prevailing rate, and must notify the tenants in writing of the bank’s name and address and the amount of the deposit. The landlord is entitled to annual administrative expenses of 1% of the deposit, but all other interest earned on the deposits belongs to the tenant. At the tenant’s option, this interest can be paid to them annually, applied to rent, or paid at the end of the lease term.
It is illegal for any person to require a prospective tenant to pay key money (which is a bonus paid to ensure preference in renting a vacant property).
When is the landlord allowed to increase the rent?
A landlord may raise the rent of a month-to-month tenant with the consent of the tenant. If the tenant does not consent, however, the landlord can terminate the tenancy by giving proper notice.
If a property is not subject to rent stabilization or rent control or other rent regulation, a landlord is free to charge any rent agreed upon by the parties. If the premises is subject to such rent regulation, the original rent and subsequent rent increases are set by law. A tenant may challenge the regulated rent with the DHCR. If the challenge is upheld, DHCR will order a refund of any overcharges plus interest and may also assess penalties.
Landlords of rent-stabilized buildings may seek rent increases for major capital improvements, such as a roof replacement, for example, and for new services or equipment, or for improvements to a rental property. Under certain circumstances, a landlord may also apply for a hardship rent increase.
When is rent considered late?
Rent is late the day after it is due.
How can a lease be renewed?
Except for rent-regulated apartments, a tenant may only renew the lease with the consent of the landlord. A lease may contain an automatic renewal clause. In such case, the landlord must give the tenant advance notice of the existence of this clause between 15 and 30 days before the tenant is required to notify the landlord of his/her intention not to renew the lease.
Lease renewals for rent-stabilized tenants must be on the same terms and conditions as the prior lease. Rent increases, if any, are limited by law but may provide for a rent increase according to rates permitted by the Rent Guidelines Board. Rent-stabilized tenants may choose either a 1-year or a 2-year renewal.
For New York City rent-stabilized tenants, the landlord must give the tenant written notice of the right to renewal not more than 150 days and not less than 120 days prior to the end of the lease. After the renewal notice is given, the tenant has 60 days in which to accept, failing which, the landlord may refuse to renew the lease and seek to evict the tenant through court proceedings.
How can a lease be terminated?
For month-to-month tenancies outside of New York City, the tenancy may be terminated by either party giving at least 1 month’s notice. If a landlord gives a tenant a termination notice, the notice does not need to specify why the landlord wants possession of the premises. However, the notice does not automatically allow the landlord to evict the tenant
In New York City, the landlord must serve a month-to-month tenant with 30 days’ written notice of termination. The notice must state that the landlord elects to terminate the tenancy and that refusal to vacate will lead to eviction proceedings.
Generally speaking, a fixed term lease can only be terminated at the end of the lease. There are some exceptions to this rule. For instance, senior citizens (aged 62 or older) are entitled to terminate their lease if they are relocating to an adult care facility, a residential health care facility, subsidized low-income housing or other senior citizen housing. When such tenants give notice of their opportunity to move into one of these facilities, the landlord must release the tenant from liability to pay rent for the balance of the lease and adjust any payments made in advance. The tenant must then give written notice of the termination, to be effective no earlier than 30 days after the date on which the next rental payment after notice is given is due. The notice must include documentation of admission or pending admission to one of the aforementioned facilities.
Tenants entering or called to active duty in the military may terminate a residential lease if (i) the lease was executed by the service member before he/she entered active duty, and (ii) the rental premises have been occupied by the member or the member’s dependents. The tenant must deliver written notice of termination to the landlord at any time following the beginning of military service. Termination of a lease requiring monthly payments is not effective until 30 days after the date on which the next rent is due.
Can a tenant sublet or assign the lease?
A tenant may not assign the lease without the landlord’s written consent, and the landlord may withhold consent without cause. If the landlord reasonably refuses consent, the tenant cannot assign and is not entitled to be released from the lease. If the landlord unreasonably refuses consent, the tenant is entitled to be released from the lease after 30 days’ notice.
Tenants with leases in buildings of 4 or more rental units have the right to sublet with the landlord’s advance consent, which cannot be unreasonably withheld. If the landlord consents to the sublet, the tenant remains liable to the landlord for his/her obligations under the lease. If the landlord denies the sublet on reasonable grounds, the tenant cannot sublet and the landlord is not required to release the tenant from the lease. If the landlord denies the sublet on unreasonable grounds, the tenant may sublet. If a lawsuit results, the tenant may recover court costs and legal fees if a judge rules that the landlord denied the sublet in bad faith.
In order to sublet the rental property, the tenant must first send a written request to the landlord by certified mail, return receipt requested. The request must set out (i) the length of the sublease, (ii) the name, home and business address of the proposed subtenant, (iii) the reason for subletting, (iv) the tenant’s address during the sublet, (v) the written consent of any co-tenant or guarantor, and (vi) a copy of the proposed sublease together with a copy of the tenant’s own lease, if available. Within 10 days after the mailing of this request, the landlord may ask the tenant for additional information to help make a decision, provided that the request is not unduly burdensome. Within 30 days after the mailing of the request to sublet or the additional information requested by the landlord (whichever is later), the landlord must send the tenant a notice of consent, or if consent is denied, the reasons for denial. Failure to send this written notice is considered consent by the landlord to sublet.
A sublet or assignment which does not comply with the law may be grounds for eviction.
When is the landlord permitted to enter the premises?
A landlord may enter the premises, with reasonable prior notice and at a reasonable time, (i) to provide needed repairs or services, (ii) in accordance with the lease, or (iii) to show the premises to prospective tenants or purchasers. In an emergency situation, the landlord may enter the premises without the tenant’s consent. A landlord may not abuse this limited right of entry or use it to harass a tenant.
On what grounds can a landlord evict a tenant?
Following appropriate notice, a landlord may bring a summary non-payment court proceeding to evict a tenant who fails to pay the agreed rent when due, and to recover outstanding rent. A landlord may also bring a summary holdover eviction proceeding if a tenant significantly violates a substantial obligation under the lease, such as using the premises for illegal purposes, committing or permitting a nuisance, or staying beyond the lease term without permission.
To evict a tenant, a landlord must sue in court and win the case. Only a sheriff, marshal or constable can carry out a warrant to evict a tenant. A landlord cannot evict a tenant by use of force or unlawful means, including using threats of violence, removal of a tenant’s possessions, locking the tenant out, or willfully discontinuing essential services such as water or heat. When a tenant is evicted, the landlord may not retain the tenant’s personal belongings or furniture.
A landlord may not seek to evict a tenant solely because the tenant (i) has made a good faith complaint to a government agency about violations of any health or safety laws, or (ii) has taken good faith actions to protect his/her rights under the lease, or (iii) participates in a tenant’s organization. Tenants may collect damages from landlords who violate this law, which applies to all rentals except owner-occupied dwellings with fewer than four units.
The foregoing summary is provided for information purposes only and is not to be considered legal or business advice. The information may not be complete, accurate or applicable for any particular situation and should not be relied upon.
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