Category: NYC Renting Tips

5 Things to Know About Subletting an Apartment in New York City

March 23rd, 2023

Your questions answered about subletting an apartment, short-term leasing, Airbnb and more in New York City.

Subletting is a common practice in New York, where leaseholders rent out their space to other renters for a period of time. There are many reasons a renter may need to sublet. Perhaps they are leaving the City for a few months for work or personal reasons. Instead of breaking their lease, they can sublet their space to someone else to cover the costs of rent. If you’re a renter in NYC, here are 5 things you need to know about subletting your apartment.

1. Subletting for less than 30 days is illegal.

In New York City, renters cannot sublet their space for less than 30 days. So if you’re going on vacation for a couple of weeks, renting out your space is not permitted. Buildings need to be zoned to accommodate short-term rentals. For example, dormitories or hotels are permitted to lease short-term. Most residential buildings in NYC don’t have the appropriate permissions to accommodate short-term renters.

2. You can use Airbnb and other platforms to sublet.

But what about Airbnb? Airbnb and other short-term renting platforms are having a hard time in New York City, since stricter laws came into effect. All spaces listed on Airbnb for short-term renting (less than 30 days), need to apply for short-term renting permits from the city. But if you want to host for periods longer than 30 days, you can still use Airbnb without this city permit.

Read about short-term rules

3. You need to notify your landlord if you want to sublet your apartment.

All renters are entitled to sublet their apartment. Under the law a landlord cannot unreasonably withhold the right to sublet. However, the landlord can refuse to sublet with good reason. If you want to sublet your space, you must inform your landlord and give them a 30-day notice. You will also have to submit documentation about your subtenant. They likely will have to meet certain income and credit requirements to qualify. Your landlord has the right to ask for additional info within that 30 day or period, or deny the request (with good reason). If they don’t say anything, you can assume an approval after the 30 day window has passed.

4. You CAN sublet your rent-stabilized apartment – but there are restrictions.

Rent-stabilized apartments are also eligible for sublet with a few restrictions. You can only sublet the apartment for 2 years at a time. You cannot indefinitely sublet your space. If the apartment is unfurnished, the maximum you can charge the subtenant is the same rent you pay. If you leave the space furnished, you can charge a 10% premium on the rent. Not sure if your apartment is stabilized? Check out our comments here.

Explore rent stabilization

5. Sign an agreement with your subtenant.

Subleasing your space at the end of the day is a contract. Both parties should set clear expectations on price, security deposit, timeline and other rules. Once you get approval from your landlord to sublet, get your subtenant to sign a sublease agreement. Here is a free template to get you started.

Read and share reviews

Have you ever subleased your space? How was the experience? Was your landlord flexible? Be sure to share an anonymous review on openigloo, and help the next renter that considers your building and landlord.
3 Things To Know About Heat & Hot Water Rules in NYC

March 6th, 2023
You’ve just spent a fortune finding and moving into an apartment, only to find out the heat and hot water is subpar. In New York City, landlords are required to make sure the building and individual apartments have functioning hot water 24/7 and that the heat kicks in when it’s supposed to. Here are 3 things to know about heat and hot water rules in NYC and what do it if you find yourself without these utilities:

1. Hot water needs to be working 24/7, 365 days a year

While landlords are not necessarily required to pay for this utility, it needs to be working! The minimum temperature needs to be 120 degrees Fahrenheit. There are no rules about maximum temperature, though you should talk to your landlord or file a complaint with 311 if your water is scalding hot. You can also look up current and previous heat, hot water, and maintenance complaints for any building on the website of the City’s Department of Housing Preservation and Development. To get help talking to your landlord and filing a complaint, call 311 and ask for the Tenant Helpline.

2. New York has a Heat Season that runs from October 1 to May 31 every year

Heat season dictates when heat should be provided to buildings and apartments. Again, landlords are not necessarily required to pay for heat (it should say in your lease), but it needs to be working during heat season. In New York City, many renters rely on radiators for their heat and depend on their landlords to turn them on. In cases where the landlord controls the heat:
- During the day, from 6am–10pm, the indoor temperature needs to be 68 degrees Fahrenheit when the outdoor temperature drops below 55 degrees.
- At night, from 10pm–6am, no matter the outdoor temperature, the indoor temperature needs to be 62 degrees inside.
NYC law sets minimum temperature requirements, not maximum requirements. This form of heat can sometimes overheat an apartment. Learn more about radiators here.

3. You can involve the City if your landlord is not responsive to heat and hot water issues

What should you do if you are left without heat or hot water? First you want to inform your landlord and give them an opportunity to resolve the issue. Be sure to document when you reach out to your landlord. In cases where the landlord is not being responsive, you may need to involve the City. You can file a complaint online or by phone with 311 (you can specifically file a heat and hot water complaint or an apartment maintenance complaint), and a City inspector will visit your apartment and inspect the conditions. You can also call 311 and ask for the Tenant Helpline to get one-on-one support with filing a complaint from a Public Engagement Unit Tenant Support Specialist.

File a complaint online

Living without consistent heat and hot water is frustrating and in some cases very dangerous. But knowing your rights is an important place to start. How’s the heat and hot water in your building? Share a review on openigloo and help the next renter that considers your spot—and then advocate for your rights and hold your landlord accountable with support from the Public Engagement Unit’s Tenant Helpline!

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Broker Fees in NYC: How Does It Work? And Who Pays?

March 1st, 2023

Broker fees are almost always a cause of confusion and frustration for New York City renters. So, what is a broker fee? It’s a fee that is paid to the agent or broker who is managing the listing. In New York City, renters are responsible for paying this fee, even if they did not explicitly choose or hire a broker. This is very different to other cities, where most renters are not used to paying such a fee. (Note that agent and broker are terms often used interchangeably in NYC.) So here are 6 frequently asked questions about NYC broker fees:

1. How much is a broker fee in NYC?

A typical fee is up to 15% of the annual rent (or roughly 2 months rent). So if your apartment is $3,000 a month, your fee would be $5,400. [$3,000 x 12 months x 15% = $5,400.] You can pay this fee to the listing agent at signing. It’s usually a separate fee that you make to them.

2. Can I negotiate a broker fee?

Broker fees are negotiable, and it doesn’t hurt to try. If the market isn’t super competitive, you can always try and negotiate the fee lower. If the apartment is popular and many people want it, negotiating the fee is probably not the best idea. The broker will go with the applicant who is willing to pay the highest fee.

3. Is there a limit on how much a broker can charge?

There’s no legal cap on how much a broker can charge. While the typical fee is 8-15% of the annual rent, brokers have been known to charge more or less. If there is a lot of demand for an apartment, brokers may try to up the fee. There was an example of a broker charging $20,000 as a fee for a rent-stabilized apartment on the Upper West Side.

4. Who is supposed to pay the broker fee in NYC?

The current law says that renters are on the hook to pay the broker fee. At one point, a law said landlords had to pay. It was in effect for a brief period, where eventually, a judge overturned it.

Learn more about rental laws

5. Are there no-fee apartments in NYC? How does it work?

There are No-Fee apartments in NYC. These are apartments where either the landlord is paying the broker fee or hasn’t enlisted a brokerage for support. Filtering your search to no-fee apartments is a good way to save money, but it does limit your option pool of apartments. Only about 20% of availability in NYC is considered “no-fee”.

6. What happens if I have a broker and the landlord has a broker? Who pays?

In this case, the brokers will negotiate amongst themselves on splitting the fee. You should NOT be expected to pay a full fee to both your broker and the landlord’s broker.

7. What are the benefits of using a broker to rent an apartment in NYC?

Agents and brokers are licensed professionals. That means they understand the market and rules and regulations of renting in NYC. In many cases, they also know what apartments are available before they are broadly posted online. If you’re new to the city or have never rented before, enlisting the help of your own broker may be very helpful. If you hire a broker, you can expect them to send you available listings you may like, schedule showings, help you put your application together, and follow up with landlords about applications and approvals. They can also help you avoid rental scams, which are rampant in NYC. If you hire a broker to help you, it’s expected that you pay them for their time and services. To make the process smooth and transparent, have a discussion with them before working together. Ask them what their services are and what their fee is.

8. What are the cons to using a broker to rent an apartment in NYC?

The biggest con is the price, especially when you feel the broker is not helpful. 15% is a hefty fee to pay. If you are confident that you know what you’re doing, and you’re an experienced renter, you may be able to avoid using a broker and connect directly with a landlord or building.

9. The broker didn’t do anything or help me. Why do I still have to pay?

This is a frustrating reality of renting in New York. Even if you feel that the broker didn’t help in any way with your leasing process, you still have to pay. This is because usually there is more demand than supply in New York City. Landlords and brokers justify this fee because the market allows for it.

Read and share reviews

Did you use a broker to find your last apartment? How was the application process and experience? Share an anonymous review on openigloo, and help the next renter that considers your building and landlord.
NYC Rental Application Checklist: 8 Things You Need!

February 6th, 2023

Renting an apartment in New York is not easy. Housing is competitive, prices are volatile, and applications are invasive. First-time renters may be overwhelmed by how much information brokers and landlords ask for. At openigloo, we often get messages from renters asking us what’s normal for an NYC rental application checklist, as handing over dozens of personal documents to a stranger feels weird. But rest assured, these kinds of requests are very common.

Generally, landlords are looking to confirm 3 things: your income, your credit, and your rent payment history. In NYC, renters need to make 40x the rent and have credit of around 700 to be eligible for an apartment without a guarantor. The 40x rule means your annual gross household income needs to be 40x the rent (for example, if the apartment is $2000, your income needs to be $80,000 per year: 2000 x 40 = 80,000). If you want to prepare for your apartment hunt and get your application ready, this is what you’ll need:

1. 6 months bank statements.

Provide full PDF reports and not screenshots. Your name, address, starting and ending balance needs to be on the statements. Make sure these statements showcase bi-weekly deposits from an employer and rent withdrawals. Highlight these line items to make it easier for the application reviewer to identify. If you have multiple accounts, savings or investment accounts, you can include those as well.

2. Last 3 pay stubs.

These should be official receipts from an employer that showcase your gross and net income. Landlords want to see that you are working right now. Usually, they won’t take into consideration an offer letter for a job you haven’t started yet.

3. Employment Letter.

A short letter from your manager outlining your job title, salary, and how long you’ve been there will really help strengthen your application.

4. Last 2 tax returns.

This is another way for the landlord to confirm your income history. The income you declare should match the 40x rule. If it doesn’t (maybe you’ve since received a raise), explain that in your application.

5. Credit Report from the past 30 days.

Landlords may run your credit for you – this shouldn’t cost you more than $20. But if you have a valid report from the past 30 days, you can submit that. It needs to be the full credit report – not screenshots from Credit Karma or other websites. You can get a copy of your full credit report on Experian.

Get Credit Report on Experian

6. 6-Month Rent Payment History.

Landlords want to see that you pay rent on time. Show receipts, Venmo screenshots, or rent ledgers from your previous landlords, etc.

7. Landlord Reference.

While not mandatory, this will really help strengthen your application. Just a short letter from your past landlord that says you were a tenant in good standing with no issues.

8. Photocopy of your government-issued ID.

If you do not have all of the above, you may need a guarantor. A guarantor needs to make 80x the rent to have a credit score of around 800. Ideally, they should be US residents from the tri-state area. Double-check with the landlord or broker on whether guarantors are accepted. Your guarantor will need to provide tax returns, their credit report, and ID to confirm their eligibility. Get those items organized in advance to submit with your application. If you don’t know anyone that can guarantee a lease for you, there are third-party guarantor services you can pay to guarantee your lease.

Get your documents organized and in order on openigloo. You can use our applicant profile to send complete and strong applications to landlords and brokers across the 5 boroughs.

Start Applicant Profile on openigloo
5 Things To Do If You’re Late or Can’t Pay Rent

February 2nd, 2023

As rents continue to rise across the country, making full and timely payments can be challenging. Life happens, and certain circumstances may impact your ability to pay. Maybe a roommate left, or you lost your job, or had an unexpected expense. If you find yourself in a situation where you can’t pay rent in full or on time, here are a few things you should do:

1. Know Your Rights.

Many cities have laws and regulations about late rent payments and fees. In New York City, for example, the maximum late fee a landlord can charge is $50 or 5% of the rent – whichever is less. In places without regulations, you’ll want to reference your lease agreement and figure out how the landlord handles late payments. If the policy is straightforward, at least you can determine what the penalties should be and make sure they are being followed by management.

2. Communicate with your landlord right away.

This can be intimidating for many renters, especially if your relationship with your landlord is tense. But communication is the best policy, and it allows the landlord to plan and be in the know about when they can expect payment. You could also work with them on some sort of payment plan or temporary reduction. On openigloo, renters have shared reviews about their interactions with landlords about late payments. Renters shared how their landlords were flexible about reduced or deferred payments due to economic stress, especially during the pandemic. The bottom line is don’t keep your landlord in the dark – they can’t accommodate or be helpful if they don’t know what’s happening. Here are some email templates to help get the conversation started.

When rent is late, but you’ll be able to make full payment later:

Hi XYZ,

I wanted to let you know that unfortunately my rent payment will be delayed this month. {put a reason for the delay: i.e. I had a reduction in hours at work, there was a delayed paycheck from my boss, my roommate has left etc.}.

I will be able to complete the payment by {month, day.}. In the meantime, I’ve made a partial payment of $xxx and understand there is a late fee of $XXXX.

Thanks for your understanding and apologies for the inconvenience.

Best,
Renter

3. Revise Your Budget.

Life happens. You may no longer be able to afford your apartment. This may require you to reflect on your income and expenses and make reductions where possible. A standard rule of thumb is that you shouldn’t spend more than 30% of your salary on rent. Of course, in high-rent cities like New York, this can be a challenge. Do some budgeting and come up with a new number of what you can reasonably afford to rent. Start researching other housing options and communicate this to your landlord.

Try NYC Rent Calculator

When you won’t be able to make ongoing full payments and need to move:

Hi XYZ,

I wanted to let you know that unfortunately I am unable to make my rent payment this month. {put a reason: i.e. due to extenuating circumstances like illness, job loss, family issues etc.}

It will be difficult for me to catch up on this missed month and was hoping we can negotiate some payment plan to put me back in good standing. Additionally, my new budget for an apartment is $XXXX. If you have an availability in this price range, perhaps I can transfer units.

I want to make sure I don’t continue to fall behind so I wanted to let you know my situation as soon as possible.

Thanks for your consideration and looking forward to working together on a solution.

Best,
Renter

4. Explore community resources and programs that can help you with late rent payments

Many cities have tenant support programs and community organizations that can help protect tenants against eviction. Some of these programs may offer loans or grants to keep you housed.

5. Explore tech solutions.

Various platforms are working to help renters catch up on their rent, divide payments, and even get rewarded for paying rent on time. At openigloo, we’re helping connect renters with great landlords. Tenants can find, research, apply, pay, and sign for their chosen apartment. Our network of landlords are well-reviewed and often applauded for their flexibility. At openigloo, we strive to support each and every renter with a personalized customer experience. That includes coming up with solutions when things don’t go according to plan.

Visit openigloo

Not being able to pay rent in full or on time is extremely stressful – especially since every landlord and building operates differently. But a good place to start is to know your rights, communicate, revise your budget, and explore community and tech tools that can help.

If you’ve had a communicative and collaborative landlord, be sure to share a review on openigloo. It’s anonymous and could really help the next renter with their search.

Explore more email templates
openigloo’s 2023 NYC Rental Market Predictions

December 21st, 2022
2022’s rental market was a rollercoaster. The year started off with a dramatic reversal of the rent discounts seen throughout the pandemic. Manhattan renters in particular navigated double-digit increases sometimes upward of 50% when their leases came up for renewal.

Heading into the summer, the usual seasonal uptick coupled with the influx of renters returning to the city resulted in unprecedented demand. As 2022 comes to a close, things have “normalized”. Rents are back or have surpassed pre-pandemic prices while demand has cooled heading into the winter months.

So what can we expect in 2023? Here are openigloo’s NYC 2023 rental predictions:
1. Rent prices will remain flat.
2. Regulatory discussions around Good Cause Eviction and Broker Fees.
3. Upward pressure on pricing in the outer boroughs.
4. Renters will demand transparency and stability when apartment hunting.
5. New construction in 2023 will help relieve supply constraints into 2024.
1) Rent prices will remain flat in the 2023 NYC rental market

Since summer 2022, rents have stabilized. Even increases on lease renewals have remained sub-5% indicating there is no longer appetite for 20% increases. We expect this attitude to continue into 2023 with the usual seasonal upticks throughout the year.

2) Regulatory discussions around Good Cause Eviction and Broker Fees.

2022 brought a lot of debate around Good Cause Eviction and broker fees. Headlines of 50% rent increases and some tenants being charged $20k broker fees on stabilized apartments caused upset. We predict that restrictions on rent increases and caps on broker fees will be a serious part of regulatory discussions in 2023.

3) Upward pressure on pricing in the outer boroughs.

In 2022, rent changes across the boroughs began to converge. Rent increases in Manhattan, Brooklyn, and Queens were the same, indicating that tenants are more open to looking outside of just Manhattan. Because the return to office movement in NYC has been slower to materialize, renters will continue to look to more spacious and affordable spaces in the out boroughs putting upward pressure on pricing.

Read rent report for November 2022

4) Renters will demand transparency and stability when apartment hunting in 2023 NYC rental market.

2022 threw a shock into the rental market. Many tenants were left scrambling after being priced out of their units and felt frustrated by the lack of pricing transparency and stability of their housing. In 2023 renters will demand more transparency with respect to price increases, and management’s responsiveness before they sign a lease. Renters will not just take space, location, and price into consideration during their apartment hunt, but they will be looking for some peace of mind that they can renew their leases for multiple years at incremental and tolerable increases.

Read and share reviews

5) New construction will help relieve supply constraints into 2024.

2022 saw an increase in issued building permits as developers raced to secure their projects before the 421-a tax exemption was set to expire. This tax exemption was given to new rent-stabilized projects where a percentage of units were set aside for affordable housing lotteries. Permits covering 58,000+ new units were granted. While it’s unclear how many of these projects will start in 2023, any injection of new housing supply in New York will provide some relief for renters.
NYC Affordable Housing Lotteries 101

November 15th, 2022

What is it, who is eligible, and how to apply?

New York City is expensive, and apartments are scarce. In order to meet the demands of a growing population, the city is constantly building apartments. Affordable housing lottery helps tenants secure affordable housing throughout the five boroughs. Here are answers to some of the frequently asked questions we receive about the affordable housing lottery at openigloo:

1. What is the affordable housing lottery program in NYC?

NYC affordable housing lotteries are run by two city agencies; The New York City Department of Housing Preservation and Development (HPD) and the Housing Development Corporation (HDC). These agencies collaborate with private landlords and real-estate developers to make sure a portion of new development projects are affordable and reserved for the housing lottery. The city considers an apartment affordable if the tenant does not spend more than 30% of their household income on rent. In exchange for participating in the program, these private landlords and real-estate developers receive multi-decade tax abatements. In the lottery, all apartments have rent stabilization leases, which means tenants are eligible to renew, and the rent can only go up by a certain amount every year. The affordable housing lottery is just one way to secure a rent-stabilized apartment. It’s not the only way. To learn more about rent-regulated apartments, read our blog post here.

Learn more about rent-regulated apartments

2. Who is eligible for affordable housing units in New York?

Households of various sizes and incomes are eligible to apply for the lottery. Each building in the lottery has its own rules and parameters for who can apply. For example, below is a matrix explaining who is eligible for apartments in a new Harlem development. This is how you would interpret the top section; there are 13 1-bedroom apartments available for households that make up 130% of the Area Median Income (AMI). Henceforth if your family has 3 people, and together you make between $94,972-$156,130 per year, then you are eligible for that apartment. If the program chose you as renters, you’d pay $2,770 for a rent-stabilized unit in that building.

3. Can people from outside of New York apply to the lottery?

People from outside of New York can apply for the lottery, but there is a preference for NYC tenants. Therefore, some buildings may also have more specific community preferences, where they need to fill a portion of the units with families from a specific neighborhood.

4. How long will the program take to select apartments?

In fact, no one can predict how long the program takes to select an apartment. Several renters secured an apartment within months, while others waited years. Our successful tenants have told us to be patient and steady; apply, apply, and keep applying.

To learn more about NYC affordable housing lotteries, be sure to visit NYC Housing Connect. There you can browse available apartments and apply.

Visit NYC Housing Connect

Submit an anonymous review about your current or previous building on the openigloo, and help a future renter with their apartment search.
Moving To New York? 5 Things You Need To Know BEFORE You Rent An Apartment In NYC

September 1st, 2022

Renting apartments in NYC is unlike anywhere else. With millions of renters in the city, and many more moving each year, it’s important to go into your apartment hunt armed with the right information.

Here are 5 things every new New Yorker should know before renting an apartment.

1. Scams are everywhere. Be careful.

Scammers prey on newcomers when it comes to apartment hunting. They’ll post listings that seem too good to be true and have a low price point. They may pressure you into making a deposit in order to see or apply for the apartment. They may say you can’t see the apartment because the current tenant is still living there. These are strong indications that it could be a scam. All real estate agents have to have a license with the State – if you’re feeling uneasy about the correspondence with an agent, you can look them up here and confirm they have a valid real estate license. If you’re dealing with an owner – confirm they are actually the owner of the property. Put the address in openigloo and you can see who the listed building owners are. A good rule of thumb is to never pay anything without seeing the space. If you’re not in the city, find someone to see it for you. Dealing only with verified and licensed agents and/or owners is also a good practice.

2. Most landlords require that you make 40x the rent and have a 700+ credit score.

Requirements to rent an apartment in NYC are strict. 40x the rent is standard. That means if you are looking at an apartment that is $2000 a month, your household income needs to be $80,000 a year to qualify ($2000 x 40 = $80,000). A 700 credit score is also typical. For example, if you’re a new grad moving to New York and you haven’t started working yet, getting approved is going to be tough without a guarantor. It doesn’t matter if you have a strong offer letter outlining your upcoming salary. Moving to NYC to look for a job will be difficult. If you don’t meet the income or credit requirements, you’ll need an American guarantor (preferably in the tri-state area) who makes 80x the rent and has a credit score of at least 800. If you don’t know anyone who can guarantee a lease, you can look into third-party guarantor providers.

Explore no-fee listings

3. You may have to pay a broker fee.

Broker fees cause a lot of confusion for renters. In New York, renters are responsible for paying the broker when they sign a lease. In many states, landlords pay this fee (but not in New York). However, there are no fee apartments in NYC – this is when the landlord has agreed to pay the fee to the broker, or they are renting it themselves, so there is no fee. In any case, a 15% fee is normal. If the rent is $2000 a month, the fee to the broker would be $3600, which is equivalent to 15% of the annual rent ($2000x 12 months x 15% fee = $3600). Some brokers may charge just 1 month’s rent as the fee. When you sign a lease, expect to pay the first month’s rent, a security deposit equal to one month’s rent, and a broker fee. Broker fees are negotiable, so don’t be afraid to try and get the fee lower. If you want to avoid a broker fee, search for no-fee listings on openigloo.

4. Research the building and landlord before you move in.

Lots of apartments in New York show really well. New appliances, clean hardwood floors, pre-war charm. But you never really know what it’s like to live in space until you’re already there. On openigloo, you can read reviews from other tenants, access city data on the property (open violations, bedbug reports, litigation history), and figure out who owns the building. Avoid apartments with hidden issues – pests, faulty heat, or thin walls are things that could sour your rental experience.

Read and share reviews

5. New York has tenant laws to protect you. Get familiar with them!

New York has dozens of laws to help protect renters. For example, landlords can only charge a maximum of $20 as an application fee. Landlords must return security deposits within 14 days of move-out. Landlords must give notice if they want to raise your rent by more than 5%. And the list goes on. You can read more about NYC Housing Laws here.

Renting in New York City is tough, but it’s important to go into your apartment hunt armed with the right information. Reach out to the openigloo team anytime with any questions or concerns. We’re here to help renters find a great place to live.

Once you’re settled into a new place, submit an anonymous review about your building on openigloo, and help a future renter with their apartment search.
3 Things You Should Know Before Breaking A Lease In NYC

May 1st, 2021

Breaking a lease in NYC can be a challenge. Some landlords have simple lease-break fees, while others will make it impossible. The pandemic left thousands of New Yorkers reconsidering their living arrangements, meaning lease breaks were on a lot of renters’ minds. Whatever the reason for thinking about breaking a lease, many renters were left with sometimes contentious negotiations with their landlords.

During the past year, we’ve received thousands of reviews from NYC tenants. Many have shared their own personal experiences with lease breaks. One renter shared, “I was able to break my lease but only after weeks of fighting with the building and laying out what my rights are as a tenant. It was an excruciating process.” Another renter wrote, “I lost my job due to COVID and had to break my lease. The landlord was flexible and responsive to working with me – we agreed on a lease break fee equal to one-half of the monthly rent.”

So what are the renter’s rights when it comes to breaking leases? These are 3 things you should know before trying to break a lease in NYC:

1. New rent laws require landlords to make a reasonable effort to re-rent an apartment.

In 2019, there were landmark rent reforms that shifted some responsibility to landlords when it comes to re-renting an apartment after a tenant breaks the lease. Landlords now have what’s called “a duty to mitigate”. This means they need to make a reasonable effort to re-rent the apartment rather than simply taking you to court for unpaid rent.

Start your anonymous reviews

2. If you’re breaking a lease voluntarily, notify your landlord in writing and try to find a replacement or sublet.

Communication is key. If you need to break a lease, notify your landlord as soon as possible. Try to find your own replacement or sublet for the apartment. This can make the negotiations a lot smoother! If that doesn’t work, you can try offering to pay the penalty (sometimes the security deposit, or 1-month’s rent). Some leases have a lease-break clause – double-check to see if your lease already has one. If you need a different space or cheaper rent, offer to transfer your lease to another apartment in your landlord’s portfolio. This may make the landlord more open to working with you.

3. If you have to break a lease in NYC because of issues with the apartment, make sure everything is well documented.

Sometimes an apartment just isn’t safe to live in anymore. In these cases where a landlord has neglected their property and ignored maintenance requests for hazardous issues, you likely have a strong case to break your lease. This is called a constructive eviction. But be prepared to back up your claims before moving out. The violations alone may be enough for the landlord to let you out of your lease, but a disagreement could wind up in Housing Court. So it’s best to start documenting the conditions before moving out. For future leases, always be sure to document the condition of the apartment before you move in as well!

Write a review

There is no one way to break a lease in NYC. Every landlord is different, and every situation is unique. But knowing your rights and communicating openly with your landlord is a good place to start!

Have you ever broken a lease? Was the landlord flexible? Be sure to share your experience on openigloo! Together, we can help NYC renters find and rent from the city’s best landlords.
7 Things Every NYC Renter Should Know About Security Deposits

March 1st, 2021

Why is getting security deposits back such a pain in NYC? openigloo has received thousands of reviews from renters complaining that they had to fight tooth and nail to get their security deposit back. It shouldn’t take months and hundreds of emails to get the money back that belongs to you.

While 70% of openigloo users have reported getting their security deposits back, some neighborhoods and landlords are known for making the process more difficult. For example, 94% of renters in the Financial District reported getting their security deposits back. In comparison, only 50% of renters in Long Island City received theirs.

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In many cases, landlords rely on tenants not knowing their rights and eventually giving up the fight. One openigloo user shared in a review that their landlord is “currently withholding $1000 of the security deposit and ignoring all attempts to get an explanation.” It’s important to know that landlords are REQUIRED to give you an explanation as to why they are keeping your deposit.

There are many tips and tricks on how to improve your chances of getting your deposit back. You can document the move-in and move-out conditions, make any necessary repairs and be sure not to leave anything behind. But many tenants have done everything right and even left an apartment in better shape than when they found it.

So what else can be done? It may require threatening legal action. One openigloo user shared, “My landlord tried to steal my security deposit by trying to come up with excuse after excuse. So she just stopped taking my phone calls or responding to emails for three months after I moved out (she even claimed she didn’t have a computer). However, as soon as I got a lawyer, she sent that check REAL QUICK (with no deductions).”

While having a lawyer is no guarantee of getting your deposit back, knowing the laws and regulations around security deposits is a good place to start. Here are a few things every New York City renter should know about security deposits.

1. Your landlord has 14 days to return your security deposits in NYC

For non-regulated apartments, your landlord has to return your deposit within 14 days of your move-out. New laws require landlords to provide an itemized list of the damages and the related repair costs. Remember, they have 14 days to do this. If not, they forfeit their right to the deposit.

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2. You can request a walk-through

As a safeguard, you could request a walk-through before you move out. During this walk-through, the landlord has to provide an itemized list of damage and give you a chance to address it. This strategy could be a way to avoid the landlord overcharging you for simple repairs.

3. Security deposits in NYC need to be in an interest-bearing New York State Bank account

Usually, in buildings with more than six units, landlords are supposed to keep your deposit in an interest-bearing account with a New York State bank. They are required to tell you the name and address of the bank and the account number.

While your deposit is supposed to collect interest, landlords can also charge a 1% administration fee. Because interest rates are so low, that fee can erase any interest you may be entitled to.

4. Your landlord cannot ask you to pay more than a month’s rent as a deposit

New rent reforms now forbid landlords from collecting more than one month’s rent as a security deposit. Perhaps a landlord will ask for this if you are an international student or a new immigrant without US credit. Still, this practice is illegal for both market-rate and rent-regulated apartments.

5. You may have to pay more towards your security deposits in NYC if your rent goes up

Suppose you are renewing your lease, and your rent goes up. In that case, the landlord can collect additional money to bring the security deposit up to 1 month’s rent.

Side note: if you have a rent-stabilized apartment, make sure your landlord increases your rent by the legal amount. If you’re unsure whether you have a rent-stabilized apartment, request your rental history through the Homes and Community Renewal website.

6. Tenants are not supposed to pay for normal wear and tear

Tenants are not supposed to be held responsible for the general wear and tear of an apartment. The issue is that every landlord has a different interpretation of wear and tear. It’s good practice to have transparency with your landlord before moving in of what they consider normal wear and tear. Get it in writing. But generally, courts interpret wear and tear as the deterioration from normal use of a property without fault, without negligence, and without carelessness.

So don’t let your landlord charge you for things like small holes in wall hangings or floor scuffs.

7. You can take your landlord to small claims court or file a complaint with the Consumer Frauds and Protection Bureau of the New York State Attorney General

If you’ve been going back and forth with your landlord for months, or worse, they’ve just stopped answering your emails, you may have to take things to court. You can fight your landlord in Small Claims Court for up to $10,000 – but make sure you have clear documentation of the apartment’s condition to prove your case.

You can also file a complaint with the New York Attorney general. Due to the pandemic, there is now an online submission form, where you can attach supporting documents.

Navigating security deposits is no easy task. But knowing and fighting for your rights is a good start. If you’ve been burned before by a landlord who has unjustly kept your deposit, be sure to share your experience on the openigloo app – it’s anonymous. Collecting and sharing information about landlords who illegally keep deposits is essential so that future renters can avoid those buildings. Similarly, if you’ve had a landlord that made your move-out experience really seamless, give them a shoutout. Help the next renter find (or avoid) their next home!