Rent control in NYC is
managed by a system called Maximum Base Rent (MBR), which limits rent increases to a certain percentage every two years, based on the Rent Guidelines Board. Landlords can apply for rent increases but can only raise the rent if the building has no violations and they have provided necessary services. Tenants can challenge a proposed rent hike by showing the building has violations or the landlord's expenses don't justify the increase.
How rent control works
Maximum Base Rent (MBR) system: A maximum rent is set for each rent-controlled apartment, and it is adjusted every two years based on the Rent Guidelines Board's decisions.
Limited rent increases: The law caps how much a landlord can increase the rent. The increase is the lesser of
7.5%7.5 %
7.5%
or the average of the five most recent Rent Guidelines Board annual rent increases for one-year leases.
Landlord responsibilities: To apply for a rent increase, a landlord must certify that they are providing essential services and remove any building violations.
Tenant rights: Tenants can challenge a proposed rent increase by proving the landlord has not provided necessary services or that the building has code violations.
Apartment status: When a rent-controlled apartment is vacated, it may become rent-stabilized or completely deregulated.
Important considerations
Not a market-rate system: Rent control does not mean a tenant can't be charged more than the previous tenant paid. However, the amount of the increase is limited by the MBR system, not the market rate.
Rent stabilization vs. Rent control: Rent control is a separate, older program that sets a fixed price for certain apartments, while rent stabilization allows for annual rent increases tied to inflation and other factors.