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Squatters and non-payers will receive protection: New York proposes a dangerous law prohibiting evictions

'21.02.2022'

Nurgul Sultanova-Chetin

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The tenant does not pay the rent, and the owner, because of this, cannot pay for the repair of the building. The roommate decides not to move out and stays for a long time. And the landlord can't evict them. Under the Legislative Assembly's misleading Good Cause Eviction Bill, all of these individuals can stay in their apartments permanently, and it is virtually impossible for the property owner to seek help. This is reported NY Post.

"No Evictions Ever" would be a better title for an absurdly vague, sweeping bill that would place strict new limits on rent increases and the eviction of nearly 1,6 million New Yorkers. tenants.

While some changes are likely, the business community and the real estate industry nonetheless fear that it will become a law with the same disruptive core elements.

The bill broadly defines almost anyone who pays another person to own real estate in New York as a "tenant." It expressly forbids landlords from evicting them except in the most limited circumstances.

Aimed at imposing ruthless restrictions on free-market apartments, the measure would create automatic lease renewal rights even if tenants misbehave or landlords want to return apartments for personal use or refurbish and sell them.

On the subject: Hokul wants to change the affordable housing program in New York: what does it offer

In theory, the bill allows landlords to evict tenants for "good reasons." Such reasons include non-payment of rent, damage to apartments or their use for illegal purposes. But "No Evictions Ever" will turn even the simplest cases of non-payment and violation of the terms of the lease into costly and time-consuming litigation, setting the bar for eviction impossibly high.

Consider raising your rent. According to the bill, an increase in the regional consumer price index of more than 3 percent or 1,5 times, whichever is higher, is considered "unreasonable" and is not allowed. What's more, the bill leaves it up to the court to decide that any rent increase — even below 3% or 1,5 times the CPI — is "unreasonable."

Now even a slight increase in rent can be challenged

This means tenants can challenge any rent increase—even small amounts or those that are badly needed for maintenance.

A bill that suggests that tenants never support bad neighbors evicting is a particularly damaging type of general rent control. In this case, the rent of the tenants will be actually frozen on the spot.

Property owners will eventually subsidize all tenants, even those living in luxury apartments who can easily afford an increase. Landlords delayed or skipped renovations and upgrades to avoid the legal battles needed to finance them. This will hurt everyone involved, lowering the quality of New York's housing stock.

Supporters of the bill argue that it reflects the laws of other states, including New Jersey. But New York's proposal has far less compelling reason to evict tenants. Under the New York bill, a tenant can successfully fight an eviction by claiming that the landlord is trying to evade the "intent" of the bill, whatever that may be, because the bill does not clearly define its intent or what "avoidance" means.

Laws in other states also give landlords a lot more room to raise their rent. The Jersey tenant must prove that the rent increase is "exorbitant", i.e. so dishonest or unfair as to be "outrageous".

In addition, New Jersey has at least eight additional grounds for eviction over New York's list, including habitual non-payment of rent, a conviction for property theft, and threats against landlords and owners selling or converting property.

New York City's "No Evictions Ever" bill, on the other hand, completely prohibits owners of buildings with 12 or more units from claiming apartments for personal purposes, such as providing housing for their unemployed or sick family members. (Owners of houses with 5 to 11 apartments may claim an “urgent” need to return the apartments for personal use.)

On top of that, New York City's already overburdened courts are ill-equipped to deal with more "urgent and urgent" cases.

New bill protects illegally releasing tenants

Finally, No Evictions Ever outrageously defends tenants who illegally rent their apartments as short-term guests through services like Airbnb. The bill would only allow landlords to evict such tenants if property owners can convince local governments to issue "vacation orders." However, most municipalities, including New York City, do not normally issue such orders. Instead they penalize landlordswhen tenants violate laws regarding short-term rentals.

It would be a double whammy for New York landlords: a tenant who can't be evicted, combined with state penalties for not evicting that same tenant.

Everyone wants to make New York more accessible. But the answer is not to violate constitutionally protected private property rights by effectively transferring ownership of the leased property to tenants, regardless of their behavior.

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