Just how much can my lease be increased each year?

The Ordinance provides that the Rent Stabilization Board each year identifies the permissible percentage boost, or Annual General Adjustment (" AGA"), that landlords can raise leas for occupants in regulated rental systems. Landlords of rent-controlled systems, who remain in compliance with the Ordinance may increase leas between July 1 and June 30 of each program year by the amount of the AGA (presuming the renter's present lease level is at a formerly accredited Maximum Allowable Rent, hereinafter "MAR") after providing proper 30-day notice to the occupant, as required by State law.

The following are the percentage of rent increases enabled, consisting of all charges for regulated housing services, for each program year because the Ordinance entered into impact in August 8, 2010:

- July 1, 2024 - June 30, 2025 AGA lease boost of 1.9% enabled
- July 1, 2023 - June 30, 2024 AGA rent increase of 4.2% allowed
- July 1, 2022 - June 30, 2023 AGA lease increase of 4.2% permitted
- July 1, 2021 - June 30, 2022 AGA lease increase of 1.3% permitted
- July 1, 2020 - June 30, 2021 AGA rent boost of 2.3% permitted
- July 1, 2019 - June 30, 2020 AGA lease boost of 2.8% permitted
- July 1, 2018 - June 30, 2019 AGA rent boost of 2.9% enabled
- July 1, 2017 - June 30, 2018 AGA lease boost of 2.7% permitted
- July 1, 2016 - June 30, 2017 AGA lease increase of 2.4% enabled
- July 1, 2015 - June 30, 2016 AGA rent boost of 2.0% enabled
- July 1, 2014 - June 30, 2015 AGA rent boost of 2.0% allowed
- July 1, 2013 - June 30, 2014 AGA rent increase of 2.0% enabled
- July 1, 2012 - June 30, 2013 AGA lease boost of 2.4% allowed
- July 1, 2011 - June 30, 2012 AGA lease boost of 1.4% allowed
- August 8, 2010 - June 30, 2011 AGA of 0% (no increases were permitted)

If lease was increased by more than the percent mentioned above for any of these program years, occupants might petition for a rent decrease and for a refund for any lease they overpaid, unless the rent increase is to the acceptable rent level or MAR, as allowed under State law,1 and the proprietor is otherwise in compliance with the Ordinance.

In determining lease boosts, AGAs must be applied to a tenant's allowable rent level or licensed MAR (Do not consist of the City's registration charge of $9.75 when determining the rent increase). The Board embraces the AGA in April to be effective before the program year begins, which runs July 1 through June 30 of that year and a notice sent out by the Board recommending landlords and tenants of controlled rental units of the AGA is sent in mid-May of the very same year. A proprietor is eligible to increase leas using AGAs just if the landlord:

1. Registers all systems in the same residential or commercial property with the Rent Stabilization Program; and
2. Substantially complies with the Ordinance and any orders or regulations issued or promoted under the Ordinance, consisting of not charging more than the allowed lease; and
3. Ensures the rental abides by the indicated warranty of habitability; and completes all repairs bought by the City.

Rent increases may not exceed 10% in any 12-month duration. Fees paid to a landlord for regulated housing services such as parking or utilities belong to the lease. Any increase in costs for regulated housing services, or any charges for extra services except for the addition of a family pet charge that were not included in a tenant's initial rental agreement, are thought about lease boosts and should conform to the requirements for raising leas. The addition of a family pet charge is not considered a rent boost. The Board does not validate a property manager's eligibility for yearly lease increases. Tenants must keep track of lease increases carefully and file a petition with the Board, if necessitated, to challenge a property owner's eligibility to raise rents or the propriety of any lease boost.

Landlords might raise leas by a lower amount than enabled by the AGA or choose not to raise rents by the AGA in any given year, and in that occasion, they may "bank" the unused AGA for future usage to raise an occupant's rent.

When can my landlord raise my rent?

A landlord can not increase lease unless a Certificate of Maximum Allowable Rent has actually been provided for the existing tenant of a regulated unit after a property manager has sent a Registration Statement. Once a Certificate of Maximum Allowable Rent has been released, the proprietor can raise that occupant's lease as soon as every 12 months, however not in excess of 10% each year, as long as the unit continues to be appropriately registered, and the proprietor remains in substantial compliance with the Ordinance. No lease boosts are permitted for renters within 12 months of initial occupancy.

What does it imply to "bank" an AGA for future rent increases?

Landlords may "bank" for future use an AGA that is not used to raise rent in the program year for which it is licensed. A composed notice of banking need to be provided to the tenant by February 1 in the program year for which an AGA is licensed and will not be used that lists which, if any, authorized AGAs have not been taken. A proprietor might not bank more than 3 AGAs throughout an occupant's tenancy. As such, usage of banked AGAs to raise a tenant's lease is restricted to the last three AGAs that have been banked.

What is a Certificate of Maximum Allowable Rent?

Beginning in 2011 the Board started issuing Certificates of Maximum Allowable Rent for rental systems regulated under the newly adopted Ordinance. Certificates are just released upon Initial Registration of a rental system and upon tenancy by a brand-new tenant; they are not provided every year. Based upon details sent by property managers, the Rent Stabilization Administrator determines the MAR in the Certificates released for rentals that have been properly registered with the City. Each Certificate of Maximum Allowable Rent just uses to the occupants in a rental arrangement for tenancy of a specific unit address. A renter can not be charged lease, including any costs for regulated housing services, above the MAR for the timeframe defined in the Certificate issued for their system. If a tenant is charged rent above the MAR, they may submit a petition (Petition A) to look for a lease reduction and a rebate for overcharges. Depending on the facts of a specific occupancy, rebates may reach as far back as August 2010.

How are Certificates of Maximum Allowable Rents (MARs) figured out?

The Rent Stabilization Program Administrator uses formulas for determining the MAR in Certificates of Maximum Allowable Rent that think about the date the tenant moved into the rental unit, the Adjusted Base Year Rent, and the AGAs enabled ever since. The figured out Base Year Rent, which for new tenants is the rent at preliminary occupancy, is changed by deducting any discount rates supplied to the occupant in the first 12 months, and including the quantity of any regulated housing service charge included in the initial rental agreement. This Adjusted Base Year Rent is then multiplied by any collected AGAs because the Base Year. The full chart of the Administrative Formulas for Calculation of the MAR and other documents can be discovered here.

What if I disagree with the MAR in the Certificate of Maximum Allowable Rent provided for my system?

Landlords and occupants can petition for a hearing to object to the MAR. For instance, either party can challenge the accuracy of information reported to the Rent Stabilization Program, which is utilized to determine the Maximum Allowable Rent. Objections need to be received within one month of the issuance of a Certificate of Maximum Allowable Rent; this due date can be reached 60 days for great cause. If a timely objection is not filed, the Certificate of Maximum Allowable Rent ends up being last unless there is proof of deliberate misstatement or fraud, or unless a renter and proprietor voluntarily submit a joint petition (a "stipulated petition") seeking a correction.

Can I be charged a City registration fee of $9.75 in addition to my rent?

No, owners can not. Under the 2010 Ordinance, before November 2016, owners, with proper advance 30-day notification, could pass on to renters half of the City's registration fee for the Rent Stabilization Program. In program years 2011 through 2015, the occupant's share of this charge was $9.75 monthly. Tenants might not be charged more than this quantity or charged this fee retroactively. This cost was not part of the rent or included in the computation of the MAR or rent boosts based upon AGAs.

Upon the voter-approved change of the 2010 Ordinance in November 2016, the maximum allowable lease for occupancies developed on or before November 8, 2016 was increased by 9 dollars and seventy-five cents ($9.75) as of November 8, 2016, to reflect the previous regular monthly registration fee pass-through quantity. As a result, owners are no longer allowed to gather this cost as a different charge.