NY Landlords' Calls to Repeal the State’s Tenant Protection Act Fail

In mid-2019, New York Governor Andrew Cuomo signed the Housing Stability and Tenant Protection Act of 2019. The legislation contained numerous changes to state rental law. For example, security deposits became limited to one month’s rent. The rules surrounding eviction and tenant background checks have also changed. Initially, landlords pushed back against the law, which took immediate effect. Numerous landlords went to the media to argue for the immediate repeal of the law.

Those efforts have not been successful so far. Since the passage of the law, New York has only continued to strengthen the rights of renters. What issues led to such fierce pushback from property managers?

Changes to Eviction and Screening Rules Rankled Landlords

A new eviction rule was one of the prime points of contention. Before 2019, New York landlords only had to provide 72 hours to vacate during an eviction. Under current law, they must provide at least two weeks’ notice. That remains true even if rent payments are in arrears.

The effect on tenant background checks in New York was also significant. Landlords often point to background checks as an indispensable safety element when choosing tenants. Property owners also use some tools, such as credit reports, to assess financial responsibility.

The 2019 law began changing the screening process used by many landlords. Chief among these changes was a new $20 fee limit. Additionally, some court cases are no longer admissible. New landlords can’t deny housing if a tenant has been in court over evictions or unpaid rent. Lessors argued that the new regulations made profiting from their rental properties more difficult. They claimed the state had reduced their ability to vet potential tenants thoroughly.

New York Continues to Regulate the Rental Market

Despite these complaints, no serious repeal effort ever emerged. New York has continued to tighten regulations on tenant background checks. Late in 2023, the New York City Council passed the Fair Chance for Housing Act. This law initially would have virtually abolished tenant background checks. In its current form, it will make numerous criminal convictions inadmissible.

In 2025, New York City landlords will lose the right to consider most felonies older than five years and misdemeanors older than three years. This change has the potential to substantially reshape access to housing. However, its effect on landlords and property owners remains to be seen. Property owners and rental operators in New York City should consult with counsel. From now on, it will be even more vital for landlords to understand their legal obligations.

Effective September 2024, we stopped allowing the use of our services for tenant screening, including credit report access. Since this is not a core market for us, we cannot support its rapidly growing regulatory burdens.