Governor Kathy Hochul has signed a set of new laws aimed at increasing homeownership opportunities and strengthening protections for renters across New York State. The legislative package includes tax incentives to make homeownership more accessible, policies to combat home appraisal discrimination, and new regulations to protect tenants from unfair fees and rent price manipulation.
Governor Hochul stated, “Every New Yorker deserves a safe, stable place to call home. With this legislation, we’re opening more doors to homeownership and strengthening protections for renters — because every New Yorker deserves the fair chance to build a better life in a home they can afford. I am committed to delivering fairness and affordability in every corner of our state, so more New Yorkers can put down roots and build a future right here at home.”
Among the measures is legislation (A355-C/S1718-B) that creates a property tax incentive for homes built with support from government entities, nonprofits, land banks, or community land trusts and sold to low- and moderate-income buyers. This is intended to lower costs for such buyers and expand affordable housing supply.
State Senator Michelle Hinchey commented, “We’ve been fighting to make homeownership affordable in rural and upstate communities because it shouldn’t be the case that working families are priced out of the housing market. Our legislation will help change that by allowing local governments to offer property tax breaks on homes sold through nonprofits, land trusts, and land banks. I thank Governor Hochul for signing our bill, which will help more New Yorkers realize the dream of owning a home and achieve the kind of housing stability that carries on across generations.”
Assemblymember Didi Barrett added, “Our communities simply cannot survive without building more affordable housing for people to live and raise their families. Habitat for Humanity and community landbanks have shown the way and this common sense legislation will help ensure these homes remain accessible to hard working New Yorkers. I thank Governor Hochul for signing this important bill into law to continue our battle against the housing affordability crisis.”
Another new law (A6770/S7285) allows communities statewide to offer a tax incentive for redeveloping vacant or abandoned one-to-four family homes into affordable ownership or rental properties. This aims to help municipalities address vacant properties and increase available housing.
Assemblymember Judy Griffin said, “This legislation will expand the Residential Redevelopment Inhibited Property Exemption (currently only available in small cities) to the rest of the state. Allowing local governing bodies the option to offer this property tax exemption will provide local governments with an additional tool to encourage the rehabilitation of abandoned properties. This legislation supports local control while increasing the housing stock, and will help remove blight from our neighborhoods. I thank the Governor for signing this important bill.”
To address appraisal discrimination, legislation (A6869/S7320) makes it a violation of state law to discriminate in real estate appraisals. The Department of State is now able to fine violators, with half of the fines going toward fair housing enforcement.
State Senator Brian Kavanagh said, “To end the housing crisis, we need to use all the tools we have available to us, not only to increase housing supply, but also to ensure stability, affordability, and fair treatment for homeowners and renters. Each of the bills Governor Hochul is signing today is an important step toward that end. This bill recognizes that discrimination in appraisals undermines one of the key benefits of homeownership and reinforces the effects of our terrible history of bias and segregation in housing. I thank Governor Hochul and Assemblymember George Alvarez, and all of our colleagues who supported this important legislation.”
Assemblymember George Alvarez stated, “Every New Yorker deserves access to safe, stable, and affordable housing, whether renting or working toward homeownership. I am proud to have sponsored legislation that addresses discriminatory appraisal practices and strengthens protections for renters against unfair fees and rent manipulation. These measures are an important step toward greater equity in our housing system, ensuring our communities remain places where families can build a secure and dignified future.”
Another law (A3470/S7413) now requires homeowners’ associations or condominium boards to provide 90 days’ notice before starting foreclosure actions related to unpaid charges or fees.
State Senator Brian Kavanagh said, “Disputes with homeowners’ associations or condominium boards over unpaid common charges or other financial obligations can pose a serious threat to homeowners’ ability to keep their homes, yet foreclosure actions may come without proper notice. I want to thank Governor Kathy Hochul, Assemblyman Chuck Lavine, and our colleagues for taking action to close this significant gap in the law and protect homeowners throughout the state.”
Assemblymember Charles D. Lavine added, “This legislation will make it easier for hard working Long Islanders to achieve the dream of owning their own home. I thank Governor Hochul for continuing to make living in New York more affordable for all hard-working residents of the state.”
On the renter protection side, new legislation (S7882/A1417-B) prohibits landlords from using algorithm-enabled software for rent price fixing. According to recent data, such algorithms have increased rents by an estimated $3.8 billion nationwide last year. The new law makes New York one of the first states in the country to ban these practices.
State Senator Brad Hoylman-Sigal said, “By signing our bill to prohibit landlords from using algorithms to artificially inflate rents and reduce housing supply, Governor Hochul is ensuring fairness and transparency in New York’s rental housing market. The use of rent-fixing software like RealPage leads to collusion, plain and simple, and artificially increases the cost of housing when hard-working New Yorkers face a severe housing crisis. This legislation will update our antitrust laws to make clear that rent price-fixing via artificial intelligence is against the law and ensure there are boundaries against behaviors that the federal government has found lead to anticompetitive practices and price fixing. It’s already too hard to be a renter in New York, and we cannot allow exploitative technology make it any harder. Thank you to Governor Hochul, to Senate Majority Leader Andrea Stewart-Cousins for making this bill a priority, and to Assemblymember Linda Rosenthal for her partnership.”
Assemblymember Linda B. Rosenthal said, “During an affordable housing crisis, real estate tycoons have turned to sophisticated computer algorithms to help them raise rents and turn a larger profit. In New York, that scheme ends today. With the signing of my legislation to ban the use of algorithmic pricing by landlords, we are leveling the playing field for tenants, giving New Yorkers greater access to affordable apartments and declaring this unfair, anti-competitive practice as unlawful collusion, once and for all. I thank Governor Hochul for signing this legislation into law, along with a package of other bills to protect renters and support homeownership.”
Other renter-focused laws include extending security deposit protections (S952-B/A6423-A) previously given only to market-rate tenants so that rent-regulated tenants now have similar rights; capping bounced check fees (A56-B/S3845-B) at $20 or the actual cost incurred; and ensuring succession rights (S8311-A/A8412-D) for family members or others with established ties in NYCHA properties.
State Senator Brian Kavanagh said about security deposit protections, “Improper handling of security deposits or failure to return them promptly when they’re due can cause needless hardship and frustration for tenants. This bill builds on the essential protections regarding security deposits that we enacted in the Housing Stability and Tenant Protection Act and extends them to about a million additional tenant households. I thank Governor Kathy Hochul, Assemblymember Micah Lasher, and all our colleagues who supported the bill, as well as former Assemblymember Danny O’Donnell, with whom I previously worked on this.”
Assemblymember Micah Lasher stated, “I am so pleased that Governor Hochul is signing into law new, critical protections for rent-stabilized tenants. This legislation, on which I was proud to partner with Senate Housing Chair Brian Kavanagh, will ensure that New York’s one million rent-stabilized tenants don’t get ripped off on their security deposits, and get back all the money they are owed. It’s common sense and long overdue.”
On bounced check fees, State Senator Brad Hoylman-Sigal said, “Tenants should not be subject to exploitative fees because a rent check bounces, often through no fault of their own. Our legislation creates a statutory protection for tenants – rent stabilized or not – by capping the amount a landlord can charge a tenant for a bounced check at $20 or the actual charge incurred by the landlord as a result of a tenant’s check bouncing, whichever is greater. I am thankful to Governor Hochul, Senate Majority Leader Andrea Stewart-Cousins, and Assemblymember Harvey Epstein for standing up for tenants and delivering this common-sense bill into law.”
Assemblymember Harvey Epstein added, “Needlessly punitive fees only serve to exacerbate economic hardship. Now, no one in the state of New York can be charged more than $20 or the costs the landlord incurred. Thank you to Governor Hochul and Senator Hoylman-Sigal for your collaboration in achieving this win for New York tenants.”
Regarding succession rights in NYCHA properties, State Senator Brian Kavanagh stated, “It’s important for public housing residents to have clarity on what their rights are regarding succession when the tenant whose name is on the lease leaves or passes away. I thank Assemblymember Rodneyse Bichotte Hermelyn for her leadership on this issue, the New York City Housing Authority for working with us, and Governor Kathy Hochul for signing this bill into law.”
Assemblymember Rodneyse Bichotte Hermelyn said, “By ensuring that family members with strong financial and emotional ties to NYCHA residents can remain in their homes, this legislation helps families stay rooted in their communities and maintain housing security. I’m proud to have sponsored this bill and thank Governor Hochul for her partnership and commitment to protecting renters and strengthening housing stability for New Yorkers.”
Governor Hochul’s administration has prioritized housing through various initiatives. These include a five-year plan aiming to create or preserve 100,000 homes statewide—65,000 have already been achieved—and authorizing new incentives such as a ten-year 485-x tax break in New York City. Other efforts include unlocking zoning changes for office-to-residential conversions in NYC that could create up to 18,000 new homes, removing longstanding caps on residential development in the city, investing $1 billion in rezoning initiatives expected to yield over 80,000 new homes, launching the Pro-Housing Communities Program with $750 million in grants leading to certification of over 360 localities statewide, implementing anti-price gouging measures for renters, and discouraging large-scale private equity purchases of homes.
Earlier this week, Governor Hochul signed legislation allowing tax cuts for Penn South residents and providing tax relief measures estimated to save Mitchell-Lama residents up to $50 million annually.
