By Adam Frisch, Managing Principal, Lee & Associates Residential NYC
Ever since a large package of so-called “tenant protection”laws was passed in mid-June, the New York City real estate community has been in an uproar. There are numerous provisions included in this new rent reform legislation, but one which I find to be particularly astonishing is the fact that the amount of a security deposit may now never exceed one month’s rent of the apartment in question. For potential tenants from other countries attempting to rent an apartment in the city, this is a huge problem as most property owners need to see a United States credit history record in order to rent to them and will often charge a larger security deposit in place of that. Owners are also no longer able to charge any prepaid rent in excess of a one-month security deposit.