Landlord Compliance & Non-Compliance
July 1, 2026 | Randy Reis, ReisNYC | eXp Realty
New York State has quietly turned landlord compliance into a minefield — and the penalties aren't warnings, they're forfeitures. Miss a notice window and you lose the rent increase. Skip a walkthrough and you lose the deposit. Charge a late fee without the right lease language and you can't collect it at all. This isn't about tenants' rights versus landlords' rights anymore — it's about knowing the exact rules before they're used against you. —>>
📋 Notice & Rent Increases: For market-rate units, any rent increase of 5% or more requires written notice — 30 days if the tenant has been there under a year, 60 days for 1–2 years, 90 days for over 2 years. Miss the window and the tenancy automatically continues at the current rent until you serve proper notice AND the full notice period expires. For rent-stabilized units, renewal offers must go out 90–150 days before lease expiration using DHCR Form RTP-8 — no exceptions.
🔑 Security Deposits: Capped at one month's rent. After move-out, you have 14 days to return the balance plus an itemized deduction statement. If you miss that window or skip the itemized list, you forfeit the right to keep any portion — including amounts owed for real damage. Punitive damages and Housing Court exposure follow.
🏠 Required Walkthroughs: You must notify tenants of their right to a pre-move-out inspection (1–2 weeks before lease end, with 48 hours written notice). Under Local Law 55, NYC also requires annual inspections of every room for mold, pests, and lead hazards — with HPD fines running $50–$3,000 per violation for non-compliance. A move-in walkthrough isn't legally required, but without one, you have no baseline to defend deposit deductions.
💰 Late Fees: Capped at the lesser of $50 or 5% of monthly rent. Rent isn't legally "late" until day 6. The fee must appear in the original lease — you can't add it at renewal. If unpaid after 5 days, you must notify the tenant via certified mail. You cannot initiate eviction proceedings solely over an unpaid late fee, and late charges cannot be categorized as "additional rent" in Housing Court.
The rules above aren't theoretical. NYC landlords have lost deposit claims, rent increases, and Housing Court cases because of procedural errors that had nothing to do with the tenant's behavior. The law rewards process compliance — and punishes landlords who assume the old way still works.
If you own rental property in New York and aren't sure whether your current lease, notice procedures, and inspection protocols are airtight, now is the time to find out. I work with condo investors and landlords across Manhattan and Brooklyn — if you want to talk through how these rules affect your specific situation, reach out directly: randy.reis@reisnyc.com
The regulatory environment here isn't getting simpler. Landlords who stay ahead of it protect their income. Those who don't find out the hard way. If you want to know where your property stands, let's talk: reisnyc.com
Sources
- NY State Good Cause Eviction Law — NY Attorney General
- Notice to Vacate — New York (DocDraft)
- Rent Increase FAQs — NYC Rent Guidelines Board
- Leases & Renewal — HCR
- New Protections for All Tenants — NYC
- RPP Article 7, §226-c — Justia
- Security Deposits — LawNY
- Security Deposit Return — The City Reporter
- Pre-Move-Out Inspection — Avvo
- Local Law 55 Annual Inspections — HPD Signs NYC
- HPD Code Violations — DobGuard
- NYC Tenant Bill of Rights — NYC Comptroller
- Late Fee Grace Period — Manhattan Evictions
- Changes in NYS Rent Law — NY Attorney General
- Late Fees — Met Council on Housing
About the Author
Randy Reis is a licensed real estate salesperson at eXp Realty in New York City, specializing in landlord-side rental listings and condo investor strategy. Creator of the ReisNYC Fair Act — a transparent flat-rate commission structure built for today's regulatory environment.
randy.reis@reisnyc.com | (917) 336-1118 | reisnyc.com
Randy Reis is a licensed real estate salesperson, not an attorney. The information in this post reflects his personal opinion and professional experience as a real estate agent. It does not constitute legal advice. Please consult a qualified attorney for guidance specific to your situation.
