Renewal of the lease - 1 year or 2 years? (apartment, leases)

[Nyc981219]

Good day!

I just received my renewal lease. This is my 3rd time signing the lease.
I locked 2 years when I moved in and 1 year last year.
My building offered 3% increases in 1 year and 2.75% (first year)+ 3.20% (second year) in 2 years.

I haven’t still decided what years I should lock. What would you guys do??

[BugsyPal]

Originally Posted by Nyc981219

Good day!

I just received my renewal lease. This is my 3rd time signing the lease.
I locked 2 years when I moved in and 1 year last year.
My building offered 3% increases in 1 year and 2.75% (first year)+ 3.20% (second year) in 2 years.

I haven’t still decided what years I should lock. What would you guys do??

Renewal terms are decided annually by city (rent guidelines board), not individual landlords or buildings.

As for rest of query no one can really give you a certain answer, it depends much upon personal circumstances.

If you are planning to remain in apartment for long haul then historically taking two year renewal leases works out cheaper in long run. OTOH if one cannot swing a nearly 5% increase and or are hedging bets future increases will be lower....

There are a few threads in this forum about RGB increases that go into details, you might want to find and read.

[Nyc981219]

Hi Bugsypal

Thanks! I will check out the thread!

[linamonroll]

Unless you're definitely planning to leave after 1 yr, the 2yr option is likely a better bet. The 1st year on the 2yr is cheaper than the 1yr and you can usually get out of a lease if your plans change and you need to move before the 2 years.

Yes, there is a bit of a gamble involved depending on whether you thing next years increase will be lower than this years was but this seems unlikely as the current mayoral admin is less tenant friendly than the last one ( there were 0% on 1 yrs under BDB) and his board will still be in place next year.

For what it's worth, I will have to renew next year with these same terms and I will be doing another 2 year.