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I can only speak for New Jersey. The rent law on unregulated apartments says that "annual increases cannot be 'unconscionable.'" The courts have defined that limit to be 10%.
I would not be surprised if NY had something similar.
In a free market apartment assuming the landlord is on top of market trends and assuming the current market rent for the apartment is at market levels from a comparable standpoint, a 10% rent increase is reasonable.
If you breakdown the landlord's expense increases, you'd have something like this:
Annual rate of inflation= 5%
Property Tax increase= 3%
Water & Sewage increase= 2%
Building & Maintenance Supply increase= 3%
Property Insurance increase= 3%
Administrative Increase (lawyers, accountants, etc)= 2%
Heating Fuel= (reasonably priced this past year but super expense for the past 10 years, might go up again, let's hope not)
So a 10% increase is very reasonable. But it also depends on how many units the building has as the expense per unit in a 20 unit building is higher than the expense per unit in a 100 unit building.
Now I guarantee someone here will say: "Well my salary hasn't increased so I don't feel its right that my rent increase 2%, 5% or 10%"
Answer: That's not the landlord's problem. Your lack of a salary increase has no bearing on the matter. Two different independent entities that have nothing to do with each other. Complaining to a landlord will do nothing. If you want to complain, complain to your employer and tell them your rent went up and therefore you would like a raise.
In a free market apartment assuming the landlord is on top of market trends and assuming the current market rent for the apartment is at market levels from a comparable standpoint, a 10% rent increase is reasonable.
If you breakdown the landlord's expense increases, you'd have something like this:
Annual rate of inflation= 5%
Property Tax increase= 3%
Water & Sewage increase= 2%
Building & Maintenance Supply increase= 3%
Property Insurance increase= 3%
Administrative Increase (lawyers, accountants, etc)= 2%
Heating Fuel= (reasonably priced this past year but super expense for the past 10 years, might go up again, let's hope not)
So a 10% increase is very reasonable. But it also depends on how many units the building has as the expense per unit in a 20 unit building is higher than the expense per unit in a 100 unit building.
Now I guarantee someone here will say: "Well my salary hasn't increased so I don't feel its right that my rent increase 2%, 5% or 10%"
Answer: That's not the landlord's problem. Your lack of a salary increase has no bearing on the matter. Two different independent entities that have nothing to do with each other. Complaining to a landlord will do nothing. If you want to complain, complain to your employer and tell them your rent went up and therefore you would like a raise.
Why would the tenant pay the Administrative costs increases and the property tax increases, too.
Those should fall on the LL. Same with the property tax.
Inflation is 5% annual???? I guess it's 2 %.
Don't forget that it is often the tenant who pays the mortgage for the LL !
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