Latest news with #FAREAct
New York Post
6 days ago
- Business
- New York Post
This Gilded Age mansion is the priciest rental in NYC
This opulent Manhattan mansion has everything a renter could want. The question is: Which deep-pocketed denizen can cough up $175,000 a month to have it? When a fully renovated limestone mansion at 4 E. 64th St. entered the market in April, it was tied for the city's most expensive rental. At $150,000 a month, the home's sole competition was a lofty Hudson Square penthouse. Less than two months later, however, the mansion got a price bump. Advertisement 8 The Gilded Age property's stately limestone facade. Courtesy of Corcoran 8 The opulent foyer. Courtesy of Corcoran 8 The rental boasts custom millwork and seven fireplaces. Courtesy of Corcoran Advertisement June saw the Gilded Age abode, located just off of Fifth Avenue, receive an eye-watering $175,000-a-month price, now making it the priciest for rent in town. Listing agent Carrie Chiang with Corcoran told The Post that the increase was due to the passage of the FARE Act in June, which banned landlords from passing broker fees onto renters. Many landlords responded in kind by building the cost directly into rents. The fully renovated Upper East Side mansion spans 30 feet wide and encompasses more than 18,000 square feet, according to the listing. It boasts eight bedrooms, seven bathrooms and three powder rooms. The architect R.H. Robertson built the seven-story home in 1893. It most recently changed hands in 2007, according to city records, when the LLC 4-6-8 purchased the historic property for $25.2 million. Public records indicate its use as a multifamily rental under its current ownership. Advertisement 8 The eat-in kitchen. Courtesy of Corcoran 8 French doors open to one of the rental's several outdoor spaces. Courtesy of Corcoran 8 Despite an extensive overhaul of the interiors, the home maintains its Gilded Age character. Courtesy of Corcoran A years-long gut renovation, undertaken by Zivkovic Connolly Architects, resulted in like-new interiors for the grand home. Advertisement An eat-in kitchen and a stone-lined sunroom number among the property's 22 rooms. Lavish details throughout include coffered arched ceilings, custom millwork and seven fireplaces. The home's 1,500 square feet of private outdoor space includes a balcony, a garden and a roof deck, according to the listing. 8 The ritzy home sits opposite the Consulate General of India. Courtesy of Corcoran 8 A skyline view from the terrace, which includes its own fireplace. Courtesy of Corcoran The city's elaborate turn-of-the-century mansions are reportedly enjoying a healthy season of sales, neatly coinciding with the third season of HBO's architecturally inspired hit show 'Gilded Age.' But what modern day robber baron wants to rent? Chiang declined to comment on what kind of renter a $175,000-a-month mansion could entice. Rentals in the $50,000 to $100,000 range, leased for one month at a time by jet-setting sultans or scooped up by 1-percenters eager to romp with their fellow elites, aren't unheard of, but the person who'll snag this palatial rental remains an unknown quantity.
New York Times
22-07-2025
- Business
- New York Times
Is a Law on Brokers' Fees Giving Renters a Break?
Good morning. It's Tuesday. Today we'll look at whether a new local law has transformed the market for apartment rentals. We'll also get a look inside the newly renovated Waldorf Astoria hotel in Manhattan. This was supposed to be the summer when a new law on broker fees would change the rental market in New York City. The law, called the FARE Act, all but ended a longstanding practice requiring apartment-hunting renters to pay thousands of dollars to brokers. My colleague Mihir Zaveri says the premise of the FARE Act was simple but transformative: Whoever enlisted a broker's help would pay the broker's fee. If a landlord gave a listing to a broker, the landlord would pay. A broker can show someone an apartment, but it isn't the would-be renter's responsibility to pay the broker — unless they had agreed to a fee arrangement in advance. Some brokers are showing apartments and, afterward, claiming there was a de facto payment agreement. The Fare ACT went into effect on June 11. I asked Mihir to discuss whether the law has made things better or worse for renters so far. You write that the results have been mixed. How so? The intention of the FARE Act was to lower the sometimes staggering upfront cost of moving and make it less confusing and more transparent. In many ways, it has done that. Most renters can avoid broker fees when searching for apartments through online platforms like StreetEasy. Want all of The Times? Subscribe.
New York Times
19-07-2025
- Business
- New York Times
Scams and a Rent Spike Follow New York City's New Broker Fee Law
Getting an apartment in New York City was supposed to be easier this summer. Because of a new law, many renters would no longer have to pay thousands of dollars to brokers that landlords had brought in to help. For many people, that has proved true. But a New York Times analysis of 1.3 million listings on the popular rental site StreetEasy also suggests that the shift has come at a cost: Many more landlords than usual raised rents the week the law took effect in June, often by hundreds of dollars a month. Even though higher rents are typical in the busy summer season, the median rent in the city rose in June more than would be expected, according to statistics provided by StreetEasy. The Times's analysis showed a spike in rent increases around June 11, when the law, the FARE Act, took effect with a simple but transformative premise: Whoever enlists a broker's help should pay the broker's fee, which is often thousands of dollars. StreetEasy released a report about a month later saying that the law had not hurt the rental market. The company, which publicly supported the law in the face of fierce opposition from the real estate industry, acknowledged the surge in rent increases when The Times asked about it this week. 'There's no free lunch,' said Kenny Lee, a senior economist at StreetEasy. 'Landlords will always try to offset the additional cost by passing some of it to the renters as a higher base rent. They are not running a charity.' A sharp spike in rent increases The number of apartment listings each week since January 2023 with rent increases of 5 percent or more. Note: Counts include price increases during rental units' active listing windows. Source: New York Times analysis of StreetEasy data By Urvashi Uberoy Want all of The Times? Subscribe.
New York Post
10-07-2025
- Business
- New York Post
NYC renters are scrambling for shelter this summer
Daniela Mora, a stand-up comedian and content creator, found nothing to laugh about when she began her hunt for a one-bedroom rental in Manhattan this year. In order to find a new lease by June 1, Mora's May consisted of scouring StreetEasy at all hours of the night and spending her spare time schlepping across the city to open houses. 'The minute [brokers] text you, you have to fly over to Queens or wherever, trying to be the first person in this unit,' Mora, 26, told The Post. 'It's kind of like a second full-time job.' Under pressure to pursue every possible lead, Mora found herself pushing back professional meetings, canceling workout classes and arriving late to comedy shows. She toured close to 25 apartments, applied to two and got into a bidding war — yes, a bidding war — over one. 6 Mora toured close to 25 apartments, applied to two and was accepted by one. EMMY PARK And Mora's not alone. New Yorkers on the hunt for a new lease this summer are battling more than just heat waves. Historically high rents, low vacancy rates and agonizing bidding wars — a phenomenon typically reserved for home purchases — define this year's red-hot summer rental market. Rent in Manhattan reached an all-time high in June, according to a new report from appraiser Miller Samuel and brokerage Douglas Elliman. The record-setting prices started unseasonably early this year, as far back as February, and have climbed nearly every month since. The median rent for a Manhattan one-bedroom in June was a record-breaking $4,625, and new lease signings well outpaced inventory. What's more, 25% of Manhattan tenants ultimately paid above the landlord's list price, Miller said, a record share of bidding wars for June. Northwestern Queens, home to prime Astoria, nearly matched Manhattan at 24%. Brooklyn outpaced both with a whopping 31.9% of tenants — nearly one in three — facing bidding wars. 6 Would-be buyers sticking around longer in the rental market. Bloomberg via Getty Images New York City's intense summer housing market is nothing new, but this year is special. Skittish would-be homebuyers, wary of stubbornly high mortgage rates and ongoing economic uncertainty, are, in part, a large driver of the current trends, Jonathan Miller, of Miller Samuel, told The Post. 'I would expect more records being set at least in one of the next two months, but probably both,' Miller said. Additionally, the passage of the city's FARE Act in June led to an uncomfortable spike in rents, The Post reported, as landlords responded to the new ban on broker fees by building the cost into rents. 'New Yorkers are unfortunately discovering the negative consequences of the FARE Act in real time,' Brian Hourigan, the managing director of BOND New York, told The Post. 6 The passage of the FARE Act led to a sudden spike in rents and a dip in public inventory. UCG/Universal Images Group via Getty Images Some landlords went so far as to pull their listings from public platforms like StreetEasy in June. The increase in off-market listings depleted inventory and ratcheted up bidding wars in an already tight market. Manhattan rental inventory fell by 12.4% from May to June, according to Miller Samuel. Miller linked the trend to landlords adjusting to the new legislation. Even before the FARE Act took effect, inventory constraints cost renter Abby Paradise thousands. The 24-year-old Paradise and her roommate, desiring an upgrade from their Lower East Side pad, had until the end of May to find a new home. The pair quickly learned that finding an affordable two-bedroom in Manhattan can be a battle, especially in the summertime when newly minted graduates move into town to start their new chapters. 'We could not find anything for the life of us,' Paradise, who works in jewelry sales, told The Post. For weeks, Paradise spent her after hours and weekends going on apartment tours. She estimates she attended at least 30 tours. Plans were canceled and weekend trips were postponed to accommodate the 15 to 20 hours a week Paradise dedicated to the search. 6 Competition for desirable units throughout NYC remains fierce, despite increases in new housing supply. Corbis via Getty Images Even with a budget of $4,600, she and her roommate lost out on two different bidding wars, despite offering up a combined $200 above asking price on both. The pair split to hunt for one-bedrooms instead, but the decision came too late for Paradise. She had to extend her Lower East Side lease and pay a month of two-bedroom rent on her own. The delay cost her an extra $2,000 on top of her typical rent — even though she only stayed half the month. Paradise ultimately found her dream apartment on the Upper East Side — an off-market, rent-stabilized one-bedroom — only after hiring a broker, Olivia Rispoli of BOND, and agreeing to sign for the apartment while it was under a complete renovation. The walls still needed to be painted, and new appliances in the bathroom and the kitchen still needed to be installed. 6 The presence of a cat or a guarantor on an application — both of which Mora had — are sometimes all it takes to get rejected by a landlord. EMMY PARK Paradise's flexibility paid off. 'Honestly, I really didn't expect to have an apartment that I was obsessed with so soon in my early 20s,' Paradise said. 'But it has amazing lighting, an enormous living room and having a dishwasher is awesome.' Mora only found her perfect match in Kips Bay after her newly hired broker, Kunal Khemlani of Corcoran, urged her to bid $100 over the asking rent. She had just lost out on another apartment to a wealthier, pet-less applicant. 6 Mora, with the help of her broker Kunal Khemlani, found her dream apartment just in time. EMMY PARK 'I was very unwell about that,' Mora said. 'But my mindset is that time is money, and I was spending full days looking, researching and applying.' She got the apartment. Luckily, the hard-won lease was a 'love and first sight' situation. 'I literally shook the other agent's hand [when we toured] and said 'I'm gonna live here,'' Mora said.
New York Post
21-06-2025
- Business
- New York Post
Rents jump shocking 15% after NYC ditches broker fees
The city ditched broker fees last week in a supposed win for tenants, but landlords had the last laugh — wasting little time sending rents skyrocketing in an effort to recoup their anticipated losses. Rents shot up a shocking 15% in the week since the controversial FARE Act took effect, with the average rental in the Big Apple jumping from $4,750 to $5,500, according to an analysis by real estate analytics firm UrbanDigs. 6 New Yorkers have been sharing conversations with brokers like this one since the FARE Act was enacted on June 11. Reddit Advertisement 'The Manhattan rental market has seen a sharp reaction,' said John Walkup, UrbanDigs' co-founder. The FARE Act, which prohibits agents representing property owners from charging renters a 'broker fee,' also requires that all fees a tenant owes be included in rental agreements and real estate listings. But the rising rents 'suggests that landlords may be attempting to incorporate broker fees into the rent, which would transfer the cost to renters in a less direct, but very real way,' added Walkup. Advertisement 6 Walkup said the market reacted 'sharply' to the FARE Act. UrbanDigs The law change has created what insiders tell The Post is a 'shadow market' — apartments that aren't listed so landlords can still get tenants to cover the fee. 'We're going to be looking for apartments again like it's 1999 … where you have to know who to call and when to call,' said Jason Haber, co-founder of the American Real Estate Association and a broker at Compass. 'It's going to be an odyssey.' Advertisement 6 Ricciotti said tenants have been asking if they can just pay the broker fee instead of the higher rent, which works out to more money over the long-term. BOND New York Real Estate And listings dried up overnight with an estimated 2,000 vanishing from website StreetEasy on June 11 — the day the FARE Act took effect — while UrbanDigs found available apartments dropped by an eye popping 30%. 6 A renter posted this screenshot of the two different asking prices. Reddit Renters meanwhile have been sharing horror stories online, with receipts — like screenshots of conversations with brokers flat out telling them they get one price if they pay the broker fee and another, much higher rate, if they don't. Advertisement One New Yorker, for instance, was told by an agent the rent was going up $700. 6 Kebenae Tadesse said agents have still been trying to get tenants to pay the fee. Helayne Seidman Another said a landlord was asking $6,800 for a 3-bedroom with a broker fee — or $8,000 with no fee, which is illegal to advertise under the new law. 'We've been inundated with prospective tenants who have asked our agents for the option to pay our brokerage commission, directly and maintain the benefit of the lower pre-Fare Act rental terms, which unfortunately, we have to tell them is now illegal,' said Bruno Ricciotti, principal at Bond New York. 'It's so frustrating,' said Kebenae Tadesse, who had been trying to find a Brooklyn studio. 'Brokers have repeatedly said, 'Well, if I don't charge you this fee, the landlord is just going to put it into your rent,' she told The Post. 'It's discouraging.' 6 Rents went up by 15% on average since the FARE act went into effect. goodmanphoto – Advertisement When Tadesse called out a broker for trying to pass on the fee to her, the agent took down the listing, marking it as 'temporarily off market' on StreetEasy since June 11.
