Posted by Frank Chin on August 16, 2003 at 08:00:00:
Hi Sean:
We have rent stabilization here in NYC and some parts on NY State. You can check with your local realtor if there is such a thing in that locale. You can prentend to be a tenant looking to rent and ask. Check with several to be sure.
I was about $400 below market in almost all of my rental apartments up to 2 years ago, and my attorney told me I was absolutley ridiculous, so I raised the rents. My rentals have no rent stabilization.
I gave my tenants 60 days to look for something if they feel the rent increase was a bit much. I keep the rent the same for the 60 days. It was raised for some from around $800 to $1,200 at the end of the 60 day period.
Most got back to me to sign leases for the $1,200 because most apartments were $1,350. One tenant even thanked me and said “it was like she woke up from a wonderful dream”.
I rented a SFR worth $2,000 for $1,150 up to a year ago because I didn’t raise the rent for almost 11 years. The guy finally left.
The tenant across the street was paying $1,650 for an almost identical house told me I was ridiculous. His comment was “you should get your money’s worth if you want to stay in business”.
But talk to the tenant first and explain your options. You may be surprised theat most folks know they got a bargain.
Frank Chin