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New York Property Owners Discouraged from Renting Out Units Due to Archaic Tenant Protection Laws

Traded Media
by Traded MediaShare
New York
Multifamily
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When it comes to Airbnb listings and the impact on housing availability, there is a significant factor that often goes overlooked—the difficulty of removing problem tenants. Numerous property owners have encountered frustrating situations where tenants refuse to leave, even after eviction notices have been served. This dilemma has deterred individuals like Lindsay, who previously used Airbnb for their East New York home, from considering becoming landlords.

Unfortunately, no reliable data exists on the number of property owners who choose not to rent out their spaces due to this very reason. Similarly, we lack information on the extent of the problem tenant issue. Nevertheless, it stands to reason that the more challenging the eviction process becomes, the fewer property owners will be willing to take the risk of renting out their properties. This is particularly evident in desirable neighborhoods like Park Slope, where many valuable properties remain unoccupied or underutilized.

Take, for instance, the situation of Vanie Mangal, a Queens homeowner who experienced a nightmare with her tenants, Rosanna Busgith and Phil Garnett. The troubles began when they initially moved in, deteriorating further when they ceased to pay rent in March 2020. To make matters worse, the government's eviction bans protected these squatters for a staggering two years. Even after the bans were lifted, tenant-friendly laws and an already dysfunctional housing court system tied Mangal's hands, preventing her from taking action against the non-paying tenants.

Caught in a relentless cycle, Mangal found herself working an additional job, enduring 13-hour shifts to cover the missed rent. Her frustration, expressed in a July 2021 interview with the Times, revealed the sense of hopelessness she faced. "I'm going to have to be supporting these people for the rest of my life," she lamented, unable to see a way out.

Desperate for a remedy, Mangal eventually made the tough decision to move out of her own home to preserve her sanity. After four long years without receiving any rent, she finally secured an eviction date for January 18th. Ironically, the tenants vacated the day before, leaving behind a trashed apartment, as reported by the New York Post.

The Challenge of Evicting Problem Tenants

When it comes to Airbnb listings and the impact on housing availability, there is a significant factor that often goes overlooked—the difficulty of removing problem tenants. Numerous property owners have encountered frustrating situations where tenants refuse to leave, even after eviction notices have been served. This dilemma has deterred individuals like Lindsay, who previously used Airbnb for their East New York home, from considering becoming landlords.

Unfortunately, no reliable data exists on the number of property owners who choose not to rent out their spaces due to this very reason. Similarly, we lack information on the extent of the problem tenant issue. Nevertheless, it stands to reason that the more challenging the eviction process becomes, the fewer property owners will be willing to take the risk of renting out their properties. This is particularly evident in desirable neighborhoods like Park Slope, where many valuable properties remain unoccupied or underutilized.

Take, for instance, the situation of Vanie Mangal, a Queens homeowner who experienced a nightmare with her tenants, Rosanna Busgith and Phil Garnett. The troubles began when they initially moved in, deteriorating further when they ceased to pay rent in March 2020. To make matters worse, the government's eviction bans protected these squatters for a staggering two years. Even after the bans were lifted, tenant-friendly laws and an already dysfunctional housing court system tied Mangal's hands, preventing her from taking action against the non-paying tenants.

Caught in a relentless cycle, Mangal found herself working an additional job, enduring 13-hour shifts to cover the missed rent. Her frustration, expressed in a July 2021 interview with the Times, revealed the sense of hopelessness she faced. "I'm going to have to be supporting these people for the rest of my life," she lamented, unable to see a way out.

Desperate for a remedy, Mangal eventually made the tough decision to move out of her own home to preserve her sanity. After four long years without receiving any rent, she finally secured an eviction date for January 18th. Ironically, the tenants vacated the day before, leaving behind a trashed apartment, as reported by the New York Post.

A Nightmare of Nightmarish Tenants

Mangal has sworn off renting ever again. Ann Korchak, spokesperson for the Small Property Owners of New York, confirms that their organization frequently hears such horror stories from countless small housing providers. According to Korchak, the risk involved in being a landlord is simply too overwhelming. The sentiment is echoed throughout the industry.

One particularly ghastly account comes from Roderick Compass, a landlord in Queens. His home in Springfield Gardens became a living nightmare when he encountered tenants straight from hell. These individuals displayed a complete disregard for the property, leaving sinks overflowing and sabotaging the toilet to the point of flooding the unit below. Their disruptive behavior included stomping on the floor at ungodly hours, disturbing a neighbor's newborn and issuing threats of harm. Shockingly, they went so far as to accuse Compass of abusing a nonexistent child to child protective services.

But the horror didn't end there. Compass alleges that these tenants subsequently assaulted him, managed to have him arrested by the police, and even secured a protective order that banned him from his own property. In a chilling threat, one of them vowed to destroy the house when they were done with it.

In East Flatbush, a tenant nightmare even eclipsed Compass' ordeal. Kennisha Gilbert suffered for more than two years from relentless misery inflicted by violent and nonpaying tenants who transformed their upstairs apartment into a makeshift dog kennel. The conditions were so abhorrent that urine seeped through the walls of Gilbert's unit below. In one horrifying incident, someone even sprayed her face with cleaning solution.

The nightmare escalated when one of the tenant's sons attacked Gilbert, ripping off her windshield wiper and slashing her face with it. Another assailant punched her in the face and ribs. When Gilbert's husband tried to intervene, they turned their violence toward him, breaking his ribs in the process.

Even among real estate professionals, there are tales of tenant battles, but the most heart-wrenching cases involve inexperienced landlords who lack the resources of property managers and legal teams to effectively deal with problem tenants. These are stories that rarely make the headlines, yet their impact is life-altering. Two small property owners in Brooklyn shared similar experiences of tenants who exploit the legal system and city agencies, enabling them to live rent-free for years and driving their landlords to the brink. In some cases, the tenants even managed to negotiate a buyout in order to vacate the premises.

Landlords' Nightmare with Problematic Tenants

A group of landlords in Sheepshead Bay and Borough Park are sharing their harrowing experiences with troublesome tenants who have turned their lives into living nightmares. These landlords, who wish to remain anonymous due to potential legal repercussions, have been relentlessly harassed and manipulated by tenants who exploit the legal system to their advantage.

In one case, a landlord in Sheepshead Bay dealt with a tenant who stopped paying rent after just six months. This tenant proceeded to file numerous lawsuits and bombard the landlord with constant 311 calls, making her life unbearable. Having spent a whopping $100,000 in legal fees, the landlord never even had a chance to present her case before a judge. In a shocking twist, she may end up having to pay the tenant to vacate the property, a notion that sickens her to the core. Frustrated with the dysfunctional court system in Kings County, she describes it as uncaring and indifferent.

Another landlord, Maria, shares a similar tale of woe. Her mother's house in Borough Park became the battleground for a tenant who had been evicted in Queens. Not only did this tenant secure an order of protection against the previous landlord, but he also took control of the three-family house and sublet spaces to other tenants. Desperate to remove this problem tenant, Maria tracked down the elderly owner of the property, who revealed that it took her four grueling years to finally regain control. Unfortunately, this victory came at a steep cost of $750,000 in violations. Maria recounts a litany of grievances against the tenant, including fake complaints, plant murder, and even threats of sending her mother to jail.

Both landlords have suffered significant financial losses due to these problematic tenants. The first landlord, after discovering that the tenant had successfully negotiated a hefty payment of $25,000 for moving out of a previous residence, realizes she has inadvertently welcomed a professional tenant who manipulates the system to live rent-free and torment her for years to come. The second landlord, Maria, has already racked up $15,000 in legal fees and an unpaid rent bill of $37,200.

The toll on the mental and emotional well-being of these landlords is immeasurable. They have reached their breaking points and are left with no hope for justice or recovery. Instead, they contemplate leaving the properties vacant to avoid any future battles with problematic tenants.

Exploring a Balanced Approach

While it is true that most tenants fulfill their obligations and cause no issues, there are occasional instances of individuals who take advantage of New York's laws and legal system. It is worth noting that these cases are not the norm and do not represent the majority of tenants. However, anecdotes about so-called "professional tenants" who exploit the system are widely circulated.

One astonishing fact is that if someone unlawfully enters your home and remains there for 30 days, they can legally become a tenant under the current laws. This means that regardless of a lease or rent agreement, they gain legal protections. A Newsday article documented the distressing experiences of Long Island homeowners who fell victim to this rule.

The affordable housing crisis in New York calls for a range of solutions, including encouraging property owners to make unused dwellings available for rent. However, many potential Airbnb hosts are hesitant to do so due to alarming stories circulating about the platform.

Airbnb offers owners the ability to screen potential guests based on ratings, ensures payment, and eliminates the need for housing court involvement. Moreover, in the unlikely event of damage to the property, Airbnb provides coverage. If the traditional long-term rental market offered these same benefits, more property owners would be inclined to list their homes. However, such a system does not exist in tenant-friendly New York.

On the other hand, adopting policies that allow for immediate eviction and property seizure after just one missed payment, as some states do, is undeniably cruel. While it may expedite the process of finding affordable housing, it disregards the well-being and rights of tenants.

Between these extreme approaches lies an opportunity to establish a rational policy that protects tenants reasonably while providing property owners with the confidence to rent out their unused homes.

It is crucial to acknowledge that no rental regime can entirely eliminate exploitation. However, New York should not allow the pursuit of perfection to prevent progress. A system that encourages property owners to make more units available for rent will ultimately benefit both owners and tenants.

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