The legal landscape in New York changes every year, and 2024 was no exception. In this client alert we will review some of our alerts of 2024 that highlighted these changes.
Real Estate Board Of New York’s Real Estate Practice Revisions: At the beginning of 2024, REBNY prohibited listing brokers from paying a purchaser’s broker, among other revisions to the Universal Co-Brokerage Agreement (UCBA). The updated UCBA also requires listing agents state what the seller’s payment to the buyer’s agent will be. Our client alert can be found HERE.
Local Law 97 And The Climate Mobilization Act: On April 19, 2019 New York City passed Local Law 97. This legislation aims to reduce significant carbon emissions from large buildings, impacting landlords and tenants. Penalties for non-compliance begin in 2025, and our three part series about Local Law 97 can be found HERE, HERE and HERE.
Property Sales And Flood Insurance Disclosures: New York State law requires landlords and sellers to disclose flood risk information to tenants and buyers respectively. Section 231-B mandates residential lease flood risk disclosures, while Section 462 requires sellers to disclose flood-related details during property sales. Effective March 20, 2024, Sellers must provide a Property Condition Disclosure Statement, including flood history, and may face liability for false or incomplete disclosures. Our client alert summarizing these changes is available HERE.
Good Cause Eviction Law: This law prevents landlords from evicting tenants without “good cause.” Grounds for eviction include non-payment of rent, substantial violations of tenancy obligations, and illegal use of the property among others. However, this law includes some exceptions for “small landlords” who own no more than 10 units. Our client alert is available HERE.
The Transfer On Death Deed Law: On July 19, 2024 New York issued a plurality of states allowing for transfer on death deeds, which this legislation allows individuals to transfer real property directly to beneficiaries upon death, thus avoiding probate. The deed must be signed by 2 witnesses, notarized, and recorded before the transferor’s death. Our client alert is available HERE.
FARE Act: On November 13, 2024 the New York City Council passed significant reforms on broker fees in residential leases. Key provisions include prohibiting landlords’ agents from charging tenants broker fees, requiring clear fee disclosures, and mandating itemized written disclosures before lease signing. Our client alert is available HERE. Note: As of this writing the Real Estate Board of New York is challenging the legislation in court.
The foregoing is not intended to be comprehensive nor constitute legal advice. If you would like to discuss your specific circumstances or would like more information, feel free to contact us at (212) 625-8505.