Governor Hochul’s New Housing Initiatives: Increasing Homeownership and Strengthening Tenant Rights

ALBANY, NY | Governor Kathy Hochul has signed a comprehensive housing package aimed at improving access to affordable housing and increasing stability for renters and homeowners across New York State. While the legislation applies statewide, certain provisions, such as expanded succession rights for public housing residents, specifically apply to New York City Housing Authority (NYCHA) tenants, while others extend to renters and homeowners across the state. The legislation reflects an ongoing effort to improve housing access across New York while promoting stability and fairness in both public and private housing programs.

Expanding Homeownership Opportunities

Several measures in the new package focus on supporting homebuyers and revitalizing communities. The legislation:

• Introduces new tax incentives to encourage the development and rehabilitation of affordable housing.
• Expands programs to redevelop vacant and blighted properties.
• Strengthens rules to prevent appraisal bias, ensuring more equitable property valuations.
• Requires homeowners’ associations to provide at least 90 days’ notice before initiating foreclosure actions.

These provisions are intended to help more New Yorkers purchase and retain their homes while encouraging reinvestment in underutilized areas.

New Protections for Renters

The package also includes stronger safeguards for tenants throughout the state. Key provisions include:

• A ban on rent-setting algorithms that contribute to artificial rent increases.
• A $20 cap on returned check fees.
• Security deposit protections extended to tenants in rent-regulated housing.
• Succession rights for family members of New York City Housing Authority residents.

Together, these measures aim to improve housing stability and transparency for renters, reduce unfair fees, and strengthen protections for families in public and private housing.

What This Means for Housing Stakeholders Across New York

While this legislative package introduces new protections for tenants and homeowners, its ripple effects extend throughout the housing landscape.

For housing authorities and local governments, the reforms may require procedural updates to align with new tenant protections and create opportunities to participate in redevelopment initiatives or public–private partnerships focused on rehabilitating vacant properties.

For landlords and property managers, the new limits on rent-setting tools and fees emphasize the need to review lease terms and rent calculation methods to ensure compliance. The enhanced focus on fair housing and appraisal standards also reinforces the importance of transparent and equitable practices in rental and sale transactions.

For developers and investors, the expanded incentives for affordable housing and rehabilitation projects could open new pathways for collaboration with municipalities and housing authorities, especially in communities facing housing shortages or blight.

For individual clients, the combination of anti-discrimination measures, notice requirements, and affordability initiatives provides greater protection and stability, whether they are entering the housing market for the first time or renting within regulated units.

The Towne Law Firm advises housing authorities, landlords, developers, and individuals on matters involving compliance, redevelopment, and tenant relations. As New York’s housing landscape continues to evolve, our team helps clients navigate new regulations and identify opportunities created by statewide policy changes.