Operating Costs for stabilized apartments fell 1.2% in 2015 due to lower fuel prices and a warm winter, according to the Price Index report issued by the Rent Guidelines Board yesterday. The record low Price Index could justify a commensurate rent adjustment of as low as -1.9% for one year lease renewals and 0% for two year renewals, or a ‘high’ of -.7% for one year and +.8% for two years (yes, those negatives and decimals are correct) according to the RGB staff analysis.
The RGB also issued its annual mortgage study, reporting that average interest rates on new mortgages dropped to a record 3.97%, and that vacancy and collection losses on buildings seeking mortgages dropped to a record low 3.14%, now people have a higher chance to refinance mortgage.
Water costs will be going up 2.1% in July if a proposed rate hike is approved. Hearings are in May.
The Department of Buildings will be adding 22 plumbing inspectors to check every gas job before service can be turned on. The Buildings Commissioner reported that hundreds of additional inspections had already been done in response to utility reports of suspect connections. But, the Commissioner did testify this week against a City Council bill to require gas alarms in apartments, saying the technology was not fully proven yet.
The New York City Housing Authority’s infamous maintenance problems weren’t helped this week by a court ruling that NYCHA can’t require its union staff to respond to problems on nights or weekends.
The Division of Homes and Community Renewal is moving it’s Registration Unit from Albany to Jamaica. The web page reporting the move also noted that DHCR issued 63 rent overcharge orders and 113 MCI orders in March.
This week’s BuildingsNY exhibitor focus is on Abilene. Meet them at the Javits Center May 24-25th.