Last updated October 13, 2026
Renting in New York City is fast, paperwork-heavy and expensive, but better regulated than many renters expect. Most landlords want your annual income to be at least 40 times the monthly rent, or a guarantor earning about 80 times. Up front, you pay the first month’s rent and a security deposit that by law can’t exceed one month’s rent, plus a screening fee capped at $20. Since June 2025, the FARE Act means you no longer pay a broker the landlord hired. Good apartments can rent within days, so have your documents ready before you start touring.
Do you have to pay a broker fee in New York?
Usually not anymore. The FARE Act, in effect since June 11, 2025, requires whoever hires a broker to pay that broker. Because listing brokers work for landlords, landlords now pay them, and a broker who lists an apartment is presumed to be working for the landlord. Before you sign, landlords must give you an itemized list of any fees you owe. If you hire your own broker to search for you, you pay that broker. If someone demands a fee they aren’t allowed to charge, you can report it to the city through 311.
Before the law, New York renters routinely paid broker fees of 10 to 15% of a year’s rent, sometimes to brokers they never chose. Some of that cost may now show up in rents instead.
How much do you need to earn to rent in New York?
The standard rule is 40 times the monthly rent in annual income. That means about $100,000 a year for a $2,500 apartment and about $160,000 for a $4,000 one. Landlords also check your credit.
| Monthly rent | Income needed (40x) | Typical guarantor income (80x) |
|---|---|---|
| $2,000 | $80,000 | $160,000 |
| $2,500 | $100,000 | $200,000 |
| $3,000 | $120,000 | $240,000 |
| $4,000 | $160,000 | $320,000 |
If you don’t meet the 40x rule, common options are:
- A personal guarantor, usually a parent, who often needs to earn around 80 times the rent and may need to live in the New York area.
- An institutional guarantor, a company that guarantees your lease for a fee. Some qualify renters earning as little as 27.5 times the rent.
- Roommates. Landlords usually combine roommates’ incomes toward the requirement.
What will you pay up front?
New York State’s 2019 tenant protection law limits what landlords can collect:
- First month’s rent.
- A security deposit of no more than one month’s rent. Landlords can’t also demand last month’s rent in advance.
- A background and credit check fee of no more than $20, which must be waived if you provide your own report from the last 30 days.
When you move out, the landlord must return your deposit, minus any documented damage, within 14 days, with an itemized statement of deductions. Late fees are capped at $50 or 5% of the monthly rent, whichever is less, and can’t be charged until rent is more than five days late.
What is a rent-stabilized apartment?
About one million New York City apartments are rent-stabilized. Rent increases on these apartments are limited each year by the city’s Rent Guidelines Board, and tenants generally have the right to renew their leases. They’re most common in older buildings with six or more units and in some newer buildings that received tax breaks. If a listing says an apartment is rent-stabilized, ask for its rent registration history so you can confirm the legal rent.
What New York rental terms should you know?
| Term | What it means |
|---|---|
| Walk-up | A building with no elevator, often four or five floors |
| Doorman building | A building with staff at the front desk, usually more expensive |
| No-fee | An apartment with no broker fee for the renter |
| Railroad apartment | Rooms in a line, one leading into the next |
| Convertible or flex | A layout where part of the living room can be walled off as an extra bedroom |
| Brownstone | A row house, often split into several apartments |
| Guarantor | Someone who agrees to pay your rent if you don’t |
When should you start looking?
About 30 days before you want to move in. Most New York apartments are listed for immediate or near-term move-in, so looking much earlier rarely works. Plan to apply the same day you see a place you like, with documents ready: photo ID, recent pay stubs or an offer letter, bank statements, tax returns, and your guarantor’s documents if you need one.
How do you avoid rental scams in New York?
- Never send money for an apartment you haven’t seen, in person or by live video.
- Be wary of rents far below market, or requests for wire transfers, gift cards or crypto.
- Check that a broker is licensed through New York State’s license lookup.
- Don’t pay a large “good faith deposit” just to apply. Fees beyond the $20 screening cap are generally not allowed.
Frequently asked questions about renting in New York
What is the 40x rule in New York?
Most landlords require annual income of at least 40 times the monthly rent. For a $3,000 apartment, that’s $120,000 a year.
How much can a New York landlord charge for a security deposit?
No more than one month’s rent, under state law since 2019.
Do renters still pay broker fees in New York City?
Not when the landlord hired the broker. Under the FARE Act, whoever hires the broker pays.
How fast does a landlord have to return a security deposit in New York?
Within 14 days of move-out, with an itemized statement of any deductions.
What is a guarantor?
Someone, often a parent, who signs on to cover your rent if you can’t. Guarantors are usually asked to earn about 80 times the monthly rent.
This article explains general rules and isn’t legal advice.
Sources
- FARE Act: ABC7 New York; Cole Schotz, FARE Act Now in Effect; Habitat Group (presumption for listing brokers)
- Deposits, screening fees, late fees and deposit return: StreetEasy, New York rent laws; New York State Bar Association; LawNY (renewal notice)
- Income and guarantor requirements: Brick Underground; RentHop, the 40x rule by neighborhood
- Rent-stabilized guarantors: Brick Underground
- Good-faith deposits: Brooklyn Eagle / THE CITY
