Rent Stabilization

Rent stabilization is a softer version of rent control that limits annual rent increases to a percentage set by a local rent guidelines board — and it covers far more apartments than strict rent control does.

How It Differs from Rent Control

Rent control typically freezes rents at a specific level with very small allowed increases (often tied to CPI). Rent stabilization allows larger, regularly adjusted increases set by a government board. In New York City, about 1 million apartments are rent-stabilized versus roughly 22,000 that are rent-controlled. The stabilization system is the one that actually affects the market.

Rent-stabilized tenants have the right to lease renewals, can’t be evicted without cause, and have their increases limited to what the rent guidelines board sets each year — typically 1-5% for a one-year renewal. If the board sets a 3% increase on your $2,000/month apartment, your landlord can only raise it to $2,060.

Where It Applies

New York City is by far the largest rent-stabilization market. Washington D.C., parts of New Jersey, and a few California cities have similar programs under different names. Oregon’s statewide rent cap (7% + CPI) functions similarly to stabilization.

Not every unit in these cities qualifies. NYC rent stabilization generally covers buildings with six or more units built before 1974, plus some newer buildings that received tax abatements. Once an apartment’s rent exceeds the deregulation threshold (around $2,900/month in NYC) and the tenant moves out, it can be permanently deregulated. The tenant guide explains how to check if your apartment is stabilized, and the rent calculator can help you compare stabilized vs. market-rate costs.