the importance of annual dhcr registration for your rental property
If you own rent-regulated apartments in New York, staying compliant with annual registration requirements from the New York State Division of Housing and Community Renewal (DHCR) is not just a formality—it’s essential to protecting your investment and avoiding significant legal and financial consequences.
At James G. Dibbini & Associates, P.C., we are here to help you navigate these complex requirements, ensure compliance, and avoid penalties that can arise from failure to register properly.
Why Annual DHCR Registration Is Crucial
Every year, property owners with rent-regulated units must file registration statements with DHCR by July 31. This process ensures that:
· DHCR has accurate records of each unit’s status (e.g., rent-stabilized or rent-controlled).
· Tenants are provided with a copy of their unit's annual registration, promoting transparency.
· The legal regulated rent for each unit is properly recorded, which is critical in the event of a rent overcharge claim or other dispute.
Failure to meet these requirements can have significant consequences.
What Happens If You Don’t Register?
Loss of Rent Increases:
If a unit is not properly registered, you may be prohibited from collecting lawful rent increases until the unit is brought into compliance.
Increased Legal Exposure:
Without a clear record of the legal regulated rent, DHCR or the courts may limit your ability to defend against rent overcharge complaints. Courts often default to the last properly registered rent, which can result in significant liability.
Penalties and Fines:
Noncompliance with DHCR registration requirements can result in administrative penalties and fines.
Challenges to Deregulation:
Accurate registration is critical for preserving a unit’s deregulated status when applicable. Improper or missing registrations may lead to DHCR voiding thederegulation and restoring the unit to rent-stabilized status.
How Our Firm Can Help
At James G. Dibbini & Associates, P.C., we assist property owners in meeting their DHCR registration obligations. Our team can:
· Review and Correct Registrations: We’ll help ensure your units are properly registered, with accurate legal rents and tenant information.
· Guide You Through Compliance: If you’ve missed a registration deadline, we can assist in rectifying the issue to restore compliance.
· Defend Against Penalties: If DHCR has imposed fines or penalties for registration violations, we can help mitigate the impact.
Our experience with landlord-tenant law and DHCR compliance ensures that your property remains protected and compliant, year after year.
Staying informed and compliant with DHCR registration requirements is critical for New York property owners to protect their investments and avoid potential legal and financial repercussions. Information provided by James G. Dibbini & Associates, P.C. He can provide valuable assistance in navigating these complex regulations.