New York Prorated Rent Calculator & Laws 2025: Complete Guide
New York Prorated Rent Overview
New York landlords and tenants must navigate one of the nation's most comprehensive regulatory frameworks for prorated rent, especially in rent-stabilized and rent-controlled units. The Division of Housing and Community Renewal (DHCR) actively enforces strict proration standards, making accurate calculations essential in New York's expensive rental market—where median rents in Manhattan exceed $4,000, Brooklyn averages $3,200, and even upstate areas like Buffalo and Rochester average $1,200+.
Our free New York prorated rent calculator provides instant, DHCR-compliant calculations using the daily rate method required for rent-stabilized units.
New York Prorated Rent Laws
Legal Framework
New York's prorated rent requirements are among the strictest in the United States, governed by multiple regulatory bodies:
Rent Stabilization Code § 2522.4: For rent-stabilized apartments (approximately 1 million units in NYC), requires proportional rent calculations using actual calendar days. This is a mandatory requirement, not a recommendation.
New York Real Property Law § 235-c: Governs non-regulated apartments, requiring lease terms to be "conscionable" (fair and not oppressive). While not explicitly mandating daily rate, courts consistently interpret this to require proportional calculations.
Division of Housing and Community Renewal (DHCR): Issues binding interpretations and operational bulletins requiring daily-rate calculations for all rent-stabilized units. DHCR actively investigates tenant complaints about improper proration.
NYC Rent Guidelines Board: Sets annual rent increase percentages for stabilized units and requires accurate proration when increases take effect mid-month.
Rent-Stabilized vs. Market-Rate Units
New York's proration requirements differ based on unit type:
Rent-Stabilized Units (NYC only):
- Mandatory daily rate: Must use actual calendar days (never 30-day method)
- DHCR enforcement: Tenants can file complaints for improper calculations
- Strict documentation: Landlords must provide detailed calculation breakdown
- Mid-month increases: Must prorate old rate and new rate separately
Market-Rate Units (NYC and statewide):
- Strong recommendation: Daily rate method to meet "conscionable" standard
- Court scrutiny: Judges void unreasonable proration clauses
- Best practice: Follow DHCR standards even if not legally required
How DHCR Defines Proper Proration
DHCR Operational Bulletin 2016-1 establishes clear standards:
- Daily rate calculation: Monthly rent ÷ actual days in month
- Inclusive counting: Both move-in day and move-out day count as occupied
- Separate calculations: If rent changes mid-month, each period calculated separately
- Written documentation: All calculations provided to tenant in writing
- No rounding excess: Reasonable rounding only (to nearest cent)
How to Calculate New York Prorated Rent
The Daily Rate Method (Required for Stabilized, Recommended for All)
Formula:
(Monthly Rent ÷ Actual Days in Month) × Days Occupied = Prorated Rent
Example 1: Manhattan Rent-Stabilized Apartment
Scenario: Upper East Side stabilized unit, $2,800/month legal regulated rent, move-in January 18
Calculation:
- Monthly rent: $2,800
- Days in January: 31
- Move-in date: January 18
- Days occupied: 14 (January 18-31)
- Daily rate: $2,800 ÷ 31 = $90.32/day
- Prorated January rent: $90.32 × 14 = $1,264.48
Total move-in costs:
- Prorated January rent: $1,264.48
- Full February rent: $2,800.00
- Security deposit (max 1 month): $2,800.00
- Total: $6,864.48
Note: Rent-stabilized units cannot require "last month's rent" upfront (only first month + security deposit)
Example 2: Brooklyn Market-Rate Move-Out
Scenario: Williamsburg apartment, $3,400/month rent, 30-day notice given February 8, move-out March 9 (non-leap year)
Calculation:
- Full February rent: $3,400.00 (occupied Feb 8-28)
- Days in March: 31
- Days occupied in March: 9 (March 1-9)
- March daily rate: $3,400 ÷ 31 = $109.68/day
- Prorated March rent: $109.68 × 9 = $987.12
Total 30-day notice rent: $4,387.12
Example 3: Mid-Month Rent Increase (Stabilized Unit)
Scenario: Queens stabilized apartment, rent increases October 15 from $1,900 to $1,957 (3% RGB increase)
Two-part calculation:
- October 1-14 (old rate): ($1,900 ÷ 31) × 14 = $858.06
- October 15-31 (new rate): ($1,957 ÷ 31) × 17 = $1,042.58
- Total October rent: $1,900.64
Important: Tenant pays prorated amount for October, then full new rate ($1,957) starting November 1
New York-Specific Requirements
Security Deposit Caps (HSTPA 2019)
The Housing Stability and Tenant Protection Act of 2019 (HSTPA) drastically changed New York security deposit rules:
Statewide cap: Maximum 1 month's rent for all residential units (effective June 14, 2019)
Previous limit (pre-HSTPA): Was 1 month for stabilized, unlimited for market-rate. Now uniform statewide.
Not prorated: Security deposit is always full month's rent, even for mid-month move-in
Example: $3,200 rent, move in March 22:
- Security deposit: $3,200 (full month)
- Prorated March rent: ~$1,032 (10 days)
- Full April rent: $3,200
- Total move-in: $7,432
Refund timeline:
- 14 days: Must return deposit if no deductions
- With itemized statement: Can deduct for damages beyond normal wear
- Penalty: Failure to return forfeits right to any deduction + double damages
Notice Requirements
New York notice requirements vary by lease type and rent level:
Month-to-Month Tenancies:
- Tenant: At least 1 month notice to landlord
- Landlord (non-stabilized): Depends on tenancy length:
- Less than 1 year: 30 days
- 1-2 years: 60 days
- 2+ years: 90 days
- Landlord (stabilized): Cannot refuse renewal without "good cause" (HSTPA 2019)
Fixed-Term Leases:
- Stabilized units: Automatic renewal at RGB-set rate unless landlord has good cause
- Market-rate: No automatic renewal unless specified in lease
- Early termination: Requires notice per lease terms (typically 30-60 days + penalty)
Good Cause Eviction Law (2024)
New York State's Good Cause Eviction Law (effective April 20, 2024) affects proration in several ways:
Applies to:
- Buildings with 6+ units outside NYC
- Buildings constructed before January 1, 2024
- Units renting under certain income thresholds
Impact on proration:
- Landlords can't refuse lease renewal without "good cause"
- Rent increases capped at 10% or 5% + CPI (whichever is less)
- Mid-month increases must be prorated using daily rate
- Tenants can challenge unreasonable proration as harassment
Regional Variations in New York
New York City (Five Boroughs)
Average rents: Manhattan ($4,000+), Brooklyn ($3,200+), Queens ($2,600+), Bronx ($2,100+), Staten Island ($1,900+)
Unique requirements:
- ~1 million rent-stabilized units (mandatory daily rate proration)
- NYC Rent Guidelines Board sets annual increases
- DHCR active enforcement of proration rules
- Housing Court handles proration disputes
- Strong tenant advocacy organizations
Westchester, Nassau, Suffolk Counties
Average rents: Westchester ($2,400+), Nassau ($2,200+), Suffolk ($2,000+)
Market characteristics:
- Some rent-stabilized units (ETPA - Emergency Tenant Protection Act)
- Mostly market-rate housing
- Professional property management common
- Good Cause Eviction Law applicable (6+ unit buildings)
Upstate New York
Average rents: Buffalo ($1,200+), Rochester ($1,100+), Albany ($1,300+), Syracuse ($1,000+)
Market characteristics:
- Fewer rent regulations
- Good Cause Eviction Law significantly impacts market
- More flexible proration in smaller buildings (< 6 units)
- Lower move-in costs overall
Common New York Proration Mistakes
Mistake 1: Using 30-Day Method in Stabilized Unit
Problem: Landlord calculates ($2,500 ÷ 30) × 15 = $1,250 for 15 days in 31-day January
Correct: ($2,500 ÷ 31) × 15 = $1,209.68
Overcharge: $40.32
Risk: DHCR violation; tenant can file complaint and receive refund + penalties
Mistake 2: Not Prorating Mid-Month Rent Increase
Problem: RGB allows 3% increase effective October 1. Landlord charges full new rate for entire October even though lease renewal is October 15.
Correct calculation:
- Oct 1-14 (old rate $2,000): ($2,000 ÷ 31) × 14 = $903.23
- Oct 15-31 (new rate $2,060): ($2,060 ÷ 31) × 17 = $1,129.03
- Total October: $2,032.26 (NOT full $2,060)
Mistake 3: Exceeding Security Deposit Cap
Problem: Landlord requires first month, last month, AND security deposit from new tenant
Legal (post-HSTPA): First month + security deposit ONLY (max 1 month)
Penalty: Tenant can sue for return of excess + double damages
Mistake 4: Improper Notice for Non-Renewal
Problem: Landlord gives 30-day notice to month-to-month tenant who's lived there 2 years
Correct: Must give 90 days notice (tenancy over 2 years)
Result: Tenant doesn't have to vacate; continues month-to-month
New York Tenant Rights
Right to DHCR Complaint (Stabilized Units)
Rent-stabilized tenants can file complaints with DHCR for:
- Improper proration calculations
- Rent overcharges (including prorated amounts)
- Failure to provide renewal lease
- Harassment through billing disputes
Process:
- File complaint online at hcr.ny.gov
- DHCR investigates (typically 6-12 months)
- If overcharge found, landlord must refund + triple damages (if willful)
- Landlord must correct all future calculations
Right to Itemized Statement
All tenants (stabilized and market-rate) have right to:
- Written breakdown of all rent charges
- Explanation of proration calculation showing:
- Monthly rent amount
- Days in month
- Days occupied
- Daily rate calculation
- Total prorated amount
- Receipt for all payments
Protection Under Good Cause Eviction
In buildings with 6+ units (outside NYC) covered by Good Cause:
- Cannot be evicted for challenging proration
- Rent increases limited to 10% or 5% + CPI annually
- Mid-month increases must be prorated properly
- Can raise improper proration as defense in eviction proceeding
Best Practices for New York Tenants
For Rent-Stabilized Units
- Verify unit is stabilized: Request rent history from DHCR
- Check legal regulated rent: Ensure base rent is correct
- Verify RGB increase: Confirm annual increase matches RGB order
- Request proration breakdown: Get written calculation before paying
- Keep all documents: Leases, receipts, DHCR correspondence
- File complaints promptly: Don't wait years; address issues immediately
For Market-Rate Units
- Review lease proration clause: Ensure daily rate method specified
- Calculate independently: Use our New York calculator
- Request move-in cost breakdown: Get itemized estimate before signing
- Verify security deposit: Cannot exceed 1 month's rent
- Document everything: Save all calculations and communications
At Move-Out
- Give proper notice: At least 30 days written notice (verify lease requirement)
- Calculate final rent: Know exact amount owed for partial month
- Request walkthrough: Inspect with landlord to address issues
- Take photos: Document condition upon vacating
- Provide forwarding address: Required for 14-day deposit refund
- Track deadline: Landlord must return deposit within 14 days or provide itemization
Best Practices for New York Landlords
For Rent-Stabilized Units
- Use DHCR-compliant forms: Standard lease renewal forms available at hcr.ny.gov
- Calculate proration precisely: Use actual calendar days, never estimate
- Provide written breakdown: Show full calculation with every prorated charge
- Register with DHCR: Annual registration required for all stabilized units
- Track RGB orders: Apply correct percentage increase each lease term
- Document everything: Keep records for at least 4 years (DHCR requirement)
For Market-Rate Units
- Use daily rate method: Even though not legally required, it's industry standard
- Include clear lease clause: Specify proration calculation method
- Provide move-in estimate: Itemized costs before lease signing
- Limit security deposit: Maximum 1 month (HSTPA requirement)
- Give proper notice: Follow graduated notice periods (30/60/90 days)
Technology Solutions
New York landlords commonly use:
- BuildingLink: Popular in NYC, auto-calculates rent and proration
- RentMinder: DHCR-compliant calculations for stabilized units
- AppFolio/Buildium: Full property management with proration features
- Our calculator: Free online tool for quick verification
Tax Implications for New York Landlords
Income Reporting
- Federal: Report prorated rent on IRS Form 1040 Schedule E
- New York State: Report on Form IT-201 (resident) or IT-203 (non-resident)
- NYC: Report on Form NYC-202 (unincorporated business tax if 5+ units)
Record-Keeping
New York landlords must maintain for 4 years (DHCR) or 7 years (IRS):
- All lease agreements with proration clauses
- Rent receipts showing prorated calculations
- DHCR registration statements
- Security deposit accountings
- Bank statements showing rent deposits
Tools and Resources
Free Calculator
New York Prorated Rent Calculator - Provides:
- DHCR-compliant daily rate calculations
- Rent-stabilized and market-rate scenarios
- Mid-month rent increase calculator
- Downloadable PDF for tenant records
- Compliance with Rent Stabilization Code § 2522.4
Official Resources
- NY Division of Housing & Community Renewal: hcr.ny.gov (DHCR portal)
- NYC Rent Guidelines Board: housingnyc.com (annual increases)
- NY State Unified Court System: nycourts.gov (housing court info)
- NY Attorney General: ag.ny.gov/tenant-resources
Tenant Advocacy Organizations
- Met Council on Housing: metcouncilonhousing.org (tenant hotline)
- Housing Rights Initiative: housingrights.org (legal help)
- Legal Aid Society: legal-aid.org (free representation)
- Housing Court Answers: nycourts.gov/courts/nyc/housing/answers.shtml
Conclusion
New York's comprehensive rent regulation system—especially for stabilized units—requires precise, DHCR-compliant prorated rent calculations. Whether you're renting a Manhattan studio at $4,000/month or a Buffalo apartment at $1,200/month, understanding proration protects both landlords and tenants from disputes and regulatory violations.
Key New York takeaways:
- Stabilized units MUST use daily rate method (Rent Stabilization Code § 2522.4)
- Market-rate units strongly encouraged to follow same standard
- Security deposits capped at 1 month statewide (HSTPA 2019)
- Mid-month rent increases require separate proration for each period
- Verify all calculations with our DHCR-compliant calculator
Calculate now: Get your New York prorated rent amount instantly →