We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.
New York City is notorious for its sky-high rents. Worse yet, the living conditions don’t always reflect the steep prices residents have to pay.
But Zohran Mamdani, the Democratic nominee for NYC mayor, is determined to change that.
Don’t miss
- I’m 49 years old and have nothing saved for retirement — what should I do? Don’t panic. Here are 6 of the easiest ways you can catch up (and fast)
- Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it
- Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in ‘great wealth’. How to get in now
His campaign platform includes an ambitious section titled “Cracking Down on Bad Landlords,” highlighting that one in ten renter households reported a lack of adequate heat last winter, while one in four dealt with mice or rats in their homes.
“Starting on day one, we will expand the city’s special enforcement programs, doubling fines for hazardous violations, and tripling them for conditions that are immediately dangerous,” Mamdani declared on his YouTube channel recently, standing outside a building on West 83rd Street he described as belonging to “one of the worst landlords in NYC.”
“And when a really bad landlord refuses to fix it? The city is going to step in, make the repairs and send them the bill. If that doesn’t work, the city is taking over the building. We’re putting the worst landlords out of business.”
Freeze rents because ‘landlords are doing just fine’
While maintaining safe living conditions is an obligation for landlords, Mamdani is proposing to go much further by directly confronting rent affordability — with a hard stop on increases.
“As Mayor, Zohran will immediately freeze the rent for all stabilized tenants, and use every available resource to build the housing New Yorkers need and bring down the rent,” his campaign website states.
Mamdani explained on TikTok that more than two million New Yorkers live in rent-stabilized units, where rents are set by the Rent Guidelines Board — a nine-member panel appointed by the mayor. Mamdani criticized the current board, appointed by Mayor Eric Adams, for raising rents “every year [Adams] has been in office.”
“Currently eight of Adams’ nine appointees’ terms are up and could be replaced tomorrow — and that’s exactly what I would do,” Mamdani said. “Rent freezes have happened before. [Former NYC mayor] De Blasio’s board did it three times — I would do the same every year, only appointing those who understand that landlords are doing just fine.”
It’s a bold proposal, but not everyone is convinced it will achieve the intended results.
Shark Tank star and Dallas Mavericks minority owner Mark Cuban was blunt in dismissing Mamdani’s platform as unrealistic.
“We’re cutting rents, right? We’re changing grocery stores. None of that sh-t has a chance. Doesn’t matter,” Cuban said of Mamdani’s proposals in a recent Pod Save America episode. “This guy is walking in telling me he’s going to walk on water.”
Emily Hamilton, director of the Urbanity Project at George Mason University’s Mercatus Center, also warned that the rent freeze could end up making the city’s housing crisis even worse.
“It’s going to exacerbate the city’s housing quality problems that the current rent stabilization law is already exacerbating,” Hamilton told FOX Business. “A rent freeze would just make that worse, and ultimately will contribute to the reduction in the supply of rent-stabilized units.”
Read more: You don’t have to be a millionaire to gain access to this $1B private real estate fund. In fact, you can get started with as little as $10 — here’s how
Earn rental income without becoming a landlord
Owning property is often touted as a proven way to generate passive income — but the reality can be different.
If you choose to be a landlord, you’ll need to find reliable tenants, collect rent and handle maintenance and repair requests — all on your own dime. And as Mamdani’s proposals have reminded everyone, being a landlord comes with real responsibilities and may not be nearly as passive as it sounds.
From late-night maintenance calls to navigating tenant disputes and covering unexpected repairs, managing a rental can quickly turn into a full-time job.
The good news? You don’t need to buy a property outright — or deal with leaky faucets — to invest in real estate today. Crowdfunding platforms like Arrived offer an easier way to get exposure to this income-generating asset class.
Backed by world class investors like Jeff Bezos, Arrived allows you to invest in shares of rental homes with as little as $100, all without the hassle of mowing lawns, fixing leaky faucets or handling difficult tenants.
The process is simple: Browse a curated selection of homes that have been vetted for their appreciation and income potential. Once you find a property you like, select the number of shares you’d like to purchase, and then sit back as you start receiving positive rental income distributions from your investment.
Another option is First National Realty Partners (FNRP), which allows accredited investors to diversify their portfolio through grocery-anchored commercial properties without taking on the responsibilities of being a landlord.
With a minimum investment of $50,000, investors can own a share of properties leased by national brands like Whole Foods, Kroger and Walmart, which provide essential goods to their communities. Thanks to Triple Net (NNN) leases, accredited investors are able to invest in these properties without worrying about tenant costs cutting into their potential returns.
Simply answer a few questions — including how much you would like to invest — to start browsing their full list of available properties.
What to read next
- Financial aid only funds about 27% of US college expenses — but savvy parents are using this 3-minute move to cover 100% of those costs
- Here are the 6 levels of wealth for retirement-age Americans — are you near the top or bottom of the pyramid?
- Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
- How much cash do you plan to keep on hand after you retire? Here are 3 of the biggest reasons you’ll need a substantial stash of savings in retirement
Money doesn’t have to be complicated — sign up for the free Moneywise newsletter for actionable finance tips and news you can use. Join now.
This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
