Buyouts: What rent-stabilized tenants should know to score the most cash
In Case You Missed It: Every so often, BrickUnderground digs through the archives to find the best advice our experts have shared through the years.
While some landlords offer rent-stabilized tenants as little as $1,500 to clear out of the building, others have paid in excess of $1 million. It all boils down to what it’s worth to the landlord to get their hands on your apartment. Here’s what they consider:
• Your age and health. A young healthy tenant who could be around for many years may be able to demand more than someone elderly and infirm.
• Location, location, location. The more valuable the location of the property, the more the landlord may be willing to pay.
• Your rent. If the rent is way below market, the landlord can profit by upgrading and re-renting the apartment, at a higher or possibly market-rate rent.
• Potential rent. The more the landlord stands to make on the subsequent tenant, the bigger incentive he/she has to increase the buyout offer.
For more factors that go into the negotiation, plus stories from actual tenants, read "Landlord wants to buy you out? How to name your price--plus real-life examples, from $15K to $1 million."
Related:
Lessons from the $17million buyout of a rent-stabilized apartment
What's a buyout really worth? Use this calculator to figure it out
