A New York landlord opens up about the impact of the rent freeze
New York City Mayor Zohran Mamdani is celebrating the Employment Guidelines Board's approval of the rent freeze, which affects a large portion of the city's rental stock. Property owner Humberto Lopes warns that the decision will hurt landlords due to rising costs and rent increases. He discusses the potential for property damage and the broader economic consequences for New York City.
NEWNow you can listen to Fox News articles!
New York City Mayor Zohran Mamdani is facing renewed criticism over housing affordability as rents in Manhattan and Brooklyn hit record highs, with conservative analysts arguing that demand from immigrants is adding pressure to an already tight rental market the mayor has been campaigning to ease.
Rents in Manhattan and Brooklyn reached $5,295 and $4,350, respectively, in June, according to a survey by the Corcoran Group, a real estate firm. The most recent data available show about 38% of New Yorkers were born outside the United States, and about 40% of the city's rental properties are occupied by foreign-born people, although the data does not distinguish between legal and illegal immigration status.
“You declared yourself a sanctuary city. You 'welcomed' hundreds of thousands of illegals. Then you had to find places to put them,” wrote broadcaster Andrew Wilkow on X, responding to news of the rent hike. “That puts pressure on housing supply. A shortage makes prices go up. It's that simple.”
BIDEN'S ILLEGAL INVESTMENT HAS RAISED RENT AND HOME PRICES, FED SURVEY FINDS
A sign advertises an apartment for rent near a row of brown townhouses in the Fort Greene neighborhood of Brooklyn. ()
A 2003 paper published by the Federal Reserve Bank of Philadelphia found that immigration “increases tax and housing prices in destination cities,” with immigration equivalent to 1% of a city's population associated with about a 1% increase in average rents and housing prices. More recently, a paper published by the Federal Reserve Bank of Dallas in March found that a 1% increase in illegal immigrants working in a given area was accompanied by a 1.4% increase in rental prices because areas did not build enough new housing to keep up with the increase in population.
Both papers reflect the findings of the authors and do not represent the official positions of the Federal Reserve System or its regional banks.
“Young Americans are competing for housing with millions of immigrants,” wrote Rep. Brandon Gill, R-Texas on Monday in response to New York City rental data.
'AMERICAN HOUSING FOR AMERICAN PEOPLE': TRUMP'S HOUSING CHIEF PUSHES CACKDOWN TO REDUCE COSTS
New York City Mayor Zohran Mamdani delivers a speech to celebrate the 250th anniversary of the founding of the United States of America at City Hall in New York, NY, US, July 3, 2026. (Anna Connors/Pool via REUTERS)
Between 2020 and 2023, the most recent years available, the share of rental households belonging to foreign-born New Yorkers rose from 37% to 40%, according to the New York City Housing and Vacancy Survey. The data does not disaggregate the legal status of a citizen, making it unclear whether illegal immigrants represent an increased share of employers.
New York City Administrator Mark Levine, responding to news of rising rents on Sunday, recommended that city neighborhoods allow more housing, invest in affordable housing development, and loosen building regulations to increase housing supply and lower costs.
Conservative lawmaker Mike Davis responded to Levine's recommendations by asking, “What about deporting illegals?”
THE AMERICAN HOUSING MARKET COULD BE RUNNING OUT OF SOMETHING MORE IMPORTANT THAN INFORMATION.
New York City Mayor Zohran Mamdani's wife, Rama Duwaji (right), has received a lot of media attention after reports that she liked social media posts celebrating the October 7 massacre of Israelis by Hamas. (Getty Images)
The White House attributes the drop in rental costs in the South and Southwest to its layoffs, a claim disputed by critics who point to broader market conditions. A March 2024 academic study found that deportations could increase housing prices by hurting the construction industry, although the authors acknowledged that removing illegal immigrants could also reduce housing demand.
Mamdani campaigned to address New York City's housing crisis by raising rents for stable renters, building 200,000 affordable homes and expanding renter protections. Since taking office, he has successfully frozen rent-stabilized rents, loosened a housing program aimed at building and maintaining 400,000 affordable homes and moved to expand rental vouchers.
“Zohran Mamdani 'stopped the rent' and fed herself a taxpayer-funded cake,” Red State columnist Bonchie wrote to X, referring to Mamdani's celebration of the cake lease earlier this summer. “Then rents are at their highest, vacancy rates are at their highest since COVID, and you're proposing a 20% increase. Great stuff.”
CLICK HERE TO DOWNLOAD THE FOX NEWS PROGRAM
Critics argue that the rent freeze will drive up prices for everyone and disincentivize property owners from doing more than the bare minimum to maintain units that cannot be paid market rate to rent.
Mamdani's office did not respond to a request for comment when reached by Fox News Digital on Monday.
