The legality of sublets

If you’re leaving town and looking to sublet for fewer than 30 days, we’re sorry to say that you may be out of luck: New York State and City laws prohibit this venture. Platforms like Airbnb remain legal in New York City, but such units must be registered with New York’s Short-Term Rental Registration Portal as per Local Law 18.

If you are going to be away for a month or longer, the city and state allow you to sublet your apartment. However, what your building allows you to do is a different matter.

The logistics of sublets

The legality of home swaps

Unlike sublets, home swaps fall into a gray zone. It all comes down to how one interprets the law. One might say that if someone is in your unit when you’re not there, it is a sublet. Someone else might argue that as long as no money has exchanged hands, it is not a sublet. For this reason, in New York City, one should always proceed with caution when home swapping but not necessarily rule it out.

As a rule, if you own your own home—for example, a townhouse in Park Slope—you can do whatever you like for whatever period of time. If you own a co-op, you should definitely still check with your board. While the board may be flexible, most co-op boards will want to know who will be occupying your unit while you’re on vacation. In addition, some co-ops may place time limits on home swaps (e.g., only permit home swaps for up to two weeks). Condo residents may or may not face similar restrictions.

Again, when it comes to home swaps, renters will generally face more restrictions than owners. That said, according to New York State law, home swaps are technically legal. If you live in a class A dwelling (i.e., any building with three or more units), according to the New York Multiple Dwelling Law, the “incidental and occasional occupancy of such dwelling unit for fewer than thirty” is legal provided “the permanent occupants are temporarily absent for personal reasons such as vacation or medical treatment” and “provided that there is no monetary compensation paid to the permanent occupants for such occupancy.” In other words, a renter can do a home swap, provided it is less than 30 consecutive days in length. Still, renters are strongly advised to only proceed if they have first informed their unit’s owner and/or their management company, informed their neighbors, and if they live in a co-op or condo, received permission from the building’s board.

Is it worth it?

Every year, thousands of New Yorkers enjoy the payback from swapping and subletting their homes. But how do you know whether yours will be worth it?

To answer this question, you first need to consider all the potential risks. If you’re worried that your decision to sublet may cause damage to your home, building, or long-term relationships with your neighbors or co-op board, you may not want to sublet or engage in a home swap. The short-term financial gain won’t be worth it if you create long-term problems in the process. Likewise, if you’re a renter and there is any risk your sublet might lead to an eviction, don’t do it. Even if you don’t love your current apartment, bear in mind that an eviction will tarnish your reputation as a renter and may impact your ability to rent in the future.

The bottom line is that if you are a) leaving for more than 30 days (or home swapping for less time); b) have gained permission to sublet or home swap from your co-op or condo board, immediate neighbors, and/or owner or manager; and c) can handle the stress of inviting strangers into your home, a sublet or home swap may be a great idea. If you’re at all worried about the logistics, preparation, and potential things that might go wrong in your absence, you may be better off leaving the dust to settle in your New York City apartment while you wait this out elsewhere.