NYC’s Fair Chance for Housing Law Is Now in Effect – What Property Owners Need to Know

As of January 2025, the Fair Chance for Housing Law is in full effect across New York City, reshaping how landlords, property managers, brokers, and even home sellers may screen applicants with criminal records.

The goal is to eliminate blanket housing rejections based on conviction history and instead ensure fair, transparent, and individualized consideration in rental and sales decisions. With over 750,000 New Yorkers holding conviction histories and many more affected by past arrests, the law is a significant step toward expanding access to stable housing.

Key Provisions of the Law

  • Conditional Offers First: A housing provider must review an applicant’s noncriminal information and make a conditional offer before requesting or conducting a criminal background check.
  • Limited Scope of Review: Only three categories of convictions may be considered. Housing providers cannot consider arrest records, pending cases, youthful offender adjudications, or convictions outside the defined scope.
  • Applicant Notification: Before a background check, the applicant must receive a written notice of rights. If adverse action is taken, the provider must share the record and provide a five-business-day response window.
  • Written Justification Required: If the offer is revoked, the housing provider must prove a legitimate business reason and provide written notice. Decisions must consider the totality of the applicant’s circumstances.

Enforcement & Compliance

Education is a top priority for the NYC Commission on Human Rights, but noncompliance carries consequences:

  • The city may conduct “matched pair testing,” sending applicants with similar qualifications but differing criminal histories to detect bias.
  • Pre-complaint interventions or formal complaints can lead to damages, civil penalties, and enforceable changes in practice.
  • The law applies broadly to rentals, co-ops, and condos and includes landlords, brokers, and managing agents.

Takeaways for Housing Providers

  1. Update your leasing/sales workflows to incorporate conditional offers and notice periods.
  2. Train your teams on what information they can and cannot consider.
  3. Remove any disqualifying language from applications or ads referencing blanket bans on criminal histories.

The law reflects a growing nationwide trend, with jurisdictions like Washington, D.C., Cook County, and New Jersey implementing their own versions. But New York City’s model stands out for its process-based structure and commitment to transparency.

Now is the time to reassess tenant screening policies and align with compliance best practices