Bill > A07380

This bill establishes strict legal standards for advertising "deeply affordable" housing in New York to prevent deceptive marketing practices in the real estate market. Specifically, the legislation amends the state's General Business Law to mandate that any housing unit marketed as "deeply affordable" must genuinely be affordable to very low-income families, adhering to the federal standard set by "24 CFR 5.603" (a federal regulation by the Department of Housing and Urban Development that defines income limits based on the local area median income). Under this bill, any individual or entity with a financial interest in a property that uses the term for units failing to meet this federal threshold will be legally classified as engaging in false advertising under New York law. Furthermore, if advertisements mix market-rate housing (units priced at standard, un-subsidized rates according to current real estate market conditions) with deeply affordable units within the same building or development, the advertisement must explicitly state either the exact percentage or the precise number of units belonging to each category. State and municipal (local) governments must also follow these strict definitions and advertising rules in all public-facing databases and promotional materials. Finally, while the bill clarifies that it will not disrupt eligibility for existing housing tax credits, grants, or other incentive programs that might use different internal definitions for affordability, any public advertisements for units tied to those programs must still comply with the new truth-in-advertising standards set forth in this act, which takes effect 180 days after becoming law.