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Sunday, March 31, 2024

NYC couple sued by squatters at $930K investment home who won’t leave

 A pair of alleged squatters accused of unlawfully moving into a Queens duplex are suing its rightful owners after refusing to vacate the $930,000 home.

It’s the latest logic-defying chapter in the ongoing squatter saga in the borough, which in recent weeks has seen multiple homes occupied by unwelcome invaders who claim rights to the properties under New York City’s permissive laws.

“It’s absolutely absurd,” said the owner of the latest targeted home, Juliya Fulman — who so far has racked up more than $4,000 in legal bills fighting the suit — to The Post on Sunday.

“These people literally broke into my house. It’s not fair to us as homeowners that we are not protected by the city,” said the Jamaica property owner.


Juliya Fulman and Denis Kurlyand are caught up in a court battle with a pair of alleged squatters who sued them after being removed from the couple’s Queens investment home.@julie_julz4/Instagram
Within the five boroughs, squatters need only to occupy a property for 30 days before a wide range of legal protections kick in that make it difficult for the owner to evict them.

“You can’t really even blame them in a way because it’s handed to them on a silver platter,” Juliya’s husband Denis Kurlyand said in a phone call with The Post, calling the squatters “opportunists.

“Something needs to be done because the issue is getting worse. People are taking advantage of these laws, manipulating the laws, and our hands are tied,” he said.

“What did we do? Nothing. We put up a property for rent, and that’s it, now we’re dealing with a nightmare.”

The couple spent $530,000 renovating the Lakeside Avenue investment property and secured tenants for both rental units when their real-estate broker, Ejona Bardhi, discovered March 5 that the locks on the property had been changed.

After determining the lock change was not authorized, Bardhi returned to the home and saw through the window a silhouette of a man wearing a hooded sweatshirt and holding a drill, the broker told the Daily Mail.

Fulman and Kurlyand spent more than half a million dollars renovating their investment home in Jamaica, only to have squatters take it over and then sue them.Gregory P. Mango

As Bardhi went to her car to call police, several men emerged from the residence and encircled her car parked in front of the home, she said.

“They were trying to intimidate me,” she said.

When cops arrived, the two alleged squatters, identified by the outlet as Lance Hunt, Sr. and Rondie L. Francis, claimed they had been living there since January but were unable to provide proof.

The men left the home without incident, and Bardhi and the homeowners stated their intention to change the locks. But cops told them they would be arrested if they did.

It wasn’t an empty threat. Just two weeks later, another Queens homeowner, Adele Andaloro, 47, was arrested for changing the locks on her $1 million house in Flushing in an attempt to rid the property of squatters.

The squatters were removed when the couple provided proof to the police that they were the home’s rightful owners, but both sides’ court battle over the property isn’t over.Gregory P. Mango

Hunt Sr. and Francis returned to the property a day later, brandishing what they claimed was a lease agreement signed by Bardhi. But Juliya and Kurlyand were prepared, presenting officers with ownership documents and timestamped videos showing the house had been vacant, the homeowners told The Post.

Police then escorted the men from the property, and the owners changed the locks. Upon entering, the couple found their freshly renovated home marred by the trespassers’ utter disregard for their ill-gotten digs, including scuffed up wood floors, scratches on walls and the smell of marijuana permeating the residence.

What should have been the end of their ordeal was only the beginning, when 10 days later Bardhi was served with court documents notifying her that the men were suing her, the couple and the real-estate company handling the site, Top Nest Properties.

The squatters were granted an emergency lockout hearing March 22 in Queens Civil Court, during which the couple’s lawyer, Rizpah Morrow, asked judge Vijay Kitson for a trial, arguing the men had “perpetrated a fraud.”

Kurlyand said Hunt Sr. and Francis showed up to court with “forged documents” cobbled together from public records documents and hastily photoshopped.

“They found whatever they could and threw it all together. The lease they presented is ridiculous — signed on Jan. 1 and starting Jan. 1,” he said.

“The court system is not favorable to landlords,” Kurlyand said.@julie_julz4/Instagram

Juliya added, “I don’t know how they had the audacity to show up in court.”

The squatters’ lawyer, Dennis Harris, told the outlet that his clients had shown him “enough for me to believe they were living there,” which included a rental application, a lease and text messages.

The next scheduled court date is April 5. When the couple asked Judge Kitson if in the meantime they could proceed with letting their tenants move in, he said doing so before the matter is adjourned could complicate things further.

“The court system is not favorable to landlords,” Kurlyand said. “It could take years to evict someone who illegally broke into your house? Where’s the law in that? Why work hard to pay rent or mortgages when you can break into somebody’s house every couple of years and have luxury living?”

Despite making some progress toward resolving the matter, Kurlyand said it is still “scary” to have the ultimate decision out of his hands.

The couple found the home in disrepair when they were able to gain access.Gregory P. Mango
“As in any courtroom, you never know which way it’s gonna go. It’s scary — if the judge decides for whatever reason to rule against us that day, even if we have evidence, there’s nothing we can do at the end of the day — we still have to fight in court,” he said.

“Somebody broke into my house, and I’m in court getting sued by them. How can we be here? How is this possible? There have to be safety precautions in place,” he said.

https://nypost.com/2024/03/31/us-news/nyc-couple-sued-by-squatters-who-allegedly-took-over-their-930k-investment-home/

Friday, March 29, 2024

Beware Of Squatters

 by Betsy McCaughey via The Epoch Times (emphasis ours),

If you own a home and don’t want to lose it, keep reading.

Homeowners who go on vacation or a business trip, even for just a week, are returning to find their houses overtaken by trespassers who fraudulently claim a right to be there. It’s happening to tens of thousands of homeowners from New York City to Atlanta and Los Angeles.

When owners call the police, they’re told police can’t help. It’s a civil matter, and they have to file an eviction lawsuit, which can drag on for months or years because housing courts are backlogged.

Meanwhile, owners are out on the street while squatters are living free, destroying houses, and even selling off owners’ belongings.

If you found a stranger sitting in your car and called the police, they would immediately ask to see the registration and decide who owns it, according to Georgetown law professor Jonathan Turley. They wouldn’t let the thief drive off. But the law is stacked against homeowners.

You can thank leftist lawmakers who have degraded property rights and tilted the law to favor criminals. The result is an epidemic of brazen squatting.

In New York state, a homeowner faced with a trespasser can expect eviction to take two years. Meanwhile, the owner is barred from turning off utilities, removing belongings, or doing anything else to get the invaders out. It’s crazy.

New York state Assemblyman Jake Blumencranz of Long Island introduced legislation saying a squatter is not a tenant and is not entitled to the same protections. Will it pass in Albany? Don’t hold your breath.

But some states are acting quickly against this crime wave.

The Florida Legislature passed a bill to empower police to immediately remove anyone who can’t produce a notarized lease. Georgia’s statehouse passed the Squatter Reform Act, making squatting a crime—criminal trespass—to be handled by the police, not housing court. It’s likely to pass the Senate shortly.

In blue states such as California and New York, is there hope for homeowners to get protection against squatters? Not from Congress. Democrats in Congress are actually pushing a federal housing law that would bar landlords from learning whether potential tenants have criminal records, including past squatting offenses.

But there is a remedy: bringing a lawsuit in federal court against states such as New York and California that fail to protect property rights. The U.S. Constitution enshrines property rights as a fundamental guarantee. And recently, the justices have struck down state laws that allow trespassers to interfere with property rights. In 2021, the Pacific Legal Foundation brought a suit on behalf of a property owner, and the court ruled in Cedar Point Nursery v. Hassid that “government-authorized invasions of property” amount to a taking just as if the government had taken the property directly.

Favoring intruders over owners constitutes a “taking” that violates the Fifth Amendment, which says government cannot impinge on your right to your property.

There’s no time to waste in acting to protect homeowners.

Venezuelan TikTok influencer Leonel Moreno claims that invading vacant homes is the only option for illegal migrants flooding into the United States. His now-deleted TikTok video explaining how to identify a home that is empty and ready for the taking reached 4 million views.

Surprised? Don’t be. Criminals from south of the border are coming in droves to plunder the far wealthier United States. Some cross illegally and are recruited by the Venezuelan gang Tren de Aragua and El Salvador’s MS-13. Others are coming in on tourist visas. Law enforcement is reporting a surge in South American burglary gangs operating in at least half the states in the United States.

Of course, many migrants are honest and hardworking. But there’s no denying that a movement northward to “take what you can get” poses new danger to homeowners, including the risk of squatters.

As Mr. Moreno says, “If a house is not inhabited, we can seize it.”

Tell lawmakers to act now to protect homeowners. This is the United States. Here, property rights are not up for debate. They’re guaranteed in the Bill of Rights.

You worked for it, you paid for it, it’s yours. Period.

https://www.zerohedge.com/political/beware-squatters

Thursday, March 28, 2024

NYC Delinquent Property Taxes Approach $1 Billion After Expiration of Tax-Lien Punishment

 While New York City embarks on a program to hand out some $53 million in prepaid debit cards to illegals, the city has estimated that overdue property taxes are set to reach their highest level ever, jumping 30% to over $880 million at the end of the fiscal year in June, vs. three years ago. City officials attribute this to the expiration of a tax-lien sales program that would punished delinquencies by allowing the city to sell liens on single-family homes and condos after three years of nonpayment, according to a Tuesday offering document for a city general obligation bond sale cited by Bloomberg.

Under the program created by former Mayor Rudy Giuliani in 1996, and which expired in March 2022, liens slapped on delinquent properties would be discounted and packaged into securities sold to a third-party trust, which borrows money from investors to pay the city upfront, and then assumes responsibility for collecting the outstanding property tax through debt servicing companies (plus fees and interest). After the investors are paid back, the city was entitled to collect additional revenue from fees and interest payments.

45% of New York's tax revenue and 30% of overall funds for the current $114 billion budget come from property taxes - which is expected to top $32.7 billion in the current fiscal year.

"It’s not just the absolute dollar amount that I think should worry us all," city Finance Commissioner Preston Niblack said at a March 4 City Council finance committee hearing, adding that people have realized "there are no consequences for not paying your property taxes."

"That just can't be allowed to continue," he said.

To be sure, the rise in unpaid property taxes comes as New York’s office market continues to struggle. The overall vacancy rate for Manhattan office space stood at 22.5% in November, the highest on record, according to the city’s January financial plan.

Rent-regulated apartments are also facing stress after a 2019 law sharply reduced landlords’ ability to raise rents. -Bloomberg

The tax-lien program faced pushback from community activists and even state Attorney General Letitia James, who said in December 2020 that "additional fees can quickly turn a relatively small tax lien into an overwhelming financial burden, eventually pushing homeowners into foreclosure," referring to a mandatory 5% surcharge, legal fees and a 9% or 18% interest rate that compounds daily.

Between 2018 and 2022, the city collected $260 million from the tax-lien program, according to the city's bond offering document.

A better solution?

Bloomberg further reports that the city's Department of Finance is working on legislation that would reauthorize tax-lien sales, ensuring that homeowners don't face foreclosure or eviction.

"We look forward to working with the [City] Council on this important issue and look forward to a new, more equitable form of property tax enforcement," said Department of Finance spokesman, Ryan Lavis.

The City Council, meanwhile, said in a statement that it's working with the "Administration, advocates, impacted communities, and all stakeholders to advance policies that address outstanding charges while supporting the economic health of homeowners, our communities, and the City."

The biggest offenders include a 16-unit Cobble Hill, Brooklyn rental building which owes $52.2 million of the $880 million estimated delinquency. There's also a 49-unit Bronx apartment building which owes $24.7 million.

"We have to do something," said City Council Member Gale Brewer, who represents the Upper West Side of Manhattan. "People should pay their taxes."

https://www.zerohedge.com/economics/nyc-delinquent-property-taxes-approach-1-billion-after-expiration-tax-lien-punishment

Renting Now Cheaper Than Owning In All Of America's Largest Metros

 A combination of higher mortgage rates and sky-high housing prices has made it cheaper to rent than to own a home in all of America's largest metropolitan areas, according to a new report by Realtor.com.

The report, which tracks the top 50 metro areas in the US, found that while it was already cheaper to rent than buy in 90% of metros last year, it's now pushed to 100% - the first time this has happened since Realtor.com began tracking renting vs buying three years ago.

"With rents continuing to fall and the cost of buying a home remaining high" thanks to mortgage rates and home prices, "renting a home is now a more cost-effective option in all major U.S. markets," said Realtor.com chief economist, Danielle Hale.

To be sure, buying a house is a form of forced savings that builds wealth via an asset that appreciates over time. But the current market is too expensive for many Americans, given the steep rise in borrowing costs and home prices, relative to rents, in recent years.

For instance, the median rent in the New York–Newark–Jersey City metro area was $2,852, which was far cheaper than the $4,995 monthly cost of buying. -MarketWatch

The report calculates the monthly cost of buying a home by averaging the median listing prices of a studio, one-bedroom and two-bedroom homes in a tracked metro. It's then weighted by the number of listings in each market, and assumes buyers are putting down 8% on a home purchase (which then tacks on Private Mortgage Insurance (PMI) of course), with a mortgage rate of 6.78%.

As for that PMI which pushes costs higher - the nationwide average down payment on a home in America is 14.4% according to Forbes - still below the 20% threshold to eliminate PMI.

Rents, meanwhile, have declined - however they sit just 2.8% below the 2022 peak.

The declines were observed across the spectrum:

Highlights from the report (via Realtor.com):

  • February 2024 marks the seventh year-over-year rent decline in a row for 0-2 bedroom properties observed since trend data began in 2020. Asking rents dipped by $7 or -0.4% year-over-year (Y/Y).
  • The median asking rent in the 50 largest metros decreased to $1,708, down by $4 from last month and down $50 (-2.8%) from its August 2022 peak. 
  • Median rent was mixed across size categories: Studio: $1,426, down $21 (-1.5% ) year-over-year; 1-bed: $1,587, down $6 ( -0.4%) year-over-year; 2-bed: $1,889, down $15 (-0.8% ) year-over-year.
  • In all of the 50 largest U.S. metros, renting a starter home is a more affordable option than buying one. In these markets, the monthly cost of buying a starter home in February 2024 was $1,027 more or 60.1% higher than the cost of renting.
  • The overall advantage of renting became more pronounced. The monthly savings from renting were $162 higher compared to the prior year across the top 50 metros.

In December, the Wall Street Journal reported that homeownership "has become a pipe dream for more Americans, even those who could afford to buy just a few years ago."

It is now less affordable than any time in recent history to buy a home, and the math isn’t changing any time soon. Home prices aren’t expected to go back to prepandemic levels. The Federal Reserve, which started raising rates aggressively early last year to curb inflation, hasn’t shown much interest in cutting them. Mortgage rates slipped to about 7% last week, the lowest in several months, but they are still more than double what they were two years ago. 

One can see the impact of high mortgage rates over the course of a loan. A few percentage points can mean hundreds of thousands of dollars more in interest spent over the life of a 30-year mortgage.

This boils down to a much lower average price that borrowers can afford.

As the report notes further, first-time and young buyers are 'still stuck on the sidelines' - with around 1/3 of buyers last year being first-time home buyers, below the historical average of 38%, according to the National Association of Realtors.

What's more, the median age of first-time buyers last year was 35-years-old, the second-highest on record after 2022's peak of 36.

https://www.zerohedge.com/personal-finance/renting-now-cheaper-owning-all-americas-largest-metros

Wednesday, March 27, 2024

Disney caves in high-stakes suit v. DeSantis for control of district governing Orlando theme parks

 Disney on Wednesday capitulated in its long-running legal battle against Florida Gov. Ron DeSantis — handing a victory to the Republican in the high-stakes fight over a $17 billion planned development at the company’s theme park near Orlando.

The Mouse House agreed to a settlement that gives up its self-governing powers over the Reedy Creek Improvement District, which was dissolved by DeSantis in 2022 after the company opposed his “Don’t Say Gay” bill. Disney had controlled the special tax district for decades.

As part of the deal, Bob Iger’s Disney also agreed to drop a lawsuit over access to public records and defer briefings in a federal lawsuit it filed against DeSantis as the two sides try to reach a consensus on a new development agreement for Walt Disney World, among other matters.

Allies of Florida Gov. Ron DeSantis have settled their legal dispute with The Walt Disney Company.Getty Images

“This agreement opens a new chapter of constructive engagement with the new leadership of the district,” Walt Disney World President Jeff Vahle said.

DeSantis took a victory lap after the stunning turn of events, saying his administration was “vindicated” by the settlement with one of Florida’s biggest employers following the two-year feud.

“A year ago people were trying to act like all these legal maneuvers were all going to succeed, and the reality is here we are a year later, not one of them has succeeded,” DeSantis told reporters in Orlando. 

“Every action that we’ve taken has been upheld in full, and the state is better off for it.”

But Disney could also claim a victory of sorts after DeSantis agreed to appoint board members to the new Central Florida Tourism Oversight District who are seen as sympathetic to the company.

Since the takeover last year, the district has faced an exodus of experienced staffers, with many in exit surveys complaining that the governing body has been politicized since the changeover.

Disney and DeSantis have been at loggerheads over the company’s position on political issues.AP

Just this month, the district’s administrator, Glen Gilzean, left to become a county elections supervisor at half the $400,000 salary he was earning at the district, and the district’s DeSantis-appointed board chairman, Martin Garcia, departed the following week.

In their place, DeSantis on Tuesday appointed Orlando businessman Craig Mateer to the board and board members on Wednesday approved former DeSantis advisor Stephanie Kopelousos to be the district’s new administrator.

Mateer, a donor to DeSantis campaigns, previously had been appointed by the governor to the Greater Orlando Aviation Authority and the Board of Governors, which oversees the state university system.

Disney angered DeSantis and his GOP allies with its criticism of the so-called “Don’t Say Gay” law.REUTERS

Kopelousos was director of legislative affairs for DeSantis.

She also had served as secretary of the Florida Department of Transportation under then-Florida Gov. Charlie Crist and was a former county manager in northeast Florida.

Garcia was a vocal critic of Disney and his replacement by Mateer, who is well-known in Orlando tourism and business circles, may have made Disney comfortable enough with the board to reach an agreement, said Richard Foglesong, a Rollins College professor emeritus who wrote a definitive book on Walt Disney World’s governance.

Disney, led by CEO Bob Iger, filed suit against DeSantis in federal court — accusing him of violating the company’s first amendment rights.AFP via Getty Images
Board member Charbel Barakat said the board was looking forward to taking a more cooperative approach with the entertainment giant.

“We are eager to work with Disney,” Barakat said after the settlement deal was approved.

https://nypost.com/2024/03/27/business/disney-desantis-allies-settle-lawsuit-over-special-district/