The Mitchell-Lama housing program is a lesser-known yet invaluable resource for affordable housing in New York City. The Mitchell-Lama program offers an opportunity to secure affordable, long-term housing in one of the most expensive cities in the world. The program connects people who are not low-income with below-market-rate housing to rent or co-op units to buy.
This guide will walk you through everything you need to know about securing a Mitchell-Lama apartment, from understanding the program to application tips and navigating waiting lists.
What is Mitchell-Lama housing?
The Mitchell-Lama program is a housing initiative in New York that provides affordable rental and cooperative housing to moderate- and middle-income families. Established in 1955, the program was named after its legislative sponsors, New York State Senator MacNeil Mitchell and Assemblyman Alfred Lama.
This program sought to bridge the gap between public housing and market-rate housing. To encourage the development of affordable housing, the government offered financial incentives such as low-interest mortgages and tax abatements to developers. In return, developers agreed to keep rents or co-op maintenance fees affordable for a certain period — usually 20 to 35 years.
From 1955 to 1981, more than 66,000 subsidized rental apartments and 69,000 cooperative (co-op) apartments were created in New York City under this program. However, many Mitchell-Lama buildings have since left the program after their affordability period expired, causing a significant decrease in the availability of these units.
As of today, approximately 45,000 Mitchell-Lama apartments remain under regulation in New York City, making them rare and highly sought after.
Also Read: How to Apply for Affordable Housing in NYC
What type of housing does the Mitchell-Lama program provide?
Mitchell-Lama developments come in two forms: rental apartments and cooperative apartments (co-ops). Both types offer significant cost savings compared to market-rate housing.
- Rental apartments: Rent is set below market rates and is regulated by the New York State Division of Housing and Community Renewal (DHCR) or New York City’s Department of Housing Preservation and Development (HPD). Rent increases are limited, ensuring long-term affordability.
- Co-ops: In a Mitchell-Lama co-op, residents buy shares in the co-op corporation instead of purchasing individual units. They then pay a monthly maintenance fee, which is typically lower than market-rate housing, thanks to subsidies and tax breaks provided by the program.
What are the eligibility requirements for Mitchell-Lama applicants?
All Mitchell-Lama developments have eligibility requirements for income limits, family size, and apartment size.
Maximum income limits differ for federally-assisted rental and cooperative developments, as well as non-federally-assisted developments. The waiting list specifies if a development is federally subsidized and if the development is a rental or cooperative. Please note that income limits are only to be used during the Mitchell-Lama admissions process.
Here are the 2024 income limits for each household size and each type of development.
How do I apply for affordable housing?
Each building requires its separate applications, as there is no master application list. However, you may apply to multiple developments simultaneously. Mitchell-Lama apartments are rented or sold based on waiting lists maintained individually by each development. You may apply to any waiting lists that are currently open, but closed waiting lists are not accepting new applicants.
Many Mitchell-Lama waiting lists are closed because there are already enough applicants listed to fill vacancies expected for the foreseeable future. Periodically, these developments open their waiting lists, and new applications are accepted based on a lottery system.
There are two ways to get into the open waiting list lottery:
Apply by mail
- Check the Mitchell-Lama with an open waiting list. These lists are periodically updated. You should check the Housing Preservation & Development website for the updated list.
- Pick the housing you would like to apply for, contact the managing agent directly, and make an application.
- Complete the application and submit it by mail, along with any required documents.
Apply online
- Create an account on Mitchell-Lama Connect, and sign up for email notifications when additional waiting list lotteries open.
- Find developments with open wait list lotteries.
- Apply for developments with open waitlists. There is a non-refundable $75 application fee. Applicants will be permanently removed from the waiting list if they do not fully complete the application or pay the application fee within 30 days.
Note that entering the lottery for an open waiting list puts you in a lottery for the waiting list, not the next available unit. If your application is chosen from the lottery, you’ll be added to a waitlist and notified when a unit becomes available. It may take several years before a unit becomes available to people on a waiting list.
What happens once you’re on the waiting list for an apartment?
Once you’ve been added to a waiting list, it’s crucial to keep your information up to date. When a unit becomes available, applicants are contacted based on their position on the list. During the interview process, your income, household size, and other factors will be re-verified.
If your income or family size changes while on the waiting list, you may no longer qualify for the apartment you initially applied for. It’s important to review eligibility periodically and make necessary adjustments. Some applicants would need to adjust their income to remain eligible when their turn comes to apply for an apartment.
After the interview process, if the applicant is deemed eligible, the information is sent to HPD for final approval. Once approved, a lease or contract can be signed.
After I live in the Mitchell-Lama housing, do I need to move out of my apartment if my income exceeds the limit?
No. The income limits are only to be used during the Mitchell-Lama admissions process. However, you must pay a surcharge if your income is too high. Once you obtain a Mitchell-Lama apartment, you will be required to update your income information annually on the annual income affidavit form. If you, together with the other occupants of the apartment, exceed the income cap for your residence, you will be required to pay a surcharge, typically no higher than 50 percent of the monthly rent or maintenance fees.
Can I transfer my affordable apartment to a family member?
Yes, Mitchell-Lama housing can be passed on to family members under certain conditions, a process known as succession. Succession rights allow a Mitchell-Lama apartment to transfer from the original resident to another eligible household member. The successor must meet the following criteria.
- Be listed on two years’ worth of income affidavits.
- Have lived in the apartment with the original shareholder for at least two years prior to their departure (due to death or relocation).
- Be at least 18 years old.
Additional restrictions or procedures may apply, so it’s important to review the specific rules of the development.
The Mitchell-Lama program is an excellent opportunity for middle-income New Yorkers to find affordable and stable housing in a very expensive city. Even though the process can take a long time and involves a lot of competition, the benefits of getting a Mitchell-Lama apartment — like lower rent or co-op fees, long-term security, and the chance to pass the apartment on to family members — make it worth the effort.
By doing research on buildings with open waiting lists, applying correctly, and keeping track of your eligibility, you can improve your chances of eventually getting an apartment.
