{"id":186939,"date":"2026-02-24T09:00:21","date_gmt":"2026-02-24T16:00:21","guid":{"rendered":"https:\/\/www.biggerpockets.com\/blog\/?p=186939"},"modified":"2026-02-24T10:58:06","modified_gmt":"2026-02-24T17:58:06","slug":"toughest-states-to-be-a-landlord","status":"publish","type":"post","link":"https:\/\/www.biggerpockets.com\/blog\/toughest-states-to-be-a-landlord","title":{"rendered":"The 7 Toughest States to Be a Landlord in 2026"},"content":{"rendered":"\n<p><span data-preserver-spaces=\"true\">New York City has always <\/span><span data-preserver-spaces=\"true\">been known<\/span><span data-preserver-spaces=\"true\"> as a tough town for landlords. It\u2019s about to get tougher. The city\u2019s new mayor, Zohran Momdani, is putting<\/span> <span data-preserver-spaces=\"true\">\u201c<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/www.nyc.gov\/mayors-office\/news\/2026\/02\/mamdani-administration-announces-stricter-enforcement-for-city-s\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\">bad landlords<\/span><\/a><span data-preserver-spaces=\"true\">\u201d with outstanding violations, or those who owe the city money for stepping in to do emergency repairs, on notice and, in some cases,<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/gothamist.com\/news\/zohran-mamdani-wants-to-take-more-buildings-from-bad-landlords-how-would-that-work\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\"> threatening to take away their buildings<\/span><\/a><span data-preserver-spaces=\"true\"> and<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/citylimits.org\/ready-to-freeze-the-rent-housing-groups-react-to-mamdanis-mayoral-win\/\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\"> freeze rents<\/span><\/a><span data-preserver-spaces=\"true\">, raising fears throughout the real estate community.<\/span><\/p>\n\n\n\n<p><span data-preserver-spaces=\"true\">\u201cNew York has the most tenant protections of any state,\u201d Ann Korchak of the Small Property Owners of New York told the right-leaning<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/www.aei.org\/op-eds\/mamdani-sides-with-tenants-as-new-york-landlords-get-crushed-by-rigged-housing-laws\/\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\"> American Enterprise Institute<\/span><\/a><span data-preserver-spaces=\"true\">.&nbsp;&nbsp;<\/span><\/p>\n\n\n\n<p><span data-preserver-spaces=\"true\">While there\u2019s no question that living conditions in some New York apartment buildings are atrocious and slumlords have long been associated with the Big Apple, equally, New York City is a very tough place to be a rental property owner.<\/span><\/p>\n\n\n\n<p><span data-preserver-spaces=\"true\">In a city where over<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/www.apartments.com\/blog\/rent-vs-buy-cities-with-the-most-renters-vs-homeowners-in-2025#:~:text=Why%20New%20York%20is%20popular%20among%20renters.,of%20the%20buildings%20being%20apartments%20and%20rentals.\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\"> 70% of residents are tenants<\/span><\/a><span data-preserver-spaces=\"true\">, laws skew heavily in tenants&#8217; favor, making evictions\u2014which can take up to a year\u2014time-consuming and expensive. Now, as the housing crisis tightens its grip on renters, other states are following suit with<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/ternercenter.berkeley.edu\/research-and-policy\/small-property-owners-tenant-protections\/\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\"> enhanced tenant protection laws<\/span><\/a><span data-preserver-spaces=\"true\">. As taxes, insurance, and repair costs rise, landlords, both big and small, are feeling the pressure.<\/span><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span data-preserver-spaces=\"true\">The Effect of Increasing Tenant Protections on Small Landlords<\/span><\/h2>\n\n\n\n<p><span data-preserver-spaces=\"true\">As expenses rise, smaller landlords, who own <\/span><a class=\"editor-rtfLink\" href=\"https:\/\/www.resiclubanalytics.com\/p\/mom-and-pop-landlords-still-dominate-the-single-family-rental-market-batchdata-finds\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\">about 90% of single-family rentals<\/span><\/a><span data-preserver-spaces=\"true\"> in the U.S., many of whom own only a few rentals, don\u2019t have the deep pockets of corporate landlords to withstand a prolonged eviction. The <\/span><a class=\"editor-rtfLink\" href=\"https:\/\/www.urban.org\/urban-wire\/how-do-one-size-fits-all-landlord-tenant-laws-affect-small-landlords\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\">Urban Institute<\/span><\/a><span data-preserver-spaces=\"true\"> found that one-size-fits-all landlord-tenant laws are disproportionately tough on smaller landlords who lack the experience and resources to fight increased regulations.<\/span><\/p>\n\n\n\n<p><span data-preserver-spaces=\"true\">A December 2025 analysis on<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/www.turbotenant.com\/property-management\/landlord-friendly-states\/\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\"> TurboTenant<\/span><\/a><span data-preserver-spaces=\"true\">\u2019s education platform highlighted these states as among the toughest to be a rental property owner:<\/span><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><span data-preserver-spaces=\"true\">Connecticut<\/span><\/li>\n\n\n\n<li><span data-preserver-spaces=\"true\">Massachusetts<\/span><\/li>\n\n\n\n<li><span data-preserver-spaces=\"true\">Minnesota<\/span><\/li>\n\n\n\n<li><span data-preserver-spaces=\"true\">Maryland<\/span><\/li>\n\n\n\n<li><span data-preserver-spaces=\"true\">Illinois<\/span><\/li>\n\n\n\n<li><span data-preserver-spaces=\"true\">Washington<\/span><\/li>\n\n\n\n<li><span data-preserver-spaces=\"true\">Oregon<\/span><\/li>\n<\/ul>\n\n\n\n<p><span data-preserver-spaces=\"true\">Factors considered include high carrying costs plus slow, tenant-friendly legal systems, making it especially challenging for mom-and-pop investors.<\/span><\/p>\n\n\n\n<p><span data-preserver-spaces=\"true\">Here\u2019s a deeper dive into some of these states.<\/span><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span data-preserver-spaces=\"true\">Connecticut<\/span><\/h3>\n\n\n\n<p><span data-preserver-spaces=\"true\">In Connecticut, where the majority of evictions occur in five cities\u2014Hartford, Bridgeport, Waterbury, New Haven, and New Britain\u2014an effective property tax rate of 1.92% (well above the national average of 0.98%) and the expansion of \u201cjust cause\u201d evictions make it especially challenging for smaller landlords.<\/span><\/p>\n\n\n\n<p><span data-preserver-spaces=\"true\">\u201cIt takes away the control of my building, and I do protect my building to protect my good tenants more than anything, but occasionally you have to do other things. You have to remodel the units, and I can&#8217;t do it when somebody&#8217;s in there cause it&#8217;s too much, you know, you have too much work, especially half the housing in Connecticut&#8217;s over 100 years old,\u201d John Souza, of the Connecticut Coalition of Property Owners, told<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/www.nbcconnecticut.com\/news\/local\/renters-look-for-more-eviction-protections\/3703572\/\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\"> WVIT\/NBC Connecticut<\/span><\/a><span data-preserver-spaces=\"true\">.<\/span><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span data-preserver-spaces=\"true\">Illinois<\/span><\/h3>\n\n\n\n<p><span data-preserver-spaces=\"true\">Illinois is <\/span><span data-preserver-spaces=\"true\">another state that is increasingly tough<\/span><span data-preserver-spaces=\"true\"> to be a landlord in, due to high property tax rates and increased tenant protection. As of Jan. 1, 2025, under the Landlord Retaliation Act\u2014Public Act 103-0831, landlords \u201ccan\u2019t raise rent, cut utilities, refuse to renew a lease, evict, or take other retaliatory actions if a renter does a protected activity or action like reporting unsafe conditions, requesting repairs, joining a tenants\u2019 group, or taking legal action,\u201d <\/span><a class=\"editor-rtfLink\" href=\"https:\/\/www.apartments.com\/rental-manager\/resources\/property-management\/rental-laws-illinois-2025\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\">Apartments.com<\/span><\/a><span data-preserver-spaces=\"true\"> wrote about the statute.<\/span><\/p>\n\n\n\n<p>&nbsp;<\/p>\n\n\n\n<p><span data-preserver-spaces=\"true\">Complicating issues in the state are the \u201ccrime-free housing laws.\u201d The laws were promoted as a way to remove nuisance tenants from buildings, but their implementation has been mishandled, with the wrong people getting punished. As a result, city officials ordered landlords to evict tenants in 500 of 2,000 cases from 2019 to 2024, an investigation by <\/span><em><a class=\"editor-rtfLink\" href=\"https:\/\/www.nytimes.com\/2025\/05\/13\/us\/illinois-crime-free-housing.html\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\">The New York Times<\/span><\/a><\/em><a class=\"editor-rtfLink\" href=\"https:\/\/www.nytimes.com\/2025\/05\/13\/us\/illinois-crime-free-housing.html\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\"> and The Illinois Answers Project<\/span><\/a><span data-preserver-spaces=\"true\"> found, causing a loss of income for property owners.<\/span><\/p>\n\n\n\n<p><span data-preserver-spaces=\"true\">Infractions cited for evictions included accusations that tenants neglected their pets or eavesdropped on a neighbor, with a single violation enough to trigger an eviction. In families, the misdeeds of one member can result in the entire family <\/span><span data-preserver-spaces=\"true\">being evicted<\/span><span data-preserver-spaces=\"true\">. It has caused multiple complaints from landlords and tenants alike, the <\/span><em><span data-preserver-spaces=\"true\">Times <\/span><\/em><span data-preserver-spaces=\"true\">reported.<\/span><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span data-preserver-spaces=\"true\">Oregon and Washington<\/span><\/h3>\n\n\n\n<p><span data-preserver-spaces=\"true\">On the West Coast, Oregon and Washington are known for their stringent tenant-protection laws. The TurboTenant report notes that Oregon\u2019s statewide rent control, relocation fees tied to certain rent hikes, sealed eviction records, and certain rules that punish long-term ownership all contribute to what it calls \u201ctough sledding\u201d\u2014making it difficult to find or build a home.<\/span><\/p>\n\n\n\n<p><span data-preserver-spaces=\"true\">In Washington, the same issues occur, along with caps on rent increases in certain areas and the potential for multiyear legal disputes over contested cases. TurboTenant describes the state as a \u201cfinancial and legal burden\u201d for many rental owners.<\/span><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span data-preserver-spaces=\"true\">Maryland<\/span><\/h3>\n\n\n\n<p><span data-preserver-spaces=\"true\">Maryland is another state named in the<\/span> <span data-preserver-spaces=\"true\">TurboTenant list. The Renter\u2019s Rights and Stabilization Act of 2024 was one of two bills recently introduced. It gives tenants residing in a rental property the right of first refusal if the landowner wants to sell the property. It also increases court fees for landlords to file an eviction.<\/span><\/p>\n\n\n\n<p><span data-preserver-spaces=\"true\">House Minority Leader Jason C. Buckel (R-Allegany) said <\/span><a class=\"editor-rtfLink\" href=\"https:\/\/marylandmatters.org\/2024\/03\/19\/landlord-tenant-bills-provide-drama-in-crossover-day-house-action\/\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\">during the court hearing<\/span><\/a><span data-preserver-spaces=\"true\">:<\/span><\/p>\n\n\n\n<p><em><span data-preserver-spaces=\"true\">\u201cThis bill is disincentivizing. How do I know this? Because they all come here and tell us that. Every group that represents people who invest in these types of property <\/span><span data-preserver-spaces=\"true\">into<\/span><span data-preserver-spaces=\"true\"> this sector of the economy\u2014<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/www.biggerpockets.com\/guides\/buying-multifamily\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\">multifamily<\/span><\/a><span data-preserver-spaces=\"true\"> housing, building associations, all of them. They all come here and say, \u2018<\/span><span data-preserver-spaces=\"true\">this doesn\u2019t<\/span><span data-preserver-spaces=\"true\"> work. <\/span><span data-preserver-spaces=\"true\">This<\/span><span data-preserver-spaces=\"true\"> is a bad compromise.\u2019\u201d&nbsp;<\/span><\/em><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span data-preserver-spaces=\"true\">Final Thoughts: Strategies for Small Landlords in a Tougher Landscape<\/span><\/h2>\n\n\n\n<p><span data-preserver-spaces=\"true\">The housing crisis has seen cities and municipalities across the nation undertake measures to keep tenants in their homes to stave off homelessness, making it tough for landlords, especially those with only a handful of rentals, to run their businesses efficiently.&nbsp;<\/span><\/p>\n\n\n\n<p><span data-preserver-spaces=\"true\">The lesson here is less about panic and more about planning. Investors need to assume that tenant protections will continue to increase in many markets. The key is to do your homework before investing. Being a landlord in any state is tough. Don\u2019t make it tougher by not being prepared.<\/span><\/p>\n\n\n\n<p><span data-preserver-spaces=\"true\">Key issues include:<\/span><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span data-preserver-spaces=\"true\">Consider eviction rules<\/span><\/h3>\n\n\n\n<p><span data-preserver-spaces=\"true\">For landlords involved in government rental assistance programs or with HUD mortgages, the federal 30-day eviction-notice requirement, similar to the <\/span><a class=\"editor-rtfLink\" href=\"https:\/\/www.eda.gov\/funding\/programs\/cares\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\">CARES Act <\/span><\/a><span data-preserver-spaces=\"true\">requirement, is likely to remain in place, and landlords should plan for long eviction lag times.<\/span><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span data-preserver-spaces=\"true\">Increase your slush <\/span><span data-preserver-spaces=\"true\">fund<\/span><\/h3>\n\n\n\n<p><span data-preserver-spaces=\"true\">Landlords need to boost their reserves to cover compliance costs and capital expenditures. <\/span><span data-preserver-spaces=\"true\">City-cited violations must be corrected<\/span><span data-preserver-spaces=\"true\"> promptly to avoid additional fines and legal action.<\/span><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span data-preserver-spaces=\"true\">Research rent control laws<\/span><\/h3>\n\n\n\n<p><span data-preserver-spaces=\"true\">Small landlords need to research how local and state policies treat different types of housing within the same region. Are two-to-four-unit properties exempt from rent control? What about higher unit counts?&nbsp; Can you add an <\/span><a class=\"editor-rtfLink\" href=\"https:\/\/www.biggerpockets.com\/blog\/rookie-591\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\">ADU<\/span><\/a><span data-preserver-spaces=\"true\"> or convert a basement to livable space?<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>New York City has always been known as a tough town for landlords. It\u2019s about to get tougher. The city\u2019s new mayor, Zohran Momdani, is putting \u201cbad landlords\u201d with outstanding [&hellip;]<\/p>\n","protected":false},"author":613725,"featured_media":186941,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[7384],"tags":[],"class_list":["post-186939","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-politics-policy"],"acf":[],"comment_count":0,"_links":{"self":[{"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/posts\/186939","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/users\/613725"}],"replies":[{"embeddable":true,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/comments?post=186939"}],"version-history":[{"count":0,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/posts\/186939\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/media\/186941"}],"wp:attachment":[{"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/media?parent=186939"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/categories?post=186939"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/tags?post=186939"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}