Thank you so much for the opportunity to testify today, and for coming here to Brooklyn Borough Hall, also known as the People’s House. I want to thank Governor Hochul for signing legislation requiring these hearings to consider making all or parts of Brooklyn a Cease & Desist Zone. I am very supportive of establishing a Zone to cover the entire borough, in order to curb this practice of harassment for good.
This issue is not new, but it is once again capturing our attention as the housing market heats up post-pandemic. A recent report from StreetEasy showed that homes in the city are selling at the fastest rate in six years, and Realtor.com reports that the median selling price for homes in Brooklyn was $870,000 in April 2022, a $285,000 jump from January of 2020. In this hot market, real estate flippers, developers, and scammers are preying on homeowners.
This is a problem throughout the borough, but it is particularly an issue for seniors living in neighborhoods of color. The Center for New York City Neighborhoods reports that the largest percentage (36%) of the calls they have received from homeowners reporting real estate scams since 2020 came from Brooklyn, and that Black homeowners were four times more likely to call to report a scam than white homeowners.
I’ve only been in this office since January, but my team has already assisted constituents from Bed Stuy, Crown Heights, and Prospect Lefferts Gardens who have dealt with harassment from real estate agents, as well as possible deed fraud. These areas are all gentrifying communities with longstanding Black populations, and all the impacted constituents were seniors. One reported constant harassment from real estate agents, another even said that a senior on her block had a real estate agent show up at her door with a cake as a bribe to initiate a conversation about selling her home.
It’s true that not every potential buyer is attempting fraud; however, many do try to take advantage of seniors to sell their homes for significantly under market value. The resulting loss of generational wealth is a racial justice issue that must be proactively addressed.
I want to thank District Attorney Gonzalez and Attorney General James for their leadership on this issue. I feel confident referring constituents to their offices to get the help they need. But the scale of the issue is such that it’s time to take broader action by designating the whole borough as a Cease & Desist Zone. While we know which neighborhoods are hotspots now, the borough is constantly changing, and we should be proactive in protecting the next hot neighborhood from speculators.
Additionally, a program like this is only as good as awareness and enforcement. On a large scale, creating awareness of the program becomes more challenging, particularly reaching seniors, those without reliable internet access, and the language isolated. So, rather than having an opt-in requirement that would need extensive outreach and education to be effective, properties should be placed onto the list by default, with an opt-out option for those who are looking to sell. Additionally, any new designation must come with significant funding to ensure adequate enforcement measures.
Thank you again for taking the time to be here today. I look forward to partnering with your office on implementing this important program.