Paying brokers’ fees to rent an apartment might just become a thing of the past for many tenants in New York City.
The City Council on Wednesday is poised to pass a revised bill known as the Fairness in Apartment Rentals Act , which requires whomever hired the broker to pay the fee.
The original bill simply put the hiring party on the hook for the fee. The new version directly states that a broker who publishes a listing for a property for rent is to be paid by the landlord.
The amended version also requires the landlord or broker to disclose all fees tenants pay up front, and stipulates that before a tenant signs a lease, the landlord or broker must provide an itemized list of fees the tenant must pay to the landlord and others. Failure to comply comes with penalties of at least $1,000.
A near veto-proof majority of 33 Council members support the bill, sponsored by Councilmember Chi Ossé (D-Brooklyn), who has promised it will result in more affordability for tenants contending with a red-hot rental market and a historically low vacancy rate . But real estate groups have opposed it, cautioning the measure will ultimately hurt tenants and throw the housing market into disarray.