Renter-paid broker fees are about to become a thing of the past in Massachusetts. On Aug. 1, a new law takes effect that requires broker fees to be paid by the person who hired the broker, which is typically the landlord.
When someone moves in to a new apartment in Massachusetts, the up-front costs can total four months’ rent if they have to pay first and last month’s rent, a security deposit and a broker fee.
New broker fee law
Massachusetts Gov. Maura Healey put forward the plan in January to eliminate broker fees for renters. The budget she signed into law recently says “Any fee shall only be paid by the party, lessor or tenant who originally engaged and entered into a contract with the licensed broker or salesperson.”
“This is about saving you money, thousands of dollars that you can now spend on whatever you need or put it away for the future,” Healey said in a social media video touting the new law. “And this is just one way we’re lowering costs and getting after high housing prices.”…