What NYC Renters Need to Know as the FARE Act Takes Effect

New Yorkers, your move-in costs just got a serious shake-up. As of this week, the Fairness in Apartment Rental Expenses Act (FARE Act) is now law, and it’s changing how broker fees work across the city. If you didn’t hire the broker, you don’t have to pay them—period.

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This is a huge win for renters. Historically, tenants in NYC were forced to cough up thousands just to land a lease, often paying broker fees for agents they never chose. Now, landlords who hire brokers are responsible for the bill. That means renters can save up to 40% in upfront moving costs.

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But let’s be real—just because the law changed doesn’t mean every broker and landlord will automatically comply. The city’s enforcement arm can only do so much, so renters need to stay alert.

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Councilmember Chi Ossé, who introduced the bill, even called it a “vigilante” effort, encouraging tenants to report violations and hold brokers accountable.

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Here’s what renters should do:

• If a broker charges you a fee and you didn’t hire them, they’re breaking the law.

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• File a complaint anonymously through the NYC Department of Consumer and Worker Protection’s website.'

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• If you want to go a step further, you can sue the broker or report them to the state licensing board, which could put their license at risk.

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The fines for violators are capped at $2,000—not much when average NYC rent hovers around $4,000—but enough to get attention if tenants report consistently.

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Landlords and brokers are already adapting. Many new developments handle leasing in-house, and the number of “no fee” listings has been on the rise for years. Some brokers will thrive under this new structure, especially those who genuinely add value.

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But for others who treated real estate like a quick hustle, this might mark the end of the road.

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As for landlords, the threat of higher rents being passed on to tenants isn’t holding much water. A Streeteasy report found rents only ticked up slightly—less than 1% in listings that eliminated broker fees. So while REBNY continues to challenge the law in court, for now, the FARE Act stands.

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Whether you’re staying put or apartment hunting, this law gives you more leverage. Know your rights, stay informed, and don’t let anyone charge you for something you didn’t agree to.

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Disclaimer: This content is meant for informational purposes only and is not intended to be construed as financial, tax, legal, or insurance advice.

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