How this City Council Member just eliminated NYC's forced broker fees

NEW YORK -- On Wednesday, November 14th, 2024, the New York City Council voted the Fairness in Apartment Rentals Act, or FARE Act, into law. The act states that in New York City, when it comes to rental properties, the party that hires the broker must be the one to pay for their services.

Up until now, many New York City residents were subjected to broker fees when moving into rental units despite not having hired the broker themselves.

These broker fees have been recognized as financial hurdles for many lower-income New Yorkers, as moving costs in the city can often exceed $10,000.

The FARE Act hopes to remedy this issue and align New York City rental law with the the rest of the United States, which, with the exception of Boston, does not allow for forced broker fees on tenants.

The Council Member behind the FARE act is Brooklyn-native Chi Osse, who is also New York's first, and currently only, Gen Z City Council Member.

Upon being elected to his district in 2022, Osse was baffled to learn that broker fees could, on average, exceed 15% of yearly rent costs.

With bills attempting to curb broker fees proving unsuccessful in the past, Osse's office came up with the FARE Act, a "common sense" solution to what Osse says was an unfair system.