Manhattan Rental Broker: Who Pays the Fee After the FARE Act

By Hillel Fried, Licensed Associate Real Estate Broker (NY license 10301213249), founder of The Hillel Team at Compass. Updated November 2026.

Quick answer

• If the broker works for the landlord, you can't be charged a broker fee. That includes the broker who posted the listing. It's the FARE Act, in effect since 11 June 2025.
• If you hire your own broker to search for you, you can choose to pay them. The law allows it.
• Nobody can make you hire a broker to rent an apartment.

What is a rental broker?

A rental broker is a licensed real estate agent who helps you find and rent an apartment. Some work for the landlord and fill the landlord's vacancies. Others work for you, the renter, and search the whole market on your behalf. Which one you're dealing with decides who pays.

What the FARE Act changed

New York City's Department of Consumer and Worker Protection (DCWP) puts it in one line: the law "prohibits brokers who represent landlords from charging broker fees to tenants."

Three details matter more than people realize.

The listing agent counts. The city treats an agent who publishes a rental listing as acting with the landlord's permission, unless shown otherwise. So the broker behind the ad you answered can't send you a bill.

Every other fee has to be out in the open. Listings must show all fees you'll pay to rent the apartment in a "clear and conspicuous manner." Before you sign a lease, the landlord or their agent has to give you an itemized list of those fees, and you sign it.

Some charges are still allowed. The city's FAQ says the law doesn't stop landlords charging for background checks and credit checks.

Who pays the broker now

Short version: whoever hires the broker pays.

The landlord's broker or your own: what's the difference?

Do you still need a rental broker in Manhattan?

Often you don't. You can answer a listing, see the apartment with the landlord's broker, and pay no fee.

Hiring your own broker makes sense in a few situations:

• You're moving from out of town and can't see apartments in person every weekend.
• You're on a tight move date and need viewings booked fast.
• You want someone to read the fee disclosure and lease terms with you, on your side, before you sign.
• You'd rather have one person searching every listing in your price range than check five sites a day yourself.

If none of those fit, you may not need to pay anyone. Look for listings where the broker works for the landlord.

Where we rent apartments

Rentals are a big part of our work, not a sideline. We've closed 435 of them, and the median rent has been $3,195 a month. Rentals closed on each of our area pages, 2014 to 2026:

How renting with a broker works, step by step

1. Ask who the broker works for. The landlord, or you. That one answer tells you whether a fee is even possible.
2. Set your search. Area, budget, move date, and the things you won't give up, like light, laundry or a doorman.
3. See the apartments. Your broker books viewings back to back so you can compare them the same day.
4. Apply. Expect background and credit checks. Landlords can still charge you for those.
5. Read the fee disclosure. You sign the itemized list of fees before the lease, so check every line.
6. Sign the lease. And keep a copy of the signed fee disclosure.

How to avoid broker fees in NYC

• Rent through the landlord's broker. Since 11 June 2025, that broker can't charge you.
• Don't pay the listing agent. If the agent who posted the ad asks for a broker fee, that's the fee the law bans.
• Know you can't be forced. The city's FAQ says no one can "condition the rental of an apartment on tenants hiring a broker."
• Hire your own broker only if you want one. The law doesn't stop "tenants from choosing to hire their own broker and pay broker fees."

If you were charged a fee you think the law bans, DCWP takes complaints online, and the law also lets tenants sue in civil court.

What our clients say

"Hillel Fried is a gem! His thoughtfulness, timely responses and overall knowledge of the business made an arduous task less complicated. Hillel will advocate for the renter without hesitation." Zillow reviewer, on renting with Hillel

"I was extremely surprised to receive a phone call within minutes at 10pm on a Saturday night, but with Hillel, after working with him a bit, nothing surprised me about his customer focused approach." Dan Giachin, buyer, East Village, 2016 (Zillow review)

Questions renters ask

Do I have to pay a broker fee in NYC?

Not to a broker who works for the landlord, including the broker who posted the listing. You'd only pay a broker you chose to hire yourself.

Can a landlord make me use a broker?

No. Landlords and their agents can't make renting an apartment depend on you hiring a particular broker, including a dual agent.

Can the listing agent charge me a fee?

No. The city presumes an agent who publishes a rental listing does it with the landlord's permission, so the fee ban applies.

Can I still hire my own rental broker?

Yes. The FARE Act lets tenants choose to hire their own broker and pay them.

What fees can a landlord still charge?

Background and credit check fees are still allowed. Every fee you have to pay must be shown in the listing and on a written list you sign before the lease.

What can I do if I was charged an illegal broker fee?

You can file a complaint with DCWP online, with screenshots, texts or receipts. The law also gives tenants the right to sue in civil court.

When did the FARE Act take effect?

On 11 June 2025. It's Local Law 119 of 2024.

Related guides

• Buyer's agent commission in NYC: how much and who pays
• Do you need a buyer's agent in NYC?
• All buyer guides

Looking to rent in Manhattan? Call us and tell us what you need, where, and by when.