NYC Broker Fee Rules 2026: What the FARE Act Means for Voucher Holders
You finally find an apartment in New York City that fits your voucher. Then the agent asks for a broker fee. It’s one month’s rent, or even 15% of a year’s rent. You don’t have that money, and your voucher clock is ticking.
Since June 11, 2025, New York City’s FARE Act bans landlords and their agents from charging tenants broker fees. If the landlord’s broker listed the apartment, the landlord pays that broker. You only pay a broker you hire yourself. Listings must show all tenant fees, and you must get an itemized fee list before you sign. These NYC broker fee rules protect everyone, including voucher holders.
This guide explains the rules, the fees that are still allowed, and how to report an illegal fee.
What is the NYC broker fee law?
The Fairness in Apartment Rental Expenses (FARE) Act took effect June 11, 2025. It bans landlords and their agents, including listing agents, from charging tenants broker fees. A landlord is liable if its agent charges you. You can still choose to hire your own broker and pay them yourself. That choice is yours.
| Rule | What it means for you |
|---|---|
| Landlord’s broker can’t charge you | The landlord pays the broker it hired |
| Landlord is responsible | If its listing agent charges you, the landlord can be liable |
| No forced brokers | A landlord can’t require you to use a broker to rent |
| Fees in listings | All tenant fees must be shown clearly in ads |
| Written fee list | You must sign an itemized fee disclosure before the lease |
| Unpaid old fees | The ban also covers older leases if the fee wasn’t paid yet |
Source: NYC Department of Consumer and Worker Protection (DCWP) FARE Act FAQ.
Takeaway: if the landlord’s agent listed the apartment, you shouldn’t pay that agent anything.
When can a broker still charge me?
Only when you hire the broker yourself. Under the FARE Act, a broker you choose to work for you can charge you. But a landlord can’t make you hire a broker to see or rent a unit. A tenant’s broker also can’t make a specific apartment available only if you hire them.
| Situation | Can you be charged a broker fee? |
|---|---|
| You answered a listing posted by the landlord’s agent | No |
| The landlord requires you to use their broker | No, that’s not allowed |
| You hired a broker to search for you | Yes, under your agreement with them |
| A broker says “hire me or you can’t see this unit” | Not allowed for specific units |
If someone says you must pay to see an apartment, ask in writing who they work for. Save the answer.
Takeaway: you pay a broker only when you decided to hire one.
What fees can a NYC landlord still charge?
Landlords can still charge for a background and credit check, under New York Real Property Law 238-a. They can also collect a security deposit and rent. Every fee you must pay has to be in the ad. It must also be on a signed, itemized disclosure before you sign the lease. Broker fees from the landlord’s agent aren’t allowed.
| Fee | Allowed? | Notes |
|---|---|---|
| Background and credit check | Yes | Allowed under state law, Real Property Law 238-a |
| Security deposit | Yes | State law limits it; ask before paying |
| First month’s rent | Yes | Your share only, if you have a voucher |
| Broker fee for the landlord’s agent | No | Banned since June 11, 2025 |
| Fees not disclosed in writing | No | All fees must be itemized before the lease |
The landlord or agent must keep your signed fee disclosure for three years and give you a copy.
Takeaway: ask for the itemized fee list before you hand over any money.
Do voucher holders pay broker fees in NYC?
Usually not. Under the FARE Act, nobody pays the landlord’s broker. Also, the city’s CityFHEPS FAQ says DSS pays the broker’s fee and gives a security voucher. FHEPS landlords get a security voucher too. With Section 8, any extra charge on top of your approved rent share is not allowed.
| Program | Broker fee | Security deposit |
|---|---|---|
| Any renter (FARE Act) | Landlord’s broker can’t charge you | Paid under state law limits |
| CityFHEPS | DSS pays the broker’s fee, per the city’s FAQ | Security voucher from the city |
| FHEPS | Not covered in HRA’s fact sheet | Security voucher for landlords |
| Section 8 (NYCHA or HPD) | Landlord’s broker can’t charge you | Usually your cost; ask about help |
Our CityFHEPS guide explains the city’s payments. Our security deposit guide covers deposit help for Section 8.
Takeaway: a voucher holder asked for a broker fee should stop and ask questions.
Can a broker refuse me because I have a voucher?
No, in most cases. NYC’s Human Rights Law treats Section 8, CityFHEPS, and HASA as lawful sources of income. Brokers can’t refuse you or steer you away because of your voucher. Some small owner-occupied buildings are exempt from this rule. Save texts, emails, and ads, and report every refusal to the city.
To report voucher discrimination:
- Call 311 and ask for “Human Rights.”
- Report online through the NYC Commission on Human Rights.
- Save proof, such as “no vouchers” ads or texts.
See our source of income laws by state for how these laws work across the country.
Takeaway: a broker who says “no vouchers” may be breaking two laws at once.
How do I report an illegal broker fee?
File a complaint with DCWP online at nyc.gov/consumers or call 311. Include texts, screenshots, receipts, and the broker’s name and contact details. DCWP can issue a summons, seek civil penalties, and order restitution of illegal fees. The FARE Act also lets you sue in civil court for your money back.
- Don’t pay if someone demands a fee for the landlord’s broker.
- Get it in writing. Ask who the broker works for and what the fee is for.
- Save everything. Screenshots of the ad, texts, emails, and receipts.
- File with DCWP online or through 311.
- Tell your caseworker if you have a voucher. Extra payments can affect your case.
- Get legal help if you already paid. You may be owed a refund.
Takeaway: proof turns an illegal fee into a refund.
Is the FARE Act still in effect?
Yes. The real estate industry sued to stop the law. A federal court refused to block it before it started. In July 2026, a federal appeals court rejected the industry’s appeal, according to news reports. The law has been in effect since June 11, 2025. Check DCWP’s website for any later changes.
| Date | Event |
|---|---|
| June 10, 2025 | Federal court denies request to block the law |
| June 11, 2025 | FARE Act takes effect |
| July 2026 | Appeals court rejects the industry’s appeal, per news reports |
Takeaway: the broker fee ban is the law in NYC today, so use it.
NYC broker fee myths vs facts
Reddit and Facebook threads still repeat old NYC broker fee advice. Some say tenants always pay 15%. Others say landlords will raise rent, so the law means nothing. We checked these claims against DCWP’s official FAQ. Use this table before you pay anyone to rent an apartment in the city.
| What people say online | What DCWP says |
|---|---|
| “Tenants always pay the broker in NYC.” | Not since June 11, 2025, for the landlord’s broker. |
| “You must use the landlord’s broker.” | Landlords can’t require any broker to rent. |
| “Application fees are banned too.” | Background and credit check fees are allowed under state law. |
| “Fees can be added at lease signing.” | All fees must be in the listing and on a signed disclosure. |
| “Only brokers get fined.” | Landlords can be liable for their agents. |
| “There’s nothing you can do after paying.” | You can file with DCWP or sue for restitution. |
Takeaway: in NYC, the person who hires the broker pays the broker.
Frequently asked questions
Do tenants pay broker fees in NYC in 2026?
Not for the landlord’s broker. The FARE Act bans landlords and their agents from charging tenants broker fees since June 11, 2025. You only pay a broker you choose to hire.
What fees can a landlord charge in NYC?
A background and credit check fee, a security deposit, and rent. All fees must be listed in the ad and on a signed, itemized disclosure before you sign the lease.
What if a broker asks me for a fee anyway?
Don’t pay it. Ask in writing who the broker represents. Save the ad and messages, and report it to DCWP online or through 311.
Does CityFHEPS pay broker fees?
The city’s CityFHEPS FAQ says DSS pays the broker’s fee and provides a security voucher. With the FARE Act, a landlord’s broker can’t charge you either way.
Can I get my broker fee back?
Possibly. DCWP can order restitution for illegal fees, and the FARE Act lets you sue in civil court. Gather your receipts and messages, and contact legal aid or DCWP.
Does the FARE Act apply outside NYC?
No. The FARE Act is a New York City law. Other places may have their own rules. Check your city and state.
Your next step
Before you pay anything for an NYC apartment, ask for the signed, itemized fee list. If someone demands a broker fee for the landlord’s agent, refuse and report it. Start with our Section 8 in NYC guide, or browse more NYC voucher guides or all our guides.
This guide gives general information, not legal advice. Rules can change. Confirm with DCWP or legal aid. Read how we check our facts, or report an error. Last reviewed: October 14, 2026.
Sources: NYC DCWP: FARE Act FAQ (Broker Fees) | NYC DCWP: The FARE Act Is Now in Effect | NYC DSS: CityFHEPS FAQ, DSS-7n (January 2026) | Also cited: NY Real Property Law 238-a; NYC Human Rights Law; The Real Deal (July 14, 2026).
