By mid-October 2026, New York City had issued 91 summonses alleging 130 broker-fee violations under the FARE Act. The enforcement effort had resulted in $60,000 in civil penalties and more than $24,000 returned to tenants, according to The City Reporter.
That money matters. But the numbers also show that renters may still encounter fees the law was designed to prevent. Here’s what the rules mean, how to spot a questionable charge, and what to do if you’ve paid one.
What the FARE Act does, and doesn’t, ban
The Fairness in Apartment Rental Expenses Act (FARE Act), Local Law 119 of 2024, took effect on June 11, 2025. In general, a landlord’s agent, including the broker listing the apartment, cannot charge a renter a broker fee for the landlord’s services. A renter also cannot be required to hire a broker to rent an apartment.
The law does not ban every broker fee. If you choose to hire a broker to represent you as the renter, a fee for that representation may be legal. The important distinction is who hired the broker and whose interests the broker was engaged to serve: a landlord’s agent generally cannot pass their fee on to you, while a broker you hire for your own representation may charge an agreed fee.
If you’re unsure, ask who the broker represents and request the terms of any fee in writing before you pay.
Watch for fees with different names
The label on a charge doesn’t necessarily tell you whether it’s allowed. DCWP has flagged fees described as “finders fees” or “management fees” as potential ways broker charges may be disguised. That doesn’t mean every fee with those words is automatically unlawful; what matters is what the charge is for and who is charging it.
Ask for a written explanation of any fee before paying. Save the listing and any messages that describe the apartment or the charge. If a fee seems tied to the landlord’s broker, check the details with DCWP.
An ordinary apartment interior: take time to review the listing, fee details and lease before paying.
How to report a fee and seek a refund
If you believe you were charged an illegal broker fee, keep evidence such as:
- The apartment listing and screenshots showing any fee disclosure
- Texts, emails and other messages with the broker or landlord
- A receipt, bank record or other proof of payment
- Any written agreement describing who the broker represents and what services they provide
Then file a complaint with the NYC Department of Consumer and Worker Protection (DCWP), online or by calling 311 and asking about “Broker Fees.” Include dates, names, the amount paid and copies of your supporting records.
Filing a complaint does not guarantee a refund. If DCWP finds a violation, it may issue a summons that is heard by the city’s Office of Administrative Trials and Hearings (OATH). Penalties and restitution may follow. DCWP had received more than 2,500 broker-fee-related complaints and inquiries by mid-October 2026, according to The City Reporter.
The agency has also called on New York State to prohibit brokers from representing both landlord and tenant in the same deal. For renters, that’s a reminder to ask who a broker represents and to get the answer in writing.
A fee can mean thousands from your moving budget
New York City’s median asking rent reached $3,785 in the third quarter of 2026, while Queens’ median was $3,744, according to Realtor.com’s rental report. These are asking-rent figures, not necessarily the amount renters pay under signed leases.
At the Queens median, a fee equal to one month’s rent would be $3,744. A fee of 15% of annual rent would be about $6,739. Those are common fee structures, not a guarantee of what you’ll be quoted, and avoiding an unlawful charge can leave a meaningful amount for your deposit, moving costs and first month’s rent. Some observers have argued that penalties have been modest so far. The reported enforcement totals show the law is being applied, but it’s still worth keeping records and reporting concerns.
Reviewing paperwork at home can help you keep a clear record of lease and payment terms.
Looking for apartments for rent in Queens? Armas Group NYC helps renters navigate apartment searches, applications and lease details across Queens and the surrounding NYC area. For guidance with your next move, contact Armas Group NYC.