The Department of State (DOS) recently issued a guidance to the pro-tenant rent reforms that became law in 2019, effectively banning the practice of asking prospective tenants to pay a broker’s commission, reports Curbed NY. Under the new ruling, the fees brokers have typically passed on to renters must now be paid by landlords instead. If the prospective tenant hires a broker, however, they will still have to pay a commission or fee.

“[The guidance] reaffirms what we have been saying for a very long time: Landlords should shoulder the costs associated with hiring brokers to represent their interests, not tenants. This is more proof that the Housing Stability and Tenant Protection Act of 2019 is working to level the playing field, one which heavily favored landlords and real estate for decades,” said Robert Desir, staff attorney in our Civil Law Reform Unit.