Updated 2/10
The New York Supreme Court issued a temporary restraining order halting the ban on landlord-hired brokers charging tenants a commission, per Gothamist.
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Making headlines last evening: "Surprise for New York Renters: No More Broker Fees."
From The New York Times:
In an unexpected addendum to last year’s rent laws, state regulators said renters can no longer be charged broker fees, potentially upending the market and delivering the latest blow to an industry already reeling from new regulations and sweeping tenant protections.
Brokers can still collect a fee, the state said in the revised rules, but it must be paid by the landlord unless a prospective tenant hired them to help find an apartment.
This action caught many people off guard, chief among them the Real Estate Board of New York (REBNY), who is exploring legal action.
A REBNY spokesperson told The Real Deal that the new cost of landlords paying brokers fees instead of tenants would lead to an increase in rent.
