Rental broker fees: the party who hires the broker pays

What changed

For years, many Boston-area renters paid a fee, often a month’s rent, to a broker the landlord had engaged to fill the unit. A state law that took effect on August 1, 2025 ended that arrangement. It says a licensed broker or salesperson may contract only with the prospective tenant or only with the landlord, and that any fee is paid only by the party who originally engaged and contracted with that broker.

The state’s housing office, EOHLC, has published guidance on how the rule works. It adds that a landlord, or the landlord’s agent, cannot make renting an apartment conditional on the tenant paying a broker the landlord hired, and cannot add a broker’s fee surcharge to the tenant’s rent.

Who it affects

The rule covers residential rentals across Massachusetts, from managed apartment buildings to a condo rented by its owner. Renters who never hired a broker should not be billed by the landlord’s broker. Landlords who list through a broker now pay that broker themselves. Renters can still hire their own broker to search and negotiate for them; in that case the renter pays. A broker the renter hires must present a fee disclosure form before working with the renter, and before a lease is signed the broker must give a written disclosure stating who hired them, who pays the fee and how much it is.

What it means in practice

A label on a listing, such as “fee” or “no fee”, does not settle who pays. Four facts do: who hired the broker, whom the broker represents, who signed the agreement, and who is being billed. Ask for them in writing before you pay anything. A short checklist:

• If a broker shows you a unit the landlord listed, ask whether you are being asked to sign anything that makes you their client, and why
• If you decide to hire your own broker, read the agreement and the fee disclosure before the search starts, and keep copies
• The limits on other move-in payments have not changed: first and last month’s rent, a security deposit of no more than one month, and the cost of a new lock
• If a fee request does not match these rules, raise it in writing first. The Attorney General’s office takes consumer complaints about rental charges

Status as of October 2026

The rule is in force as written. In May 2026 the Governor and the Attorney General jointly reminded renters, landlords and brokers that a broker fee may be charged only to the party who hired the broker. The full rules on upfront rental payments are in our guide to rental costs.