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Rental Broker Commissions: Press Coverage
Here's a selection of press coverage surrounding the conversation around DOS' Guidance on rental broker commissions.
Errol Louis discussed the fight over rental broker fees with Sarah Saltzberg and Fatima Kargbo of Bohemia Realty Group, as well as Reggie Thomas of the Real Estate Board of New York.
People looking for a place to live in New York may still have to pay a fee to a real estate broker, for now. A judge in Albany has temporarily blocked the New York Department of State's recent interpretation of a new state law that prohibits brokers from charging tenants a fee to rent them an apartment.
New Yorkers may have said goodbye to broker fees too soon. A judge issued a temporary restraining order Monday, stopping guidance by the state on the fees. The Real Estate Board of New York had filed a lawsuit. “The entry today by the Court in Albany of an order temporarily halting the implementation of New York State Department of State’s (DOS) interpretation of the Statewide Housing Stability and Tenant Protection Act means that thousands of hardworking, honest real estate agents across New York State can do business in the same way they did prior to last week’s DOS memo without fear of discipline by the DOS," Real Estate Board of New York President James Whelan and New York State Association of Realtors President Jennifer Stevenson said in a joint statement.
If you want to rent an apartment in the city, you can expect to pay those broker fees for a while longer. A judge in Albany has temporarily blocked guidance from the state that would stop agents and brokers hired by landlords from charging brokers fees to tenants. The Department of State issued the guidance last week on the Tenant Protection Act signed by Governor Cuomo in June. Broker fees run as high as 15 percent of an annual lease. Tenant advocates say the one time payments prevent many people from finding apartments, but brokers believe the landlords will just pass on the cost of fees by raising rents. The Real Estate Board of New York and New York State Association of Realtors issued a statement on the decision. – Michael Herzenberg