Free NYC compliance tool

FARE Act Broker Fee Calculator

New York City’s FARE Act (Fairness in Apartment Rental Expenses), effective June 11, 2025, changed who pays the broker fee: the party that hires the broker pays, and the statutory presumption is that the landlord pays. A landlord-hired broker may not charge the tenant a fee.

Enter the rent and fee terms to see the total fee and the FARE Act posture — including when a signed written tenant-broker agreement is required. Built for NYC brokers and landlords structuring a compliant fee.

Monthly rent

How is the broker fee expressed?

Fee percentage

The NYC convention is often 15% of annual rent.

Who is paying the fee?

The statutory presumption is landlord-paid.

Broker fee

Total broker fee

15% of $42,000.00 annual rent

$6,300.00

Landlord pays

$6,300.00

Tenant pays

$0.00

Landlord-paid — the default. Under the NYC FARE Act (effective 2025-06-11), the party that hires the broker pays the fee, and the statutory presumption is that the landlord pays. No written tenant-broker agreement is required for this posture.

General information, not legal advice. These calculators are educational estimates based on published NYC/NYS figures and may not reflect the latest orders, your specific lease, or building-specific facts. Always verify with NYS HCR / NYC DHCR (and counsel where needed) before acting.

Frequently asked

Who pays the broker fee under the FARE Act?: The party that hires the broker. The statutory presumption is that the landlord pays — a landlord-hired broker cannot pass the fee to the tenant. A tenant only pays when the tenant separately hired the broker.
Can a tenant ever pay the broker fee?: Yes, but only where the tenant independently hired the broker and there is a signed written tenant-broker agreement documenting it. Absent that agreement, the fee is presumed landlord-paid.
How is a NYC broker fee usually calculated?: Commonly as a percentage of the annual rent (often 15%), or as a number of months’ rent (e.g. one month). The calculator supports a percentage, a months-of-rent figure, or a flat amount.
When did the FARE Act take effect?: June 11, 2025. It also requires up-front disclosure of all fees a prospective tenant must pay before signing.

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FARE Act Broker Fee Calculator

Frequently asked

Who pays the broker fee under the FARE Act?

The party that hires the broker. The statutory presumption is that the landlord pays — a landlord-hired broker cannot pass the fee to the tenant. A tenant only pays when the tenant separately hired the broker.

Can a tenant ever pay the broker fee?

Yes, but only where the tenant independently hired the broker and there is a signed written tenant-broker agreement documenting it. Absent that agreement, the fee is presumed landlord-paid.

How is a NYC broker fee usually calculated?

Commonly as a percentage of the annual rent (often 15%), or as a number of months’ rent (e.g. one month). The calculator supports a percentage, a months-of-rent figure, or a flat amount.

When did the FARE Act take effect?

June 11, 2025. It also requires up-front disclosure of all fees a prospective tenant must pay before signing.