One Year of the Massachusetts Broker Fee Law: What Actually Changed

Last August, Massachusetts flipped a rule that had defined renting in Greater Boston for decades. A year in, it's worth looking at what happened versus what everyone predicted.

The change itself is clean. As of August 1, 2025, the party who hires the rental broker pays the fee. If a landlord lists a unit through an agent, the landlord pays that agent, not the incoming tenant. The provision came through the FY26 state budget and amended the licensing statute (G.L. c. 112, § 87DDD½). For renters who used to face first month, last month, a security deposit, and a full month's broker fee just to move in, it removed a real barrier. Enforcement has teeth too: a violation can be treated as an unfair practice under Chapter 93A, exposing a landlord or agent to triple damages plus attorney's fees.

Now the ground truth. The Attorney General's office has fielded more than a dozen complaints from renters who say landlords or agents still tried to push the fee onto them, sometimes just for inquiring about an online listing, according to WBUR. And the prediction critics made from day one has partly come true: some landlords raised rents to recoup the cost they now absorb, as several agents told Boston 25 News when the rule took effect. The fee didn't vanish so much as get repriced into rent for some units.

The legislature isn't finished either. A pending bill, S.224, would spell out explicit prohibitions and add penalties up to $1,000 per violation, closing gaps the current law left open.

If you own a small rental in Boston or MetroWest, the compliance list is short but non-negotiable. Scrub "tenant pays broker fee" language from every listing and lease addendum. Make sure your agreement with your agent states clearly that you, the landlord, pay the commission. And do not try to move that cost into the security deposit; the deposit rules in Massachusetts are strict, and a mistake there is its own triple-damages problem.

For renters, the rule is on your side, but it isn't self-enforcing. If an agent tells you to pay a fee for a unit you found through a landlord's listing, that's exactly the situation the law was written to stop.

Own a rental and want to make sure your leasing is compliant? Talk to Remmes & Co.

Check out this article next

Will the Boston Housing Market Crash in 2026? What the Data Actually Says

Will the Boston Housing Market Crash in 2026? What the Data Actually Says

Quick answer: No. No credible indicator points to a Boston housing crash in 2026. Prices are holding firm and even rising in most segments, inventory…

Read Article