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Massachusetts Governor Healey Proposes Elimination of Renter-Paid Broker Fees to Ease Housing Market Costs

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Published on January 13, 2025
Massachusetts Governor Healey Proposes Elimination of Renter-Paid Broker Fees to Ease Housing Market CostsSource: Wikipedia/Governors office, Public domain, via Wikimedia Commons

Governor Maura Healey has proposed eliminating renter-paid broker fees in her Fiscal Year 2026 budget. Under the plan, landlords, who usually hire brokers, would pay the fees instead. This change could save renters thousands of dollars in up-front costs, as reported by the Commonwealth of Massachusetts.

According to the Commonwealth of Massachusetts, renters often face high upfront costs, including broker fees that can equal a full month's rent. Governor Healey stated, "Broker fees are an unfair cost for renters, and they should not be on the hook to pay for someone they didn’t hire." With median rents at $2,500, renters could pay up to $10,000 upfront. Lieutenant Governor Kim Driscoll argued, "Eliminating renter-paid broker’s fees will make the rental process fairer and less burdensome – because moving is already hard enough!"

The Massachusetts government is considering a proposal to make housing more affordable by shifting the cost of broker fees away from renters who don’t hire the broker. Housing Secretary Ed Augustus explained, "By shifting the cost of broker fees away from renters who do not hire the broker themselves, we can create more mobility in the housing market, allow tenants to have more choice, and save residents money." This proposal is part of broader efforts, including the Affordable Homes Act and MBTA Communities Law, to reduce housing costs. If passed, the change could make moving costs more equitable for renters statewide, as stated by the Commonwealth of Massachusetts.