Washington, D.C.

James Leads AG Revolt Over Hidden Rental Junk Fees Hitting New Yorkers

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Published on April 14, 2026
James Leads AG Revolt Over Hidden Rental Junk Fees Hitting New YorkersSource: Wikipedia/Matthew Cohen, CC BY 2.0, via Wikimedia Commons

New York Attorney General Letitia James is taking aim at so-called junk fees in the rental market, leading a bipartisan coalition of state attorneys general that wants federal regulators to force landlords to be upfront about what apartments really cost.

On April 13, the group filed a multistate comment urging the Federal Trade Commission to crack down on hidden rental charges and to require that advertised rents reflect the total monthly cost, including mandatory fees that often surface only late in the application or lease process. The attorneys general argue that the practice amounts to bait-and-switch pricing that makes it harder for renters to compare options and to budget for housing.

In the filing, the coalition presses the FTC to require “clear disclosure of the total cost of rental housing, including all mandatory fees,” and to prohibit unfair or deceptive fee practices, according to the Office of the New York State Attorney General. James puts it bluntly in the multistate comment itself: “Rent is already too high,” and renters “deserve to know the true cost of housing upfront,” language the filing highlights, per the New York Attorney General.

What the FTC is weighing

The coalition’s filing landed while the FTC was seeking public input on an Advance Notice of Proposed Rulemaking about unfair or deceptive rental fee practices. The notice was published in the Federal Register and opened a 30-day comment window that closed on April 13, 2026, according to the Federal Register.

In its call for comments, the agency asked whether listings should show a single “total monthly price,” how and when fees must be disclosed, and whether certain recurring or mandatory charges should be presumptively included in advertised rent, according to the Federal Trade Commission.

Enforcement history that shaped the push

James and her counterparts point to recent enforcement cases that, they say, show how costly opaque pricing can be. The FTC and the State of Colorado secured a roughly $24 million judgment against Greystar for allegedly hiding mandatory fees, as described by the Federal Trade Commission.

The agency also distributed more than $47 million in refunds to consumers who were charged undisclosed fees by landlord Invitation Homes, with tenants in markets like Atlanta getting a share of the money, according to Atlanta renters snag slice of $47M payout.

Why it matters to New Yorkers

New York is already wrestling with how fees affect affordability. The Fairness in Apartment Rental Expenses (FARE) Act, passed by the City Council in December 2024 and effective June 2025, shifted broker fees away from most tenants and required clearer upfront disclosures, according to the New York City Council.

Local reporting has tracked enforcement and tenant complaints tied to that change. PIX11 reported that the city processed numerous complaints after the law took effect, with some renters seeking refunds and the city issuing summons in certain cases.

Legal implications

The multistate coalition is asking the FTC to set a national baseline for transparency while preserving states’ authority to enforce and strengthen their own protections. They argue that a federal rule could make it easier for consumers to compare listings and for honest housing providers to compete on price.

That balance between federal standards and state power is a central plank of the filing, which frames a federal rule as complementary to existing state laws and enforcement programs rather than preemptive, according to the New York Attorney General. If the Commission ultimately adopts a binding rule, it could also clarify when civil penalties or broader remedies are appropriate in rental fee cases.

What’s next

The FTC will review the comments it received and decide whether to move from the Advance Notice of Proposed Rulemaking stage to a formal proposed rule. Any decision and timeline will be made public once the Commission acts.

Tenant groups, state enforcers and industry representatives are all likely to push for different language on scope, timing and preemption as the agency weighs its next steps, according to the Federal Trade Commission.