On Long Island, the tenant pays the broker fee when renting an apartment, even when the landlord is the one who hired the broker. Nassau and Suffolk counties follow the longstanding market convention: the renter covers the commission at lease signing, typically 10% to 15% of the annual rent or a flat fee equal to one month’s rent. For a two-bedroom apartment around $2,500 a month, that’s an extra $2,500 to $4,500 due the day you sign.
How Much You’ll Pay and When
Broker fees on Long Island are calculated as a percentage of the total annual rent, most commonly 10% to 15%. Some brokers instead charge a flat fee equal to one month’s rent. On an apartment renting at $2,500 per month, or $30,000 a year, a 15% commission comes to $4,500.
The fee is a one-time payment made when you sign the lease. It goes directly to the broker, not the landlord, and it isn’t refundable when you move out. If you later renew the lease and the broker had no role in the renewal, no additional commission is owed.
Why the Tenant Pays Even When the Landlord Hired the Broker
No New York statute explicitly requires tenants to pay the broker fee. It’s a market convention, and a deeply entrenched one. The industry’s reasoning is that the broker facilitated the transaction and helped the tenant find housing, so the tenant compensates that service.
The convention survived a direct legal challenge. In 2020, the New York Department of State issued guidance interpreting the Housing Stability and Tenant Protection Act of 2019 as prohibiting a landlord’s agent from collecting fees from tenants. Real estate industry groups sued, and in 2021 a New York State court declared that guidance null and void, permanently blocking the Department of State from enforcing it. Brokers on Long Island can continue collecting fees from tenants even when the landlord hired them.
The New York City Rule Does Not Apply Here
If you’ve read about tenant-paid broker fees being eliminated in New York City, that protection stops at the city line. The Fairness in Apartment Rental Expenses (FARE) Act took effect on June 11, 2025, and prohibits brokers who represent landlords from charging fees to tenants in the five boroughs.1NYC Consumer and Worker Protection. Fairness in Apartment Rental Expenses (FARE) Act It also covers brokers who publish listings with a landlord’s permission.
The FARE Act is a New York City local law. It has no effect in Nassau or Suffolk County, and there is no current New York State law that extends it to the rest of the state.
Total Move-In Costs to Budget For
The broker fee is one piece of a potentially steep move-in bill. New York law caps several of the other costs, but added together you could be looking at close to three months’ rent before you unpack.
- First month’s rent, due at lease signing.
- Security deposit, capped at one month’s rent under New York’s General Obligations Law. The landlord cannot legally ask for more, must hold it in a separate account, and must return it (minus legitimate deductions for damage) within 14 days of move-out with an itemized statement.2New York State Senate. New York General Obligations Law 7-108
- Application fee, capped at $20 or the actual cost of a background and credit check, whichever is less. If you provide your own recent report (within 30 days), the landlord must waive the fee entirely.3New York State Senate. New York Real Property Law 238-A – Limitation on Fees
- Broker fee, typically 10% to 15% of annual rent or one month’s rent flat. Not capped by statute.
On that $2,500-per-month apartment with a 15% broker fee, total move-in costs can reach roughly $9,500: first month ($2,500), security deposit ($2,500), broker fee ($4,500), plus a nominal application fee. A landlord who demands “first month, last month, and a security deposit” is asking for more than the law allows; the 2019 Tenant Protection Act capped deposits and advances at one month, which effectively eliminated the “last month’s rent” demand.
Any upfront charge beyond the capped application fee and the security deposit is prohibited. If a broker or landlord asks for a separate “processing fee” or “administrative fee” at the start of a tenancy, that charge violates Section 238-a.3New York State Senate. New York Real Property Law 238-A – Limitation on Fees
Ways to Reduce or Avoid the Fee
Look for No-Fee Listings
The most direct way to avoid the broker fee is to find a rental where no broker is involved. Some landlords, especially those managing larger buildings or complexes, lease directly to tenants through their own management offices. Filtering for “no fee” apartments is standard on most rental platforms, and you can also check signs and postings at apartment complexes in the area you’re targeting.
Negotiate the Commission
Because broker fees on Long Island aren’t set by law, they’re negotiable. A broker in a slow market or one who filled the listing quickly may accept less than 15%. You have more leverage if you’re a strong applicant with good credit and stable income, and more still if the apartment has been sitting vacant. The time to negotiate is before you agree to work with the broker or tour any units, not after you’ve picked out a place and are ready to sign.
Work Directly with the Landlord
If you find a listing posted directly by the property owner on Craigslist, Facebook Marketplace, or community bulletin boards, there may be no broker involved at all. The tradeoff is losing a broker’s help navigating the application and lease, but the savings run into the thousands.
Get the Fee Agreement in Writing
No New York statute requires a broker commission agreement to be in writing, which means verbal arrangements are technically enforceable. That is exactly why you should insist on a written agreement anyway. Before you start viewing apartments with a broker, ask for a document spelling out the exact fee percentage, when it’s due, and what services the broker will provide. A broker who resists putting the terms on paper is one to think twice about.
If a Broker Overcharges You
The New York Department of State licenses and regulates real estate brokers statewide. You can verify a broker’s license status and file a complaint through the Department’s website or by calling (518) 474-4429.4New York Department of State. Looking to Buy, Sell or Rent Property in New York State – Know Your Rights Verified complaints of misconduct, including overcharging fees, can result in license suspension, revocation, or fines.
For disputes over a specific dollar amount, Nassau and Suffolk county small claims courts handle cases up to $5,000, which covers most broker fee disputes. Larger amounts require filing in a higher court.