realestate

California Broker Fee Reform: A Social Media Spark

TikTok campaign helps NYC councilman's broker fee reform bill gain traction.

C
ity Council member Chi Ossé used TikTok to build support for his broker-fee bill, the Fairness in Apartment Rental Expenses (FARE) Act. He posted short videos explaining the bill and its need, featuring actress Ilana Glazer in one of them. The bill bars rental agents from collecting commissions unless hired by renters, a common practice where renters typically pay 15% of their annual rent.

    Ossé credited TikTok with raising the bill's profile and rebranding it as a "fair" measure. He noted that real estate brokers' presence at previous hearings had intimidated Council members, but this time they were outnumbered by supporters. The bill secured 33 sponsors and passed 42-8, a veto-proof majority.

    Ossé also credited the Progressive Caucus for helping pass the bill, which many City Council members support as renters themselves. However, Mayor Eric Adams has expressed concerns that the measure will lead to increased rents. A City Hall spokesperson said the administration is "closely watching" the bill and looks forward to working with the Council to make the city more affordable.

    The mayor's stance on the bill may be influenced by ongoing negotiations over the City of Yes for Housing Opportunity proposal, which aims to create more affordable housing. The outcome of these negotiations remains uncertain.

California broker fee reform sparks social media debate and public outcry nationwide.