Another Essex County City Plans To Ban Brokerage Fees For Apartment Seekers

EAST ORANGE, NJ — Another city in Essex County is planning to ban a controversial fee for tenants who are trying to rent apartments.

On Monday, East Orange Mayor Ted Green’s office released details about a plan to prohibit “brokerage fees” in the city – an additional payment made to an agent in exchange for helping renters to find a property.

The ban is expected to be officially adopted via an ordinance at the East Orange City Council meeting on Monday, Nov. 9. It would take effect 20 days after its final passage.

Here are some highlights of the proposed ordinance, according to the mayor’s office:

• Landlords Pay for Brokers They Hire: “Property owners, landlords and developers who retain brokerage services must pay the associated fees rather than transferring those costs to tenants.”
• No Hidden or Indirect Charges: “Landlords are prohibited from circumventing the ordinance by increasing rental charges, reducing existing concessions or imposing additional fees intended to recover brokerage expenses.”
• Tenant-Hired Brokers Remain Permitted: “Tenants who independently engage a licensed real estate broker or agent to assist in locating rental housing may still be responsible for paying for those services under a separate representation agreement.”
• Greater Transparency: “All required rental fees must be clearly and conspicuously advertised in rental listings. Before a lease is signed, landlords or their agents must provide prospective tenants with an itemized written disclosure of all required fees.”
• Written Certification: “Rental applications must include a signed statement from the landlord affirming that brokerage fees are not being improperly passed on to the tenant.”
• Fines: “Any person found in violation of Ordinance No. 43 of 2026 may be subject to a fine of up to $2,000 for each violation.”

“Finding a safe, decent and affordable place to live should not come with unnecessary financial barriers,” Green said.

“When a landlord hires a broker, that expense should not fall on the shoulders of a family already trying to come up with a security deposit, first month's rent and moving expenses,” the mayor added.

East Orange isn’t the only city in Essex County that has been taking a hard look at broker’s fees.

In September, the Newark City Council unanimously approved an ordinance that prevents landlords and their agents from charging their tenants brokerage fees. The ordinance also requires all tenant fees be listed and advertised in a “clear and conspicuous manner.”

• Related: Controversial Fee Eliminated For Newark Apartment Renters

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