Apartment hunting in New York City can be complicated thanks to real estate-specific jargon. And one such term you’ve likely come across is a no-fee apartment. What does that mean? Well, using a broker to help you find a rental is standard. But, it’s not free. Typically, someone has to pay for their time, as the following explains.

Downtown Manhattan Rentals Under $3000 on StreetEasy Article continues below

West Village

1 Bank Street

$2,650 No Fee

Studio |

1

Greenwich Village

224 Sullivan Street

$2,850 No Fee

Studio |

1

East Village

309 East 9th Street

$2,750 No Fee

1 |

1

Greenwich Village

224 Sullivan Street

$2,995 No Fee

Studio |

1

Greenwich Village

118 Macdougal Street

$2,800 No Fee

1 |

1

Little Italy

124 Mott Street

$2,050 No Fee

Studio |

1

East Village

280 East 7th Street

$2,395 No Fee

Studio |

1

Two Bridges

84 Madison Street

$2,500 No Fee

1 |

1

East Village

340 East 5th Street

$2,795 No Fee

1 |

1

Lower East Side

150 Orchard Street

$2,350 No Fee

Studio |

1

Greenwich Village

201 Sullivan Street

$2,950 No Fee

Studio |

1

Little Italy

163 Mulberry Street

$2,770 No Fee

Studio |

1

What Is a No-Fee Apartment Listing?

When searching for a place, you will likely come across apartment listings that loudly declare “no-fee!” You will also encounter many listings that don’t. So what’s the difference? 

In very basic terms, a no-fee apartment is an apartment where the tenant doesn’t pay a commission or broker’s fee. But, like so many things in NYC real estate, there’s more to know.

Brooklyn Rentals Under $3000 on StreetEasy Article continues below

Bedford-Stuyvesant

598 Marcy Avenue

$2,399 No Fee

3 |

1

Crown Heights

945 Park Place

$2,395 No Fee

2 |

1

Bedford-Stuyvesant

33 Vernon Avenue

$2,800 No Fee

1 |

1

Crown Heights

1159 Saint John’s Place

$2,999 No Fee

2 |

1

Sunset Park

4114 9th Avenue

$2,650 No Fee

2 |

1

Sunset Park

845 43rd Street

$2,350 No Fee

1 |

1

Crown Heights

824 Saint John’s Place

$2,795 No Fee

1 |

1

Prospect Lefferts Gardens

146 Fenimore Street

$2,500 No Fee

2 |

1

East Flatbush

1138 East 53rd Street

$2,600 No Fee

2 |

1

Stuyvesant Heights

217 Ralph Avenue

$1,850 No Fee

Studio |

1

Canarsie

778 Snediker Avenue

$2,599 No Fee

2 |

1

Bushwick

537 Central Avenue

$2,700 No Fee

1 |

1.5

What Is the Difference Between Broker’s Fees and Commissions?

“The terms’ broker’s fee’ and ‘commission’ are interchangeable,” says Becki Danchik of Warburg Realty. “It’s the fee a broker earns on completing a transaction in which they match the right person with the right property. A no-fee apartment is typically when the landlord has agreed to pay that fee to the exclusive listing agent on behalf of the tenant.” A landlord will usually do this in the hope of securing a tenant quickly, she explains.

Landlords Have Brokers

Keep in mind, though, that “no fee” applies only to the landlord’s broker, also known as the listing agent, and landlords are not required to cover that cost. More on that shortly. Here’s how it works: If you approach an apartment’s listing agent directly and secure the no-fee apartment on your own, then great — you don’t pay a fee! But if you enlisted the services of a broker (who is not the listing agent), and you found that apartment through that broker, you owe them their commission, whether the apartment says “no fee” or not.

Queens Rentals Under $3000 on StreetEasy Article continues below

Woodside

37-80 64th Street

$1,800 No Fee

3 |

1

Sunnyside

39-75 50th Street

$3,000 No Fee

3 |

1

Ditmars-Steinway

21-57 33rd Street

$2,000 No Fee

1 |

1

Sunnyside

42-15 43rd Avenue

$1,825 No Fee

Studio |

1

Murray Hill (Queens)

163-15 Depot Road

$2,400 No Fee

3 |

2

Rockaway All

477 Beach 45th Street

$2,700 No Fee

3 |

1

Glendale

70-38 68 Place

$2,700 No Fee

2 |

1

Rego Park

97-50 Queens Boulevard

$2,425 No Fee

1 |

1

Rego Park

98-05 67th Avenue

$2,495 No Fee

1 |

1

Sunnyside

50-12 46th Street

$2,150 No Fee

1 |

1

Woodside

55-06 39th Avenue

$2,100 No Fee

2 |

1

Whitestone

150-48 20 Road

$2,900 No Fee

3 |

1.5

What Is a Broker’s Fee?

Now that you understand the definition of a no-fee apartment, you’d probably like to know how units with fees work. In short, renters who use a broker to find an apartment have to pay a broker’s fee. How does it work? If you hire a broker who successfully finds you an apartment, they will earn an agreed-upon commission on the deal.

How Much Are Broker Fees for Renters?

The cost varies by broker and area. For instance, fees charged for Manhattan rentals may be more expensive than units in Queens, which has a lower median asking rent. (That said, here are seven affordable Queens neighborhoods for renters.) The broker’s fee is somewhat negotiable, but generally, it’s either one month’s rent or up to 15% of the entire year’s lease. That’s on top of paying your first month’s rent and security deposit. FYI, landlords can no longer ask tenants for last month’s rent plus a security deposit.

Wait, Weren’t Brokers’ Fee Abolished?

Last year the state changed the broker fee regulations with the Statewide Housing Security & Tenant Protection Act of 2019. The guidance issued states that a prospective tenant can’t compensate a landlord’s agent (aka listing agent). It would have been substantial cost savings for future renters. But a judge ruled in April 2021 that the state misinterpreted the act. 

Hoboken Rentals Under $3000 on StreetEasy Article continues below

Hoboken

512 Observer Highway

$2,800 No Fee

1 |

1

Hoboken

343 Garden Street

$1,920 No Fee

1 |

1

Hoboken

307 Monroe Street

$2,450 No Fee

1 |

1

Hoboken

308 Madison Street

$2,950 No Fee

2 |

2

Hoboken

711 Willow Avenue

$2,200 No Fee

1 |

1

Hoboken

1034 Washington Street

$2,600 No Fee

2 |

1

Hoboken

830 Monroe Street

$2,250 No Fee

2 |

2

Hoboken

305 Park Avenue

$2,500 No Fee

1 |

1

Hoboken

120 Jackson Street

$2,750 No Fee

1 |

1

Hoboken

324 Monroe Street

$1,950 No Fee

1 |

1

Hoboken

104 5th Street

$2,550 No Fee

2 |

1

Hoboken

60 Monroe Street

$2,600 No Fee

1 |

1

How to Find a No-Fee Apartment in NYC 

You’ve decided not to use a broker and pay the fee. Now, you’re probably wondering how to find a no-fee apartment. Here are a few options:

• Contact a building’s management company directly: A management rep is essentially an in-house broker — their goal is to find ideal tenants for their apartments. So, if you contact them directly, there shouldn’t be a fee. Just remember, property management companies rent apartments only in their specific buildings. Brokers, on the other hand, can have access to rentals in a variety of places.
• Walk around the neighborhood: If you know the neighborhood you’re interested in, walk around it to see if buildings have posted listing signs. They will have the landlord or management company’s contact information. Call them and see if there are apartments available or if any are coming up.
• Use the No-Fee Apartment Filter on StreetEasy: You can easily check the “no-fee only” box during your StreetEasy search to yield only no-fee apartment options. It will narrow your search to only those units.

Jersey City Rentals Under $3000 Article continues below

The Heights

105 Columbia Avenue

$1,950 No Fee

1 |

1

Jersey City

28 Vroom Street

$2,150 No Fee

Studio |

1

The Heights

10 Abbett Street

$2,950 No Fee

2 |

1

Jersey City

324 4th Street

$2,450 No Fee

1 |

1

Bergen/Lafayette

31 Belmont Street

$1,975 No Fee

2 |

2

McGinley Square

55 Jordan Avenue

$2,125 No Fee

1 |

1

McGinley Square

55 Jordan Avenue

$1,975 No Fee

Studio |

1

Historic Downtown

133 Wayne Street

$2,300 No Fee

Studio |

1

Jersey City

231 Hutton Street

$2,500 No Fee

2 |

1

Jersey City

231 Hutton Street

$2,500 No Fee

2 |

1

Jersey City

337 Princeton Avenue

$1,898 No Fee

2 |

1

The Heights

1089 Summit Avenue

$1,850 No Fee

1 |

1

Do No-Fee Apartments Save Money?

Surface level, it seems fee units would be more expensive to rent than no-fee apartments. But there is some debate as to whether no-fee rentals save renters money — particularly luxury rentals. Many buildings like these are no-fee but cost much more per month because of desirable amenities such as doormen, gym, and shared outdoor space.