Boston's Rental Market Has Adapted to Broker Fee Reform, But Many Questions Still Remain

BOSTON - Rezul -- One year after Massachusetts' broker fee reform took effect, new data from Boston Pads reveals that the number of no-fee apartment listings in Boston has more than doubled over the last two years, up +154.35% since July 2024.

The report, One Year After Boston's Broker Fee Reform: How the Rental Market Really Changed, analyzes real-time rental listing data collected before and after the August 1, 2025 policy went into effect. The new law requires the party who retains the services of the real estate broker to pay the broker fee commission, largely shifting the burden of broker fees away from the tenant to the landlord.

Interestingly, the data also shows that landlords started voluntarily paying broker fees shortly after Governor Maura Healey announced the proposal in January 2025, with a significant market shift beginning in March, well before the legislation became law.

According to Boston Pads' data, the percentage of landlords paying the broker fee increased from 15.12% in July 2024 to 56.46% by July 2025, illustrating that the market anticipated the market change well in advance. Now in July 2026, 68.54% of landlords are listing their units as no fee paid by the tenant.   Over the same 2-year time frame, listings marketed as full fee paid by the tenant declined from 70.77% to 25.40%, reflecting a fundamental change in how brokerage services are compensated throughout Greater Boston.

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According to the analysis, landlords increasingly absorbed broker fees well ahead of the implementation date as weakening rental demand, higher apartment inventory, and broader economic changes altered leasing strategies across Greater Boston.

The report also challenges one of the most common concerns surrounding the legislation; that landlords would immediately pass the added expense on to renters through higher monthly rents. While leasing costs have shifted, a softening rental market has kept prices relatively stable over the past 12 months in Boston.

Beyond pricing, the editorial explores emerging issues surrounding regulatory implementation, including uncertainty over broker representation, compliance requirements, and evolving industry practices that continue to develop under the new law.

The full report is available at BostonPads.com and includes historical market trends, broker fee distribution data, and analysis of how Boston's rental market has evolved during the first year under the new law.

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About Boston Pads

Boston Pads is the trusted local source for verified Boston apartment listings and one of the region's thought leaders in housing market trends.  Since 2003, Boston Pads has powered one of the largest apartment listing databases in Greater Boston while publishing market intelligence used by renters, landlords, real estate professionals, policymakers, and major media outlets across New England.

Read more at https://bostonpads.com/boston-rental-market/one-year-after-bostons-broker-fee-reform-part-1-how-the-rental-market-really-changed/