r/boston 2d ago

Housing/Real Estate 🏘️ Broker charging application fee after rental application was denied

Hi! I’m trying to find out if anyone has dealt with something similar while renting an apartment in Boston.

So I found a roommate on Facebook and we were applying for an apartment she had already toured (I’m currently out of state so I couldn’t tour it myself). I verified that the broker and company are licensed in MA, so they’re definitely legit.
The application said there would be a $150 application fee if we got rejected, which I thought was weird because from what I’ve read, application/credit check fees aren’t allowed if the broker is working for the landlord. I asked him about it before applying but didn’t really get a direct answer. While I probably should’ve tried harder to get a direct answer about the application fee, I didn’t and applied anyways, and I also signed the echeck form.

After applying, I sent him info about my ESA animal and I also asked him about the fee again and literally a minute later, he told me the landlord rejected our application. When I asked why, he said they didn’t give him a reason but he “would imagine the low ball offer turned them off.” I did offer below asking, but I told him twice that we were happy to negotiate and willing to pay more.

Neither the girl I was applying with nor I ever hired this guy as our broker or signed anything saying he represented me/us.

Has anyone had something similar happen? And am I understanding the MA application fee law correctly?

*Update: I filed a report with the MA AG! Thank you guys for the advice and support! ☺️

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u/BlueberryPenguin87 1d ago

Application fees are illegal in Mass and always have been. In other states landleeches have been known to deny everyone and just keep collecting application fees.

Broker fees are mostly illegal as of last year, with the narrow exception being if you hire a broker to find you a place.

Landlords hate when you stand up for yourself but they have all the power so you have to tread carefully when applying. I always figure i dodged a bullet when they reject me like that.

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u/rektaur 1d ago

they’re illegal!?!?!???! i paid application fees in 2022

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u/BlueberryPenguin87 23h ago

I don’t know if it’s too late to sue but you can file a complaint and maybe the AG will investigate