01Problem
Invitation Homes advertised rent that omitted mandatory fees that “could total more than $1,700 yearly” and returned only 39.2% of deposit dollars (FTC, Sept. 24, 2024; $48 million). Greystar drip-priced valet trash, package, utility, and smart-home fees (FTC + Colorado, Dec. 2, 2025; $24 million). CFPB “Behind on Rent?” (Jan. 24, 2025): average late fee $84 in Nov. 2024, NSF ~$40–$42, late-fee incidence 14%. The FTC’s 16 C.F.R. Part 464 junk-fee rule does not cover long-term residential leases. State disclosure and cap statutes, plus FTC Act §5 cases, are the live tools.
02Intake
- Draft lease, application, listing screenshot (advertised rent), and fee addenda
- Every dollar demanded before move-in: app, holding, admin, move-in, pet, last month, deposit
- Recurring add-ons: trash/valet, pest, amenity, tech/smart-home, RUBS/utility admin, parking, insurance waiver, payment processing
- Late-fee and NSF clauses (grace days, %, flat $)
- Auto-renew / notice-to-vacate window; early-termination / acceleration / concession-recapture
- Entry, crime-free, one-strike, jury-waiver, one-sided attorney-fee
- State and city; whether the listing agent is the landlord’s broker (NYC FARE); servicemember status (CA deposit cap)
03Playbook
- 01
Do not cite 16 C.F.R. Part 464 against an apartment. Effective 12 May 2025, it covers live-event tickets and short-term lodging, not “long-term or other rental housing that involves an ongoing landlord-tenant relationship” (FTC FAQ).
- 02
Use FTC Act §5. Invitation Homes (stipulated 27 Sep 2024): advertised rent omitted mandatory fees; $48 million; March 2026 refunds 444,131 checks totaling more than $47.2 million. Greystar (stipulated 12 Dec 2025): $24 million ($23M FTC + $1M Colorado); must disclose total monthly leasing price before any payment, including a nonrefundable application fee.
- 03
Federal status: ANPRM 91 FR 12325 (13 Mar 2026; comments 13 Apr 2026) is not a final rule. H.R. 4100 is not enacted. The CFPB did not ban application fees.
- 04
Compute all-in monthly = advertised rent + every non-optional recurring fee, and all-in move-in. Invitation Homes’ $1,700/year omitted fees = $141.67/month.
- 05
Apply state fee rules (these are not all bans). CA §1950.6: screening ≤ actual cost and ≤ $30+CPI since 1998 (industry 2026 $65.86 is CAA/private — demand the invoice). Security §1950.5: 1 month. NY RPL §238-a: no beginning-of-tenancy fee except credit/background at actual cost or $20, whichever less; late fee after 5 days, cap $50 or 5%. NYC FARE (Local Law 119 of 2024, eff. 11 Jun 2025): listing agent cannot charge the tenant a broker fee; 2d Cir. 13 Jul 2026 (REBNY v. City of New York, No. 25-1506) left it standing. CO HB25-1090 (eff. 1 Jan 2026): advertised rent is the total price; utility markup ≤ 2% or $10/month, not both. HB26-1013 (26 Mar 2026) adds RUBS with no extra markup. MN §504B.120 is disclosure, not a ban: “Total Monthly Payment” on page 1; treble damages. Late fee §504B.177 ≤ 8%. WA: screening at cost incurred; holding fee ≤ 25% of first month; no late fee if paid within 5 days. Seattle Ord. 127497 effective 1 Jul 2027. TX §92.019: late fee after two full days; presumed reasonable 12%/10%; illegal fee → $100 + 3×. MA §15B: only first, last, one-month security, and lock (agents covered 1 Aug 2025); no late penalty until 30 days overdue. CT PA 25-44 / §47a-7d (1 Oct 2025): advertised rent includes periodic and default (even opt-out) fees; liable for one month’s rent. NJ P.L. 2025 c.405 (eff. 1 May 2026): application fee ≤ $50. SF Ord. 219-26 signed 29 Oct 2026: total estimated monthly cost; operative date unverified. Chicago RLTO: late charge ≤ $10 on first $500 + 5% of excess ($1,800 → $75).
- 06
Hunt later-biting clauses. CA §1945.5: auto-renew in ≥8-point bold plus a bold recital above the signature, or voidable. NY GOL §5-905 applies to residential (“any real property or premises”): auto-renew inoperative unless the landlord gives 15–30 day written notice before the tenant’s quit deadline. Do not confuse with RPL §226-c. Break-fee “even if we re-rent in a week” → skill 11. Auto-deduct cleaning → still demand the invoice.
- 07
If card is the only way to pay, the processing fee is not optional (CO + Greystar). Demand free ACH.
- 08
HUD withdrew FHEO-2020-01 on 17 Sep 2025 and limited FHEO ESA charging recommendations to trained animals on 22 May 2026. The Fair Housing Act is unamended; pet rent on an assistance animal is still attackable.
- 09
Require a signed amendment for any mid-term fee. Bank escrow does not stop eviction unless a rent-into-court statute applies (e.g. CT §47a-14h).
- 10
Decision: do not apply or sign until listing total monthly price matches the lease, every pre-move-in dollar fits the state cap, the late fee fits, and auto-renew/ETF are lawful. Walk or redline.
04Checklists
Lease clause & fee checker
- Listing screenshot saved; advertised rent vs lease all-in compared
- Application fee vs CA/NY/WA/MA/NJ caps
- Deposit vs state cap (CA 1 month; NY 1; CT 2 / 1 if 62+; MA 1 plus last; CO 2)
- Recurring junk lines in or out of advertised rent; free ACH path
- Late fee vs state grace and cap; CFPB $84 used only as a benchmark
- Auto-renew: CA 8-point bold + recital; NY GOL §5-905 15–30 day reminder
- CT §47a-7d advertised rent includes periodic and default fees (from 1 Oct 2025)
- NJ application fee ≤ $50 (from 1 May 2026); SF total monthly cost if in SF (operative date unverified)
- ETF / acceleration run through mitigation (skill 11); NYC FARE listing-agent broker fee stripped
- CO HB25-1090 total price and 2%/$10 markup; MN 504B.120 Total Monthly Payment on page 1 (disclosure, not a ban)
- Crime-free / one-strike language flagged; signed amendment required for mid-term fees
- 16 C.F.R. Part 464 not cited as a residential-rent rule
05Questions to ask
- Q01
“What is the total monthly leasing price, including every mandatory fee, before I pay an application fee? Itemize each fee’s amount, purpose, and whether it is mandatory (Greystar order standard).”
- Q02
“Is there a free ACH or in-person way to pay rent without a convenience fee?”
- Q03
“What is the application/screening fee, the actual vendor invoice, and will unselected applicants be refunded?” (CA/NY/WA/MA/NJ rules)
- Q04
“NYC: is the person collecting a broker fee the landlord’s listing agent? FARE Act forbids that as of June 11, 2025.”
- Q05
“Late fee: grace period, flat vs %, and the lease paragraph. NY cap is $50 or 5% after 5 days; TX 10%/12% after 2 days; CO $50 or 5% after 7 days.”
- Q06
“Auto-renew: how many days’ notice to prevent a new term? CA: is it 8-point bold with a bold recital above the signature (§1945.5)? NY: did you send the GOL §5-905 15–30 day written reminder?”
- Q07
“Early-termination: fee vs remaining rent vs mitigation. Send the addendum.”
- Q08
“MN: show me the words ‘Total Monthly Payment’ on page 1, equal to rent plus every nonoptional fee. CO: is advertised rent the total price, and is any utility markup over the lesser of 2% or $10/month?”
06Red flags
Advertised $X, lease $X plus valet + tech + trash + “insurance”
Application fee collected before any total-monthly-price disclosure (Greystar fact pattern)
NY landlord charging a $50 “admin” or holding fee at application (RPL §238-a)
MA “move-in fee” or pet deposit on top of first/last/security/lock
CO utility markup of 10% or a CAM line
MN ad that shows only base rent
Auto-renew buried in the back; CA without bold type
Break fee equal to remaining term
“Landlord will automatically deduct cleaning” with no invoice duty
Citing the FTC hotel/ticket rule as if it banned apartment junk fees
HUD ESA guidance treated as repealed FHA (it is not)
07Scripts
Before I pay any application or holding fee, send the total monthly leasing price for [UNIT] including every mandatory fee, each fee’s amount and purpose, and whether it is mandatory. The FTC’s Greystar order (Dec. 2025) requires that disclosure before any payment. Invitation Homes advertised rent that omitted mandatory fees that could exceed $1,700 a year (FTC, Sept. 2024). 16 C.F.R. Part 464 does not apply to this lease; state law and Section 5 do. Also send a no-fee ACH option.
New York Real Property Law §238-a bars any application or beginning-of-tenancy fee except a credit/background check at actual cost or $20, whichever is less, with a copy of the report and the vendor invoice. Late fees cannot exceed $50 or 5% of monthly rent, whichever is less, and only after five days. The NYC FARE Act (Admin. Code §20-699.21 et seq., effective June 11, 2025) bars the landlord’s listing agent from charging me a broker fee. Remove [FEE] or I will not sign.
Minnesota Statutes §504B.120 requires every nonoptional fee to be disclosed in the lease, the sum of rent and nonoptional fees to be labeled “Total Monthly Payment” on page 1, and ads to include those fees. This is a disclosure rule, not a ban. Violation is treble damages plus attorney’s fees. Your listing shows $[RENT] and the lease adds $[TRASH] + $[TECH] + $[PEST] = $[SUM] that never appears as Total Monthly Payment. Correct the ad and page 1 or this is a §504B.120 claim.
Colorado HB25-1090 (C.R.S. §6-1-737), effective Jan. 1, 2026, requires advertised rent to be the total price of all amounts not reasonably avoidable, displayed more prominently than other pricing, and caps utility markups at the lesser of 2% of the billed amount or $10/month. Your listing is $[RENT] plus $[FEES]. Restate the total price and remove any markup above that cap.
08Tools
Callable over MCP once connected. Your agent passes the inputs and gets structured results back.
advertised_vs_all_in_checkerAdvertised-vs-all-in checker- All-in monthly rent (advertised rent + every mandatory recurring fee), move-in total, and the yearly gap vs the listing. Flags Colorado (total price must be advertised, HB25-1090), Minnesota (Total Monthly Payment disclosure, treble damages), Connecticut (§ 47a-7d) and the FTC Greystar/Invitation Homes pattern.
late_fee_legality_calculatorLate-fee legality calculator- Maximum lawful late fee per the skill: NY min($50, 5%) after 5 days; CO min($50, 5%) after 7 days; TX presumed reasonable 12% (≤4 units) / 10% (>4 units) after two full days, illegal fee → $100 + 3× the fee; Chicago RLTO $10 + 5% of rent over $500; MN ≤8%; WA none if paid within 5 days; MA none until 30 days late. The CFPB's $84 average is context only.
state_cap_lookup_fmr_contextState cap lookup + HUD FMR context- Checks move-in money against the deposit/fee caps in the skill (CA 1 month deposit; NY 1 month + screening ≤ $20; MA first + last + 1-month security + lock only; CO utility markup ≤ min(2%, $10); NJ application fee ≤ $50) and, if you provide it, compares rent + fees with HUD Fair Market Rent (a cap only in voucher units).
09Formulas & rules
- All-in monthly. $1,850 rent + $35 valet + $15 pest + $25 amenity + $20 tech + $12 RUBS admin = $1,957. Advertised $1,850 understates by $107/month = $1,284/year.
- NY late-fee cap.
min(50, 0.05 × rent)after 5 days. $1,500 → $50. $800 → $40. CFPB average $84 is illegal in NY. - Chicago RLTO late fee.
$10 + 0.05 × max(rent − 500, 0). $1,800 → $75. - TX presumed-reasonable late fee. 10% if >4 units. $1,600 × 0.10 = $160 after two full days. Illegal fee → $100 + 3× fee.
- CO utility markup.
min(0.02 × billed, 10). $180 bill → $3.60, not $10. - CA screening.
fee ≤ min(actual_cost, 30 × CPI_since_1998). Demand the vendor invoice. - MN treble. $80/month of omitted mandatory fees × 12 = $960 baseline, treble $2,880 + fees.
- Move-in CA. $2,400 rent, corporate landlord: deposit ≤ $2,400; last+deposit of $4,800 is $2,400 over the cap.
10State variation
- 16 C.F.R. Part 464 effective 12 May 2025 — tickets and short-term lodging only.
- FTC rental ANPRM 91 FR 12325 (13 Mar 2026); comments closed 13 Apr 2026; no NPRM/final as of 30 Oct 2026. H.R. 4100 not enacted.
- Greystar stipulated order 12 Dec 2025 ($24 million). Invitation Homes refund checks Mar 2026 ($47.2 million+). FTC 9 Dec 2025 warning letters to 13 property-management software providers (civil penalties up to $53,088/violation).
- NYC FARE effective 11 Jun 2025; 2d Cir. 13 Jul 2026 left it standing.
- CO HB25-1090 effective 1 Jan 2026. HB26-1013 RUBS (4.5) signed 26 Mar 2026.
- MN 504B.120 remains disclosure + treble, not a ban. 504B.177 late-fee cap 8%.
- Seattle junk-fee ordinance effective 1 Jul 2027. CA screening AB 2493 (1 Jan 2025) and AB 1170 (1 Jan 2026). MA §15B agents 1 Aug 2025. CT PA 25-44 / §47a-7d 1 Oct 2025. NJ P.L. 2025 c.405 $50 application cap 1 May 2026. SF Ord. 219-26 signed 29 Oct 2026; operative date unverified.
- HUD ESA: FHEO-2020-01 withdrawn 17 Sep 2025; Trainor memo 22 May 2026 limits FHEO charges to trained animals. FHA statute unchanged.
11Community tactics
- Watch “landlord will automatically deduct cleaning” and still ask for the invoice — Verified — PA thread plus CA/WA/IL invoice rules and HUD 5C.
- Auto-renew if you miss a 30- or 60-day notice (@ganadelrey) — Verified as a clause to find — CA §1945.5 typeface; NY GOL §5-905 15–30 day reminder; always calendar the notice window.
- Read the break-fee before signing; it may apply even if the unit re-rents in a week (u/frankmaa) — Partly — a contract claim; mitigation (skill 11) is the counter.
- Require a signed amendment for any change (u/HelpfulPhrase5806, 391 upvotes) — Verified as contract hygiene.
- Corporate junk fees are being challenged (@econliberties) — Verified — FTC Invitation Homes and Greystar are the docket; 91 FR 12325 is the live ANPRM.
12Fact-check notes
- r2 §29 cites no CFPB, FMCSA, PA Insurance, NBC, or ProPublica URL. CFPB “Behind on Rent?” was still opened because this skill uses late-fee data: https://www.consumerfinance.gov/data-research/research-reports/behind-on-rent-examining-rental-housing-delinquencies-in-new-payment-data/ — works; supports average late fee $84 (Nov 2024), NSF ~$42, late-fee incidence 14% Nov 2024.
- FTC Part 464 FAQ works and supports the exclusion of long-term landlord-tenant housing: https://www.ftc.gov/business-guidance/resources/rule-unfair-or-deceptive-fees-frequently-asked-questions
- FTC Invitation Homes press works ($48 million, $1,700/year fees, 39.2% vs 63.9% deposit return). FTC Greystar press works ($24 million; pre-payment total-price disclosure). 91 FR 12325 on govinfo works; ANPRM not a final rule.
- NYC FARE FAQ PDF works: https://www.nyc.gov/assets/dca/downloads/pdf/about/FAQ-Broker-Fees.pdf (eff. 11 Jun 2025).
- CO DRE HB25-1090 summary works: https://dre.colorado.gov/hb25-1090-summary
- MN Revisor §504B.120 works; title says “Prohibited Fees” but the operative text is disclosure + treble — not a ban.
- No skill swap: all five assigned skills are solid.
13Tools to implement
Show the tool specifications
- Advertised-vs-all-in checker. Inputs: listed rent, each fee (amount, mandatory, monthly vs one-time), state. Logic: all_in_monthly; move_in_total; delta vs listing; flag CO/MN/Greystar mismatches. Sources: https://www.ftc.gov/news-events/news/press-releases/2025/12/greystar-agrees-pay-24-million-stop-deceptive-advertising-practices-result-ftc-colorado-lawsuit ; https://www.ftc.gov/news-events/news/press-releases/2024/09/ftc-takes-action-against-invitation-homes-deceiving-renters-charging-junk-fees-withholding-security
- Late-fee legality calculator. Inputs: state/city, rent, fee, days late, unit count (TX). Logic: apply NY/CO/TX/Chicago/MN/WA/MA rules; CFPB $84 as context only. Source: https://www.consumerfinance.gov/data-research/research-reports/behind-on-rent-examining-rental-housing-delinquencies-in-new-payment-data/
- State cap lookup + HUD FMR context. Inputs: ZIP, unit type, proposed rent+fees. Logic: HUD FMR as a market benchmark (a cap only in voucher units); overlay CA/NY/MA/CO deposit and fee caps. FMR API: https://www.huduser.gov/portal/dataset/fmr-api.html
14Sources
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Demand evidence r2 F3×P3×S3 = 27 (NEW, replaced moving inventory); r/Renters PA auto-deduct cleaning (125 pts); CA paint bill (171 pts); TikTok auto-renew; X @econliberties junk-fee litigation