Proposed Utah Bill Takes Aim at Hidden Rental Fees

158
A proposed Utah bill would require rental fee disclosure before a prospective tenant sees an agreement and be disclosed in advertising

A proposed Utah bill would require rental fee disclosure well before a prospective tenant sees an agreement, and the information must happen in the rental advertising.

The bill’s sponsor is state Rep. Tyler Clancy, R-Provo. “We’re making sure that they (consumers) have an expectation that the marketplace is being honest and transparent,” Clancy said.

HB29 bans hidden rental fees by requiring a listing or an advertisement for a rental to disclose the total price.

“When you’re not being upfront about your price, that could be anti-competitive in nature because you’re not really advertising your product,” Clancy told KSLTV.com. “Setting an expectation that families can know if something fits into their budget or not, I think that’s a reasonable thing.”

“The extra fees then should be baked into the price,” said Katie Hass, who leads Utah’s Division of Consumer Protection — which will enforce HB29 if it passes. She says the listed rental price must reflect the real price a tenant will have to pay to live there, excluding personal utilities. And that price, she said, cannot be a range that depends on variable or seasonal fees.

Federal scrutiny and Greystar’s response

At least eleven other states have similar laws about disclosing hidden rental fees in listings or ads. And in December, the Federal Trade Commission and the state of Colorado reached a $24 million settlement with rental housing giant Greystar over allegations it deceived renters with hidden fees.

“These little fees, at the end, they create a bitterness to our economy that we don’t want here in Utah,” Hass said.

Derek Seal said the Utah Rental Housing Association maintains a fund that reimburses application fees for renters who did not receive full disclosure when they applied. You can apply at its webpage.