By Zamone Perez
Virginia News Connection
Consumer advocates are calling on renters to speak out about their experiences with what they call hidden “junk fees” as federal regulators consider instituting a rule to promote transparency.
From garbage pickup to amenities and processing your lease, most renters have encountered some kind of unexpected charge associated with their rental agreement. Now, the Federal Trade Commission is asking for renters’ perspectives on these fees.
Christie Marra, director of housing advocacy at the Virginia Poverty Law Center, said landlords need to be transparent about prices so prospective renters can make the most informed decisions before any money changes hands.
“What’s really important here is the FTC require all landlords to clearly, conspicuously disclose the actual total cost of the rental housing,” she said. “Then, renters have the opportunity to actually compare prices, shop for what’s best for their budget.”
Many corporate landlords argue the fees are to cover administrative costs, and have resisted regulations on such fees. But the FTC has won settlements totaling more than $70 million with some of the largest rental companies in the country over these charges.
The comment period comes as a growing number of renters in the Commonwealth struggle to pay rent. A report from the Harvard Joint Center for Housing Studies finds the percentage of income going to rent in Virginia grew from 26% to nearly 30%.
Marra encouraged any renters who have experienced hidden junk fees in their leases to submit a comment online.
“I would really encourage anyone and everyone who experienced these hidden junk fees in their leases to submit comments,” she said. “It’s easy. You just fill out an online box and press send.”
The public comment period is open until Monday, and those wishing to submit one can go to regulations.gov and search for the FTC rule.
