What responsibility do brokers have regarding fees charged to tenants?

Brokers have the responsibility to disclose fees charged to tenants in the management agreement. This requirement serves several purposes: it ensures transparency between the broker and the tenants, allows tenants to make informed decisions, and fosters trust in the landlord-tenant relationship. By including this information in the management agreement, brokers can clarify the financial obligations of the tenants, which helps prevent misunderstandings and potential disputes later on.

In many jurisdictions, including New Mexico, legal and ethical standards mandate that all fees related to rental properties be disclosed to all involved parties in writing. This protects tenants and upholds the integrity of real estate practices. By doing so, brokers comply with state laws and regulations that govern fair practices within the rental market.