As expected, the FTC has released the text of its Advance Notice of Proposed Rulemaking (ANPRM) regarding fees in the rental housing market. This builds off of FTC Chairman Andrew Ferguson’s December comments that rental housing fees would be an ongoing FTC priority, and the January announcement that the FTC had submitted the draft ANPRM to the Office of Information and Regulatory Affairs (OIRA) within the Office of Management and Budget (OMB) for review. Freshfields previously discussed the significance of this relatively new procedural step.
An ANPRM seeks to determine whether a sector-wide rule is necessary to address deceptive pricing in the rental market, and if so, what a proposed rule should cover. Questions cover the entire lease lifecycle—from initial pricing advertisements to move-out. The FTC solicits comments on a number of topics, including advertising of total rental prices and mandatory fees, application fees, security deposits, billing practices, and practices that affect consumer choice.
The public will have thirty days to submit comments from the date of the ANPRM’s publication in the Federal Register, after which the FTC will internally consider the text of any forthcoming rule. We anticipate that, should the FTC continue with the rulemaking process, the agency would not issue a proposal until summer 2026 at the earliest.
Key Takeaways:
- This ANPRM aligns with the administration’s stated focus on affordability issues.
- Businesses should expect the FTC and states to continue to scrutinize how total rent and add‑on fees are communicated to prospective tenants.
- Companies likely to be affected by any proposed rule should submit public comments to ensure the FTC is fully aware of relevant business considerations.
