Starting on January 1, 2025, a new law will make it easier for tenants to understand the full cost of a rental.  Rhode Island Public Laws 308 and 309, which are identical, will require a landlord to disclose all fees to a tenant as part of a written rental agreement or a separate disclosure if there is no written rental agreement.  The fees must be mentioned in the same section as rent.

On October 17, 2024, the Rhode Island Association of REALTORS® sent updates that incorporate these changes to the forms vendors.  RIAR is in the process of finalizing a Rental Fees and Utilities Disclosure that can be used by landlords without written rental agreements.  Keep in mind that different forms vendors post updates at different times.

The law is also intended to accomplish the following:

▪Prohibits a landlord from charging a tenant a “convenience fee” for using a specific method to pay rent, such as paying by credit card, using a specific application, etc. unless the landlord offers the tenant at least one way to pay rent without a fee.

▪Requires a landlord to clearly disclose which utilities will be paid by the landlord, and which will be paid by the tenant as part of a written rental agreement or a separate disclosure if there is no written rental agreement. 

▪Disclose any requirement for a tenant to pay renter’s insurance as part of a written rental agreement or in writing if there is no written rental agreement.

▪Disclose any changes to fees in writing a minimum of 30 days before the new requirements go into effect.  If there is a written lease in effect, both the landlord and tenant must agree before any changes can take place during the term of the lease.

Penalties: If a landlord fails to properly disclose any of the above information, a tenant will be entitled to a refund of all fees, including utilities, renter’s insurance, and other fees that were not properly disclosed.

REALTORS®:  For more information, please contact the RIAR Legal Department at [email protected] or 401-432-6945.