Can someone give a neophyte some help? I went to see some rental listings that I found on my own. Some of these rentals are listed for the owner by a broker. The landlord's broker is telling me that if I want the place I am on the hook for 15% commission to him. Is this true or should the landlord pay the broker's commission?
I appreciate the assistance...
I've played this game. It's very much case by case, but I think broker commissions are paid by the buyer more often than by the owner. Of course, everything is a negotiation.
One of the first questions I usually ask about a rental is whether there is a commission to anyone, how much, and who pays it. Then verify that answer before you sign anything and be aware of bait-and-switches.
be VERY aware of bait and switches ..
brokers insert themselves in the process (even if you are only looking for apts by owner in, say, craigslist). then they ask you innocently "i have this other thing that is $200 less, but comission involved" .. indicating that it breaks even (but it really doesnt because the untis are not comparable ..
If you sense any softness, and you don't have to rush
fuck with the broker
totally fuck with the broker
have fun
and if the owner hired the broker but you found the apartment
fuck with the owner
make sure you don't put down more than 1 month as security deposit either
and don't be afraid of lawsuit threats ... few take them to court, and if they do, there aren't punitive damages in these type of cases, only actual damages ... judges don't like landlords or brokers. they really don't like them
"Anyone have a view on the right amount (1 month, 2 months, fixed amount) of security deposit in a condo rented by the owner?"
The properties being let by owners w/out brokers all seem to ask for 2-3 months. I'd counter w/ 1 month in this market, and stick to it. Ordinarily, 1.5 mo's strikes me as the norm in this market.
My dear friend. The 15% of the 1st years rent commission due the leasing broker has been an industry standard for over 20 years. Please understand...the is NEW YORK CITY. It is what it is and this is the standard commission for leasing an apartment in manhattan. Chill out.
I rented a condo from an owner who was represented by one of the big name, high reputation firms.
I paid one month.
No one should pay more.
Also, to answer the security deposit question ... one month. That is what I put down for deposit. There's no reason to put down more. If a condo owner demands more, he or she clearly isn't comfortable being a landlord and shouldn't be one. But there is no reason a tenant should have to suffer because a landlord is a neophyte or nervous nellie.
i dont think you can list a "by owner" in CL and charge a fee. even if its the owners broker.. if the space has a broker then it has to be by the broker.. agents list things "by owner" to avoid paying 10 bux to place the ad. i would print the ad and report the agent.
only building managers can list "by owner" and they cant collect a fee for it.
you should also ask to see the brokers current license before you even agree to discuss money.
rental commission
Can someone give a neophyte some help? I went to see some rental listings that I found on my own. Some of these rentals are listed for the owner by a broker. The landlord's broker is telling me that if I want the place I am on the hook for 15% commission to him. Is this true or should the landlord pay the broker's commission?
I appreciate the assistance...
I've played this game. It's very much case by case, but I think broker commissions are paid by the buyer more often than by the owner. Of course, everything is a negotiation.
One of the first questions I usually ask about a rental is whether there is a commission to anyone, how much, and who pays it. Then verify that answer before you sign anything and be aware of bait-and-switches.
be VERY aware of bait and switches ..
brokers insert themselves in the process (even if you are only looking for apts by owner in, say, craigslist). then they ask you innocently "i have this other thing that is $200 less, but comission involved" .. indicating that it breaks even (but it really doesnt because the untis are not comparable ..
If you sense any softness, and you don't have to rush
fuck with the broker
totally fuck with the broker
have fun
and if the owner hired the broker but you found the apartment
fuck with the owner
make sure you don't put down more than 1 month as security deposit either
and don't be afraid of lawsuit threats ... few take them to court, and if they do, there aren't punitive damages in these type of cases, only actual damages ... judges don't like landlords or brokers. they really don't like them
Anyone have a view on the right amount (1 month, 2 months, fixed amount) of security deposit in a condo rented by the owner?
"Anyone have a view on the right amount (1 month, 2 months, fixed amount) of security deposit in a condo rented by the owner?"
The properties being let by owners w/out brokers all seem to ask for 2-3 months. I'd counter w/ 1 month in this market, and stick to it. Ordinarily, 1.5 mo's strikes me as the norm in this market.
Anyone else?
My dear friend. The 15% of the 1st years rent commission due the leasing broker has been an industry standard for over 20 years. Please understand...the is NEW YORK CITY. It is what it is and this is the standard commission for leasing an apartment in manhattan. Chill out.
ldb-LOL, that is ridiculous.
ldb, that is entirely untrue.
I rented a condo from an owner who was represented by one of the big name, high reputation firms.
I paid one month.
No one should pay more.
Also, to answer the security deposit question ... one month. That is what I put down for deposit. There's no reason to put down more. If a condo owner demands more, he or she clearly isn't comfortable being a landlord and shouldn't be one. But there is no reason a tenant should have to suffer because a landlord is a neophyte or nervous nellie.
i dont think you can list a "by owner" in CL and charge a fee. even if its the owners broker.. if the space has a broker then it has to be by the broker.. agents list things "by owner" to avoid paying 10 bux to place the ad. i would print the ad and report the agent.
only building managers can list "by owner" and they cant collect a fee for it.
you should also ask to see the brokers current license before you even agree to discuss money.
good luck.