Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
This is a follow-up to another question I posted earlier this morning.
I've personally never used an agent before, as I always thought that paying ~$2000 (1-month rent) for usually just a few hours of work by a realtor was ridiculous. However, now the rental market seems to have gotten really tough.
Do most agents usually have access to a lot more listings than a lay-person who doesn't mind doing the legwork? (My friend is looking for a < $2000 studio in Manhattan near subway.)
Its something you have to do unless you want to rent directly from the owner way out in Queens or Brooklyn (the non trendy areas). Brokers & realtors love these out of town gen y transplants because they usually come from wealthy families who have no problem paying $2,000 or more for a small apartment in Astoria and the 15% brokers fee.
One month of rent is considered low these days for the fee. Usually it is 12% - 15% of the annual rent even outside Manhattan.
Do you think that realtors would have a decent supply of good studio apts under $2000 near subway in Manhattan? Or is what she wants to pay too low for any good neighborhood?
Most realtors charge 13 to 15%. Also, if you think it's only 4 hrs work, think again. Usually, if someone is desperate and willing to take the first apt they see it's because their credit stinks, don't meet income requirements or have previous judgements. Even THAT is way more than 4 hrs work for the broker. Do you know how difficult it is to find a landlord that will overlook any of these things? These applicants are high risk. Most people use several brokers at once, and the brokers job is as a go-between with the landlord. Most brokers work 60-70 hour weeks in rentals and spend several hours a day on mass transit, running up 6 floor walk-ups, dealing with supers/clients who stand them up at all times. 1 A.M. phone calls, 5 A.M. phone calls, scam artists and people who view 7 apartments over the course of 6 hours (plus 3 hrs prep time) only to decide they like their current apartment after all. There is a VERY high turnover for rental agents due to most only close 2 deals or so a month (after the house split on a 1200$ apt. an agent MAY net $900 take home which is BEFORE taxes) Do the math. Only 5% last a year in the business. That's what they tell us in school, and it's true. Only the really good agents last and actually make money. Also remember, you get what you pay for. The trick is to find an established agent. They have a knack for finding AMAZING deals. Word of mouth makes an agent. You don't like agents go to craigslist by-owner. 99% chance you'll have an agent in a month.
Sorry, seems like I may have offended someone without meaning to!
Before I moved to NY, it was usually the (generally wealthier, at least compared to many tenants like myself) landlords who paid the realtor's fees. When I lived in Boston one year, we had found a $1900 apt in the newspaper, called the realtor, saw it in 15min, rented it, and paid $1900 fee for spending less than an hour with the guy. Unfortunately, it sounds like it's the crazy over-demanding clients who make things worse for everyone else (like us serious renters with good credit).
It's o.k. I should'nt have gotten snippy. Try looking in the neighborhood Yorkville (85th to 96th). You can easily get a studio for under $2000, especially between York and 2nd.
Better yet, there is a management company called Salon Realty. They work with brokers as well , but go to them directly. They have a ton of apts. in that neighborhood under $2000. You wont get a fee.
Most realtors charge 13 to 15%. Also, if you think it's only 4 hrs work, think again. Usually, if someone is desperate and willing to take the first apt they see it's because their credit stinks, don't meet income requirements or have previous judgements. Even THAT is way more than 4 hrs work for the broker. Do you know how difficult it is to find a landlord that will overlook any of these things? These applicants are high risk. Most people use several brokers at once, and the brokers job is as a go-between with the landlord. Most brokers work 60-70 hour weeks in rentals and spend several hours a day on mass transit, running up 6 floor walk-ups, dealing with supers/clients who stand them up at all times. 1 A.M. phone calls, 5 A.M. phone calls, scam artists and people who view 7 apartments over the course of 6 hours (plus 3 hrs prep time) only to decide they like their current apartment after all. There is a VERY high turnover for rental agents due to most only close 2 deals or so a month (after the house split on a 1200$ apt. an agent MAY net $900 take home which is BEFORE taxes) Do the math. Only 5% last a year in the business. That's what they tell us in school, and it's true. Only the really good agents last and actually make money. Also remember, you get what you pay for. The trick is to find an established agent. They have a knack for finding AMAZING deals. Word of mouth makes an agent. You don't like agents go to craigslist by-owner. 99% chance you'll have an agent in a month.
Oh, boo hoo. I'm sure there are a few good agents in New York. There are certainly a lot of rude, scummy ones. I have been stood up by agents, and so have most of my friends. I have been lied to repeatedly. Agents make money when people move; as a result they have a vested interest in putting clients into overpriced, crummy apartments that they will soon leave.
Particularly outside Manhattan, agents can be avoided, and are best avoided. In safe areas leafletting works astonishingly well. Or rustle up everyone you know who lives in New York and tell them to ask all their friends if they know of a place coming onto the market. That's what everyone else does.
Better to commute an extra 15 minutes than to pay more rent
Quote:
Originally Posted by APNY
This is a follow-up to another question I posted earlier this morning.
I've personally never used an agent before, as I always thought that paying ~$2000 (1-month rent) for usually just a few hours of work by a realtor was ridiculous. However, now the rental market seems to have gotten really tough.
Do most agents usually have access to a lot more listings than a lay-person who doesn't mind doing the legwork? (My friend is looking for a < $2000 studio in Manhattan near subway.)
Real Estate Agents want one thing, MONEY. If you want to live the real New York experience, don't spend thousands of dollars on a broker. Research neighborhoods and walk around the area. Talk to the superintendents about availability and price. Almost all Manhattan apts. REQUIRE renting through a broker. That's total BULL ****. People basically HAND these agents money. I'm thrifty so I find my apartments by how I described above. Don't fall prey to these agents. I'm sure they are good people but they are making money off of naive newcomers and people who don't have time but have money. I am only saying that YOU DON'T NEED A BROKER. It is plenty do-able without them. Be smart, nothing is impossible
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Better to commute an extra 15 minutes than to pay more rent
