Second time I’m coming here for a rental question in NYC. Don’t have anyone who really knows. To be short am I getting fucked by a broker asking for 15% of full annual payment, just as the fee for a 5 minute visit to the apartment? Maybe I’m naive but it feels like I’m getting robbed. Lmk
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He wants to charge you for just the visit?
No to close on the lease they are asking for 15% of total rent to be paid as their broker fee. Is this standard or above average. Don’t have anyone to ask.
I believe this is standard, however feel free to correct me if I’m wrong
Somewhat standard yes. I did 12% of annual rent. I only saw a video of my apartment. Didn't even go and see it. The only way around it is by looking at "no-fee" apartments where there is no broker fee. These are usually priced higher than the broker fee apartments all else equal but to concisely answer your question, no this is not atypical.
This is standard. I had to pay a 15% fee on a 10 minute viewing of an NYC apt. Options were to pay the fee and get the apt or not pay the fee and not get the apt. It’s a ripoff - the broker didn’t help us find the place or anything other than showing the place.
Market for a broker ranges from 1 month’s rent to 15% of annual. It’s stupidly overpriced relative to the value they add, but he’s not scamming you by quoting 15%
Up to you if you want to use one, you can do the search yourself and can filter apartments by “no-fee” to avoid all this, the potential issue is you may miss out on units that never come to the open market because they get taken by brokers with direct relationships
Thanks everyone, guess I’m soaking the fee.
I had to pay 15% of one year... 7.5% to selling broker and 7.5% to buying broker. These people are slimy and broker fees need to be annihilated. Biggest scam in NYC.
You can negotiate it down a bit otherwise just very subtly threaten to get your own broker. Make sure to be very very subtle. You'll be able to end up around 12% because otherwise it would be 7.5 each. If they don't budge execute on the threat because why bother doing anything on your own then eg collecting lease keys etc have your broker donit
You can’t always negotiate
You can't "always" do anything
Depending on the property, if you have a friend that is a broker, he may be able to process it for you and split/comp the fee. Know a guy who did this - but its heavily dependent on property, some are specifically represented and others allow any broker.
15% of the annual rent is the standard fee, there are plenty of no broker options available.
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