Agent2Agent in New York>Question Details

Irina Karan, Real Estate Pro in 33160

When renting in NYC, who pays the agent - the landlord, the tenant, or both? How much is usually paid?

Asked by Irina Karan, 33160 Tue Jun 25, 2013

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In Manhattan usually tenants pay brokers fee. It is usually 12-15%! But for example, in Brooklyn, landlords or mamagement companies pays brokers fee. And it is around 1 month.
1 vote Thank Flag Link Sat Apr 19, 2014
Hi Irena. Sure every situation is different but in a larger sense they are the same as well. The rule of thumb is the Tenant pays the brokers commission and it is not going to be one month's rent as payment.

There are many managed buildings where you can go and rent without a broker, but try to find them without a broker and you'll probably not find anything. We are now at th height of the rental season (summer). As the vacancy rate is approximately 1.5%, that translates into not much out there and what is available will be scooped up fast.

Anyone looking to rent here should have all paperwork together so they can pounce if they see something they like. I strongly suggest working with a broker. Good luck.
1 vote Thank Flag Link Tue Jun 25, 2013
In winter months (off season) many buildings in Manhattan start offering incentives such as paying the broker's fee and offering one month free to clients. When buildings pay the broker's fee, they normally pay an amount equal to 1 month rent.
If the building does not pay the OP (owner pays), then the broker has to collect from the tenant/renter. This usually is typical for the busiest months (late Spring and Summer) when there are no incentives offered by buildings due to low vacancy and high demand. Many reviewers mentioned that the commission collected by brokers "can go up to 15%". This, while it is the most typical scenario, might not necessarily be true. Very often the commission can go even higher. I personally have seen brokers charging 22%, 25%, or even 30% of the annual rent.
Flag Wed Mar 5, 2014
Noelle says the fee could go up to 15%. Have you seen it that high?
In FL, for example, we have 10% or 1 month and it is seller paid.
I'm an agent in FL - many of my clients come from NY and they expect the buyer to pay, and it is different in FL. I want to speak the same language with my clients...:)
Flag Tue Jun 25, 2013
Irina,

The renter pays the agent up to 15% unless it is OP (no-fee apartment) where the owner pays the agent.
0 votes Thank Flag Link Tue Mar 4, 2014
There are listings where the owner pays (OP) the agent, so it becomes a no-fee apartment.
If the listing is not OP, the agent can ask a 15% fee or 1 month fee from the client.
0 votes Thank Flag Link Tue Mar 4, 2014
The tenant, the market is very tight, so landlords do not need to pay an agent..
0 votes Thank Flag Link Wed Jun 26, 2013
Hi Irina

Usually the tenant pays the agent, but there have been instances where the landlord pays the agent or both parties split the fee but generally the tenant pays in most instances

Thanks Felix
Robert Defalco Realty
(917)692-7702
0 votes Thank Flag Link Wed Jun 26, 2013
In Manhattan you will see a fee being anywhere from one month to %15. Landlords will pay the agent in situations where they need to rent the apartment quickly or in buildings that are in a less desirable area but have higher rents. This is not a strict rule but if you are renting an apartment in the West Village it will most likely be a %15 fee and if you are renting an apartment in a new building in Midtown West you may have the landlord paying a portion or all of the fee. Hope this helps.
0 votes Thank Flag Link Tue Jun 25, 2013
Usually the tenant. Depending on the situation it can be 15% of annual rent or 1 month rent
0 votes Thank Flag Link Tue Jun 25, 2013
Irina,

In NYC, usually the agent fee is paid by the tenant equivalent to 1 month's rent. But there are also instances, where the agent is paid by the landlord or the landlord and tenant shares the costs 50/50. Each situation is unique.

Good luck.
0 votes Thank Flag Link Tue Jun 25, 2013
Irina,

This will vary dependent upon broker and landlord arrangement. In Long Island, it is typical for the tenant to pay the agent(s) for residential. I am pretty sure it is the same in NYC, tenant pays all.
0 votes Thank Flag Link Tue Jun 25, 2013
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