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Hunt Holdrid…, Real Estate Pro in Dallas, TX

Why are Agents suppressing the value of Rental transactions? Hidden agenda? Educate your Owners of the cost to provide quality Tenants between Brokers

Asked by Hunt Holdridge, Dallas, TX Thu May 24, 2012

25-35% is a disservice to Owners and keeps the inventory longer on the market. Quit telling them what they want to hear. In addition, it hinders the long term relationship agreements between Brokers in your community. Agents....are you really hitting the pavement to lease at 25%? I'm seeing these mostly closed at at an intermediary level, which raises my concern on ethics, first come - first apply. In addition, Brokers need to be aware of the application reimbursement for those who meet qualification requirements. Whether they are selected as a Tenant is not the topic of discussion....but why you keep the Tenants application fee, when they meet requirements is unethical. Give the money back to avoid having a file claimed over applications fees. Pocketing the money for an extra source of revenue stream is unethical. I'm noticing this in both Dallas and Houston Metros.

Cheers!

--
Hunt Holdridge
HUNTAHOME, LLC
Office: (214) 866-0050
Mobile: (214) 457-1639
Email: hunt@huntahome.com

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I couldn't agree more with you Hunt.
A lot of people want to Lease, not Buy right now and I'm seeing properties in MLS for ridiculously low commissions. I won't even CONSIDER a property that offers less than 50% commission.
It's just not worth my time....so when I see these property owners put in 25 to 35% of 1 months' rent I just laugh at them. Do they honestly think I"m going to bring them a client ? NO WAY.
Further - many won't offer the same commission on a lease renewal.
So of course I advise my client to look for other properties when their lease is up.

Honestly - a good landlord is going to offer 75 to 100% of 1 month's rent.
These cheapos putting their listings into MLS for 25 to 35% crack me up.
Sure - someone will lease it - but it's not going to be MY client !!!
If you want me to work for you - you have to PAY ME.
Why is that so difficult for people to understand.
I'm bringing you a well qualified tenant - the LEAST you can do is offer me 1 month's rent.
0 votes Thank Flag Link Fri May 25, 2012
As a follow up - this comment was meant as an "observation point " only. Naturally, I always put my client's interests first and if it's a property they want to see - I'll show it and negotiate regardless of the offered commission.
With that said however - I know Agents that won't do Leases AT ALL - because of the cheapo landlords out there. I always put my clients interests first and am in full adherence to the NAR Code of Ethics - but I'm very selective in choosing the clients I'm going to work with to begin with. That helps a great deal.
Flag Sun May 27, 2012
You're an Agent bashing Agents!

Does your Broker know you're doing this?
2 votes Thank Flag Link Thu May 24, 2012
At least he's honest.
Flag Fri Nov 23, 2012
What is offered is what is offered, either show the unit or don't. As for the application fees they are used or supposed to be used to see if the prospective tenant will qualify for the unit they are leasing for their principle. Not all principles (the owner/landlord) offer 100% of the first months rent as commission to the listing Agents, so if they (the principle) offers 50% of the monthly rent, then 1/2 goes to each, 40% and etc.

Application fees are collected by all leasing company's and Realtors who have to verify the prospective tenant's income, credit, employment & criminal history. I have not meet a one who has not collected an application fee in my 15 years in the business.

Your job is to seek what your clients wants whether the commission is 100% or 1%. You might want to read the Realtor Code of Ethics, Your duties to clients (Art. 1-9) If your thinking of your client then your not thinking of a commission check, your thinking of the client, then your commission check.
1 vote Thank Flag Link Thu May 24, 2012
I agree with you Kenny. We must put our client's interests first.
With that said however - we can certainly be very careful in choosing what clients we work with and who we choose to represent. I've learned that you have to be VERY selective when working with Tenants on a lease property.
Flag Sun May 27, 2012
I am not seeing any suppression, I am representing lots of tenants and in Dallas I seethem noting the true rental amounts. Hot,hot,hot rental market though I see alot of the lining of pockets as well but there are alot of genuine agents still out there that will accept the first app fee like myself and run one at a time, If another happens to come in before presentation I will present all apps and leave it up to my client which to run first! A good reputation is everything in this business and it is a hard thing to acheive but very easy to loose! You must by law present every prospective tenant with minimum qualifications or else they are entitled to their deposit back! These are not just lowly people you won't see again, if treated right some may choose you to represent them when buying a home! Remember the golden rule and you will be alright, my golden rule is put the clients needs first and your commission last! Trust me it will pay off!

Best wishes to Everyone!

John Greer
United Real Estate Dallas
214-460-8381 Cell/Text
jgreer@unitedrealestatedallas.com
http://www.johngreerhomes.com
1 vote Thank Flag Link Thu May 24, 2012
I TOTALLY AGREE JOHN.
Flag Thu May 24, 2012
I could not agree more. Agents should offer the 50%. Application fees pocketed? Any app fees I have had went to the company processing the application.
0 votes Thank Flag Link Thu May 24, 2012
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