Post # 1
FI & I are looking to rent our townhouse. We’re looking to get $1500/month plus let the tenants pay all their own utilities. The place is nice, it is 2 bedroom, 2 bathroom. New woods floors and updated kitchen and appliances. It’s about 1600sq/ft and we’re about an hour north of Boston. It has a wood burning fire place, is in a quiet neghborhood on a deadend street. No garage, ut does have a swimming pool and patio.
The agent we have hired will take half the first month’s rent as commission for finding the renter and doing the credit check, referrals etc. She also gets a full month’s rent from the tenant as part of her “fee”. I think that is really high. As a renter would you pay $1500/month, $1000 security deposit, a $1500 fee to the agent and another $500 if you have a pet?? So basically our potential tenant could fork over $4500 for the first month (They could get the $1k security back). Not taking into account the agent fees, the place is listed at market value.
Would you pay this?
Post # 3
@nickels: I can’t speak for the rent, because idk what the norm is where you are but I can say “would you pay $1500/month, $1000 security deposit, a $1500 fee to the agent and another $500 if you have a pet??”
NO. Big fat eye-rolly no.
I would pay the 1500/month (if thats the going rate), like 500-1000 security, $500 for a pet, but if you want me to pay that per pet- NO. and 0$ to your agent. She gets paid for all that, and then a months rent? Find someone else.
Post # 4
- Wedding: April 2012 - Padua Hills Theater
I live in New York city and that is totally normal here. We had to pay a months rent, a month rent as a security deposit and a months rent brooker fee to the person who showed us the apartment. I know that all sounds crazy to someone who doesn’t live in a big city, but it’s the way things are done here.
Post # 5
No way. Usually the realtor gets paid one fee, either from you or the renter, not both. Screw that, find another agent. Or if they are going to take half month from you, then it should only be half from the renter as well. When I was doing real estate rentals in Boston, we got paid one months rent for our fee.. that was pretty standard, not 1.5x rent.
ETA: I reread the question, but yes, that is pretty normal for a renter if they are not renting a no fee apartment. This will probably reduce your potential renter pool a lot though. When we were looking for apartments before we definitely ONLY looked at no fee apts (ones where the apt owner was paying the realtor fee)
Post # 6
So if someone doesn’t use a realtor of their own they still need to pay yours a $1500 fee? I’ve never heard of this before. I know several people that have been on both sides of the situation and that hasn’t been the case. Unless it’s different in your area. Everything else seems reasonable. As a pet owner I always appreciated the flat amount up front vs the monthly fee when I rented because if you stay somewhere for awhile it adds up.
Post # 7
- Wedding: April 2012 - Padua Hills Theater
I’ll add that yes I would pay all that if I really wanted the place. And my rent is like a couple hundred short of that for a one bedroom apt in NYC…
Post # 8
@Mrs. Castle: But she’s an hour outside Boston… not in the middle of the city. I might find out how other people in the area go about renting out their places before committing. Because if not everyone does this, you might get a lot of people passing up your rental property because of the fees associated with renting. I have friends in NY who paid all of those fees, but I live in DC and had never heard of such a thing, so it totally depends on the norm in the area.
Post # 9
No way. I would expect to pay $1500 for the first month’s rent, $1500 for a security deposit, and $500 pet deposit. I would expect YOU to cover the agent fees – since they are doing you the service, not me (the renter).
Post # 10
Wow… I live in Florida, so obvioudly, I have no idea what the rental market is up there…. I do, however, manage rental property down here. I would def. check around to see what other places are renting for to see if your $1,500 is in the same ball park (try Craigslist).
In regards to the realtor and her fees, I think it’s a lot – but again, our rental market may be very different from yours! Here’s an example: If I find a renter for another company, I may or may not get a referral fee. If I do, it might be something simple as $100.
Have you tried looking for someone without the help of a realtor?
Post # 11
I live in Boston so $1500 for a town house that big is a steal. As a pet owner, I would be annoyed to pay the $500 pet deposit but if I got that back at the end of my lease, I would be ok with it. (Since I have a small dog and he wouldn’t cause that much damage.) The agent free is a bit too much that is one’s month rent! // When I look for apartments, I also try to rent from the landlord and not the agent but that’s just me.
Post # 12
No, I wouldn’t. I rent in a luxury building now, and my only fee to move in was $400. No building I have ever lived in asked for that much money, and I live in DC, so it’s not cheap here!
Post # 13
@nickels: No way. We’re switching apartments right now and I can say for certain that fronting that much money would be impossible for us. It is normal for NYC (where I live), like Mrs. Castle said, but we’ve been looking for a realtor that’s not going to make us AND the owner pay. Seems a little ridiculous!
Post # 14
Absolutely not. We’d NEVER pay that. We could buy a house and pay it off in 10 years paying less than that, which means we’d never do it. That’s in Washington, though. I stll think we wouldn’t live anywhere the rent was that high.
Post # 15
I had to pay a month’s rent up front and a month’s rent security deposit but you get the security deposit back if there isn’t anything wrong with the place. Is this rental price comparable to the area? I don’t live near Boston but we rented a house for only about $1k which was about the same SF.
The commission for half the first rent would be paid by you but I probably wouldn’t pay a fee on top of the security deposit and first month’s rent.
Post # 16
@oracle: This. Exactly.
The actual cost for townhouse, security deposit and pet deposite are reasonable and to be expected but I don’t think a renter would be willing to shell out almost 5 grand for 1st months rent/deposits to get into the place…personally i would use that 5k to put towards a downpayment on a house of my own.