How to Avoid Paying a Broker’s Fee for a Rental Apartment or Home in NJ By Jyson Properties, LLC

You probably already know that it’s difficult, if not impossible, to find a decent rental near the city without having to pay a huge broker’s fee. But if you’re smart and you know this insider’s secret, you can keep that money in your pocket where it belongs.

Ask around and there’s a good chance you’ll get all sorts of ideas on how to avoid paying a broker’s fee. Here are a few of the approaches past urban renters have tried.

The walkabout

Some people claim you can simply walk around the neighborhood where you’d like to live. While on tour, they claim you can look for properties with posted vacancy signs. When you find one you like, you call the number of the building’s property manager and negotiate a deal.

Sounds pretty simple, but you probably won’t make much progress using this method. More often than not, the person you talk to will refer you back to a broker.

The stealth approach

Others will tell you to deal with the broker—in the beginning—and after you’re taken to a property you’re interested in, you ditch the broker. They claim that with a bit of sleuthing, you can learn the name of the landlord/building manager and then approach him directly to negotiate your best deal.

Again, this sounds good, but there a few problems. First, smart brokers make you sign a contract stating that you agree to pay a fee if you end up renting a unit that the broker showed you. Once you sign something like this, you’re legally bound to pay the fee! Even if the landlord did rent to you without a broker’s knowledge, the broker likely would find out and insist that someone pay their fee.

There are other approaches, but chances are they’re illegal, unethical, or simply not feasible. Let’s face it; brokers are in the business to make money. The ones with experience know all the tricks and know what it takes to get the fees they’ve negotiated.

So what’s the secret?

All you have to do is find a full-service real estate company (www.jysonproperties.com) that gets paid by property owners or landlords rather than tenants.

See, property owners have just as great a stake in finding the right tenants as you have in finding the right rental property. And many are willing to pay to make sure that happens.

It’s legal, it’s simple, and it works.

What will you do with all that extra money?

With broker fees equal to several months’ rent or some insane percentage of the annual rent, you could easily save thousands of dollars. That’s a lot of money to pay a broker who does little more than give you forms to fill out and show you a few properties.

Instead of paying a broker, why not put that money towards your security deposit or buy new furniture. Or maybe you could throw one heck of a moving in party!