What to do if I can find a tenant before the agent does?

Question

I am using an agent to fill my rental property hoping that he would have a much bigger network and be able to find a tenant much quicker.

At the same time, I also advertise by myself.

What if I could find a potential tenant before the agent could? Should I just screen and sign the contract with the tenant without going thru the agent? Or should I refer the potential tenant to the agent?

If going down the first route, am I violating any contract with the agent? But the latter option will cost me a month of rent which, to me in my point of view, isnt worthy as it is not the agents effort.

What would you choose? And what's your suggestion? Thanks.

John Underwood · Answer

Look at the contract you signed with the agent to see if you can save any money if you find someone first.

Also talk to the agent, they me be willing to not charge you the full amount if you find someone.

If your contract doesn't allow you to save any money if you find someone then just direct anyone you find to the agent and let them earn their money.

Leo Tsang · Answer

Thanks Laura.

Yes I didnt want to take the commission from him. I rather have people earn more so to keep a good business relationship than a one time thing which is not sustainable.

Laura Kayes · Answer

Hi @Leo Tsang,

Did you and the agent sign a residential lease-listing agreement? If so, then the agent has the exclusive right to list the property and even if you find a tenant first, the agent has the right to the commissions. Therefore, you should refer the tenant to the realtor. Keep in mind, the agent is working for a commission, not for free.

Good luck!

Leo Tsang · Answer

Thank you very much for your suggestion.

I talked to my agent. He is willing to give me a discount. Great! Thanks again.

What to do if I can find a tenant before the agent does?

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