I have recently made a Zillow posting for a rental I have available. I received an inquiry today from an agent saying she has a client interested and she asked if I was willing to work with an agent? Is there something different about working with someone’s agent that I should be aware of? I would assume it’s like working with anyone else
The real difference is that the agent will want a leasing commission.
They will want this from me?
Yes. Agents represent tenants just like they represent buyers. Very similar in many ways. In our market in Texas, most agents expect 35-50% of the first month's rent.
That said, working with agents is very beneficial as lots of tenants (and well qualified ones!) work with agents and you wouldn't want to miss out on that tenant pool unless people are just knocking down your door!
Good question Brandy. I'm curious about this. Does this other agent expect half a month's rent for the finder's fee? They'd bring you the business and you do the lease, right?
You are free to choose your compensation amount but biggest difference is most agents will expect half a month or 5% of the gross lease a commission.
You will also make all communications through the agent so if instinct is on your checklist when picking tenants, make sure to attend the appointment.
Can't think of any other differences. Best of luck!
That’s the second question I’m having now is so I’m going to pay someone how much?! Lol and then I’m doing all the lease signing and everything else involved? That kinda seems like a questionable deal! However I could see more qualified renters working with an agent so
Interesting point. Has the agent found just anyone to scoop up a fee from you? Or have they been working with the tenant and therefore have a good one?
Is it worth paying the other agent and potentially now have a good contact?
Unless you're having a hard time filling the property, I'd say save your money. Most markets there's plenty of inquiries to fill a property from. As long as you have a good system for vetting potential tenants, you probably don't need "help".
@Brandy Carter Before they waste your time and their time they just want to know if you are willing to work with them and pay them a commission if they bring you a qualified renter. If the answer is no just tell them and they will go away. Agents just ask before showing so there is no confusion down the line. Had this happen on a rental listing of mine this weekend also.
What’s Interesting is that I linked the name and this was a client who actually found my Facebook listing and then contacted me and then her agent messaged me. Now I’m feeling a little ripped off honestly.
In my residential experience, the tenant is paying the agent's full commission / fee / whatever they agree to.
I might consider it, if I had a very unique situation and the home was extremely hard to rent.
In the commercial space, this is standard practice. You ask for the commission schedule and negotiate from there.