Broker demanding fee on No-Fee Apt
Started by starrlyyt
almost 13 years ago
Posts: 2
Member since: Jan 2013
Discussion about
I recently rented an apartment a block down from my current residence. The sign on the outside of the building says "NO FEE" and I have already gone through the process of renting it, signing the lease, security deposit, etc. directly with the management company for the building and am moving in next month. A broker is now harassing me with phone calls and emails claiming I owe him commission. I... [more]
I recently rented an apartment a block down from my current residence. The sign on the outside of the building says "NO FEE" and I have already gone through the process of renting it, signing the lease, security deposit, etc. directly with the management company for the building and am moving in next month. A broker is now harassing me with phone calls and emails claiming I owe him commission. I had used the broker while looking at other apartments in the area (with fees) and had mentioned this no-fee apartment to him I had seen available on my street. So the day we were looking at various apartments, he set up a showing of this no-fee apartment on my street. I asked how his commission works in a no-fee situation and he said the landlord usually pays the fee. (We actually saw a couple no-fee apartments that day.) The broker never followed up with me after the day of showings, (except for emailing me an application if I wanted to rent any of the units we had seen), so 3 days later, after a few unanswered phone calls to the broker, I walked over to the no-fee apartment on my street and called the number on the sign myself. The super let me in the unit and gave me the address to the management office to sign the lease. I am all set to move next month and now I'm being harassed by a broker who wants "his money." He supposedly called the management company and they "confirmed" that I rented the apartment. (Which I also am unclear about, why would the management release that type of information?) I never signed any type of documents or agreements regarding anything with this broker and cannot imagine why I would owe him money. There is a permanent sign on the outside of the building with the words "NO-FEE" in big letters. I was under the impression that "No-Fee" meant that any broker fees involved were paid for by the landlord and NOT the tenant. The broker is saying he wants to resolve this "amicably" without getting his company involved, but I don't know what type of rights he has if I had never agreed to/discussed any type of compensation (especially on a no-fee where I didn't think I had to). Should I be worried? Does he have a legit claim against me? Do I actually owe him something? The management company I rented from didn't mention anything. Now I'm almost worried he's going to harass me after moving in to my new apartment next month since he knows the address. What should I do? Thanks!! [less]
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You definitely owe nothing to the broker. Had you signed a very general "fee agreement", he could have at least had an argument. But even then, he was clearly misleading you. If you are still being harassed, I would be proactive and take the offensive by calling his office and telling his manager exactly what happened, step by step.
Any broker who tries to charge a commission on a building with a giant "NO FEE" sign should be embarrassed and give up his license. Our value in the rental market comes from introducing you to properties you cannot find on your own.
Best,
Mike Mishkin
Founder and Broker
Love Where You Live Realty
Based on the information you provided, it doesn't sound like there is justification for a fee.
Should you be worried about a broker harassing you - don't know, but if there is any physicality go and make a complaint with the police.
Also, the broker saying that he wants to resolve it without his company means you have some valuable additional leverage - likely a call to the company if needed, may get him in trouble and he doesn't want you to do that.
To be entitled to a commission a real estate broker must be the "procuring cause" of a
rental or sale.
While a broker can be a "procuring cause" if he/she introduces the parties to a transac-
tion and they thereafter transact it by themselves, your broker doesnt seem to have done
anything which entitles him or her to a commission of any sort.
Like others have said, you owe him nothing. Don't be intimidated -- he is using what is called at this point scare tactics, which I find very unappealing for a person in his position, to say the least.
If his harassment becomes extreme or excessive, like greensdale says, you can always file a complaint.
You don't owe him anything. You didn't sign any documentation, the big sign outside the building says NO FEE, and the broker did not call you back after you made several attempts to reach him inquiring about moving forward on the property.
It's agents like this Joker that give us all a bad name...
Get your money for nothin'
Get your chicks for free
Did you sign any agreement with him when you were seeing apartments on that day? Also did that agreement list out places he was going to take you to which included that no-fee building?
Good gravy! Wish you could disclose this broker's name so we don't accidentaly tangle with thm.
Good luck!
Op:. I smell bullshit. This agent showed you the apartment you rented, didnt they?
Are you aj? Vanessa?
If you are it would be best to pay what you owe.
Jim Hones are you the broker in question?
Thanks to everyone who has helped me out with my issue! I definitely feel much better about my concerns & hope the harassment doesn't continue. Like I mentioned, I never signed anything or was even shown a "list of apartments to see," just basically walked around the neighborhood and saw a few options. I can tell you the broker was not "Jim Hones" but I would prefer not to mention the name. If once I move in, I continue to be harassed or anything happens while living in the new place, I will definitely be talking to the police about it, even if just to make an incident report to protect myself. It's good to know there are good brokers out there and I will definitely be choosing more carefully next time I need one! Thanks again to everyone who responded to this post!
Aj allen and vanessa ritchie dexter
Jim Hones, are those the names of the tenants? Can you also provide the names of the brokers,
IAmSpartacus:
Keep up the good work on posting lyrics.