Broker Commission Question

If you have the buyer and an agreed price, then you don't need any broker for this new purchasing transaction. If you can't agree on the price with your now tenant turned buyer and you still want to sell the property, then you can consider using the original broker that you already know. You do not owe the original broker anymore morally nor legally.

Check your contract with the broker from the original rental listing.

Yes, double check your original broker agreement, he may have covered himself in the event the renter purchases. Probably not, but cant hurt to check.

Just cause you sign a contract does not mean that all terms are automatically applicable. So if he says sign this so I can get my commission but then there is a provision saying that if you ever sell the place I get 15% or something it is not necessarily enforceable.

I have such a clause in my contract and it is rolled over every year and the clause is still there every year.

leger
about 2 hours ago
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Member since: Dec 2012
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I have such a clause in my contract and it is rolled over every year and the clause is still there every year.

plus 1.

I always make tenants going into a condo or co-op get a "right of first refusal" rider, and the owner signs one that says I'll get paid if they buy it.

If you feel the broker will provide a value in syncing the contract, handling the board package, and overseeing the process then its worth getting the broker involved for maybe a reduced commission or only the sale-side portion (3% or 2.5%). Many responders intonate that the broker just wants a cut but in fact the broker can provide great value. Good luck!

>Just cause you sign a contract does not mean that all terms are automatically applicable. So if he says sign this so I can get my commission but then there is a provision saying that if you ever sell the place I get 15% or something it is not necessarily enforceable.

Just pick whichever provisions suit you. Feel free to change it tomorrow. Whatever you want. What's a contract anyway?

>I always make tenants going into a condo or co-op get a "right of first refusal" rider, and the owner signs one that says I'll get paid if they buy it.

A bit of quick fingers, hey, no one really benefits, ... except you.

Depends if it is an adhesion contract HB. Someone getting a few thousand bucks for finding someone a rental would not so easily translate into $40,000 or whatever because the same person buys the place six years later. And depending on the terms you could structure the purchase differentll.

Also, how would they know?

Which is your argument?

1 boilerplate contracts don't count.
2 if its **6** years later then it doesn't count
3 who is gonna know?

** feel free when creating your ridiculous scenario and worse legal advice to ignore the OP which was *1* year ago.

Village:

1. lease-purchase commission agreements are common in commercial leasing
2. in part because most such leases are for a minimum 5-10 years
3. and because a leasing tenant might conceal its true intent to buy
4. I have never heard of such an agreement in an apartment rental agreement

5. I also agree with Ottowanyc that a court might refuse to enforce such an agreement
in a residential rental commission agreement on grounds that it violates public policy

Violates public policy. That's a good one.

greensdale
about 14 hours ago
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Member since: Sep 2012
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>I always make tenants going into a condo or co-op get a "right of first refusal" rider, and the owner signs one that says I'll get paid if they buy it.

A bit of quick fingers, hey, no one really benefits, ... except you.

neither party has to sign if they don't want to cocksucker.

Why so angry HB?

Just pointing out that this seems like an issue that there could be a lot of grey, but would obviously be very specific to the situation. Not everyone can grasp such subtleties.

Anyone out there actually have experience on this?

I'm not angry. I'm a matter of fact New Yorker.

greensdale
3 minutes ago
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Member since: Sep 2012
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I'm not angry. I'm a matter of fact "New Yorker".

Bullshit.

>neither party has to sign if they don't want to cocksucker.

I assume your wife/maid doesn't have to perform sexually as part of the citizenship fraud deal you have with her.

Getting back to topic, how do you make both sides sign an agreement that benefits only you but neither of the parties involved?
Trickery.

greensdale
37 minutes ago
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Member since: Sep 2012
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>neither party has to sign if they don't want to cocksucker.

I assume your wife/maid doesn't have to perform sexually as part of the citizenship fraud deal you have with her.

Getting back to topic, how do you make both sides sign an agreement that benefits only you but neither of the parties involved?
Trickery.

18 comments
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You are too stupid to see the benefit to either party. I won't explain it to you.

Explain it to everyone else here.

you are the only one asking. why don't you explain how neither side benefits?

C0lumbiaC0unty, care to help Jim Hores out?

i guess you can't. not unexpected.

If we wish to talk productively here, I too am in agreement that unless there is such a provision on the rental listing agreement, you have no legal obligation. That said, depending on your personal nature you may feel some moral or goodwill obligation. In this precise set of circumstances, I personally would contact the listing broker/agent and offer a "referral fee" (say of several thousand) upon the completion of the purchase transaction.

What's a moral obligation? I know you New Yorkers like to tip big, but a referral tip takes the cake!

A moral obligation is when you acknolwedge the initial broker ultimately affected the sale and you feel compelled to compensate them

Explain it to me, Jimmyboy.
(Waiting for this gem from newbie jimmyboy)

...also explains why jimbo hardly makes any commissions...

That is guilt.

Sonya_D
about 15 hours ago
Posts: 69
Member since: Jan 2013
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Explain it to me, Jimmyboy.
(Waiting for this gem from newbie jimmyboy)

...also explains why jimbo hardly makes any commissions...

do we know each other?

Repetition, a sign of insanity.

More to the topic, "explain it to me" -- and he cannot. As they say, put up or shut up.