Which broker would you pick?

Well, since we have more information about your situation that you do, we'll be happy to offer you our expert opinions.

ChrisB: To some extent, it would depend on the size of the rebate. It's all about the money.

Although familiarity with the building is clearly an advantage, for the purposes of your Board package and interview ANY broker will advise you to downplay your renovation plans. (You don't need to share details until after closing, when you submit your alteration paperwork.) At this stage, a broker's knowledge of the Board's restrictions will mostly be useful in guiding you as to whether you will be able to make the changes you intend. That matters if you are planning something major - moving the kitchen, expanding a bathroom into a "dry" area, etc. For basic updates, previous experience in the building might not matter that much in the purchase process, at least not with regard to renovations.

Why not ask the first broker about a rebate - perhaps just for this specific apartment? He/she will be making a very easy commission (no months of trudging to viewings with you), and the Board package will be a snap because the broker already knows the forms and the Board's quirks. If you're into negotiation, you can even play the brokers off against each other: "You know John, I'd really like to work with you, but Jane is offering me 2% back at closing..." Brokers routinely play those games with buyers. It's only business.

I would cautiously add that trying to play hardball with another broker probably will only serve to antagonize him/her. Other clients that have tried this have never reported any good out come, even if it were just asking for a reduced commission. I think it is best to just decide who is going to serve your best interests and provide you with the absolute best service. I think it is also important to find a broker/agent you trust and is compatible with your personality. In real estate it is usually about the money, but as a broker that only represents buyers I can assure you we would not have a 100% satisfaction record and accomplish what we have without providing outstanding, knowledgeable customer service. To put it more simply, a sophisticated NYC buyer/seller is not going to hire an idiot to handle a large real estate transaction just because there is some discount or financial advantage.

Keith Burkhardt
TBG

This is a hijack since I'm not answering your original question, but just to say I'm not sure that I would downplay what sound like significant renovations. If the board knows the apartment (and I'm sure they do, because any seller's broker who doesn't invite the neighbors in is missing a trick) they'll know that it needs updating.

ali r.
{downtown broker}

There is nothing to fear when it comes to renovating a co-op, boards will not expect you to live with a kitchen and bathroom that is 40 years old etc. But as West81st points out, one of the biggest no nos is moving wet over dry. Before signing a contract on an apartment that needs a "significant" renovation you should have your broker arrange another walk through with your contractor/architect (depending on scope of work) and ask that the super be present (not always possible). The super will be your go to person for what can or has been done in other lines. He/she will also be able to answer the trades persons questions about stuff behind walls etc that can limit what can and cannot be done. A client who recently purchased a classic, needed a gut renovation was told by the super that once you opened up the walls, it was the new owners responsibility to upgrade the old plumbing at their expense.

All this said, at the end of the day none of this preinspection stuff means a whole lot, it's simply some guidance. You will have to submit an alteration agreement with plans etc to the board after you close and get their approval. In my experience, boards are fair in granting such approvals that comply with building codes and performed by licensed trades people.

Best of luck!

Keith Burkhardt
TBG

This is very helpful. Thank you all.

Keith: Sorry for the glib post. My "All about the money" was just in reference to the rebate. It's impossible to compare the value of Broker 1's knowledge to the value of Broker 2's rebate without knowing the amount.

As for seeking a rebate from Broker 1, it only makes sense if the buyer has decided, absent such a rebate, to hire Broker 2. In that scenario, the worst thing that can happen is that she says no. The buyer is teeing up an easy commission for her, in a building she knows well. If she declines on principle or firm policy ("Pardon me, we don't negotiate commissions here at Wickham & Smythe") , that's her prerogative. I don't see anything wrong with giving her the chance.

@west81st i know you and your sense of style/humor well enough! I'll till stick by my guns, asking based on percentages is a no win situation as far as i'm concerned. You made persuade me if the firm was called something like "123 Realty", Neither Wickham or Smythe is giving up any money :)

Excuse typing errors, 2 year olds sticky fingers mucking up the works.

KeithB :
I always read your comments and learn a lot from you.
However: Don't blame the Rolling Stones.

@edwinyc Great album!

Rock on, KeithB!

> but as a broker that only represents buyers I can assure you we would not have a 100% satisfaction record

100%? Really? What about that guy who deanc said didn't like you? I'm not saying I agreed with deanc/deanc's friend, but there's at least 1 party who isn't satisfied with you.