What recourse does an NYC real estate broker have if he showed me the apt but I was able to rent direct?

Question

The broker showed me the apartment, but when we told him we wanted it, he raised his commission from 1 months rent to 15%, saying there was another broker that needed to be paid. That was the first time he mentioned it. I was so angry that I went directly to the building leasing office, and was able to get the apartment that way. Now the broker is calling and demanding the commission, and threatening me with legal action. I never had a written contract with him, and I feel that he violated whatever verbal contract may have existed with a bait and switch -- raising the price to me for his services by 80%!

Answer 1

His fee (and all fees) should have been in writing.

15% is pretty standard, but if your original agreement with the broker was an amount equal to one months rent, then that is what you should pay unless he told you in advance that he had an apartment with a higher fee that he would show you if you were interested. Broker fees in NYC are negotiable.

Your opinion that he "violated" the agreement and therefore you owe him nothing is incorrect. If this person is a licensed broker or an apartment referral agency and they showed you an apartment that you rented, you owe a fee. They can, often do and most likely will sue you for their fee. I know this because our office frequently represents brokers who are suing for their fee.

I have lived in and around NYC my entire life, and I have never met a broker (and believe me, I know a whole lot of them) who didn't have you fill out a form of some sort BEFORE they show you anything.

I would check to see if this person is a licensed real estate broker and not just an employee of apartment referral agency. Apartment referral agencies in NYC are limited by law to an amount equal to one months rent as a fee.

Anyone who is telling you that you can get away with this is mistaken and ill-informed about the inner-workings of the NYC real estate market.

************************
If you really managed "several luxury buildings in Manhattan" and were "licensed", you wouldn't be giving so many outrageously inaccurate answers to factual questions regarding real estate and landlord /tenant matters in NYC.

Since you probably don't have access to Westlaw, you can easily Google Index # 105916/05 Cohen v. Seinfeld.

In the write-up published in the New York Law Journal on January 17, 2007, the decision clearly made note of the fact that licensed real estate brokers CAN collect their fee based upon an oral agreement. It applies for rentals as well as for purchases and sales.

And if you truly were "licensed" in NYC, you would also know that without a written commission agreement, the commission is earned when the broker has obtained an oral agreement between the landlord and tenant on the essential terms of the tenancy, even if the tenant later changes their mind.

In case Google is too tough for you to master, you can click on this legal memorandum issued by New York State Dept of State regarding brokers commissions and apartment hunting:
http://www.dos.state.ny.us/cnsl/apthunt.html

Like heck you're a "licensed" NYC real estate broker who "manages several luxury buildings in Manhattan". That claim is laughable unless you paid someone to take the test for you.

Answer 2

I'm a licensed broker in nyc and ilovekey is correct.

spades I don't know where you took that test for your license but it couldn't have been in ny.

spades I'm being kind in assuming that you do really have a license because I went back and looked at some of your responses and I have to say your take on nyc real estate sounds more like a receptionist who overheard a conversation or two. Exclusive listing means something entirely different in nyc than it does elsewhere. It's rare to see an exclusive listing here that hasn't been co-brokered even if the term could be applied to this transaction.

The gentleman with the question was very clear that he was the tenant. A listing agreement of any type would have been signed by the building not the prospective tenant. Even my receptionist knows who signs listing agreements but you don't? And you are a broker?

I have been a broker in nyc since the mid 80's and besides it being the law every broker I ever met in my life who does business here knows that if you broker the transaction written agreement or not you earned your commission.

Answer 3

2

Answer 4

I AM VERY EDUCATED IN THIS FIELD

you should ask for a refund from the school.

i wasnt sure about who was right so i started googling and it took 10 seconds to check out what the two ladies said. im just a tenant but i know for sure apartment renters dont sign exclusive listing agreements lolol.

funny when i googled spadezgurl22 i found where 2 weeks ago you said you were a administrative assistant temping at a management co.

in only 2 weeks you got promoted to manager of 3 luxury buildings and got a real estates license??? lololol

and from 1 month ago i found this

asked by spadezgurl22:

What is the avergae pay for receptionists in real estate?
I work in a management company that managements several luxury high rise apartments. They offered me the permenant salary? Whatis a decent salary to ask for? i asked for 40,00 do u think thats too high or too low?

whats a good hourly to ask for ?


liar liar pants on fire lol

Answer 5

I would not suppose so. Just on account that the dealer took your title and quantity does not placed you into any agreement with them. Sure, you went to an open condo however, so what? You simply toured the location, you did not purchase it! As for unique, that simply implies that no one else can exhibit it. I doubt there's a few written contract among the dealer and the constructing proprietor. If there's, it will have to be among them, now not among the dealer and also you. The constructing proprietor has the proper to hire to whomever they please. So the dealer bought reduce out of the deal, difficult success!

Answer 6

Spadezgurl you arent fooling anyone. I couldnt stop laughing when I read your bogus answer. No way are you a broker in the city.

Answer 7

sounds like his loss and ur gain! he should've been more honest instead of being greedy. you are not obligated in any sense to pay him his outrageous commission. he was trying to take advantage of you. in our building we have brokers who come in but tenants can rent directly from the building wihtout paying a brokers fee. unless u signed an exclusive agreement to have him be your broker you dont owe him squat. standard commission is 6% of 1 yr lease or 1 months rent. Tell him by all means take u to court but he has no documentation statting that you were doing an exclusive agreement. dont answer his calls, tell him to f-ck off bc now its considered harassment.
15% is not standard fee that is equivalent to two months rent for the dumb one who cant do math (see below) its absolutely ludacrious to charge someone that commsision and you dont have to pay it bc thats not what you agreed upon.


TO THE ***** BELOW PLEASE SHUT UP, I MANAGE SEVERAL LUXURY BUILDING AND IF U DONT SIGN AN EXCLUSIVE AGREEMENT YOUR NOT HELD TO ANYTHING, I AM VERY EDUCATED IN THIS FIELD AS I POSSESS A REAL ESTATES LICENSE AS WELL, DO UR RESEARCH SWEETY TRY NOT TO BE JEALOUS!

Answer 8

Since you did not enter into a legal contract for the services of this agent/broker, you are under no obligation to pay him anything. I assume he was acting as a buyer's/renter's agent without having you sign a contract. Lucky you and stupid him.
Tell him to talk a lengthy walk off a slightly shorter pier.

Answer 9

Rent To Own Homes : http://RentToOwnHome.uzaev.com/?EeCK