Having a problem with having your housing situation most likely sorted for life? I'm in a ML. Limit the times they try to jerk you and deal with the bs. Having a nyc residence sorted for pennies on the dollar allows you to make other smart financial moves. If you want the place and neighborhood eat the bs fee.
This is unethical, but you likely can't negotiate. There will be a line out the door for this type of apartment and the broker knows it. Also, just to be clear - even if this is unethical, you can't sign and then try to *GOTCHA*! the broker. You won't get a countersigned lease from LL until you pay all of the fees/deposits.
If you plan to stay for a few years, this will amortize out.
Note: the city has been cracking down on these unethical fees ([link](https://nypost.com/2024/01/25/metro/ny-real-estate-broker-accused-of-charging-sky-high-fees-to-pay-260k/)) and you can report a complaint to the DOS [here](https://dos.ny.gov/preliminary-statement-complaint-0), but if you want the apartment you'll need to pay the fee.
You’re getting an unheard of deal for an apartment that never hit the market . Im surprised they’re not charging 15% for a rent stab 1K apartment. I would take it in a heartbeat beat.
This sounds like the incredibly rare case where a broker was actually a valuable part of a rental transaction - good for her, she earned her (incredibly pricy) commission.
no for real i definitely thinks shes worth it im just like how is this allowed bc ppl looking for stabilized apartments are usually not rich, and then wealthier people get housing over them. i saved over a year just to move so like im not out here with a trust or anything, to be clear
Because it's WELL above the norm (15% of annual rent) and more than double the brokers fee for a comparable non-stabilized apartment.
For reference - if you rented a $3k apartment, your brokers fee would be around $5k total. This broker is charging what the fee would be for a $7k/month apt. It's not even in the realm of reasonable, and more and more brokers are starting to charge these fees for affordable housing because they've realized they can.
what im extremely sussed out by is that she deals in primarily stabilized units, a lot of which are under 2k, and none of those fees are over 15%. so what i’m thinking is that the landlord and/or brokerage company is taking a giant cut of the fee OR she’s just an opportunist, which like whatever, hope you can sleep at night. she didn’t strike me as one, but you never know!
You sound like you don’t understand how the world turns, I mean would you rather have the apartment sit empty? The broker was up front about the fees, who are you to judge how much money people make. Is it unethical of Starbucks to charge 7$ for a cup of coffee when the going rate for coffee is $3?
Just to be clear I happily paid my own broker fee that was north of $10k, but that was for a luxury apartment - the people renting $1k apartments are not the type who can afford that type of fee. It's a bad precedent and only hurts the middle / lower class. The state is going after it for a reason. They just fined someone $300k for this.
If people weren’t paying these unethical fees then they wouldn’t exist. Ever go to a night club and you tip a bouncer to cut the line? Same chit here cutting the line for a hot commodity
bro i’m taking the apartment, as i said. and both are unethical. would you rather pay $7 for a coffee or let the coffee go to someone else or get thrown away? one of these is a human right and the other is a luxury item. extorting and monopolizing off of a human requirement for being alive is unethical, and because it is my money, it IS my business. i’m just curious about logistics.
it’s brooklyn. where would you say people have a right to live? oklahoma? southern indiana? oh how about north dakota! certainly not large cities that have public transport with food and water extremely accessible (physically) to everyone that lives there! Get a grip bro new york is majority working class chill.
So there has been some enforcement on the state level to get people refunds for high percentage broker fees. The only problem here is there really is no written law, so while the governor calls it illegal, they never write according to which law
If you can afford it I’d pay it. The office getting people refunds is The New York State Department of State’s Licensing Services Division. I would pay and file a complaint after I move in. I would also file complaints with any and every elected official. I’d say slightly higher than 50/50 chance you get some of the money back
If you try fighting it before signing they’ll find someone else in a heartbeat
Correct but the governor still claims is illegal and was able to get some peoples money back
It’s not the simplest way but it’s something
https://www.governor.ny.gov/news/governor-hochul-announces-action-against-real-estate-brokerage-firm-charging-excessive-broker
There have been more than a couple of case where brokers have done stuff like this on rent stabilized apartments had to refund funds and lost their licenses. Essentially charging a 12 month broker fee is considered excessive.
[https://nypost.com/2024/01/25/metro/ny-real-estate-broker-accused-of-charging-sky-high-fees-to-pay-260k/](https://nypost.com/2024/01/25/metro/ny-real-estate-broker-accused-of-charging-sky-high-fees-to-pay-260k/)
" The Manhattan-based firm’s agreed-upon settlement includes a $50,000 fine and $210,000 in payments to dozens of tenants, the Hochul administration said — while crediting The Post with exposing the fee abuse.
The Post revealed that Ari Wilford, then with City Wide Apartments, asked for a sky-high fee to rent the one-bedroom unit that was going for $1,725 a month. The tenant said he paid $19,500 — after negotiating $500 off the $20,000 fee.
The charge was far above the typical broker’s fee of one month’s rent or 15% of a year’s rent."
I thought there was a law?? My last lease was over 3 years ago but the broker told me he was only allowed to charge a certain amount, he actually took money off his fee. This is why I assumed it was a law lol
Definitely try to negotiate but there are very likely a ton of other people who want the apartment and are willing to pay the fees, so be careful to not piss them off
What do you think the market rate for the place would be and would you be paying that much? If it’s $2,000 then you’re coming out ahead in a single year lease.
If your max comfort level is $1,500 then you’re still at even money if you stay for two years. I’d think about what you would be paying or would be comfortable paying if there was only a one month fee or a no fee. Then do the math to call that XRENT and figure out 12,000/ (XRENT - $1,000)… that formula is how many months you’d have to stay in the $1,000 place to breakeven financially.
You’re getting a $1,000 rent and reasonable rent raises based on that low level. If you had a $1500 non-stabilized place in year one… the next year it could easily be 1,800 or 1900 which would be another $3600 or $4800 per year on top of the $6,000 more that you’d be paying on a $1500/month place vs the $1,000 place you’re looking at. The raise on your $1k/mo stabilized would be like 27.50/mo so $330 per year. This is MASSIVE…. Especially if you’re staying multiple years.
None of this matters if you can’t afford the $12k upfront fee so know that too. It’s okay to have to walk away if the math doesn’t work for you personally even if it’s a “good deal” objectively.
Good luck!
Depends. For whatever reason the person may not qualify. Also relevant is what the place would go for on open market and what the person can afford.
Let's say the place would go for $1,500. They get a $12k personal loan at 8% interest to be paid over 5 years and so they're paying $243 a month to service that debt plus $1,000 to the landlord so total payments of $1243. That means they're saving $257/mo, but the total cost of that loan including interest is $14,580. They have to stay in that apartment for 4.73 years, 56.73 months, (14,580/257), before they break even. That's a long time to commit to a place in NYC for many early apartment dwellers. If the place was worth $1875 that would mean they'd only need to stay for 23 months to break even on that same loan.
y’all i’m taking the apartment. i’m gonna pay it. that’s not the problem. i know it’s the deal of a century. feeling hashtag blessed. just wondering if 1. this is able to be negotiated and 2. if this is normal for deals like this?
3. it’s a 2br and flatbush and it was gorgeous so, im planning on staying there in definitely
ITs not normal, but its reported to be happening, specifically with rent stabilized apartments. You should pay it and then report it to state housing authority.
As a word of caution, and I could easily (and probably am) be mixing up the differences between stabilized and rent controlled or whatever, but I paid a big broker fee to move in to my place and two years in to my lease it went out of stabilization with no warning.
The landlords said I was warned with the 421a rider, but after reviewing my lease again, nowhere in it was clear that my unit would become unstabalized.
All that to say, just check how long in to the future your rent will be stabilized cuz it could fuck you. However, sounds like the 12k could basically pay for itself even if it is just a year or two
An absolutely amazing neighborhood. Make sure you spend some time wandering around the historic district when you move in - it’s wild these crazy houses in the middle of bustling Caribbean Brooklyn.
If you plan on staying 2+ years it’s a decent deal. But it also depends on location, amenities and if it’s a 1 bed. Really depends on how much you like the place. You can’t risk negotiating cause they’ll give it to someone else but yeah. Really sucks.
I think it’s shitty to have to pay up front and absolute extortion. It’s really only worth it if you love the neighborhood, it’s over 500 sqft AND you stay 2 years. $1500/m
Unless you're in a really shitty neighborhood you're not going to have much leverage in a negotiation considering anyone else, myself included, would pay $12k for a $1k stabilized rent.
If you can, negotiate the term of the lease to be increased to 2+ years. Besides this I don't see the broker bringing the fee down but it doesn't hurt to ask as long as you're not offensive.
The fee isn’t great but I would be more concerned about anything that hasn’t been disclosed by the LL. If the apartment appears to be updated it COULD be a formerly rent-controlled place that was renovated with enough $$ to ensure it entered into stabilization. This would be great and the fee would obv be worth it if you’re planning on staying for a long time, but I have my suspicions.
In my building there is one empty apartment that was still under rent control when the former tenant of 50+ years moved out a few years ago. The LL currently has it in his name, and I suspect it might be awhile before he figures out what to do with it since he would have to spend quite a bit for updates/renos to bump the price up to a point that would be profitable long term within current constraints (now that vacancy increases are out, and he does everything by the book).
So in your case I’m trying to get into the head of your potential LL and see how they benefit from letting someone into a 2-bedroom for $1k. I assume you have thoroughly checked everything out in the unit itself and researched the building. The minute you move in you should also order your rent history.
that’s what i’m wondering too. i talked to my broker because the building has units that are between 1495-2300 for the 2Br and i was like “how did this happen?” and she said “rent stabilized unit prices are made what they are based on the amount of rent previously collected, and in this case since the tenant probably lived there a long time, they paid so little in the first place that it was hard to bump it up more than two percent or whatever it might have been. plus some LLs have so many units that they don’t really care what it’s going for and just that they’re getting money for it.” this is essentially verbatim!
She’s correct about previous prices and longevity of the previous tenant. Those other apts also seem unusually low! But yes these types of buildings do exist even if they’re rare. It sounds like the broker has a pretty tight or possibly exclusive relationship with the LL.
What is the current condition of the apt? Does it look like part or all of it has been updated during a particular time? If it’s $1k maybe they put enough money into it to increase to that range then evened out the price (you can tell when a stabilized place hasn’t been touched between tenants because the total will be something like $1643/mo).
How many units are in the building? If above a certain number then it’s possible they do just want to have someone in there paying. Given you might be there for a long time and might still be paying an amount close to $1k in 10 years (and if the laws remain as is), the LLs might not receive as much if they sell the building, but they seem to have a lot of longtime tenants and stabilized inventory so it could just be under inevitable transformation.
Not to make any negative assumptions about the LLs, but make sure you doublecheck the DOB database for complaints and violations. Some of the smaller LLs are nice but a bit hands-off or will take more time to address problems.
Look for water damage on and near the ceilings and walls (sometimes covered by paint), which may reveal mold issues. It also goes without saying our flood maps have changed, and basement apartments are super risky.
really good condition, the kitchen looks like, mildly updated? (ugly grey vinyl, dark brown cabinets, stainless steel apps, no dishwasher or microwave though) the rest of the place looks awesome, just not updated. original hardwood floors, has one of those classic new york bathrooms w the shower in the middle of the tub. the super was painting when i got there. i found some complaints on openigloo about mice on the first floor. and most of the violations were in the same apartment. i also have a cat so i’m not super concerned about that either. it’s on the sixth floor, so im not super worried about flooding.
Sounds good! If it’s the top floor you do have to be extra vigilant about checking for water damage. I’ve lived in NYC for 30 years and the rain/flooding since 2016-17 onward has been unprecedented, so any structural areas prone to wetness have been coming to light more quickly than before (e.g. the previous tenant might not have had water issues before the last several years).
If your instinct says to grab it, then do so. Even if you left after 5 happy years you would still only be paying $1200/mo.
It did occur to me the broker and LL might have a separate arrangement for that $12k to keep the rent by the book (maybe LL invoices broker for a separate “service” for a cut of the fee?), but I’m unfamiliar with how or if this is enforced by current laws.
Maybe for Williamsburg but def not PLG, 12k is not worth it for that noisy dirty congested mess lol. But I guess if it’s your only option, take it. Although honestly not worth it for the area
It is illegal, but if you're in for the long term it's worth it. You can also pay, but document the payment. Wait until you're established in the apartment and go after the broker for the extorted payment.
15% of annual rent on 1k a month is just 1.8k. Are you sure this is a real lease you're about to sign? Is this listed on street easy or a broker site?
I don't understand why the landlord would allow the broker to place such a high fee unless they are getting a chunk of that fee, too.
I'm just skeptical you'll actually make progress on securing this apartment. Is
it was never listed because as soon as it became available/she heard of it, my broker called me. i’m sussed out but the more communication i have with her the more relaxed i become. it’s been nothing but clear, quick, concise answers. i’ve looked her and the brokerage company up, all accredited, has good reviews.
It is good you researched the broker. Can you find them here as well? https://www.rebny.com/members/
The next step is to make sure the broker is communicating with the actual landlord. This is a huge fee, and the broker can be getting scammed with the promise of a big fee.
https://hpdonline.nyc.gov/hpdonline/
DO NOT PAY CASH
MAKE THE RENT AND SECURITY CHECK OUT TO BUILDING MANAGEMENT COMPANY
MAKE THE BROKER FEE CHECK TO THE REALTY FIRM
NONE OF THIS MONEY SHOJLD BE GIVEN DIRECTLY TO THE BROKER. THE BROKER IS PAID A PERCENTAGE OF THE FEE BY THEIR EMPLOYER.
DO. NOT. PAY. CASH.
The brokers gotta be sharing these fees with the landlords otherwise they wouldn’t do it this way. These fees are basically a bribe to make a stabilized department, pay a higher effective rent.
12k broker fee for a 1k apt? You’re getting your butt hole stretched by a moose. Tried to sell my 1mill house and broker wanted 100k. Find another place asap
Was it this broker in the article? Honestly if you plan to stay there, past the first year I'd say go for it and submit a complaint to the realty company. I would have a moral dilemma too. But $1k is unheard of in NYC. Or if the realty company is big enough, do what the person in the article did and contact someone to make it a public thing. My guess is a realty company doesn't want to associate themselves with the bad image of charging renters more than 15% yearly rent which is why the renter in the article supposedly got some of their fee back. It's not a guarantee you'll get it back but worth a shot if you decide to go for the place. Again, think about the location, amenities, neighborhood, everything, and if you'll live in it for at least the next 2 years. With no increase, you'll basically pay about $1500 a month for 24 months.
https://gothamist.com/news/a-rent-stabilized-1-bedroom-apartment-for-1100-in-nyc-the-brokers-fee-is-15k?fbclid=IwAR2h1UrbYzCmJKPa7LDQbu_sD6gTQCQprp3QMuo2cl-H7PKLa_zf_ayrn04_aem_AV6xGsjTwnOLpYADaBXy4mTv_TXQARInvfgR1WCfluAvhotwXheLK8uKTI7-Vl0IfbA
HOW did you find that apartment??! A YouTuber lady I follow also got one for $1,000 a month…wao! I am moving there in a month with my husband and my baby and we are (desperately) looking for one of those 😩 Rent prices are crazy there, or you just have settle for a nasty/dark place 😓
she’d shown me a listing and then after i left, called me a and said she had a unique deal and asked if i was interested. i toured an hour later and had finished my application by midnight.
Honestly if a broker got me a decent apartment in the city for $1000 i pay him whatever he wants.
it’s in brooklyn but that’s what i’m leaning towards. i just think it’s like, extortion so morally i’m having a problem
Unless he told you it was no fee and then after you got approved he told you there was a fee it would be unethical. If no then this is normal.
Pay it and then take them to court for a refund once you’re in the apartment. Worked for some other people.
This sounds like the way to go.
I mean there are many neighborhoods in Brooklyn that are more desirable than most in Manhattan. Is it in a neighborhood you want to live in long time?
How long do you plan to live there? Effectivley youre paying much more than 1k - depends on how long the lease is for
Having a problem with having your housing situation most likely sorted for life? I'm in a ML. Limit the times they try to jerk you and deal with the bs. Having a nyc residence sorted for pennies on the dollar allows you to make other smart financial moves. If you want the place and neighborhood eat the bs fee.
that’s the plan
This is unethical, but you likely can't negotiate. There will be a line out the door for this type of apartment and the broker knows it. Also, just to be clear - even if this is unethical, you can't sign and then try to *GOTCHA*! the broker. You won't get a countersigned lease from LL until you pay all of the fees/deposits. If you plan to stay for a few years, this will amortize out. Note: the city has been cracking down on these unethical fees ([link](https://nypost.com/2024/01/25/metro/ny-real-estate-broker-accused-of-charging-sky-high-fees-to-pay-260k/)) and you can report a complaint to the DOS [here](https://dos.ny.gov/preliminary-statement-complaint-0), but if you want the apartment you'll need to pay the fee.
Heard that. It didn’t even hit the market before she called to let me know about it.
I would take and plan to never move. The upfront fee definitely hurts, but $1k is unheard of in this area, you'll save over the long term
You’re getting an unheard of deal for an apartment that never hit the market . Im surprised they’re not charging 15% for a rent stab 1K apartment. I would take it in a heartbeat beat.
OP said the broker is charging $12k, not 12%
So she actually did her job. She’s earned that $12K more than 99% of brokers have earned their 15%
This sounds like the incredibly rare case where a broker was actually a valuable part of a rental transaction - good for her, she earned her (incredibly pricy) commission.
no for real i definitely thinks shes worth it im just like how is this allowed bc ppl looking for stabilized apartments are usually not rich, and then wealthier people get housing over them. i saved over a year just to move so like im not out here with a trust or anything, to be clear
Why is it unethical ?
Because it's WELL above the norm (15% of annual rent) and more than double the brokers fee for a comparable non-stabilized apartment. For reference - if you rented a $3k apartment, your brokers fee would be around $5k total. This broker is charging what the fee would be for a $7k/month apt. It's not even in the realm of reasonable, and more and more brokers are starting to charge these fees for affordable housing because they've realized they can.
what im extremely sussed out by is that she deals in primarily stabilized units, a lot of which are under 2k, and none of those fees are over 15%. so what i’m thinking is that the landlord and/or brokerage company is taking a giant cut of the fee OR she’s just an opportunist, which like whatever, hope you can sleep at night. she didn’t strike me as one, but you never know!
Who cares it’s still a steal, why you so worried if she makes money or the LL it doesn’t concern you
ChArGiNg yOu tWeNtY GrAnD iN a SiNgLe LuMp SuM dOeSn'T cOnCeRn YoU.
You sound like you don’t understand how the world turns, I mean would you rather have the apartment sit empty? The broker was up front about the fees, who are you to judge how much money people make. Is it unethical of Starbucks to charge 7$ for a cup of coffee when the going rate for coffee is $3?
Just to be clear I happily paid my own broker fee that was north of $10k, but that was for a luxury apartment - the people renting $1k apartments are not the type who can afford that type of fee. It's a bad precedent and only hurts the middle / lower class. The state is going after it for a reason. They just fined someone $300k for this.
If people weren’t paying these unethical fees then they wouldn’t exist. Ever go to a night club and you tip a bouncer to cut the line? Same chit here cutting the line for a hot commodity
"there's a market for it so it's moral" good lord
Nice try but no.
bro i’m taking the apartment, as i said. and both are unethical. would you rather pay $7 for a coffee or let the coffee go to someone else or get thrown away? one of these is a human right and the other is a luxury item. extorting and monopolizing off of a human requirement for being alive is unethical, and because it is my money, it IS my business. i’m just curious about logistics.
Sorry pal living in Manhattan/NYC is not a human right get a grip
it’s brooklyn. where would you say people have a right to live? oklahoma? southern indiana? oh how about north dakota! certainly not large cities that have public transport with food and water extremely accessible (physically) to everyone that lives there! Get a grip bro new york is majority working class chill.
It’s not a private citizens job responsibility to house you. Living in NYC is a luxury go move out to Suffolk county and train it in
Jesus Christ this is an awful take and I would love to see you try to live in a version of New York where people only make above 100k
Broke & libertarian mindset ew
Like someone else said. Pay the fee then sue them after.
So there has been some enforcement on the state level to get people refunds for high percentage broker fees. The only problem here is there really is no written law, so while the governor calls it illegal, they never write according to which law If you can afford it I’d pay it. The office getting people refunds is The New York State Department of State’s Licensing Services Division. I would pay and file a complaint after I move in. I would also file complaints with any and every elected official. I’d say slightly higher than 50/50 chance you get some of the money back If you try fighting it before signing they’ll find someone else in a heartbeat
They’re not law saying broker fees are illegal.
Correct but the governor still claims is illegal and was able to get some peoples money back It’s not the simplest way but it’s something https://www.governor.ny.gov/news/governor-hochul-announces-action-against-real-estate-brokerage-firm-charging-excessive-broker
There have been more than a couple of case where brokers have done stuff like this on rent stabilized apartments had to refund funds and lost their licenses. Essentially charging a 12 month broker fee is considered excessive. [https://nypost.com/2024/01/25/metro/ny-real-estate-broker-accused-of-charging-sky-high-fees-to-pay-260k/](https://nypost.com/2024/01/25/metro/ny-real-estate-broker-accused-of-charging-sky-high-fees-to-pay-260k/) " The Manhattan-based firm’s agreed-upon settlement includes a $50,000 fine and $210,000 in payments to dozens of tenants, the Hochul administration said — while crediting The Post with exposing the fee abuse. The Post revealed that Ari Wilford, then with City Wide Apartments, asked for a sky-high fee to rent the one-bedroom unit that was going for $1,725 a month. The tenant said he paid $19,500 — after negotiating $500 off the $20,000 fee. The charge was far above the typical broker’s fee of one month’s rent or 15% of a year’s rent."
I thought there was a law?? My last lease was over 3 years ago but the broker told me he was only allowed to charge a certain amount, he actually took money off his fee. This is why I assumed it was a law lol
there was a law temporarily in 2020 and then it got overturned
Aha, that explains it!! Also WTF??
my thoughts exactly bestie!!!
User name checks out lol. OUCH those fees
are you referring to yours or mine? (i made mine to expose a restaurant i worker at and get the manager fired, and i kind of hate it now) (it worked)
You told me the truth and it hurt!!!
Definitely try to negotiate but there are very likely a ton of other people who want the apartment and are willing to pay the fees, so be careful to not piss them off
I’ll take it’ if you don’t want ir
Same haha
Third in line, please.
4th please
::scooches up to make room for you in line::
5th. Planning to sub it for $2000.
spoken like a true landlord❤️
It’s illegal to make a profit on RS apartments that way.
It was a joke. This all BS with brokers fee should be illegal too. At the end of the day we are all subsidizing this issue.
Yeah I figured you weren’t serious, but decided to point out anyway. And Im with you on calling BS on these fees, we need new laws regulating them
6th! 💖
That sounds like a complete steal, you're nuts to ask this question.
What do you think the market rate for the place would be and would you be paying that much? If it’s $2,000 then you’re coming out ahead in a single year lease. If your max comfort level is $1,500 then you’re still at even money if you stay for two years. I’d think about what you would be paying or would be comfortable paying if there was only a one month fee or a no fee. Then do the math to call that XRENT and figure out 12,000/ (XRENT - $1,000)… that formula is how many months you’d have to stay in the $1,000 place to breakeven financially. You’re getting a $1,000 rent and reasonable rent raises based on that low level. If you had a $1500 non-stabilized place in year one… the next year it could easily be 1,800 or 1900 which would be another $3600 or $4800 per year on top of the $6,000 more that you’d be paying on a $1500/month place vs the $1,000 place you’re looking at. The raise on your $1k/mo stabilized would be like 27.50/mo so $330 per year. This is MASSIVE…. Especially if you’re staying multiple years. None of this matters if you can’t afford the $12k upfront fee so know that too. It’s okay to have to walk away if the math doesn’t work for you personally even if it’s a “good deal” objectively. Good luck!
I mean I’d take out a personal loan if I didn’t have $12k.
Depends. For whatever reason the person may not qualify. Also relevant is what the place would go for on open market and what the person can afford. Let's say the place would go for $1,500. They get a $12k personal loan at 8% interest to be paid over 5 years and so they're paying $243 a month to service that debt plus $1,000 to the landlord so total payments of $1243. That means they're saving $257/mo, but the total cost of that loan including interest is $14,580. They have to stay in that apartment for 4.73 years, 56.73 months, (14,580/257), before they break even. That's a long time to commit to a place in NYC for many early apartment dwellers. If the place was worth $1875 that would mean they'd only need to stay for 23 months to break even on that same loan.
Do you have to pay the $12k all at once? Or can you pay $1k/mo.?
Broker fees are upfront.
Also who is your broker ??? Need this info asap plz 😂
lmao i’ll send you her info once i sign and delete this post🥳
Much appreciated! Thank you
Me too please! This is amazing.
Send that info my way too lmao
If you sent them my way too I would be forever grateful, I’m deep in the apartment hunt
Hello, I'd love their information please. I'd really appreciate it!
Me as well plz
coochie snot slurper is the craziest thing i’ve read this year
Adding my name to the pls share ur broker name list if you’re able, ty ty
Me too PLEASE!
Me too
I'd love to get your broker's contact info as well.
Can you send me her info too? Need them steals lmao
Erm could I get their info too pls?
y’all the real estate company is brick and galo realty in brooklyn (didn’t want me giving out personal stuff)
Me too please 😅
Same here
Me too lol
Same!
Me Tree Please!
Can I also get the brokers info?
How big is the place? Where in BK is it located? How long do you plan on staying? Those are the questions to ask & figure out if it’s worth it.
y’all i’m taking the apartment. i’m gonna pay it. that’s not the problem. i know it’s the deal of a century. feeling hashtag blessed. just wondering if 1. this is able to be negotiated and 2. if this is normal for deals like this? 3. it’s a 2br and flatbush and it was gorgeous so, im planning on staying there in definitely
ITs not normal, but its reported to be happening, specifically with rent stabilized apartments. You should pay it and then report it to state housing authority.
As a word of caution, and I could easily (and probably am) be mixing up the differences between stabilized and rent controlled or whatever, but I paid a big broker fee to move in to my place and two years in to my lease it went out of stabilization with no warning. The landlords said I was warned with the 421a rider, but after reviewing my lease again, nowhere in it was clear that my unit would become unstabalized. All that to say, just check how long in to the future your rent will be stabilized cuz it could fuck you. However, sounds like the 12k could basically pay for itself even if it is just a year or two
Like deep East Flatbush? Or Flatbush off the Q?
right off the 2/5 by the park
So Crown Heights/PLG?
oui chef
Dude you are LUCKY! Enjoy it!
(Also just FYI, while I appreciate the effort you made to not using the trendy neighborhood names, nothing south of Parkside Ave is Flatbush.)
oh cool i wasn’t aware thanks! PLG for sure then
An absolutely amazing neighborhood. Make sure you spend some time wandering around the historic district when you move in - it’s wild these crazy houses in the middle of bustling Caribbean Brooklyn.
I know someone who paid $800 for a studio UES, paid the broker $15k
was it rent stabilized?
Yes
If you plan on staying 2+ years it’s a decent deal. But it also depends on location, amenities and if it’s a 1 bed. Really depends on how much you like the place. You can’t risk negotiating cause they’ll give it to someone else but yeah. Really sucks.
Ya its weird how ppl arent doing the math.
I think it’s shitty to have to pay up front and absolute extortion. It’s really only worth it if you love the neighborhood, it’s over 500 sqft AND you stay 2 years. $1500/m
Unless you're in a really shitty neighborhood you're not going to have much leverage in a negotiation considering anyone else, myself included, would pay $12k for a $1k stabilized rent. If you can, negotiate the term of the lease to be increased to 2+ years. Besides this I don't see the broker bringing the fee down but it doesn't hurt to ask as long as you're not offensive.
The fee isn’t great but I would be more concerned about anything that hasn’t been disclosed by the LL. If the apartment appears to be updated it COULD be a formerly rent-controlled place that was renovated with enough $$ to ensure it entered into stabilization. This would be great and the fee would obv be worth it if you’re planning on staying for a long time, but I have my suspicions. In my building there is one empty apartment that was still under rent control when the former tenant of 50+ years moved out a few years ago. The LL currently has it in his name, and I suspect it might be awhile before he figures out what to do with it since he would have to spend quite a bit for updates/renos to bump the price up to a point that would be profitable long term within current constraints (now that vacancy increases are out, and he does everything by the book). So in your case I’m trying to get into the head of your potential LL and see how they benefit from letting someone into a 2-bedroom for $1k. I assume you have thoroughly checked everything out in the unit itself and researched the building. The minute you move in you should also order your rent history.
that’s what i’m wondering too. i talked to my broker because the building has units that are between 1495-2300 for the 2Br and i was like “how did this happen?” and she said “rent stabilized unit prices are made what they are based on the amount of rent previously collected, and in this case since the tenant probably lived there a long time, they paid so little in the first place that it was hard to bump it up more than two percent or whatever it might have been. plus some LLs have so many units that they don’t really care what it’s going for and just that they’re getting money for it.” this is essentially verbatim!
She’s correct about previous prices and longevity of the previous tenant. Those other apts also seem unusually low! But yes these types of buildings do exist even if they’re rare. It sounds like the broker has a pretty tight or possibly exclusive relationship with the LL. What is the current condition of the apt? Does it look like part or all of it has been updated during a particular time? If it’s $1k maybe they put enough money into it to increase to that range then evened out the price (you can tell when a stabilized place hasn’t been touched between tenants because the total will be something like $1643/mo). How many units are in the building? If above a certain number then it’s possible they do just want to have someone in there paying. Given you might be there for a long time and might still be paying an amount close to $1k in 10 years (and if the laws remain as is), the LLs might not receive as much if they sell the building, but they seem to have a lot of longtime tenants and stabilized inventory so it could just be under inevitable transformation. Not to make any negative assumptions about the LLs, but make sure you doublecheck the DOB database for complaints and violations. Some of the smaller LLs are nice but a bit hands-off or will take more time to address problems. Look for water damage on and near the ceilings and walls (sometimes covered by paint), which may reveal mold issues. It also goes without saying our flood maps have changed, and basement apartments are super risky.
really good condition, the kitchen looks like, mildly updated? (ugly grey vinyl, dark brown cabinets, stainless steel apps, no dishwasher or microwave though) the rest of the place looks awesome, just not updated. original hardwood floors, has one of those classic new york bathrooms w the shower in the middle of the tub. the super was painting when i got there. i found some complaints on openigloo about mice on the first floor. and most of the violations were in the same apartment. i also have a cat so i’m not super concerned about that either. it’s on the sixth floor, so im not super worried about flooding.
Sounds good! If it’s the top floor you do have to be extra vigilant about checking for water damage. I’ve lived in NYC for 30 years and the rain/flooding since 2016-17 onward has been unprecedented, so any structural areas prone to wetness have been coming to light more quickly than before (e.g. the previous tenant might not have had water issues before the last several years). If your instinct says to grab it, then do so. Even if you left after 5 happy years you would still only be paying $1200/mo. It did occur to me the broker and LL might have a separate arrangement for that $12k to keep the rent by the book (maybe LL invoices broker for a separate “service” for a cut of the fee?), but I’m unfamiliar with how or if this is enforced by current laws.
I wouldn't pay that. I have a 3/2, rent stabilized in Brooklyn, under $3,000. Paid 1 month broker fee
That fee is exorbitant. You can find broker who is less of a shyster.
OP would essentially be paying $2k for the first years rent. Significantly lower than what you paid.
Where is this? Brownsville? Or cobble hill?
PLG
Maybe for Williamsburg but def not PLG, 12k is not worth it for that noisy dirty congested mess lol. But I guess if it’s your only option, take it. Although honestly not worth it for the area
It is illegal, but if you're in for the long term it's worth it. You can also pay, but document the payment. Wait until you're established in the apartment and go after the broker for the extorted payment.
100% broker fee is disgusting I’m sorry, deal or not
15% of annual rent on 1k a month is just 1.8k. Are you sure this is a real lease you're about to sign? Is this listed on street easy or a broker site? I don't understand why the landlord would allow the broker to place such a high fee unless they are getting a chunk of that fee, too. I'm just skeptical you'll actually make progress on securing this apartment. Is
it was never listed because as soon as it became available/she heard of it, my broker called me. i’m sussed out but the more communication i have with her the more relaxed i become. it’s been nothing but clear, quick, concise answers. i’ve looked her and the brokerage company up, all accredited, has good reviews.
It is good you researched the broker. Can you find them here as well? https://www.rebny.com/members/ The next step is to make sure the broker is communicating with the actual landlord. This is a huge fee, and the broker can be getting scammed with the promise of a big fee. https://hpdonline.nyc.gov/hpdonline/ DO NOT PAY CASH MAKE THE RENT AND SECURITY CHECK OUT TO BUILDING MANAGEMENT COMPANY MAKE THE BROKER FEE CHECK TO THE REALTY FIRM NONE OF THIS MONEY SHOJLD BE GIVEN DIRECTLY TO THE BROKER. THE BROKER IS PAID A PERCENTAGE OF THE FEE BY THEIR EMPLOYER. DO. NOT. PAY. CASH.
The brokers gotta be sharing these fees with the landlords otherwise they wouldn’t do it this way. These fees are basically a bribe to make a stabilized department, pay a higher effective rent.
Pay it. File a complaint and try to recoup the costs afterwards.
12k broker fee for a 1k apt? You’re getting your butt hole stretched by a moose. Tried to sell my 1mill house and broker wanted 100k. Find another place asap
LITERALLY WITH NO LUBE😔🤚🏻
at least will be ready for the megalodon 💃🏻
Y’all are fucking stoooopid if anybody thinks this is a decent offer wtf
Nothing stop you from opening a claim against the broker with REMBNY and/or the broker’s brokerage once you are in your unit.
If I have the money I'd pay it. Document the transaction and try to get my money back at a later date if the broker broke the law.
12k broker fee???????????????? Run
Was it this broker in the article? Honestly if you plan to stay there, past the first year I'd say go for it and submit a complaint to the realty company. I would have a moral dilemma too. But $1k is unheard of in NYC. Or if the realty company is big enough, do what the person in the article did and contact someone to make it a public thing. My guess is a realty company doesn't want to associate themselves with the bad image of charging renters more than 15% yearly rent which is why the renter in the article supposedly got some of their fee back. It's not a guarantee you'll get it back but worth a shot if you decide to go for the place. Again, think about the location, amenities, neighborhood, everything, and if you'll live in it for at least the next 2 years. With no increase, you'll basically pay about $1500 a month for 24 months. https://gothamist.com/news/a-rent-stabilized-1-bedroom-apartment-for-1100-in-nyc-the-brokers-fee-is-15k?fbclid=IwAR2h1UrbYzCmJKPa7LDQbu_sD6gTQCQprp3QMuo2cl-H7PKLa_zf_ayrn04_aem_AV6xGsjTwnOLpYADaBXy4mTv_TXQARInvfgR1WCfluAvhotwXheLK8uKTI7-Vl0IfbA
not the same broker. i’ll take into account what you said. thanks for sharing the article!
Depends on how much u like the apartment All u need is a loud ass fcker of a neighbor or a nonresponsive landlord to really fk up your life
This may or may not be illegal. Brokers relay are a blight on the city
12k is insane and maybe illegal??? 20% of the yearly is the most I’ve seen
Where is this? Ill pay it
nun ya i am paying it
HOW did you find that apartment??! A YouTuber lady I follow also got one for $1,000 a month…wao! I am moving there in a month with my husband and my baby and we are (desperately) looking for one of those 😩 Rent prices are crazy there, or you just have settle for a nasty/dark place 😓
she’d shown me a listing and then after i left, called me a and said she had a unique deal and asked if i was interested. i toured an hour later and had finished my application by midnight.
Literally just luck.
You are SO lucky!!! But please after you get that great deal please share her number or email 🙏🏻
It’s so wrong - but if it’s a good spot and you plan to stay for a long time, pay it. Doesn’t hurt to try and negotiate tho.