method for renting your apartment without a broker
hi all- was wondering what all the experienced landlords ‘method’ is for renting out apartments. Obviously NOT using a broker and going craigslist route. Do you have one ‘open house’ and screen everyone there? what kind of application forms do you have them fill out? Do they have to pay you for their credit check?…
hi all-
was wondering what all the experienced landlords ‘method’ is for renting out apartments. Obviously NOT using a broker and going craigslist route.
Do you have one ‘open house’ and screen everyone there?
what kind of application forms do you have them fill out?
Do they have to pay you for their credit check?
what kinds of questions do you ask that may not be obvious?
what if the apartment is being renovated…would you still show it in progress?
sorry if this has been covered or seems obvious…first timer here.
I have to chime in and say that I am a renter (horrors!) and I did find my place through a broker. Although I did not enjoy writing his check, he did find me a place with a really decent landlord. I know he has found the rest of the tenants in the building as well. Don’t forget that it does not cost YOU money and some brokers do actually do some work for the money.
i love Nolo Press.
They have self help books on everything related to law.
It is written in simple language.
One book I’ve found incredibly useful as an owner of a 2 family is:
Every Landlord’s Legal Guide (Nolo Press)
This book not only covers finding tenants, but also covers a lot of the basic stuff you have to deal with as a landlord. They also include a rental application form, the lead paint disclosure form, credit check form, etc all on a CD. Well worth the cost of the book!
We listed on craigslist and had an open house. I’d recommend having all applicants give you a check for the credit check amount… if you don’t run their credit, then rip up or return their check. We had a bunch of well-qualified applicants and ended up going with the first people who filled out an application. They’re great tenants.
As far as the lease goes you should use the standard Blumberg form for New York. You can fill out the names online and print it to a PDF. I think it costs about $5 or $10… Make sure to include a rider which outlines any rules specific to your situation or location.
Hire a broker…
Why waste all your time meeting creepy people? Let the broker do it. Let them run the credit and find you a qualified person. There is so much anti-broker posting on this site…It does not cost you anything to hire an expert who will find you someone.
One thing to clarify what smokychimp wrote. While it is illegal under the fair housing act for someone who owns a 4 family or less to advertise a preference for a tenant you can however discriminate in choosing a tenant. Legally the fair housing act’s clauses on discrimination only apply to buildings that are not owner occupied or have more than 4 units. If you prefer to rent to someone that doesn’t have kids and you have a two family you can do that, you just can’t advertise it or say it LOL. Its weird.
Anyway I would not show the apartment to prospective tenants until all the work (or the vast majority of it) is done. I find its usually harder to rent apartments when the work hasn’t been done b/c people don’t always believe you will do the work. Also even if you do find a renter there can be confusion about what work was promised. Its much better to just have them take the apartment as is.
Cg Modern —
If you are thinking about self-listing it might be a good idea to familiarize yourself with NY rental law. Most bookstores have piles of references on this, there’s probably a For Dummies Guide to Renting Brooklyn Properties (well you get the idea).
I would point out two items that you should be very cognizant of since they involve large fines if you don’t do them right. These are extremely important:
1. You MUST give a lead paint disclosure form to a tenant. The penalty for not doing so is $10,000 for the first offense. More details at:
http://www.cnyc.com/code/newsletters/1996/1996-aut-leadpaint.htm
2. You MUST comply with the Fair Housing Act. If you are renting then you should have this memorized, and it comes up mainly in the wording of the listing. If your ad says “would prefer a female tenant” or “no kids please” you could find yourself on the receiving end of a federal lawsuit.
By the way, with these two points you now know 99% of the real estate licensing exam…
tinarina 9:06 PM
seriously…maybe they checked and didnt find the answers. i just did and didnt find these questions anywhere. just the usual broker
vs craigslist debate (which looks like where this thread is going)
to my 9;46pm response
The commission the potential tenant pays the broker is 15% of the first years rent or maybe one month commssion, it depends.
craigslist. we bought a 2-family in june, held an open house 3 days after closing, and had the tenant moved in and paying rent a week later. we listed the open house on craigslist and had 10 or so people show up. we had difficulty choosing the tenant from a great pool of prospects. the woman we chose is fantastic and our first experience as landlords has gone well. some people use brokers because they think that finding a tenant is a time-consuming, tedious process. that wasn’t our experience — the open house only lasted 3 hours and yielded some great candidates. we found a lease online, modified it for our use, got her references and deposit, and that was that.
as a renter, i hated paying brokers and don’t want my tenants to deal with them or pay them. they don’t provide enough value for what they’re paid.