I have a question about the law regarding rental real estate agents. My husband and I just signed a lease for a one bedroom coming from a two. We fell in love with an apartment based on the amount of storage space and neighborhood and went through the owner’s broker. When he showed us the place as we walked in through the main entrance (a townhouse) he explained that the hallway between the main entrance and the front door to the apartment as well as the 2 storage closets in that hallway would be for our use. We decided based on that information and the location to take the apartment despite the smaller size because of all of the storage space.

We went to view the apartment this week with the owner and found out from him that we would actually not be able to use those storage spaces. The owner also seemed concerned that we would be using the hallway for storage even if it was kept neat, this was something that we were told by the agent as well. I have an email confirmation of that information from the agent saying that the space was for us.

Now the agent is saying (very curt and unapologeticlly) that it was his understanding that we would have all of the space and to call the landlord to get the keys. We feel that we were misled by the agent. Anyone have any advice on how to proceed? Is this illegal on the part of the agent?

Thanks!


Comments

  1. Sorry to hear. Try filing a complaint to BBB. Since you have supporting evidence that the broker misrepresented the facts, you can force them to act in response through the BBB. Good luck!

  2. @intheheights We were dealing with the broker with no contact with the landlord/owner right here in New York. That’s why the owner hired the broker, so that he didn’t have to deal with our questions. It is my understanding that the broker’s job is to accurately represent the property on behalf of the owner. Once the lease is signed then we deal with the owner to get keys and set up a move in date etc. Is that correct?

    @cgfan Thanks for the insight, we are waiting for word back from the brokerage. If we could back out we would but we have to be out of our current apartment on Wednesday July 1. We would have nowhere to go or to put our belongings and that would be more work than just moving in. We are in a bind so we are moving into the new apartment. We do love the new place, we wouldn’t have signed the lease if we didn’t but the storage space was a MAJOR selling point because of the amount of stuff we have moving from a 2 bedroom to a 1. Had we not been told we had that space we would not have taken the apartment (it’s quite a lot of storage space).

    I just can’t believe that this guy assumed incorrectly/lied to us and then when we called him on it he just said that he did “all that he can do” and to “call the landlord to get your keys!” I understand that he doesn’t technically work for us but we paid his fee and he was a total troll throughout the entire process and to learn that he’s lied… I want that fee back. I am sure dealing with the brokerage firm isn’t going to be easy either, more on that tomorrow, IF they return our call.

  3. If you have an e-mail of the broker telling you one thing that is clearly wrong, the brokerage firm should make sure the brokers’ fee you paid is returned (assuming you don’t want the apartment). Most legit firms will do this. I also think that a legit firm should offer to refund half the fee if you plan on taking the apartment so you can use it to pay for storage elsewhere. I had a similar situation occur, where the broker acted in an unethical manner and when I notified the broker that I was aware of this, I received a significant discount in my brokerage fee. You are NOT under any obligation to “verify” what the broker says with the landlord since in many cases you never meet the landlord. There are guidelines and brokers should follow them, and one of them is not to misrepresent an apartment.

  4. If you paid the broker’s fee, you signed the lease, yes?

    I think the biggest message here is to make sure anything the broker (or landlord) tells you is spelled out in the lease agreement.

    I also don’t understand how you got as far as signing a lease without verifying anything the broker told you with the landlord. Were you doing this all remotely?

  5. could you negotiate with the landlord to reduce the rent by something to compensate for the storage space you would have to rent? We had a similar thing happen, btw, with a broker telling us one thing and clearly misrepresenting things (about pet policy), but we double-checked during the lease signing and the landlord was cool about accommodating it. Broker clearly “fudged” the truth and was probably hoping it just wouldn’t come up until after lease was signed/his check was in his hands. It all worked out for us, and probably will in your case, but it’s annoying, esp. when broker’s fees are so high. Good luck!

  6. We spoke with the owner this morning and he said that he never told the broker we could have that space. The broker lied, or aassumed that and we’ve reported him to his firm. We’re waiting to hear back as we’ve asked for the fee to be returned. it’s bot the broker’s job to ASSUME anything. He should clear anything he says with the owner. We never asked him if that space was for us. It was one of the first things he told us as we entered the apartment. I just think that there should be something that should be done at this point because we already told our landlord at our current apartment that we are moving out on Wednesday and signed the lease for the new place. Lucky the landlord is really nice for the new place and is trying to work with us, but if we can’t figure something out we’ll have to rent a storage space.

  7. This seems like a misunderstanding, the broker ASSUMED wrongly, or the owner changed his mind. If you haven’t taken possession of the apt, eventhough you signed a lease, you may be able to get out of taking the apt. You should simply ask the owner first.

  8. 1. Have you signed the lease? If you have not, then decide if the apartment without this storage is worth the rent. If it’s not, either offer a lower rent or look for a new apartment. And remember in the future to confirm everything with the owner and get it on the lease. And remember to badmouth the broker, because you should be able to rely on his word.

    2. If you have signed the lease, did the lease address that common space? If it did, then you’re in a tougher situation when it comes to asking the landlord for a reduced rent because you had a chance to pick up on the broker’s error and missed it. On the other hand, the broker is in a worse position, because now you have clear evidence he mis-represented the apartment to you. That helps if you want him to compensate you fair value for the difference between the apartment he claimed you were renting and the one you actually got. If you have signed the lease, call a lawyer who specializes in tenants’ rights.