madwa

Hi,

I have started looking at properties for our big move to Naperville, IL in November and I not sure about the renting process...

Sorry if this sounds like a stupid question...

One of the people at the office I am going to work with is friends with a real estate agent and has offered to put me in touch with them.

From what it sounds like they will have a look at what properties are available for rent and recommend them to me, this all sounds good but how are they paid?

Would I pay them for helping me find a property or would they get paid by the commission of me renting somewhere?

Thank you

Damian

katybluewater

Hi Madwa - you do not pay the agent - they get a commission from the homeowner. We used an agent when we were looking to rent and it really is the best thing to do as they have access to more houses than you would just looking yourself. They also know all the documents needed etc which definitely helps to keep the stress levels down - good luck!

Englishtart

Most rentals these days are taken care of by property owners, the realtor will find houses in your price range/size etc and even take you to look at them. Most realtors won't touch rentals, but in this economy they are having too because they are not getting enough sales. We just went through this process in June, our realtor found our house for us, she got paid by the property agent, I think it was around $100!! She did a decent job for us (or hubby, I wasn't here at the time) so we had her round for a bbq after we were settled and got her a gift to say thank you.

EricK

In my case the realtor was paid by the landlord of my rental - the fee was 1 months rent.

I used these websites to search for properties:

http://www.realtor.com/

http://www.trulia.com/

One of the realtors that showed me a property was very good, I contacted her every time I saw a property on the websites and arranged a viewing. It seems to work differently over here to the UK, the agent can show you any property listed if you give them the MLS number.

Bob

That's not usually the case.

You usually pay a months rent as a fee for a agent to find you a place, sometimes out in the burbs it can be a half months rent.

You can try and negotiate this with the home owner so that they either pay or contribute towards it, but these days with so many people turfed out of their homes, home owners don't need to pay the fee to get tenants.

In Boston, it can be up to 3 months in rent as a fee if it's a big place etc.

Best place to find a rental is still craigslist and local papers online, cut out the agent and avoid the fees.

Oregon4now

Not wanting to be arguementative Bob, But I think perhaps you are mistaken in regards to a ' Property Management Co. ' I live in Oregon now and am using a Property Mngt co for the Rental of my Calif home at a cost of 10% to me, not the Renters, of the Rental fee every month which of course is deducted every month from the rental check, ( The Property Mngt co send me the payments not the tenant )
I initially used a PMC to find my rental home here in Oregon at NO COST to me other then the $35.00 credit/background check fee per person on the lease application. BTW after being here for 6 Months the Owner of the Property dropped the PMC and dealt with us directly. Perhaps things vary from state to state, I have used PMC at least 6-7 times both being a Property Owner and a Property renter in 4 different States, albeit it has been pretty much in the Southwest & the Pacific Northwest it has been my personal experience of the above to be true in regards to PMC and fee's...

I have included a link for your viewing pleasure..lol..
http://articles.sfgate.com/2008-03-1...ms-charge-rent

madwa

Thanks for the replies, I have spoke to the proprty agent and this one only charges the credit check fee the rest is from commision. But I am glad I asked on here first to make sure I wasn't being stupid... I have had a look on the sites mentioned above and now have a better idea of whats possible.

Thanks

Michael

I'll agree with both Bob and Oregon4now. If the property is managed through the real estate company (or possibly another real estate company), then the owner will usually pay the fee.

However, if the property is being managed and rented by the owner, the real estate agent will likely either not show you the rental or will indicate that you will need to pay the fee.

Just make sure that you don't sign an exclusive contract with the real estate agent in case you find rental properties on your own (web sites, craig's list, newspapers, etc.)

Bob

No. I'm not mistaken.

If you are using someone to take care of your property, they'll probably pay the agent their finders fee for them, but if they haven't negotiated that into the contract, the onus would be on the intended tenant to pay that fee and/or negotiate it with the owner.

It's the reason we've usually found rentals privately via craigslist and newspapers. We also have an agent looking too, but we've not signed an exclusive deal so we won't have to pay if we find our own place. She's only expecting half a months rent for places in that part of the state, which is pretty decent.

HarryTheSpider

What happens about security deposits - are these protected in some way, i.e. held in escrow, or is there a service similar to that now operating in the UK where a quasi-govt department holds the deposit?

We're planning to move to Phoenix, AZ

Cheers

Harry

fatbrit

And pigs might fly!

There are private escrow services. Whether you could persuade a landlord to use one.....is another matter.

meauxna

I collect first, last + repair deposit from new renters, and hold the money myself. It's written into our rental agreement, for a form of contract. Most private landlords I know do the same.

fatbrit

LTA limits it here: http://www.azsos.gov/public_services...esidential.pdf

Not that most landlords have read it!

Bob

Depends on the state.

In mine, they're supposed to put the money in a savings account which they sign over to you when you leave, minus any deposit for repairs that aren't part of fair wear and tear.

Never happens though, they'll just cut you a cheque and you'll never see the smidge of interest on the money.

Oregon4now

Sorry YOU ARE MISTAKEN as proven by the OPs statement and by my own experience.. Why the hell must everything be an argument? BOB you are wrong, period admit it and just move on, I use a PMC for both of my needs. do you not understand that, the OP posted their true experience and it was exactly as I and several others stated. Just because you wear a MOD hat does not make you automatically correct... YOU ARE WRONG plain and simple, I provided proof to my post as well as my own testimony. I ask you to do the same, why must you insist on giving false information, using a PMC as a renter One does not sign any deals. HAVE YOU NOT BOTHERED TO READ THE OP'S REPLY ?
Have you actually used a PMC ?... I ask you to Please provide proof