If you ran a quick Google search right now, I guarantee that you would find hundreds upon hundreds of horror stories about working with a New York City broker to find an apartment. Heck, I could tell you a few of those horror stories straight from my own experiences.
Is every real estate agent in the city trained to make sure that the process of finding your apartment induces as much stress as possible? Short answer, no. Longer answer? There are over 30,000 licensed real estate salespeople in New York City. Thirty-thousand. In order to get your real estate license, the toughest thing you have to do is turn 18 (okay, not really, there’s a course, and a couple of tests – but that’s all). This isn’t to say that all every agent in the city did is turn 18 and decide to get licensed to earn a few bucks, but it happens. Often.
Some NYC brokers are really really good at what they do. If every agent in the city was horrible, there is no way that the average broker fee would be 15% of the annual rent. People would revolt, fees would never get paid, and some new way of finding an apartment would come into fruition. However, since there are so many phenomenal real estate agents in the city, the standard fees have been set, and just about any agent can require that you pay them once they find your apartment.
My opinion? Broker fees are totally worth it to find the perfect place. Instead of focusing your efforts on finding that elusive “no fee” apartment (and inevitably paying premiums on your monthly rent to avoid the upfront fee), take a few minutes at the beginning of your search to find a really great agent to work with. Here are the three most crucial things that you should consider before choosing an agent:
Know where you want to look.
Though being flexible in terms of what you are looking for can be crucial to your NYC apartment search, being too flexible has its own drawbacks. Yes, most agents who can show you an apartment on the Upper East Side will be happy to take you to see a West Village unit as well, but when you are open to any neighborhood, multiple boroughs, and all types of apartments, you will begin to create more work for an agent than can be tackled effectively.
You know how they say you can live in New York for your entire life and never eat at the same restaurant twice? The same is true of real estate agents and the areas that they regularly work in. An agent might tell you that they are okay with taking you to any neighborhood, borough, or area of the market that you want to see, but it is nearly impossible for him/her to be an expert in every one. Make sure to identify the areas you would like to live in, and find someone who knows them well. This way, you’re working with someone who has actually seen the inventory that they are about to show you, and the two of you can avoid wasting your time looking at bad listings.
Don’t Settle.
Often times, you may find an apartment online that looks perfect. You’ll reach out directly to the agent listing the apartment to set up a time to see it, and after taking a look, decide that for one reason or another, the apartment isn’t for you. This is perfectly fine, and it happens all the time! What typically happens next, though?
The agent has been trained to let you know that they can show you some other options that may work better if you would like (and trust me, they’ll be good at this). Then, without even noticing it, you’ve chosen the person that you’ll pair up with for the entirety of your apartment search, based solely on the fact that they were listing a particular apartment. This can be a great way to find an agent that you connect with, but it can also be a great way to end up with an agent based on next to no background information.
If you end up working with an agent who you feel does not have your best interests at heart, seems to be too pushy, or doesn’t listen to your wants and needs, stop working with them. After all, you have 29,999 other choices! Unless they do find you the apartment that you decide to apply for, you have no obligation to stick with that particular agent. So many times, it can become all too easy to let the horror stories you hear about working with NYC brokers convince you that you are not, in fact, settling, and that this lackluster experience is the norm. It should not be the norm. No matter how much of a rush you are in, you should always be able to find someone who you actually enjoy working with.
Know the firm’s hiring process and barriers to entry.
You may hear about a firm because it is the largest in the city, has a well known name, or has been featured in recent pop culture. These firms have successfully made a name for themselves because of their amazing, hardworking top producing agents who deserve all of the praise that they receive. However, buyer beware; this doesn’t always mean every agent at a well-known firm has the same skill set or reputation for excellence. Many people know to check out a company’s online reviews, but it is also important to think about a firm’s hiring practices.
Traditional real estate firms do not hire their real estate agents as full time employees, but rather bring them on as independent contractors. The only time these agents are paid is when they close a deal, and even then the firm makes anywhere from 30-60% of the total commission. Sometimes, agents are even required to pay desk fees to the company they are working for. A traditional firm will never lose money to bring on new agents, no matter how good or bad those agents may be. Often times, these firms will start recruiting agents as soon as they sign up to take their Salesperson exam- before they’ve even passed!
TripleMint’s agents are all full time employees of the company who receive full benefits. Not only are these agents eligible to receive quarterly bonuses based on their customer satisfaction scores, but each one maintains a responsibility to the company to perform well. No TripleMint agent is ever recruited during their real estate exam. Instead, they’ve been brought to the company by the referral of another team member or through a traditional job application. Each agent has also undergone an extensive interview process with at least 6 TripleMint employees.
Though other firms in the city may hire excellent agents, they are not as incentivized to make sure that each and every agent will make significant contributions to their sales team. When working with an agent from a traditional firm, make sure to look into their personal reviews or deal histories to verify that you will have a positive experience-worthy of their broker’s fee.
