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Updated almost 5 years ago on . Most recent reply
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Got a lease agent, but I got the lead earlier - what's next?
Hi BP community,
I recently purchased a three-flat with one vacant unit. At the beginning I thought I will do all the marketing and showings myself and therefore I listed it on Zillow and a few other websites. A few days before closing I only had one interested lead and I decided to get a lease agent to help me with marketing and showings given I'll be busy at my full-time job and won't have a lot of time to show the unit. The lease agent signed with has a standard 1 month rent fee for finding me a tenant and I signed the standard Chicago rental listing agreement.
The interesting part is that the lead I got from Zillow actually showed up (I did the tour as it was the day I was signing with the leasing agent), they liked the apartment and decided to apply (the agent did the application process and the background check), with all the checks it looks like we are honoring the lease to these folks.
The question I have, what is the common practice in this case related to the lease agent fees. Am I still technically liable to pay the 1st month fee? I'm willing to compensate the agent for the work and time he spent, but I just feel the 1 month lease fee is not justified in this case (he did show the property to one of the applicants, he brought a photographer on site, but there is no need to list the property now and the lead came from my old posting). Would it be fair to try to negotiate a discount on the fee? Have folks seen similar situations?
Thank you!
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On majority of my leasing contracts it states if seller finds their own tenant they don't owe me anything I like to do it like that as avoids situations like this and if owner leases it I really don't deserve a commission. Not every contract says this so read your contract it should spell out whether you have to pay them a commission or not.