For a long time I´ve been searching for a bigger apartment located in Midtown NYC, but I must say I´m extremely stingy and thrifty so paying fees is not something I love doing.
I´ve been doing some research, and at the same time created a list for myself with questions and answers to find out how much money I could save, and which was the best way to find apartments without having to pay more. It doesn´t matter if you live in Midtown NYC or Uptown East, you must read this article if you want to know how to save money getting a no-fee apartment in Manhattan.
First of all, let´s start with the basic question:
What is a broker fee?
Most apartments in NYC are available through real estate brokers, and all of them will offer you the apartment you are searching for but…at a cost. That means you´ll, surely, get the apartment of your dreams, and an agent will find it for you but the question is…is it worth the cost? Usually, fees are too damn high and your pocket will feel it! So it´s better to think twice before closing any deal.
What is a no fee rental?
So this is the part I like most! As the words say, no fee rental means you can find an apartment and rent it without having to pay any fee. The problem with this is the hard job you are facing to get through all of the listings before you find it! Remember real estate agents find the apartments for you, this way you will have to find it yourself. But if you are like me, not willing to pay a penny more, at the end its worth it!
How much is the usual fee you pay for an apartment around 4000 rent?
I remember a few years ago, I saw this beautiful apartment and I was going to pay $4000 dollars a month! And believe me, I was not crazy ’cause it was worth its price. The problem was I didn´t want to rent it through a real estate broker because I was not willing to pay the fee. What happened next? Of course I lost it…but as part of my revenge I´ll let you know the amount of the fee they wanted to charge me so you never, EVER rent an apartment again through a real estate broker ( yes, I´m very bad!). They wanted to charge me 12% of the annual rent, that is $ 5760 !! There´s no way I was going to pay that amount. Now, are you on my side?
How can you find no fee apartments?
The best way is to work alongside the property management companies. After you find the building you like, speak to the manager and he will help you out, showing you the apartment without involving real estate brokers.
You can use this apartment search tool with the option “no-fee” selected to find no fee apartment rentals Midtown or Uptown Manhattan (recommended) : http://firstservicenyc.com/listings.php?listing_type=10&renter_fee=10
Another way is if you have a friend living in a building you like, you can ask him to let you know if an apartment is available. Or just take a tour through the city and try to see if you find signs posted about apartments for rent.
Remember to speak with your friends, coworkers and acquaintances, UNION MAKES FORCE!
How much can you save with a no fee apartment with a 3 year contract?
Ok, the answer to this question was definitely what convinced me not to pay a fee when renting an apartment. Just figure out, like I said before, that if a real estate broker wants to charge you 12% of your annual rent and let´s say you budgeted 4K a month, that is $ 5760 X 3 years = $ 17280 ( WHAT???!), this means each month you´ll be paying not $ 4000 but $ 4480…now, ask yourself, are the apartments you are getting through a broker worth this price? Because remember, when you average out the cost of that fee over the year you are adding almost $500 to your rent. So answer the question, if I rent a no fee apartment, in this case I will save $17280 in three years and with that money, think how much shopping you could do!
As you can see, the best way is not to pay more when you can pay less! Make your money wortk for you, work hard trying to find the apartment of your dreams and for sure you´ll find it, you´ll get your reward and you´ll feel great knowing you did it by yourself!
I really hope this article was useful to you, ’cause it was to me!!! In a few days I´m moving to an apartment I love and the best of all I found it by myself!
Have a wonderful day and good luck!