Who Pays the Commission for a Tenant’s Realtor?

by Isaac Benmergui, Esq on December 18, 2014

contractWhen you list a rental property, you have the option of hiring a property management company to rent it for you, renting it out yourself with free advertising and ads on websites, or you can go through a real estate agent. But once the transaction is over, who pays the commission to the agent in these brokered agreements, the tenant or the landlord?

Most real estate agents agree that it should be up to the landlord to pay the commission since the work the agent is doing is all on the landlord’s behalf. These services usually include staging, listing, marketing and showing the property.

During a home sale, the seller usually pays the commissions because they are the one profiting from the transaction. In the same way, the landlord profits from having someone actively find them a qualified tenant. Even in markets where there is high competition for rental properties, this arrangement seems to make the most sense. However, some markets report tenants paying for the commission, which can be as much as a full month’s rent. In cases where a tenant brings their own agent, the landlord is under no obligation to pay the commission, since no services have been rendered to the landlord.

When you are engaging a tenant in a contract to rent a property, make sure it’s clear who is paying what fees and who is responsible for the real estate agent’s commission since it can vary in different situations.

Call Miami Real Estate Lawyer Isaac Benmergui at 305.397.8547 and set up a no charge, no obligation consultation to discuss your case. We have close to 10 years of experience handling Real Estate, Personal Injury, Immigration and Commercial Litigation cases throughout Miami and South Florida, and will use our expertise to help your case to the best of our abilities.

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What Does “As-is” Mean?

by Isaac Benmergui, Esq on December 17, 2014

What does “as-is” mean?After the housing crash in 2008, foreclosure properties flooded the market. Qualified buyers had their pick of properties priced well below market value in every market segment from starter homes to million-dollar listings. Often times when dealing with bank-owned properties, the property is offered “as is.” What does this mean and what are the drawbacks to an “as-is” contract?

In a typical Florida real estate contract, the buyer has an inspection period of 15 calendar days to have the property inspected. If the buyer finds any problems, they can cancel the contract and walk away, or ask that the seller make the necessary repairs.

With a property that has an “as-is” contract, the seller is advertising up front that they will not make any changes or repairs. The seller has an obligation to disclose any property issues that are not a part of public record. That means that any issue that can be found in the public record, such as flood zones, may not have to be explicitly disclosed. The courts have found that since this information is part of the public record, it falls to the buyer to research.

As-is sales require special attention and attention to detail since the buyer is relying on the seller to be honest and forthcoming, while the seller’s main goal is to sell the property at the highest possible price. This conflict of interest makes it of paramount importance to have a qualified real estate attorney involved in these kinds of purchases.

Call Miami Real Estate Lawyer Isaac Benmergui at 305.397.8547 and set up a no charge, no obligation consultation to discuss your case. We have close to 10 years of experience handling Real Estate, Personal Injury, Immigration and Commercial Litigation cases throughout Miami and South Florida, and will use our expertise to help your case to the best of our abilities.

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What Happens When the MLS and the Sales Contract are Different?

December 16, 2014

What happens when the MLS and the sales contract are different?The multiple listing service, or MLS, is how most people find, view and select real estate to see in person. It’s a tool to share information about different properties in order to help sell those properties. These private databases are created, maintained and paid for by real estate professionals so that the information can be made available to the public for free.

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What is Heir Property?

December 15, 2014

What is Heir Property?When a loved one dies and a piece of their estate fails to go through probate, the property can end up stuck. This is especially so if there are multiple people who have equal claim to the property, such as several children or siblings.

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How Do You Remove Someone From a Deed?

December 15, 2014

How you parted ways is important if you want to remove someone from a deed, since you’ll need that individual’s full cooperation to remove them from it.There are many reasons you might want to remove yourself or someone else from a deed. Some couples buy property together and then part ways. Some parents buy property for their children and then no longer need to be on the deed once the property is paid for, and sometimes roommate situations go bad. How you parted ways is important if you want to remove someone from a deed, since you’ll need that individual’s full cooperation to remove them from it.

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