so you might as well use one. The Landlord will technically write the check, but where does the Landlord get that money? From the Tenant. That's right, the Tenant. The Tenant, after all, has the money and is thus paying for a brokers. The commission the brokers are being paid has already been priced in to the rent the Landlord is charging you.
Tenants might think to themselves that they can ask the landlord to discount the commission. But there is a very high probability that won't work. Why? Because it's how the listing agreement is structured with the listing broker and the Landlord.
Typically, the listing agreement will have the listing broker being paid the full commission if the tenant is unrepresented. The logic behind this is that the Landlord's broker will be doing all of the work that needs to be done it get the Tenant leased and moved into the building. If the Tenant is represented by their own broker, then the Landlord's broker and the Tenant's broker will split that commission, because now, the Landlord's broker is doing less work.
So ultimately this boils down to two questions for the Tenant. The first, do you want the Landlord's broker, who is putting the Landlord's interest first, to get the full commission? The second, would you rather your own broker, who is representing YOUR interests, get some of that commission? After all, if you are already paying the commission, then why would you not want to at least get some kind of benefit from hiring your own broker? It won't cost you extra.
If you are looking to lease space, whether it's a new or you are looking to stay where you already are, and you want to benefit from the commission you are already paying for, contact us.