Whether they’re moving to New York for the first time or are moving from an apartment somewhere else in the city, no fee apartments often catch the attention of renters who are looking for a new place. While it’s easy to understand why this type of apartment initially seems attractive, it’s important to be aware of why they’re not necessarily the best deal. Since we want you to be able to get the absolute best apartment for your budget, we’ve put together the following information about New York City apartments no fee and several other questions that renters often have about this process.
The Reality of New York City Apartments No Fee
Although there are a few exceptions, no fee apartments are generally more of a marketing tactic than a reality. It’s common for apartments advertised as no fee to actually be represented by a broker. In this type of situation, the broker isn’t working for free. Instead, the building’s owner is paying their fee. While that may sound like a good thing, tenants often end up bearing the cost in the form of a higher rent payment.
When comparing fee and no fee New York City apartments within the same neighborhood you will also find quite often that the no fee apartment is priced higher or inline with those that are inclusive of a fee. More often than not the lines between a fee and no fee are not as far apart and at times there is no difference.
Since there are situations where a no fee apartment may not turn out to be the right fit for what you’re looking for, you shouldn’t automatically cross all of them off your list. At the same time, you shouldn’t limit your search to these types of apartments. Instead, you should work with a reputable tenant representative who will do all this leg work for you and help you get into the best possible apartment.
Brokers Fee, Paperwork, and Guarantors
Now that we’ve cleared up the issue of New York City apartments no fee, the next most common question renters have is how much they can expect to pay a brokers fee. For a standard lease of six months or longer, 15% of the first annual rent is what you can expect.
If this is going to be your first time renting an apartment in New York, you’ll likely be surprised by how much paperwork is required. While credit checks are a standard part of renting in any part of the country, most landlords will request quite a bit of additional information. Required paperwork can include a letter of employment, pay stubs, tax return, landlord reference and bank statements. Ensuring you get everything together is another example of how tenant representation can help make your life much easier.
The last question people have is whether or not they’ll need a guarantor. This all depends on someone’s credit score, their job, and any other relevant information. Just keep in mind that while earning 40-50 times rent is standard for a tenant, then the guarantor will likely need to earn 80-100 times that amount.
If all this information has your head spinning, the good news is you’re far from being the first person to feel that way. And the even better news is if you wish there was a professional who could guide you through this entire process, that’s exactly what you can get through Elika Real Estate’s tenant representation.