Hacker News new | ask | show | jobs
by remram 586 days ago
It looks like this measure only applies to "real estate agents who exclusively represent the landlord’s interests". "The bill requires landlords who hire real estate agents to pay the agents’ fees themselves".

My read is that as long as a broker works with multiple landlords, you the tenant will still pay them a fee. And it might remain difficult to find available lodging without going through brokers.
2 comments
paulgb 586 days ago
Hopefully the actual bill wording doesn’t leave this ambiguous, but I think the intent of “exclusively” here is meaning that they don’t also represent the buyer’s interest (dual agency), not that they have an exclusive deal with the landlord.
link
SoftTalker 586 days ago
No it doesn't mean they can't work with multiple landlords, it means the represent the landlord(s) interests, not the tenants.

If a tenant hires his own agent to find an apartment, that agent would (a) represent the tenant and (b) the tenant would pay for that service.

But I'm not sure what stops the landlords from just raising the rent to cover the broker fees. Unless there's enough competition from landlords who don't use brokers.

link
likpok 586 days ago
Landlords will raise the rent but can only raise the rent to what the market will bear (which presumably they’re doing anyway). They then have incentive to ensure the broker is worth the fee.

Previously landlords would require renters to work with (and pay) the broker, so there was no incentive to choose a cheaper broker.

link
moomin 585 days ago
Here’s the thing: let’s assume that that’s exactly what happens. It’s still a good thing. This is now reflected in the visible part of the cost enabling people to make better decisions.
link
imtringued 584 days ago
Renters negotiate the rent with the landlord. They don't negotiate the agent fee. They have to pay it or waste more time searching for another apartment with the risk of another agent charging an unknown and unaffordable fee.
link
idontpost 586 days ago
It doesnʻt matter if they raise the rent to cover the fees. As another comment noted, THAT is a major win for price transparency. That would be a big improvement by itself.
link