The range of agent services is very wide:
- Select real estate options designed for rental in accordance with your requirements.
- Conduct an analysis of documents relating to the selected object.
- Act as a negotiator with the tenant when renting out an apartment.
- Give advance payment for rent.
- Collect and check all documentation for this apartment.
- Prepare a lease agreement.
It must be said that the agent’s services are limited only to those points that are specified in the contract. Before signing an agreement, it requires careful study in order to avoid any misunderstandings.
Before renting an apartment through an agency, let's look at the advantages and disadvantages.
Renting apartments with the participation of an agent has a number of undeniable advantages:
- Safety. This is ensured by the presence of an official contract, and you can also rest assured that your money will not fall prey to scammers.
- Service level. Agents never resort to renting out low-quality apartments.
The disadvantages of renting an apartment through a realtor are as follows:
- Unacceptable high price for you. The agent always adds the cost of his services to the actual cost of a given apartment, so the price for living space may be higher than expected.
- Imposing a choice. There is an opinion that a realtor always seeks to impose a living space that is questionable. We assure you that only companies that are distinguished by their irresponsibility or that have suffered bankruptcy do this.
Rental process
The process of renting an apartment through real estate brokerage is both simple and complex. A manager who helps you find an apartment in accordance with your tastes and requests helps you in a rather difficult matter. He charges his own commission. The commission amount will be double (the monthly cost of rent is taken as the basis).
There are some exceptions, but this is generally the generally accepted rule. The agent himself submits the ad and finds the apartment you need. The client is obliged to come to the realtor’s office and state all his requirements, as well as indicate the rental price acceptable to him. The most important thing is that you will not have to participate in drawing up a legal contract. All this is part of the agent's function.
Sales management
Now you know how to work in a real estate agency business. However, another service we haven't mentioned is sales management. A special department in the organization is engaged in advertising its services and real estate on various platforms, as well as attracting new clients and buyers to the company. Such employees receive a fixed salary, so it is recommended for a novice entrepreneur to get acquainted with the real estate sector at this level.
Among the skills in this position, he will need the ability to work through the Internet and the media, since most advertising in the twenty-first century is carried out precisely with the help of these resources. Of course, you can find advertisements in newspapers, but be honest with yourself. When was the last time you saw a person reading a newspaper? But today almost everyone has smartphones and Internet access. Perhaps sometimes management will instruct you to place outdoor advertising. Be that as it may, you will get a pretty good experience.
Agent selection
Choosing an agent is a rather difficult moment, since your peace of mind will depend on him.
The level of quality of services provided by an agent is absolutely independent of the size of the company in which he works or its reputation. You are dealing with a specific person who cooperates with you.
There is an opinion that a realtor from a not very well-known company can show himself better than from a well-known company on the market. This is explained by the fact that a small company never wants to miss its client and tries in every possible way to please him.
Large agencies enjoy acquired popularity, and gaining trust is not difficult for them. Therefore, they are more focused on the financial part of the transaction and try to earn more profit.
Service to people has been streamlined. Such are their regular customers. And the random ones are simply not taken into account. Prices for services in small agencies will also be much lower.
One good option is to use the services of a realtor on the advice of relatives or friends. And here it is no longer so important on what basis he cooperates with you, privately or through an agency. The main thing is that you can trust him. And he, in turn, also values you, as he forms his own client base with which the agent can cooperate, bypassing the agency. Even if he changes jobs or loses it, you will forever remain on his list.
TOP 5 services from agencies
A large company that deals with the sale and purchase of real estate has a huge headquarters of employees and also boasts an extensive structure. Some companies grow so much that they open their branches in other cities or begin to build apartment buildings themselves. If you are still trying to answer the question of how a real estate agency works, then in the following sections you will find a rating of the five most famous services that this organization offers.
Realtor commission
The average realtor's fee for the service provided when renting out an apartment, according to statistics, ranges from 30 to 100% of the monthly rental payment. It all depends on the agent's skill level. Therefore, when choosing an agent, you should pay attention to the reputation of the real estate agency.
For what:
- Analysis of the situation and the requirements presented by the tenant.
- Searching for suitable real estate and organizing viewings in accordance with the parameters specified in the application.
- A realtor always represents the interests of the client.
- Carefully checks the documentation for the apartment being rented.
- Participates in the preparation and conclusion of the lease agreement.
The main task of a realtor is to help fix the rights and obligations of the tenant and the landlord by drawing up a formal contract that has legal force. The realtor’s function is to explain to both parties the essence of this formal agreement and highlight the key points. The landlord should be calm that his personal property will not be damaged and he will receive payment on time.
Is it possible to do without the help of real estate specialists?
When looking for an apartment, many do without the services of a realtor, turning directly to the owners.
A transaction without an agent does not involve a commission . However, recently there have been fewer and fewer advertisements from direct owners, as they prefer to use the services of intermediaries.
Is it possible to rent an apartment with the help of an agent, but not pay a commission, and do without it? Theoretically, this is possible, but in relation to the realtor it will not be entirely ethical. The option is as follows: while showing an apartment with an agent, the tenant can secretly agree with the owner to conclude an agreement without an intermediary. If he agrees, they can meet on the appointed day and sign the papers without paying the agent who brought them together a commission.
Safety
The presence of such a number of real estate services on the market all over the world is not accidental. This means people need them.
They act as a kind of guarantors:
- When renting an apartment through an agent, the transaction will be safe. Agents have all the relevant information about the apartment for rent. You protect yourself from the danger of renting a seized apartment or an area that does not belong to the landlord.
- An official contract is drawn up with the person who owns this living space, and in case of disputes, you will have legal support. The contract also clearly states the duration of the rental property, which is also of no small importance.
How is information collected?
Most large organizations simply prefer to buy databases of landlords, buyers and sellers on special exchanges, but in some cases special employees search for such information. The database usually contains the following items: the client’s name, his contact information, geographical location of the property, desired cost, floor of the apartment, number of rooms, square footage and other information that the client indicated on a special website.
Such databases must be replenished regularly so that the agency can conduct its activities productively. The management of the company is responsible for distributing the information received. Each agent is given a list of potential clients to call and schedule a personal meeting if necessary. If the client does not agree to the conditions that the realtor dictates to him, then he is sent to the very bottom of the list.
Documentation
Before moving in, the owner and tenant formalize their legal relationship on paper.
What is a residential lease agreement?
This is a document according to which the owner of the property provides the tenant with premises intended for housing for a limited period for a certain amount. At the moment, these relations are not sufficiently regulated by law. In accordance with the Code of the Russian Federation, an agreement between the landlord and the tenant is drawn up in ordinary written form and requires certification by a notary.
You can find two formulations: rental agreement and sublease agreement. Both types are equally supported legally; there is no significant difference between them.
What is automation
Real estate agencies don't always stop at CRM. Scheduler applications or Google Sheets can become full-fledged analogues. Such solutions make work easier, but only partially. As the customer base increases, they can create confusion.
Let's consider the possibilities of each solution.
In practice, planners and Excel are suitable for recording requests, but nothing more. Employees exchange their notebooks for electronic media, but real needs remain unmet.
View options
What should the tenant take into account first:
- distance from home to metro;
- availability of developed infrastructure;
- safe environment;
- condition of the yard and entrance;
- what kind of neighbors will live next to him;
- floor;
- The side the windows look at (the south side is always warm, looks out onto the street or into the yard).
to the landlord regarding all of the above points, and then you can begin to carefully study the living space itself:
- Pay special attention to inspecting the bathroom and plumbing fixtures. Plumbing must be in full working order. Having hastily repaired taps or rags stuffed into pipes is in no way acceptable.
- Remember that neighbors also live above you, who may have problems with plumbing and the apartment may have been flooded more than once. To check, carefully inspect the corners and ceiling and walls for smudges and peeling whitewash or wallpaper. If you notice any warning signs, do not hesitate to tell the owner about it.
- Check the condition of the electrical wiring. Carefully inspect the condition of the gas pipes and gas stove. Find out where the gas supply is turned off in case of an emergency.
- Check the operation of the telephone network. The quality of window and balcony frames and their functionality play a big role.
- An important detail is the serviceability of the front door locks, the functionality of the intercom and the presence of security at the entrance.
- In addition to all of the above, the extent to which you have found a common language with the owner of the apartment is also important. If he seemed to you to be a polite and pleasant person, then it will probably be easy for you to contact him, and vice versa, if he is formal and cold, most likely do not expect loyalty from this person in the future.
If you point out some shortcomings, but the owner does not budge on the price, think about whether it is worth renting this particular apartment or whether it is reasonable to continue your search further.
Negotiations with potential clients
Of course, it will be almost impossible to agree on the sale of an apartment over the phone, so agents most often make an appointment with the client on neutral territory or in the apartment to discuss all the details. If such a meeting has been scheduled, the realtor must use all his reserve of eloquence to make the deal go through. If the client is satisfied with everything, then the next step will be the preparation of documents.
It is worth noting that the larger the real estate agency, the longer it takes to prepare the necessary documentation. This stage cannot be rushed, since even the slightest error in calculations can be catastrophic. Realtors check all the information several times, after which they certify it to management, and only then give it to the client for signing.
Adviсe
Do not give your passport information to anyone. They can be used for various scams.
- To protect yourself from scammers, you need to know a number of precautions. Don't give money to people you don't know. The price of the apartment seemed too low to you. This is a reason to think about it.
- Carefully follow the dialogue between the realtor and the owner. If something confuses you, it is better to refuse real estate services.
- If you call the landlord and his phone is constantly busy, there is reason to suspect that he is looking for a more convenient option for him, and for him you were just another one who wanted it.
- Fraudsters usually act without witnesses. Therefore, if when you ask an agent to act officially, you feel his reluctance, then this is an obvious catch.
- Ask the agent to present a realtor card with the appropriate stamp.
- Carefully review the landlord's documents. There are cases when he is not the rightful owner of the apartment.
- Be careful with prepayments. Don't pay the landlord money up front, you don't know how things will be tomorrow.
Apartment exchange
Real estate agencies working with new buildings very often offer apartment exchange services. This procedure is quite complex, so it is almost impossible to implement it without the help of a professional lawyer. If you want to exchange your old house outside the city for a new apartment in a new building, then a real estate agency will provide you with such a service. If a buyer is not found, the organization itself will buy your house and resell it in the future to another client.
Procedures for exchanging real estate can be very diverse. Moreover, it is not at all necessary that both objects are located in the same city. Some companies carry out intercity and even international exchange. It will be almost impossible to carry out such an operation on your own, but for a competent specialist it will not be difficult. Although the cost of such a service is not cheap.
What you should be prepared for - 4 main risks for a landlord
When renting out an apartment, be prepared for certain risks. People are not as careful about other people's property as they are about their own.
In addition, there are a huge number of scammers in the housing market who are ready to profit at your expense.
We list the main types of risks for apartment owners.
Risk 1. Damage to property
This is the most likely risk when renting a property. As a rule, owners rent out furniture and household appliances along with living space. Sometimes this is a very valuable property that you want to get back safe and sound. And decorating an apartment often costs a lot of money.
This risk can be minimized in two ways - include a clause in the contract regarding the tenants’ liability for damage to property and insure the decoration, furniture and household appliances with an insurance company.
Risk 2. Sublease
The scammers' scheme of action is extremely simple. They receive an apartment from you and rent it out to other people as owners. There are cases when one tenant rents out housing to another 5-10 tenants - for example, migrant workers from Tajikistan - and ultimately receives an amount that is 2-3 times higher than the cost specified in the rental agreement.
How to avoid: personally check who lives in the apartment.
Risk 3. Living with a large number of residents
A similar situation, only the responsible tenant does not rent out the apartment to other tenants, but lets them live with him free of charge. These could be friends, lovers, distant relatives from Torzhok.
Again, you can avoid this by personally monitoring the number of people living in your apartment.
Risk 4. Illegal actions of tenants
Dishonest tenants can rob you, set you on fire, change the locks in your apartment, or sell your favorite sofa on Avito. In such cases, only the police will help.
In this case, it will also be necessary to prove that the theft or other crime occurred. A well-drafted contract, which describes the condition of the apartment at the time of delivery and contains a detailed list of property, can help with this.
I recommend watching a short video on the topic of the article.
Nuances
It should be understood that there are some differences in the approach to renting economy and business class housing. Currently, housing costing up to 20 thousand rubles is in great demand and it is much easier to rent it out in terms of timing and initial investment.
Premium class premises require expensive renovations, high-quality furniture and appliances. You will also need additional regular advertising. For the rental of luxury housing, agency fees are often charged to both the tenant and the homeowner. This is due to additional costs. Expensive apartments most often become attractive targets for criminals.
Independent search for housing
All PR campaigns of real estate agencies are aimed at showing how difficult and dangerous it is to try to rent a home without intermediaries. In reality, everything is much simpler than it seems at first glance. Searching for apartments and rooms is now easy to do through special services on the Internet, one of which is our website, NovoeBenevo.ru. Here you will find rental offers from property owners, and you can also place your own ad. Using a special search form, you can easily find apartment options on our website that meet your needs.
Use the services of NovoeBenevo.ru and you will save your energy, time and money!
Legal consequences
You should know that any sources of income must be included in the declaration or registered as an occupation. The formation of the state taxation system depends on this.
The law guards order, and if a citizen decides to “go into the shadows,” then he should think again and weigh the pros and cons, find out what the consequences of tax evasion may be.
Procedure:
- Registration of a patent. You will need to spend money to purchase it. The price will depend on the validity period - from 1 to 12 months within one calendar year. If you buy a patent within six months, you will need to pay for it immediately; in other cases, you are allowed to transfer funds in installments. The cost is determined individually: the tax base, which depends on the location and living space of the apartment, is multiplied by 6%.
- Register as an individual entrepreneur (IP). There is a simplified taxation system here, which is an obvious advantage. For individual entrepreneurs, the rate is set at 6% of the amount of income for the year + insurance premiums.
- Paying tax as an individual without the need to register as an individual entrepreneur. The tax is set at 13% of the annual income. A declaration in Form 3 of personal income tax is filled out and submitted to the tax office by April 30 of the current year.