An agent can create a listing for you, help you check out applicants, and generally manage other aspects of renting so you don’t have to. But before you sign a contract with an agent, you’ll want to figure out how much it will cost you so that you can be prepared. 

Real estate agent fees associated with rentals

Although there isn’t a set commission for real estate agents involved in rentals, a common range is one of the 2 options below

Percentage of Lease

Some real estate agents charge the landlord a commission based on the yearly amount collected. If the tenant is paying $2,000 per month, and the agent is charging 10 percent, he’ll get $2,400.00 for finding a tenant and writing the lease. Often that commission is split between two agents, the listing agent and the agent representing the tenant.

One Month’s Rent

Many real estate agents charge one month’s rent as a commission for finding a tenant. The agent’s brokerage collects the tenant’s first month’s rent and his security deposit. From those monies, he deducts his commission and pays the landlord the balance. This amount is usually split between the two agents, half to the listing agent and the other half to the agent representing the tenant.

Agents may also charge you fees for other rental services they offer, an example being running a background check on applicants. With those ballpark figures in mind, make sure you and your real estate agent make a list of services they’ll provide to get your home rented out. That way you’ll know what their fees cover.