There’s more than one way for landlords and renters to find one another — online, through newspaper advertising, or with a simple “To Let” sign in an apartment window. So you may wonder if using a rental agent is even necessary. 

Real estate agents don’t only sell property, some also manage residential rental properties. Here’s how both landlords and tenants can benefit from using an agent. 

How Using An Agent Benefits Landlords

Juggling daily life and managing the search for a tenant can be stressful. A real estate agent can make the process easier. 

1.  Real estate agents know the market 

As a landlord, you want to secure the highest possible rent without pricing yourself out of the market. Real estate agents know the market and can advise you on appropriate rental prices. 

They’ll be able to evaluate the type of property, assess its condition, and recommend a suitable rental price. They’ll also factor in the neighborhood, amenities, and proximity to schools, shops, and public transport. 

2.  They have access to a real estate database 

There’s no reason you can’t search the market yourself but if you hand it to an agent, they can expand that search to a database called the Multiple Listing Service (MLS). Only real estate agents have access to MLS listings. 

The database is made up of regional listings that feed into the national one. This means you could find a great tenant who is relocating from another part of the country. Agents also know other agents and potential renters. Another agent may see the listing and know of a renter looking for exactly that type of property. 

3.  It saves you time 

A good rental agent is worth hiring if your time is limited, you own more than one rental property, or you’re leasing a luxury property. Remember, most tenants looking for high-end properties, don’t search the local newspaper. They hire an agent to do the legwork for them.

Searching for suitable tenants and finding time to show the property can be a challenge. An agent will free up your time. They can advertise the property, manage applications, shortlist candidates, schedule viewings, and show the property without you having to be in attendance. All you’ll do is review the top applicants and pick the best one. 

4.  The agent can vet candidates for you

Another tedious and time-consuming aspect of finding a tenant is doing background checks. Many real estate agents have subscriptions with tenant screening services. This makes it quick and easy to verify the information the candidate put on their application form. The agent can also run a check on their credit history and criminal records. 

How Tenants Benefit From Using an Agent

Finding the right rental is easier when a property expert represents the tenant. Here’s how using a real estate agent can match tenants with landlords more effectively. 

1.  Narrows down rental properties, especially in larger cities

If you’ve ever tried to find an apartment to rent in cities like New York, Chicago, or San Francisco, then you know how overwhelming it can be to find the right rental at the right price in the right neighborhood. You’re also competing in a large pool of renters. 

That’s why rental agents are more popular in larger cities. In some cities, it’s common to have separate real estate and rental agencies. Those dealing with rentals are often called “apartment locators”. They can help narrow your search more quickly. 

2.  Knowledge of the market 

Knowledge of the market benefits tenants as well, especially if you’re new to town. Your agent can help you understand the city’s rental market and help you choose a suitable neighborhood. This is a ton of research you won’t have to do. With an agent to guide you, you’ll be able to find a good rental in a decent neighborhood that fits within your budget. 

3.  Negotiate terms between the landlord and renter

Renters often feel that they are at a disadvantage when negotiating with a landlord. Many think they have to accept the landlord’s terms or risk losing the apartment. 

Here’s where a real estate agent is useful once again. Agents can help negotiate a slightly lower rent price, a longer or shorter lease period, or convince a landlord to relax a “no pets” rule. 

Is a bad credit rating disqualifying your applications? An agent may be able to persuade a landlord to accept a larger security deposit as an additional precaution should you skip a month’s rent.

4.  Explain the lease agreement 

Once you’ve succeeded in finding the perfect rental, it’s time to sign the lease agreement. Your lease agreement is an important document. It contains the basics of the lease terms and also lays out what is and isn’t allowed during your stay. 

The fine print will also specify what the landlord is responsible for versus what you are responsible for. Your agent may recommend taking out renters insurance to cover incidents that the landlord isn’t liable for. For example, should a water pipe burst and cause water damage to the apartment below, you will be responsible for the repairs. 

Real estate agents help simplify rental management for landlords and tenants. If you’re looking for a property broker, search The Broker List. We have a network of brokers across the country who can help with residential and commercial rental properties.