Avoiding Pitfalls of New York Real Estate
In New York it is more common to rent than to buy. In a city where space comes at a premium you may be paying a king's ransom for a tiny space that in most other cities would afford you a much bigger place to live. One of the pitfalls of New York real estate is the early termination of a lease between you and a landlord.
Negotiation between you and the landlord can be lengthy and arduous and in the end you may still end up paying for it in more ways than one. There are some ways to get around this pitfall of New York real estate.
When to Worry
If you are renting a rent stabilized property then you don't really have to worry too much about ending your lease early. The landlord is guaranteed a better rate from his or her next tenant. What happens when you are renting a market rate property? This is where New York real estate can get tricky.
Your landlord wants to make sure that they will still get the amount of money that the lease stipulated. Depending on the terms of your lease you can avoid this New York real estate trap by ensuring that your landlord has a new tenant to take over the property.
The New York Real Property Law has this provision. The landlord can still refuse to take on the new tenant but there must be a good reason. Unfortunately should your landlord decide not to accept the new tenant without providing a good reason you will have to take the matter to court to determine whether your landlord is being reasonable or not.
Don't Pay Commission
If you are selling or renting property then you stand to make money with New York real estate. Beware; the amount that you might make is not the amount you will take home if you are using an agent. An agent typically asks for a 6% commission on the sales. This can be haggled down but it is still a fair chunk of change that will not come into your hands.
With the Internet you don't have to pay an agent that 6% commission to help you sell or rent your property. You can list your property online through an agency that will charge you a flat fee rather than a commission. This is often a much cheaper option and if you stand to make a lot of money from your property then a flat rate could be less than a percentage of the final sale.
