We replaced rental brokers with software and filled 200 vacant apartments

Post by boringg » Thu, Jul 08, 2021, 5:53 PM UTC

lotsofpulp wrote: post #84

an_opabinia wrote: post #76

Earlier quoted context omitted.

> So the landlords just make the rent more expensive to account for having to pay the broker, what changed? Nothing. Clearly brokers are doing something or else people wouldn't pay for them. My theory is the broker fee has positive selection for wealthier tenants, which for every property - low or high rent - makes for an economically better tenant. Raising the rent has the same effect. We care that there's cheap ren…

I am also under the impression that one of the purposes of brokers/agents is to serve as plausible deniability against accusations of discrimination.

Post by not_exactly__ » Thu, Jul 08, 2021, 5:54 PM UTC

b20000 wrote: post #119

nacho2sweet wrote: post #79

Making being a landlord easier and more disconnected from people and your tenants etc for the investor class. What a great product for society and wealth inequality. Love it!!! Put an algorithm on judging if someone deserves shelter, we have never seen any problems with this in past studies!! Maybe one of the most evil things I seen on here in awhile tbh.

why is this voted down?

Post by kennywinker » Thu, Jul 08, 2021, 5:55 PM UTC

TheRealPomax wrote: post #82

tut-urut-utut wrote: post #31

Earlier quoted context omitted.

The assumption that software can solve this problem is simply wrong. It's the regulation change that needs to happen if you don't want that renter pay the broker "services". For example, a new law in Germany to apply the "who hires pays" principle for brokers in the renting market basically made the renting "broker fee free" for renters. Previously, the landlords would hire a broker that needed to be paid by the rent…

No, in the case of NYT brokers, software would solve the problem of NYC brokers, by putting them out of a job. If you're from Germany, you have nothing to compare these people to, they run a racket that would be illegal there to begin with. They're nothing like the kind of rental agencies in Germany, they are individuals who basically figured out how to scalp entire buildings worth of apartments.

Post by e1g » Thu, Jul 08, 2021, 5:57 PM UTC

crazygringo wrote: post #142

e1g wrote: post #129

Earlier quoted context omitted.

The landlord is under no obligation to accept anyone this service finds, so this startup guarantees an outcome they cannot control. It might be a way to build awareness and goodwill, but they are burning VC capital to offer a service that is either fundamentally unsustainable or mispriced.

Obviously you're not going to use it if your landlord doesn't allow subleases, and landlords are also usually pretty upfront about approval requirements for a sublease. I've never heard of a landlord not allowing a subletter to convert to a full lease upon original lease expiration. I mean, the alternative is to forego a month or two of rent while you find a new tenant. Unless there's a horrible problem with the exis…

Post by slownews45 » Thu, Jul 08, 2021, 5:58 PM UTC

e1g wrote: post #129

benmanns wrote: post #111

We used this pre-COVID to get out of a Brooklyn lease and had a fantastic experience (back when it was Flip Instant). Flip basically charged 1 month rent and guaranteed a fill or they'd pay the rest (6 months) of my lease. Compared to our landlord who wanted 1.75x rent, up to 2.75x rent if not filled immediately, after significant negotiation. Hiring a broker myself would have likely cost 1x rent or more anyways with…

The landlord is under no obligation to accept anyone this service finds, so this startup guarantees an outcome they cannot control. It might be a way to build awareness and goodwill, but they are burning VC capital to offer a service that is either fundamentally unsustainable or mispriced.