TRD on TV: Erin Hudson talks broker-fee shocker on CBS

Reporter joins panel to discuss the state ruling that rocked rental agents

TRD NEW YORK /
Feb.February 07, 2020 04:45 PM

TRD reporter Erin Hudson broke the news Wednesday that New York landlords, not tenants, would be obliged to pay broker fees for agents representing property owners. The news from the Cuomo administration came as a shock to tenants and the industry alike and has caused a huge amount of chatter in a city where almost 70% of residents rent their homes.

Hudson appeared on CBSN New York Friday morning to explain the possible aftereffects. “Undoubtedly the millions of New York City renters will be impacted the most,” Hudson said.

Given New York’s pricey rental market, many are hailing this a boon for common folk. But the industry has called it a death knell for rental brokers, and the Real Estate Board of New York is already planning a lawsuit.

“There’s going to be a seismic impact on the 25,000 licensed real estate brokers in the city,” Hudson said. “These changes are going to affect the average-Joe broker. A parent who maybe does real estate deals on the side renting apartments, an actor who maybe has this as a stream of income. … These are the ones who are going to feel they could be put out of business.”

Hudson discussed the possibility of landlords passing the cost on to tenants via increased rents as well as other potential implications.


Related Articles

arrow_forward_ios
Blackstone CEO Steven Schwartzman and Stuyvesant Town (Credit: Getty Images)

After authorities vowed review of Stuy Town deal, Blackstone changes course on vacancies

Tete-à-tete with TRD: How landlords are dealing with New York’s new rent laws

Tete-à-tete with TRD: How landlords are dealing with New York’s new rent laws

Real Capital Analytics data showed that New York’s multifamily market had a very slow July. (Credit: iStock)

New NYC rent law “beginning to shut down investment”

From left: Slate Property Group's David Schwartz, Patrick Jenkins, Assembly Speaker Carl Heastie, Senate majority leader Stewart Cousins, and Julia Salazar (Credit: Getty Images)

Two takeaways for real estate from Albany’s power weekend

 Isaac Kassirer with the apartments at East 117th Street (Credit: iStock, Google Maps)

Con Ed threatens to pull plug on four Dawnay Day buildings

You know those other people that brokers always tell you want the same property you do? Turns out they all definitely exist.

Small Talk: I Am the Other Person Interested in Buying This Home

(Credit: iStock)

Residential rents continue upward march in Manhattan, Brooklyn and Queens

NestApple head broker Nicole Fishman, Localize.city president Stephen Kalifowitz, RentHop founder Lee Lin and RoomZoom founder Elien Becque

Broker-fee ban could boost some startups, doom others

arrow_forward_ios
Loading...