[Resolved]  Navi Mumbai Estate Agents — 2 Months Brokerage System

Well, these brokers/real estate agents are the most conspicuous black money hoarders of all. Most of them do not show or maybe have TAN or TIN numbers which is necessary for paying service tax. They will never give you a pucca receipt. Mostly they will take cash. When I was shifting to NM, the broker who rented my apartment asked me for two months' brokerage in cash. I said that I will give cheque or do bank transfer. He refused and insisted only on cash. When I insisted, he gave me someone else's bank account (probably his wife's bank account) for bank transfer.
I feel that brokers are also taking advantage of owner's helplessness. Many houses available for rent in NM is owned wither by NRIs or people who live out of Mumbai. They cannot come and show property to every prospective tenant. So, they have to take help of brokers.
Regarding payment every year to brokers, again the owners are helpless. If they side with tenants and do renewal bypassing broker, then these brokers start boycotting the owner. In fact, none of the other brokers will help this owner to put up the property for rent next time onward.
Online portals are a great way to avoid brokers if there is genuine flat owners who look for tenants and have time to show property to them.
Like Online portals, online rent registration should be mandated. There should not be any need for queuing up for registration. Housing prices in Mumbai can never be affordable if there are scrupulous brokers in the way.

HI,

I have taken a 1bhk flat on rent and given the 1 1/5 brokerage. Two months back I just renewed my agreement and again given one month brokerage. Now the owner is saying he want to sale the flat and given me the notice to vacant the flat. I asked the agent to return my brokerage back for rest of the months (After deducting 2 months brokerage). But now agent is not returning my money back. Please let me know what i can do?

Regards,
R K
rinkesh.[protected]@gmail.com

Specially directed to Property Lounge

In reading, its seems like pretty well written, but you are missing a big point here when you are comparing the brokerage with salaried people.
1) You talk about users about doing the hard work yourself when the broker cartel is very strong.How many flats are released in public for us to find them.Most of the time, the properties listed as individuals are actually posted by brokers.
2)You talk about service and compare brokerage with salaries, This is completely wrong argument.Salaried people are providing services continuously and then getting paid whereas the brokers provide a one time service and want to get paid every 11mnth without any service.Secutity brokers or any commission based business does not keep charging you for old transactions.For increment, salaried people get revised salary mostly for their new acquired experience and for inflation.So are brokers when commission increases with rent increase.How can these 2 be compared.
3)If landlords support brokers, why don't they pay half the fees?Also what addition help do they get from brokers.Do brokers ever do a background check.They actually get you verified by police without you even visiting the station even once.
4)You talk about banks and other organizations? Who charges without continued service for the year.Banks service your debit cards for the year and then charge you and so do other organizations.

So please think about the arguments you make.

Anyone interested to raise voice against this, please feel free to drop me a mail.

Property Lounge is a broker.

Two months rent is absolutely atrocious. These fellows do not issue receipts and do not pay taxes. One must avoid these jerks.

I had rented an apartment one year back and now on mutual agreement with owner I am renewing the agreement. We made the agreement papers with the help of an lawyer and without any help of broker. Now the broker is threatening that he will throw my housholds on road if I don't pay him brokerage.

What shall I do in this case. I have not taken any services of the broker in this case.

Renewal time brokerage is viable as the broker can organize another prospective rent liker for the same premises where in the rental agreement which is for 11 months is going to expire..if the existing tenant wants to renew the agreement renewal brokerage is reasonable which gives the existing tenant the benefits of staying at the same premises without again going through the tedious task of relocating which at the end of the day saves a lot of stress as well..

yes

All the surprised Agents who feel that they have put a lot of hard work & are eligible for so called Extortion money.
1. reason why we cant do it our self as no flats are available without Agents.
2.People are whining bcoz they are common people who if had lot of cash would have just bought a house instead on staying on rent. The problem is the brokerage on renewal, where Agent has not put any effort, its just exploiting the need of tenant.
3. Since there are no laws governing the ceiling of brokerage and right to charge on renewal the brokers charge as per their whims and fancies. Common why don't you show us a gun at least before robbing us.

It's highly inappropriate to ask for a brokerage every year. Tenent had no choice to stand with the terms decided by broker else they will loose the flat to stay. You are compelled to pay everytime for services rendered to you once. No other business is having such terms. A legal restriction need to be impose on brokers and relief need to be provided to tenant by government. Most of the brokerage is paid in cash goverment receives no tax on this amount. aea

Limits crossed, when asked to renew for 2 months broker threatened, "what 2 months I will see how you stay for a single day also".
Broker name : T. N. Tawhare
Ashtvinayak Estate Consulancy-Nerul

Hi,

My self Prashant, I have punched a flat from my hard earn money and by arranging money landing from others help in 19.5 lakhs . After the procedure has completed the Broker is asking for broker more than the expected, however already I have given 45 thousand rupees for 19.5 lakhs flat, but the broker is demanding for extra money for Loan from the bank which he had just recommended that it will provide loan in 9.5%. But making my time from my job I my self-gone to bank, but afterward I came to know that it is giving loan @ 9.95%. As I had not much time to run to other bank I applied to the bank for Loan. Still the Broker had not committed any money demand for the same, but after follow-up taken By myself all procedure is completed. Later the Broker started to demand 1% of the total Loan taken. Which was not expected at all, now the Broker Mafia are harassing me on call and Harassing my relatives at their home. Now just for a flat costing 9.5 Lakhs the brokerage given is 45 thousand, how can now the Broker can demand for more brokerage.

Please help to resolve the issue. Already I am paying Bank EMI and top of that, these brokers mafias are
harassing me and my family.

Prashant -- [protected]

this is very bàd system in Mumbai the brokers sucks the tenant what is the government doing?

It is very easy to right big essay and hide or try to protect the main matter.

If somebody ask for service charges for service they has been provided, then it is justified. Searching and helping in finalizing a rented house for a client is a service for which Broker should be given the service fee/commission.

But question arise is it justified asking a same/one month commission on renewal from the tenant. Answer is BIG NO

Why BIG NO on renewal, because for the flat of 22000 rent per month the renewal agreement cost you around Rs.250 to 300 where client is ready to give Rs.[protected]. But asking for one month commission of Rs 22000 is not at all justified.

Commission and service charges are based on amount of work done. You will never give Rs.1000 as a service charge for Rs.100 of work.

So, one month rent brokerage for renewal is not true and not at all justified.

Paying the broker one month brokerage or one and half month brokerage is okay the first time. But what is the value add they give during the 11 months. They don't even call once to check whether there are any issues in the flat or whether they can contact the owner on our behalf for redressal of our grievances/ complaints. Why should one pay brokerage at every renewal?

Yes absolutely right, They dont service anything, many people face issues in societies due to bad behavior of society people. The society flat owners thinking is always low regarding rental members, why? I dont know. Its cheap Indian mentality again, they think a member who is paying and living in flat has no rights in society to speak. I dare you, you speak and see yourself. If a garbage thrown by any, the finger will come to rental people first. Many owners forgot that once they were also a rental tenant.

One month half of the rent amount is okay to brokerage. but asking for two month is unhuman. are these agents are humans? are there children are humans?? and rental people are blood succking pool for them. These people are goons, no no goons are better then them.

Lets unite and put a plea in supreme court, is there any advocate. Surprisingly there is no website which reviews about agent and owners of a area. if tenant start giving review about a flat, society and agent, this all will stop. but some big sites also do not allow review about agents and flats owner.

Request all to unite and create rental people forum website.

Guys let us put the phone numbers and names of the agents...and lets malign them...these bastards are sucking our hard earned money...it takes us one complete month to earn an amount of 20000 and this people take that amount for doing a job which takes just 15 minutes.
Also I would like to write to some agents who are here. We really appreciate your efforts for the house that you search for us. That is the reason we give you one month brokerage. But we have not started any pension yojana to give you brokerage after every 11 months. And remember when we work in our companies we get paid for what we do, so why should we pay you for what you are not doing.

I am also the victim for the same reason.
If we have some numbers, I.e 15-20 people. The we can file writ at court. If court will agree by this, then police also can help on this issue.
Apart that, there is no any other way.
please email me on bhardwaj.[protected]@gmail.com

I don't understand and agree with this brokerage system. There should only be some minimal service charge, why like a full month rent as brokerage, already we are paying so much rent and security deposit.
And, I have even faced the problem of not allowing bachelors in society because society has decided that..what is this we are humans and like a family tenants bachelors have all rights to stay ...this discrimination is sense less
and there is a huge difference between the rent for a family tenant and bachelor tenant.
I strongly disagree the brokerage system, I understand to charge for the service they provide but one / 1.5 month rent is too much. Government should do something for this issue.

I am staying in bhayandar on rent. I am in the same flat for 5yr to avoid tedious shifting issues. All the 4 years we had given brokerage and we have had lot of problem in the house right from dripping ceiling issue to water logging in toilet etc. Our complaints were never redressed by the broker and he kept deaf ear to the issues. We always had to raise and get things done after long discussion with the owner directly. So we decided not to pay brokerage this year. He has been chasing us to pay and now he has started threatening us to take to union or association. We went to speak to him, where he started misbehaving with us and came to hit my father. We don't know how to stop this and might be forced to leave in a couple of days due to threats.

Hello,
Me too staying in Navi Mumbai and the broker is threating me when I denied to pay extra one month notice charges. I have got life threats from him. I'm not very sure whether to go to police or not. Please help me to understand what to do.