Can I Charge Tenants Less Than 15 Percent in Commission?

Chris at www.cribfox.com explains when, how & if real estate agents can charge a tenant client less than the typical 15% of annual rent in commission.

We answer the following customer question in this video:

I would like to offer my client 1 month commission of rental income vs them paying 15% of annual income. However, what if the apartment they secure through me requires a 7.5% co broke? How do agents navigate this discrepancy?
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As you can see, it depends on the commission structure of the listing. In the New York City market where this agent is based, if it's a CYOF (Collect Your Own Fee) listing then you are indeed free to charge less in commission to your tenant client, or whatever you want.

However, many listings are marked as "Exclusive" and have a set co-broke, typically 50% of a typical 15% commission, or 7.5% to you as the tenant's agent. In this case, there is no way out of the tenant paying the 15% in commission if it's a regular (vs no fee) listing.

Keep in mind in other markets such as South Florida, the landlord customarily pays the broker commission (which can vary, and can often be 8% or 10% of one year's rent).
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