Tips & Advice

Myth #3: The Dental Tenant Can Save Money By Not Having A Broker And Working Directly With The Landlord’s Broker

Posted on June 10, 2018 | By Pamela Gelfand

This is very common misconception that, again, puts the dental practitioner in an inferior position because the tenant doesn’t have anyone in their corner, watching their back.

The truth of the matter: Landlord’s pay their listing broker a set fee for marketing their property. And that agreed-upon dollar amount is paid to the listing broker, whether the tenant has a broker or not. If the dental tenant has no broker, the landlord pays the listing broker the entire agreed-upon fee. If the dental tenant has broker representation, the Landlord’s broker pays a portion of their fee to the dental tenant’s broker – and there is no cost to the dental tenant.

The dental tenant does NOT save money by not having a designated broker. In fact, it can be a VERY costly mistake. There are no Landlord discounts to the tenant who has no written broker representation.

All tenants or buyers in a real estate transaction have the legal right to licensed real estate broker representation. It’s meant to ensure that all parties of a real estate transaction have equal representation, leveling the playing field. Fiduciary responsibility is established, and conflict of interest concerns are eliminated.