Asked for additional broker / agent fee to renew lease

Hi guys

We have a broker / agent on the property we rent and we paid 1/2 month rent upon the 12 month lease signing. Now it is time to renew and they want another 1/2 month rent in fees.

Is this standard / legal?

Thanks

Not unless they are providing some sort of tangible service. Do you communicate with the landlord via the agent?

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What I was told long ago is that the landlord will usually pay the agent again on each renewal, but the tenant only pays it the first time.

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Did you sign an agreement with them?

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Yeah, and in that case presumably you could just tell them you won’t be requiring their services any further.

I had one try this once. I just said no and that was that. I think the owner was trying to pawn half of his fee on to me.

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Yes we do communicate through them, but it is a very rare occurance. And they are actually quite unresponsive, the few times we have needed something it has been a bit of a battle.

I don’t think so…

I can’t imagine how they would have any claim on your payment then. One possible explanation is that the landlord is trying to push it off on you.

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Ah yes! The “special” foreigner fee. Reminds me a bit of the Taiwanese employment brokers for south East Asian workers. A few years ago there was very nice face losing article that described how they were forcing workers to pay $1,000 per person to take a “special” van from Taipei to the airport. The sleaze and shame never seems to end.

Nothing special or directed at foreigners about it.

If you are renting through an agent they can have a renewal fee in the contract you signed. If the agent is organising the contract they won’t be doing it for free, sometimes both parties pay, sometimes it’s just one.
If they are managing the property that normally comes out of the rent.
Sometimes is worth seeing if you can deal with the landlord directly and save both of you paying fees.

Edit:
Just to add if there isn’t a renewal clause/ option in the contract, they could also treat it as a new one.

A pig with lipstick is still a pig. Screwing people over just because they don’t know any better and are foreigners is something that is quite prevalent here. Not to say that it doesn’t happen in other countries.

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I have had the same as above happen to me in the UK, that’s how I know to look out for it.

Our first rental here had the similar fee for renewal for both parties, that’s why we just spoke to the landlord. This was Taiwanese to Taiwanese nothing to do with being a foreigner.

Screwing people because they don’t know any better happens everywhere agin this has nothing to do with being foreign. If you don’t understand the contract you shouldn’t sign it.

The OP asked is this standard or legal, a fee for brokering a contract is pretty standard everywhere, how it is paid can vary.

Without looking into it but the things the OP said about the agent, I would say they are just getting a brokerage fee and not a fee from the property. That’s why they are pretty lax about responding to the client and just passing messages to the landlord.

If they are getting a management fee I would talk to the landlord directly as they don’t seam to be doing a good job.

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according to a lawyer Lin Mingzheng at National Real Estate, it is unusual that service fee is charged to the tenant at the time of renewal, unless the property is in the high-priced rental and luxury rental markets.

https://money.udn.com/money/story/5621/6608259

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Cheating foreigners is quite common in Taiwan. That said, business see no trouble screwing Taiwanese over as well, but they can’t do it the same way because locals have more recourse that foreigners are often not aware of. If you don’t believe me, ask any south East Asian worker what goes on here. Ask almost anyone who has worked for cram schools. I’ve only worked for one and the lying, cheating, and scamming was so blatant I couldn’t get wrap my brain around how they did this with every foreign teacher they hired. It’s part of the culture and will take generations to undo. I know that the owner of the school where I worked raised his kids to behave like this as well so they’ll continue with his proud tradition. Thankfully all the other local cram schools rat on each other about this stuff and I would just sit back and enjoy my popcorn while inspectors made their regular visits. It also comes down to poor enforcement as well as people in government positions taking bribes and warning business owners about upcoming inspections. When I talk to some of my Taiwanese friends about these issues they often say that this is no longer the case in Taiwan because it’s now a developed country. It has come a long way, but still has a long way to go.

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Is it common to have rental contracts just “expire” after a year and have to be re-signed? Is it possible to instead sign a contract for a year that automatically changes to “indefinite” with 2 months notice after that period? I am asking because I plan to rent and that would be my preferred way, instead of being locked in for another year.

You must have had it really bad, here is much better than other places I have lived, this includes the treatment my wife got in the UK.

This contradicts your first point, they just try it on with anyone so not singling out anyone.

I have spoken to a lot of happy workers here, some not so, the group of lads who do Silat in the park on Sundays are enjoying there time here.

The rest of your post just go’s to prove my point, you had a bad time.
But none of this is relevant to the OP’s questions.

I haven’t had an open ended contract, but most of them have a 2 month clause in them anyway.

Saying that I have never asked for one and if your landlord will agree then it’s fine. There is a standard contract that most like to use that you can get from the bookstore (maybe even 7/11 it’s that common) it cuts out the agent fees and covers all the basics.

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if you do nothing, usual contract would become indefinite, unless there is a clause clearly saying it cannot be extended without renewal.

Article 451 of Civil Code

If, after the end of the lease, the lessee still continues to use the thing leased or to collect profits therefrom, and the lessor does not immediately express his intent to the contrary, the lease is deemed to be continued for an indefinite period.

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I’ve managed to avoid most of it because I’ve been around the block a few times and am pretty good at smelling bullshit when it see or hear it. That said, many foreigners new to Taiwan do not have that experience and often walk right into it. Locals are different as I stated. They know how to avoid certain things, but other things they can’t and as a result have to put up with a tremendous amount of “illegal” bullshit and there’s very little recourse for them.

I don’t know what kind of work you do and I’m quite sure that in certain areas you won’t encounter this kind of nonsense. Also, since your wife is Taiwanese, you’re somewhat insulated from it because she can act as a buffer.

I don’t think you know much about what has happened and is happening with South East Asian workers in Taiwan. It’s much better than it used to be, but still scandalous and embarrassing that the Taiwanese government turns a blind eye to the way they are treated.

True, this is not directly related to the OP, but it does illustrate a underlying problem that predatory practices are very prevalent here in Taiwan and foreigners are particularly vulnerable to them.