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Tenant Placement Fee Calculator

Calculate the one-time leasing fee plus the amortized monthly cost when tenants turn over. Supports the four common fee structures: half-month, full-month, custom percent, and flat-fee agreements.

$
%

only if using custom

$

only if flat-fee method

Placement fee (one-time)

$1,100

Amortized monthly cost

$46

across tenancy

% of rent equivalent

2.08%

Landlord pays

$1,100

Tenant pays

$0

How the math works

Tenant placement fees compensate the PM or leasing agent for marketing, screening, showings, and lease prep. Half-month fee is typical for PM companies doing leasing as part of ongoing management. Full-month fee is standard for standalone leasing agents. New York City historically had tenant-paid broker fees equal to 1 month or 15% annual rent.

Amortized across a 2-year tenancy, a half-month placement fee adds about 2% to effective management cost. High turnover destroys this math — 1-year tenants pay twice as much in placement fees per year of occupancy as 2-year tenants.

How to Use

  1. Enter the monthly rent for the unit.
  2. Pick the placement fee structure used in your PM agreement.
  3. Enter custom percent or flat fee if using those methods.
  4. Enter average tenancy length — this amortizes the fee.
  5. Indicate whether the landlord or tenant pays.

Frequently Asked Questions

What's a typical placement fee?

Half month of rent is most common when placement is done by the PM company managing the property. Full month is typical for standalone leasing agents with no ongoing management.

Is a flat placement fee better?

Flat fees favor higher-priced rentals (a $1,200 flat fee on a $4K rental beats 50% of rent = $2K). Percentage fees favor lower-priced rentals. Negotiate based on your rent level.

Who pays in NYC?

Historically tenants paid broker fees in NYC (often 12-15% of annual rent or 1 month). 2020 and later laws fluctuated. Current local law controls — check before marketing the unit.

Do leasing fees include re-leasing existing tenants?

Usually not. Lease renewals with existing tenants don't re-trigger placement fees (though some PMs charge a modest renewal fee like 10% of one month, or $200-400).

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