The general rule is $50/rent per $10,000 deposit, however it's up to the landlord. I think my place was actually more like $80,000 deposit + $100 rent (vs. $50). I recall the different options with rent fit the formula, but there was a big drop in rent if it was all deposit and no monthly rent. Maybe the owner preferred avoiding the hassle of collecting monthly rent (still have to collect monthly management fee, though...)
When calculating the real estate commission, the formula is used to arrive at a total value for the transaction. So the real estate broker's cut is the same whether the rent is big or small. And I think the commission is the same whether it's a rental or purchase.
The general rule is $50/rent per $10,000 deposit, however it's up to the landlord. I think my place was actually more like $80,000 deposit + $100 rent (vs. $50). I recall the different options with rent fit the formula, but there was a big drop in rent if it was all deposit and no monthly rent. Maybe the owner preferred avoiding the hassle of collecting monthly rent (still have to collect monthly management fee, though...)
When calculating the real estate commission, the formula is used to arrive at a total value for the transaction. So the real estate broker's cut is the same whether the rent is big or small. And I think the commission is the same whether it's a rental or purchase.