I heard it's around 25% but I also heard it can go up to 50%.
2007-09-30 13:47:37 · 8 answers · asked by janew 2 in Business & Finance ➔ Renting & Real Estate
Typically a referral fee is paid from one Realtor to another ... and in most cases, unless a relocation company is involved, we normally do a 25% referral fee. If a relocation company is involve, my experience has been that it is normally 35%. I've never heard of anything higher than that!
As an example of how this works, let's say you live in Texas and you have a friend who is moving to Maryland. You can contact a Realtor you know in Texas and tell him or her that you need to find a Realtor in Maryland. They will then contact me :-) or another Realtor in Maryland to help your friend. For that referral, I will gladly give your Realtor friend in Texas 25% of the commission I earn when your friend buys a home in Maryland.
If he buys a $300,000 home and I earn a 3% co-op ($9,000), your Realtor friend in Texas would earn $2,250 just for picking up the phone and calling me. Naturally, all of these commissions need to go through our Brokers and we "share" it with them, so we wouldn't get the entire amount. It's good compensation for networking!!!
2007-09-30 13:59:00 · answer #1 · answered by Your Maryland 'Net Realtor 3 · 0⤊ 1⤋
Do you mean if you are an agent and you give another agent a referral, and they pay you a referral fee if the client transacts? 25% is standard but it's totally up to the two of you to determine. You can make it 10%, or 50%. I am with RE/MAX and whenever we refer clients to each other we typically do a 25% referral fee, but that's just the local custom.
2007-09-30 15:09:28 · answer #2 · answered by operababe_61 3 · 0⤊ 0⤋
forget it - each agent in the transaction (buyer and seller) only typically gets 1.5% - their bosses/agency gets the other 1.5% - only 6% total to all parties. Would you sell a house thru a real estate agent if you only received half of the sale price??? Most people wouldn't be able to pay off mortgages while these referrers would be billionaires - someone was jerking your chain telling you that. You'll get a thank you for referring someone to an agent, that's about it
2007-09-30 14:29:37 · answer #3 · answered by Anonymous · 1⤊ 2⤋
Real property regularly is going in cycles - correct now it is a "down" marketplace. It will select again up - a truly property revenue license is simply too useful a factor and far too convenient to maintain to simply permit it cross given that of what the marketplace is presently doing. The marketplace would possibly not keep like this eternally. My recommendation is, if you have already got it - maintain it.
2016-09-05 12:59:32 · answer #4 · answered by ? 4 · 0⤊ 0⤋
25% is what I have paid in the past for Realtors referring their clients to me in Arizona.
I had one guy request 30% referral fee, but 25% is the norm.
Hope this helps.
Terry S.
http://www.Welcome2Arizona.com
2007-09-30 15:07:32 · answer #5 · answered by Terry S 5 · 0⤊ 0⤋
Doesn't make sense when one usually shares 6% of a commision fee.
Maybe .25 or .50
2007-09-30 13:53:41 · answer #6 · answered by Anonymous · 0⤊ 1⤋
Never heard of pay for a referral ,
Only the 6% commsion if a sale occurs .
( which is split if there is a buyer & seller agent )
>
2007-09-30 13:52:12 · answer #7 · answered by kate 7 · 0⤊ 1⤋
It IS 25%. Just FYI.
Jen (First Choice Realty, Yucca Valley Ca.)
2007-09-30 13:58:35 · answer #8 · answered by Anonymous · 0⤊ 0⤋