I have developed a referral based relationships with a few realtors and mortgage brokers. I would like to get paid for my referrals but since i’m not a broker I was wondering what would be the best and legit way to do this so I can get paid as a percentage of the commission paid to the Realtor/mortgage broker. One of them told me that I need to be a broker/real estate pro. to get paid as a percentage of thier commision and it has to be on the closing statment.
When I was a Realtor in California a long time ago I paid !0% of commissions earned as a referral fee many many times. This was totally legal. The referring person merely connected me to the buyer/seller: “This is my cousin Joe, and he wants to buy a house.”
The market was in the toilet, but I had all the business I could handle. Once people got that first 10% check (calculated to the penny) , they gave me all the business I could handle: “My boss needs to sell her house and here is her number…” I had all the work I could handle from referrals. I never “farmed” or did mailers, or any of that stuff that I hated. I just sold homes. Referrals are great, just know the real estate law in your state.
I do not know of any state that currently allows RE agents or mortgage brokers to pay a legal referral fee to a non-licensed individual.
The best that you can hope for, in a legal way, is to get small gift cards (less than $50) or coupons to your favorite eating establishment.