So WHY do I owe you a referral fee?

Reblogger Michele Hanigan
Real Estate Agent with Keller Williams Realty Plano, Texas

Thanks for the blog Chris.  I have a few comments I'd like to make.  (Go figure.)


My initial knee jerk reaction is tell the daughter to take a long walk off a short pier.  Then I thought about it.  (Always a good idea with me!:))

Point 1.) maybe you mentioned it, but what was the value of the property you were getting to list?  I could be considerably more forgiving of one's greedy demand's if the property was financially well worth my time in the long run!  

Point 2.)  Could this negative situation been morphed into a positive situation?  ie: by working with the daughter you might stand a good chance of gaining additional trust & admiration from not only one side of the family (his), but now also the new wife's side of the family, as well as the daughter's side in a whole other state.  

Additionally, I now smell a potentially lucrative networking opportunity here with the Realtor daughter.  She's obviously out to make money, so maybe by making her money while helping her family will always be a deep seeded positive memory for the family.   Why would any of them even think of ever using another Realtor again?  

And don't get me started on the potential referral's she may be able to send from other Realtors in her Wisconsin office. (Although I feel pretty certain she'd inquire about a referral fee from the referrals!)

To spare the dignity issue, which I totally get, maybe offering to meet in the middle on the commission split was an option?  I'm just saying'.

So all that said, was the Realtor daughter greedy?  My opinion, yes.  Does she deserve it?  Probably not. But 0% of 0% is still 0%.

Original content by Chris Vinci

I need to hear from my Activerain colleagues regarding an incident that I experienced today.  

Quick background: I helped a nice couple buy a home in the Front Range community of Conifer, Colorado 4 years ago.  Tragically, 1 year later, I had to offer my condolences to the husband as his wife unexpectedly died.  I was excited to hear, in April 2009, from his fiance who needed my help with remodel suggestions for his Conifer home.  He was such a nice guy and I was so happy he found someone new to move forward with.  For the next 8 months I communicated with her about ideas and potential market values.  Yesterday, I got an email from her giving me a heads up that I should be in contact with her daughter in Wisconsin regarding putting her original home on the market in Evergreen. Now that she was married and living in Conifer, she didn't need that second home.  

When I called her daughter today, who was a Realtor, I was shocked by the conversation.  The daughter, who has been in the business for 5 years, explained that she has helped her mom buy and sell many homes.  She would want to see my market analysis, any contracts and be involved in all decisions.  As inconvenient and cumbersome as that is, I was fine with it as I deal with many family members who offer their opinions.  What I didn't expect was for the daughter to say in order for me to work with her mom, I had to be open to paying her a referral fee of 25%. ARE YOU KIDDING ME!

I tried to clarify and paint a picture that it may be a little inconsistent to ask for a referral fee when there wasn't a referral and to remind her that I called her per her mother's request.  I told her I was in communication with her mom for several months regarding her real estate needs. That didn't make a difference.  She was expecting 25% no questions asked.  After spending a few hours thinking about it, I made the personal and business decision to advise my past client's new spouse that her daughter's request for a referral fee was unreasonable and not how I want to start a relationship.  It was no win-win.

I need to know from you all when it became OK for a Realtor to act so selfishly that they would demand a referral fee for doing nothing other than being a family member or friend.  Are Realtors that desperate for income that they would stoop that low.  No wonder society looks at our profession as one click above a used car salesman. I've worked my butt off trying to dismantle that negative impression and bring a professional image to this industry.  AM I OFF BASE FOR BEING SO ANNOYED???  

Share your thoughts and experiences...please! 


Chris M. Vinci, Owner, CRS, CLHMS, CMAS

Voted "2011 BEST OF.." by Mountain Connection readers

da Vinci Realty in Downtown Evergreen, Colorado





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Dan Edward Phillips
Dan Edward Phillips - Eureka, CA
Realtor and Broker/Owner

Good Eveing Michelle, this is an excellent post.  In addition I truly enjoyed your comments!  Thank you for both!

Jul 10, 2011 05:46 PM #1
Michele Hanigan
Keller Williams Realty Plano, Texas - Dallas, TX
Realtor - Dallas & Plano Real Estate - (214)738-5555

Thanks for the kind words Dan.  Hope you have a fantastic week!

Jul 11, 2011 01:53 AM #2
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Michele Hanigan

Realtor - Dallas & Plano Real Estate - (214)738-5555
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