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Company Referrals Are Expensive

By
Real Estate Agent with Better Homes and Gardens Real Estate BRE #01330018

Referral Handshake

An agent was asking for a referral agent in Westport or Bridgeport CT. We are in the San Francisco bay area.

A couple of agents responded to go with our company's referral network as outbound referrals are at no cost and the referral center will make sure you get paid. This is true.

On the receiving side, they take 30% off the top and cap commissions at 65% even if the agent's split is higher. So why take leads from them? Only if it's a big sale or multiple sales.

When I need to send a lead to another agent I call two or three agents from any company and do it directly. I send the referral fee agreement and I'm done. Most agents are honest.

Cheers.

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Lenn Harley
Lenn Harley, Homefinders.com, MD & VA Homes and Real Estate - Leesburg, VA
Real Estate Broker - Virginia & Maryland

When I was an agent with a mega broker, referrals from their relocation office took 35% for the referral source, 35% for the relo office leaving 30% for the selling agent. 

Thanks but no thanks.

Feb 05, 2015 10:52 PM
Larry Lawfer
YourStories Realty Group - Newton, MA
"I listen for a living." It's all about you.

Sounds to me like you need an agency you can trust.  I went through 2 bad agencies with some of the same issues you are facing before I found one with integrity.  It is clear from the get go what caps are, what and when you get paid, and how I conduct my business.  Every business will have it's own self at top of mind, you do too, but that doesn't mean you can't make it a win-win situation. That is paramount in the culture in which I am thriving.  While Warren Buffet is a brilliant strategist, his heavy handed ways in the real estate realm leave much to be desired.

Feb 06, 2015 12:01 AM