A real estate referral fee is a portion of a real estate commission that is paid to a real estate broker in exchange for referring them a client. Though subject to negotiation, a typical referral fee is 25% of the gross commission for a single side of a transaction.
Real estate referrals happen all the time for a variety of reasons. Most commonly, they happen because a real estate agent is either unlicensed or unqualified to service their client in the purchase or sale of property in a particular geographic area, or for a particular type of real estate.
Let’s take a look at how real estate referrals work, what the typical fees are, and what the most frequently asked questions are about real estate referral fees. [Read more…] about Real Estate Referral Fees: How They Work & Best Practices for 2019