How much do I make per referral
There are three scenarios that you will find yourself being able to make a referral fee.
TIP: These scenarios apply to specific groups. Please be sure to make sure you're applying the correct fees to the correct scenarios.
Submit to the Network
When you submit a referral to the Realty Connect (RC) Network of Agents you'll always receive a 25% referral fee. This fee is non-negotiable.
You'll receive 25% of the agents gross commission (the total agent commission amount prior to that agent's split with their broker) minus the $295 Realty Connect broker transaction fee.
(house price) $300,000 x (agent commission % - buyers side) 3% = (agent commission) $9,000
(agent commission) $9,000 x (referral fee %) 25% = (referral fee) $2,250
(referral fee) $2,250 - (RC broker transaction fee) $295 = (take home referral fee) $1,955
USED FOR: Residential Buying and/or Selling as well as New Construction outside of the state you are licensed
NOT USED FOR: Commercial, Land, and/or Rentals
Submit to An Agent of Your Choice
When you submit your referral to an agent of your choice you have the responsibility and benefit of negotiating your referral fee (suggested 25%-75%) with that agent, directly.
TIP: It is recommended that when choosing your own agent you start your negotiations at a 25% referral fee because you are guaranteed 25% with our network of agents. This is a recommendation, not a requirement.
YOU will be responsible for securing an executed referral agreement (click here) that will need to be signed by agents and principal brokers of both firms.
Any verbal agreement not in writing and signed by the 2 principal brokers of BOTH firms is completely unenforceable.
Also, please note you will need to have an executed referral agreement in place for EACH client and EVERY transaction you refer AND you need to provide us a copy of that referral agreement signed by that agent’s broker.
Otherwise, Realty Connect will legally lose ALL ability to collect any referral fee on your behalf.
If you choose your own agent, please specify in your referral agreement whether your referral is Buying Only, Selling Only or Buying and Selling.
Since we are relying on you for these details, we’re unable to assume any liability if you do not complete the referral agreement as instructed above or if important details are missing that would affect our ability to collect a referral fee on your behalf.
(house price) $300,000 x (agent commission % - sellers side) 3% = (agent commission) $9,000
(agent commission) $9,000 x (referral fee %) 45% = (referral fee) $4,050
(referral fee) $4,050 - (RC broker transaction fee) $295 = (take home referral fee) $3,755
USED FOR: Residential, Commercial, Land, and/or New Construction outside of the state you are licensed
NOT USED FOR: Rentals
- You must be licensed in the state that the customer is wanting to purchase in.
- Each builder has their own rules and guidelines, but most request the agent accompany the buyer on their FIRST visit. Otherwise, you may not qualify for the agent commission. Since that’s not always possible, make sure the client knows to verbally express to the builder sales rep that you are their agent (the builder sales rep will ALWAYS ask). However, just know it is the builders sole discretion whether to add you as the agent if you are NOT present on the first visit.
- For the sales contract, your name and information (including license number) must appear on the contract with Realty Connect as the brokerage. The settlement coordinators will only require that information to make sure they have everything they need.
- Contact the builder (by phone or email) to express the concern and ask them to please contact the buyer ASAP. But don't "get in the way". Most builder reps are very experienced and can navigate any concern your buyer will have. Keep in mind, you are not practicing real estate in this capacity. You are merely registering as the buyer's agent to get the commission, so make sure you don't cross lines by trying to act as a fiduciary.
- Remind the customer that new construction is not like general real estate. That's why they will need to work with their builder sales rep during the entire process. They will be the buyer's source for anything they need (or any question they might have). .
In this scenario you'll receive 75% of the builder's commission ($295 broker transaction fee does not apply in this scenario).
(house price) $300,000 x (builder commission) 3% = (agent commission) $9,000
(builder commission) $9,000 x (RC agent commission %) 75% = (take home RC agent commission) $6,750
USED FOR: New Construction in the state you are licensed
NOT USED FOR: New Construction outside of the state you are licensed in