If you’re like many people, you probably have not heard about a real estate referral agent. What you do know is that, if you want to buy or sell a home, you need to work with a real estate agent who can help you get the best results.
But what if you have to move to an area you’re unfamiliar with and need a Realtor to help you find a home? Or, what if you want to sell your home, but the Realtor who helped you buy it can no longer act as your agent? While you can search for a real estate agent on the internet, you want to make sure you work with someone who has been vetted by a reliable source. This is where a real estate referral agent comes in.
What is a real estate referral agent?
As the title implies, a real estate referral agent is a professional who connects people with trusted local professionals in their community. Their role is similar to that of a broker, acting as a middle man between two realtors, or between a realtor and a buyer or seller. Simply put, we help you cut through all the red tape to find you great agent representation, through an introduction.
A referral agent must be a licensed realtor and must be part of a brokerage. Their functions are regulated according to the laws in the state where they operate. Some referral agents also act as a buying or selling agent, while others simply focus on referral activities.
Referral agents typically have a wide network, composed of realtors operating out of various locations, including outside the US. In some cases, where the referral took place between realtors, consumers may not even be aware that they have benefitted from the services of a referral agent.
Here’s an example of what a referral agent does. You get a job transfer and have to move to Michigan from Santa Monica. You decide to sell your present home and buy a new one in Michigan, but you don’t know anyone who can refer you to a local agent there. Your listing agent in Santa Monica can act as a referral agent by introducing you to a trusted real estate professional in Michigan.
Here’s another example – you want to sell your home in Los Angeles, and call the Realtor who helped you buy it to also act as your listing agent. However, they’re nearing retirement and can no longer serve as your realtor. They may, instead, act as a referral agent and connect you with one of the best real estate agents in Los Angeles to help you sell your home.
Or perhaps, your cousin in Tampa simply wants to move locally, but doesn’t know who to call. That’s where we come in as a trusted referral source.
Do you need to pay a Referral Fee?
As a consumer, you don’t need to pay anything to a real estate referral agent. If you’re a buyer, you’re not required to pay a fee to any agent. If you’re a seller, you pay the agreed commission fee to your listing agent, and the listing agent splits the commission with the buying agent.
A real estate referral agent receives a referral fee from the agent they referred, whether the buying or listing agent, once the sale is closed. This referral fee is typically 25% of the agent’s commission.
Work with a referral agent you can trust
The team at Melissa Menard Homes offer a wide range of services to suit your real estate needs, including referrals to a reputable realtor whom we have personally vetted. If you’re selling your home and relocating to another town or state, or if you know of someone anywhere in the country or the world that can benefit from our network of trust agents, we can find the right solutions to all your needs. Call us at 310.729.9726 or leave us a note here.