You’ve heard of real estate agents, but have you heard of referral agents? Referral agents are licensed sales associates who aren’t actively involved in the buying and selling process of real estate. They simply refer clients interested in buying or selling property to active real estate agents. In doing so, the referral agent will make commission on any successful deals involving the clients they referred.
Passive Income. Referral agents are required to partner with a licensed real estate broker in order to complete transactions, but otherwise they are free to refer to any real estate agent, anywhere in the country. Commission varies, but it is usually 25% of the commission received by the full time agent completing the deal. This is a great mutually beneficial relationship between referral agents and real estate agents. Referral agents have a fairly passive way to earn income, and real estate agents get more business than they might otherwise.
Minimal Overhead. While referral agents may not receive as big a cut of commission, they are not faced with the multiple and often yearly fees that active sales agents are required to pay. They are not obligated to pay MLS service dues, local real estate board dues, or purchase error and omission insurance. They are also not required to complete continuing education credits every two years. Full time real estate agents are often obligated to pay various fees at their brokerage firm in addition to the ones already mentioned.
Referral agents pay very minimal fees compared to their full time counterparts. They are only required to pay to renew their license every two years. And in some cases, the broker they partner with may charge them a small yearly fee. But that’s it! One successful referral and transaction per year would be more than enough to cover that.
If you’ve thought about getting into real estate and know plenty of people, but would only be able to do it part time, then consider becoming a referral agent.
Apex Prime Referrals is always looking for more referral agents to join our team! If you’re interested or would like to learn more, give Sherri Lilienfeld a call at 609-287-1795.
Featured Jersey Shore Home of the Week
For more information on this and other homes for sale on the Jersey Shore, please visit my Featured Listings page.