• Do I have to keep office hours or go to an office? Answer

• How much can I earn as a referral fee? Answer

• What type of properties can I refer? Answer

• Can I request a sales associate to receive my referral? Answer

• Should I call the sales associates direct with the referral? Answer

• Do all referrals go to Coldwell Banker? Answer

• Are taxes deducted from earnings? Answer

• How do I renew my real estate license when it comes due? Answer

• What do I say to a potential buyer or seller? Answer

• How can I generate more referrals? Answer



• ANSWERS:

1.- DO I HAVE TO KEEP OFFICE HOURS OR GO TO AN OFFICE? Go to Top

Absolutely not! You will be dealing with Residential Referral Associates by phone or by e-mail. You determine when you work. It could be while visiting relatives or friends, while on vacation or while traveling; wherever you happen to be when someone tells you they would like to purchase or sell real estate or they know someone with a real estate need. That’s when you ask some questions and call Residential Referral Associates to register your referral. That’s all there is to it. We do all the paper work.

2.- HOW MUCH CAN I EARN AS A REFERRAL FEE? Go to Top

While the amount may vary depending on the type of referral you provide, generally the referrals placed locally will collect a 30% referral fee split equally between the Residential Referral Associates and the Referral Associate. Referrals placed nationally will collect a 25% referral fee split equally between the Referral Network and the Referral Associate.

A little figuring will tell you how much you can earn on each referral that closes. Let’s say, based upon a sales price of $200,000 and a commission on the referred side of 3% with a 30% referral fee divided equally, you would expect to make a $900 referral fee. Add to that the likelihood that you would be referring both the listing and the purchase for your client. The rest depends upon you.

3. WHAT TYPE OF PROPERTIES CAN I REFER? Go to Top

Any type of marketable real estate anywhere in North America (including Alaska, Hawaii, Canada and Puerto Rico)


4.- CAN I REQUEST A SALES ASSOCIATE TO RECEIVE MY REFERRAL? Go to Top

Yes – you can determine the Sales Associate to receive your referrals. Your referrals can be given to any real estate broker anywhere with no restrictions.

5.- SHOULD I CALL THE SALES ASSOCIATE DIRECT WITH THE REFERRAL? Go to Top

No – It would be best if you place the referral through the Referral Network. This way we can avoid miscommunication that could cause you to receive a lesser referral fee than expected, or possibly, nothing at all!

6.- DO ALL REFERRALS GO TO COLDWELL BANKER? Go to Top

Yes and No – Even though Residential Referral Associates, Inc. is a division of Coldwell Banker Residential Brokerage, it is a separate entity from Coldwell Banker. We can place your referral with the Broker of your choice. In addition, there are thousands of Brokers serving areas where there are no Coldwell Banker offices. Locally, we prefer to use Coldwell Banker Residential Brokerage due to a 30% referral fee agreement. Industry wide, a 25% referral fee is customary.

7.- ARE TAXES DEDUCTED FROM EARNINGS? Go to Top

No – at year-end you will receive a 1099 to report your earnings. As your earnings grow, you may have to pay quarterly estimated taxes. Consult your tax advisor on how to handle quarterly or year-end taxes.


8.- HOW DO I RENEW MY REAL ESTATE LICENSE WHEN IT COMES DUE Go to Top

You will receive a notification with instructions at the appropriate time.

When you join Residential Referral Associates you will receive a copy of the “Personal Success Guide”.
It will provide a great deal of help with the next two questions.

9.- WHAT DO I SAY TO A POTENTIAL BUYER OR SELLER? Go to Top

Find out if they have a real estate need. Do they plan to buy or sell real estate? If yes, explain that you are a “Referral Associate” and would like to have a qualified full-time Sales Associate contact them to provide a full line of real estate services. All you need is their name, phone numbers, the best time to be contacted and some basic information about their real estate needs.

Remember, if they are planning to sell a house—where do they plan to buy. If they are planning to buy a home—do they have a home to sell? There are many opportunities to get two referrals from just one contact.

10.- HOW CAN I GENERATE MORE REFERRALS? Go to Top

· Review your Personal Success Guide. It offers many ideas.

· Read the quarterly Residential Referral Associates Newsletters for ideas.

· Contact your Residential Referral Associates Broker anytime you want suggestions or assistance.

· Take the initiative to ask those in your sphere of influence about their real estate needs.

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