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I don't do it and don't ask anyone like yourself to pay for aspects of my business. I need to refer because I believe the company I'm referring is the "best" and not because I have a financial benefit from it. To me it's beyond taking advantage of vendors, it's an inherent conflict of interest.
Nags Head, NC
Yes, rather annoying. I've had many offices add me to their lists for free and without me asking.
Seems like a conflict of interest here.
Nags Head, NC
Nina Hollander, Broker
Doesn't this toe the line of RESPA if both sides aren't getting the benefit of services? I don't know the law well, but I know an agent who gets a lender to pay half of his BoomBoom. He has to make sure that he documents the leads that go back and forth between the two of them.
Yes this is common with some of the big guys and i hear it from mortgage reps and inspectors. I prefer the i refer to you, you refer to me, we both do a good job and then repeat
My "Preferred Partners" are people I consider competent, reliable and honest. They don't pay for that privilege, they earn it through their hard work and professionalism.
I think this is a throw back to the day when the industry was agent centric and not consumer centric. It is not something I think is an ethical practice, at least that is my personal opinion if consumers are coerced into using them as a bundled service package. With inspectors I do multiple choice.
The above seems excessive ! I would make them adjust the amount monthly based on the number of inspects they ordered ! Also is the $$$ going directly to creating BUYER LEADS (who need inspections) or into the Team leaders pockets ?
Personally when I was on a "team" the choices could have been better and I was always in trouble with the "Leader" for giving the three choices.
I am not a fan of this practice.
Michael - Many agents, such as myself, advertise (or refer) our preferred partners for free. $1,500/mo sounds like a lot of money!
If you are not getting anything in return, why would you pay for an agent to market themselves.
Good morning Michael. I am asked on a regular basis, I choose not to participate.
TeamChi - Complete Home Inspections, Inc. - I like the idea of PREFERRED PARTNERS - helps my transaction go smooth as I know these partners.
Now when it comes to 'give or take', I abide by our code of ethics.
When money changes hands like that I would say the referree should be disclosing that they are being paid (marketing costs) to be on the list. I refer only people I have used in past, not someone who pays me anything. I would find that a conflict of interest.
That is not how I engage my preferred partners. They are preferred because they are good and offer great service ... not because I am profiting from it.
Taking advantage of vendors, and as with agents when faced with this dilemma from the likes of Z, you need to ask, how desperate am I? Do I need to buy this business or should I walk away?
Not something that I would do. Though, if that's what they want to do, more power to them.
While I believe in "Preferred Partners", TeamChi - Complete Home Inspections, Inc. ... my definition of such is definitely different from what you describe. And earned differently too. Performance and level of service should be the measured criteria and the path to a preferred partnership/relationship ...
As a sidenote on this topic, those partaking of the kind of partnership you describe will be wise to reconsider .. or be very careful as to what they are actually paying for because of high CFPB scrutiny now. They're looking with a very critical eye to these types of agreements ...
I have heard of this...I would not do
Sure sounds like it violates putting the clients best interest FIRST!
taking advantage for sure.....
We don't do that.
Very sticky business asking you to do that...It sure gives me the creeps. I smell a big conflict of interest. A
Helping to fund joint efforts is simply part of doing business. You need to decide what is realistic and beneficial.
The power of NO. Next Opportunity.
tells me they don't care about their clients ( you might not be the best at what you do ).... you are preferred because you paid in ....
TeamChi - Complete Home Inspections, Inc. I would also pass.
I would tell them that they need to pay me $1500.00 per month to have my name appear on their site.
Different RE teams have different business models.
I do not have preferred vendors.
Disgraceful and I would probably let an Agent go if they did it. The only criteria for being preferred is because they did a good job.
That seems a little steep if you ask me. I have asked for lenders to pay for 1/2 my farming postcards but they get 1/2 billing. I get the right side & they get the left side on the front of the postcard piece.
I just had a preferred lender who is placed in our office refuse to do the same as my outside partners. But of course, he expects your business.
Just as a side note: Why doesn't my home inspector ever send me any business?
I don't think you were held ransom. You refused to pay and you are still alive.
I have had people ask to pay me to be on my website but I would not ask someone to pay me. I always refer out of the absolutel confidence the client would get excellent service.
Never a fan of being held for ransom! Too many alternatives available!
You want access to this teams client base so your services can be promoted.
Where did the idea this should be FREE come from.
Who gives teams or real estate agents access to their client/customer base FREE?
Some folks can not afford to 'pay to play' and very often I too have said 'Aboslutely NO."
It is GOOD BUSINESS...just not good for you and sometimes me.
I would not paying for this type of connection
Definitely a conflict of interest