Praful Thakkar, Andover, MA: Andover Luxury Homes For Sale (LAER Realty Partners)

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Rainmaker
611,146
Eve Alexander
Buyers Broker of Florida - Orlando, FL
Exclusively Representing ONLY Orlando Home Buyers

Until they buy or sell...

But make it clear so they do not try to stiff you, like the AR agent tried to do to me on a $20K referral fee.

A referral is an agreement...it is not law, board specified or state required. It is whatever you offer and they accept.

If you don't like the terms...don't take the referral!

Eve

May 31, 2018 04:19 AM
Rainmaker
4,116,764
Nina Hollander, Broker
Coldwell Banker Realty - Charlotte, NC
Your Greater Charlotte Realtor

I think one year is more than adequate. But really, if someone refers me a client from out of town, I will honor my referral fee no matter when I get my commission.

May 31, 2018 03:33 AM
Rainmaker
1,230,031
Thomas J. Nelson, REALTOR ® e-Pro CRS RCS-D Vets
Big Block Realty 858.232.8722 - La Jolla, CA
& Host of Postcards From Success Podcast

12 months by default in CA and extend-able. I make mine "Until C.O.E."

May 31, 2018 04:43 AM
Rainmaker
1,722,845
Lyn Sims
Schaumburg, IL
Schaumburg Real Estate Agent Retired

Forever for a referral but only for the first transaction. We discussed this once after someone here on AR said a referral 'expired' & she didn't have to pay the referring broker. Total nonsense.

May 31, 2018 04:50 AM
Rainmaker
1,889,268
Kat Palmiotti
406-270-3667, kat@thehousekat.com, Broker, eXp Realty - Kalispell, MT
Helping your Montana dreams take root

If there is a specified duration, a year should be fine.

But I agree with Nina Hollander - If someone is referred to me, and they don't purchase for years, I'd still honor that referral.

May 31, 2018 03:52 AM
Rainmaker
894,690
Candice A. Donofrio
Next Wave RE Investments LLC Bullhead City AZ Commercial RE Broker - Fort Mohave, AZ
928-201-4BHC (4242) call/text

I think the answer is specific to the agreement, but in my world a referral agreed to is honored, period!

May 31, 2018 07:05 AM
Rainmaker
4,209,376
Wayne Martin
Wayne M Martin - Chicago, IL
Real Estate Broker - Retired

When I get paid they get paid. They were the source!

May 31, 2018 06:02 AM
Rainmaker
4,099,156
Michael Jacobs
Pasadena, CA
Los Angeles Pasadena 818.516.4393

It depends on the different factors involved and what is negotiated/agreed.

May 31, 2018 04:20 AM
Ambassador
3,055,932
Kathleen Daniels, Probate & Trust Specialist
KD Realty - 408.972.1822 - San Jose, CA
Probate Real Estate

Whatever is agreed to Praful.  Mine are until the transaction closes.  Why limit my right to be paid for the work I've done and time invested in a referral client?  

May 31, 2018 07:58 AM
Rainmaker
1,921,264
Anthony Acosta - ALLATLANTACONDOS.COM
Harry Norman, REALTORS® - Atlanta, GA
Associate Broker

What does the referral agreement say regarding time line? 

May 31, 2018 07:58 AM
Rainmaker
4,799,491
Gabe Sanders
Real Estate of Florida specializing in Martin County Residential Homes, Condos and Land Sales - Stuart, FL
Stuart Florida Real Estate

There should not be a time limit.

May 31, 2018 06:39 AM
Rainmaker
1,231,599
Mary Yonkers
Alan Kells School of Real Estate/Howard Hanna Real Estate - Erie, PA
Erie/PA Real Estate Instructor

Ditto, Nina Hollander 

May 31, 2018 05:57 AM
Rainmaker
3,069,984
Tony and Suzanne Marriott, Associate Brokers
Serving the Greater Phoenix and Scottsdale Metropolitan Area - Scottsdale, AZ
Haven Express @ Keller Williams Arizona Realty

Kat Palmiotti nailed this one!

May 31, 2018 05:43 AM
Ambassador
4,257,143
Debe Maxwell, CRS
www.iCharlotteHomes.com | The Maxwell House Group | RE/MAX Executive | (704) 491-3310 - Charlotte, NC
The right Charlotte REALTOR!

Forever for the referral for me, although we typically have a 1-year expiration date.

I just Closed on a referral from an out of town agent from 3 years ago. I had to ask them to initial the date change on the referral agreement so I could pay them. They had totally forgotten about the referral!

May 31, 2018 05:30 AM
Rainmaker
4,042,729
Richard Weeks
Dallas, TX
REALTOR®, Broker

I would say once the person referred either buys or sells.

May 31, 2018 05:09 AM
Rainmaker
888,887
Annette Lawrence , Palm Harbor, FL 727-420-4041
ReMax Realtec Group - Palm Harbor, FL
Making FLORIDA Real Estate EZ

The agreements in which I enter into endure forever or one transaction, which ever occurs first.  However, such provision is not possible in the contracts available.

It always a nice surprise to get that referral compensation 3 years after the prospect was forgotten. 

However, if the referral is from a predatory agent, no such extension is granted.

May 31, 2018 04:51 AM
Ambassador
2,570,787
Fred Griffin Florida Real Estate
Fred Griffin Real Estate - Tallahassee, FL
Licensed Florida Real Estate Broker

   First of all, it needs to be a referral CONTRACT that can be enforced across state lines. 

    Realtors have used the word "Agreement" as the title of their Listing Contracts, because psychologically the word "agreement" sounds better than "contract", and is less likely to trigger attorney review by said Seller.  

   To your question: 

      What is the time frame of the person being referred?  A buyer or seller would typically trigger a one-year time frame.  But an Investor, or commercial, might need a longer time frame. 

 

May 31, 2018 07:45 AM
Rainmaker
2,023,890
Michael J. Perry
KW Elite - Lancaster, PA
Lancaster, PA Relo Specialist

I'll accept 1 year 

May 31, 2018 07:37 AM
Ambassador
4,579,055
Jeff Dowler, CRS
eXp Realty of California, Inc. - Carlsbad, CA
The Southern California Relocation Dude

Until they buy or sell.

May 31, 2018 07:33 AM
Rainmaker
1,153,550
Sam Shueh
(408) 425-1601 - San Jose, CA
mba, cdpe, reopro, pe

1 year? 

May 31, 2018 07:14 AM
Rainmaker
710,004
Richard Bazinet /MBA, CRS, ABR
West USA Realty - Scottsdale, AZ
Phoenix Scottsdale. Sellers, Buyers & Relocations

For the duration of a specific transaction only.

May 31, 2018 07:06 AM
Rainmaker
2,641,652
Richie Alan Naggar
people first...then business Ran Right Realty - Riverside, CA
agent & author

When the parties say...

May 31, 2018 06:29 AM
Rainer
44,741
Dan Capra
LAER Realty Partners - Lowell, MA
Listing/Buyer Agent

no expiration

May 31, 2018 05:33 AM
Rainmaker
3,331,180
Scott Godzyk
Godzyk Real Estate Services - Manchester, NH
One of the Manchester NH's area Leading Agents

I like to do it for at least a year. I have had some with no ending date recently sent to me. I like it to state specifically if it is for the purchase of, sale of or both.

May 31, 2018 05:33 AM
Rainmaker
6,606,233
Roy Kelley
Realty Group Referrals - Gaithersburg, MD

Until they buy or sell is preferred.

Check the wording of your referral agreement.

May 31, 2018 08:31 AM
Rainmaker
1,387,173
Ryan Huggins - Thousand Oaks, CA
https://HugginsHomes.com - Thousand Oaks, CA
Residential Real Estate and Investment Properties

It's usually that transaction, unless specified differently.

May 31, 2018 10:14 AM
Rainmaker
821,892
Olga Simoncelli
Veritas Prime, LLC dba Veritas Prime Real Estate - New Fairfield, CT
CONSULTANT, Real Estate Services & Risk Management

Whatever you negotiate or whatever makes sense or until transaction completed.

May 31, 2018 10:05 AM
Rainmaker
5,586,209
Ron and Alexandra Seigel
Napa Consultants - Carpinteria, CA
Luxury Real Estate Branding, Marketing & Strategy

Praful,

It is always you and your conscience.  A

May 31, 2018 09:34 AM
Rainmaker
4,433,693
Gita Bantwal
RE/MAX Centre Realtors - Warwick, PA
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel

I do not know if this is a legal question and whether there are laws. 

May 31, 2018 04:00 AM
Rainmaker
4,013,306
Will Hamm
Hamm Homes - Aurora, CO
"Where There's a Will, There's a Way!"

All I can tell you is put a date that people have to buy by or end of referral agreement.

Jun 05, 2018 07:53 PM
Rainmaker
645,398
Tony Lewis
Summit Real Estate Group - Valencia, CA
Summit Real Estate Santa Clarita & Aliso Viejo

If I am the referring agent I would like it to be as long as possible.  Two years and it would include buying or selling this or any other home in that time period.  Five years would be better.  Receiving a referral six months only on the current transaction would be ideal.

Jun 01, 2018 11:53 AM
Rainmaker
910,796
John Juarez
The Medford Real Estate Team - Fremont, CA
ePRO, SRES, GRI, PMN

Our California referral form is titled Referral Fee Agreement. I consider it to be a contract and it certainly is enforcable through Arbitration through the Association of the involved Realtors. 

Jun 01, 2018 08:02 AM
Ambassador
3,038,940
Tammy Lankford,
Lane Realty Eatonton, GA Lake Sinclair, Milledgeville, 706-485-9668 - Eatonton, GA
Broker GA Lake Sinclair/Eatonton/Milledgeville

that's a "it depends" question.  Listing?  buyer?  etc.

May 31, 2018 08:09 PM
Rainmaker
3,985,865
William Feela
WHISPERING PINES REALTY - North Branch, MN
Realtor, Whispering Pines Realty 651-674-5999 No.

Unrill the first deal is done as per the referral agreement

May 31, 2018 07:54 PM
Rainmaker
1,525,305
Sybil Campbell
Fernandina Beach, FL
Referral Agent Amelia Island Florida

It depends on when the buyer or seller is planning to buy or sell.

May 31, 2018 07:12 PM
Ambassador
5,408,079
Bob Crane
Woodland Management Service / Woodland Real Estate, EXP - Stevens Point, WI
Forestland Experts! 715-204-9671

Depends on the type of referral, are they buying multiple properties like an investor, or just buying or selling one home?

May 31, 2018 06:13 PM
Rainmaker
1,707,423
Joe Pryor
The Virtual Real Estate Team - Oklahoma City, OK
REALTOR® - Oklahoma Investment Properties

Until it's finished.

May 31, 2018 03:07 PM