What is a Real Estate Referral Agent: are you interested in real estate consider being a referral agent and earn up to $10,000 per year.
Real Estate Agent
So let’s dive into the real estate agent’s main goal is to create lasting relationships by providing great service and obtaining referrals.
Real estate is a numbers game the more people you know the more business you will have but you have to build in nurture relationships.
We also have to negotiate the schedule and prospects for new business. With regard to income, the sky’s the limit. If you want to sell one home or a thousand homes it is up to you.
You are your own CEO and you call the shots. But many still struggle with time management. There are real estate dues to consider.
What is Real Estate Referral Agent
A real estate agent referral is an inactive licensed agent that refers to business when actively licensed real estate professionals for a fee.
Whether it’s a buyer-seller or investor. So, in essence, you are earning a fee by referring a name.
Who you know can pay huge dividends
It’s a great source of part-time income there are no realtor dues, there are no association dues, no local Association membership. You can send referrals to agents throughout the US.
You can switch to a full-time agent at any time no duties of a full-time agent.
But the cons are you cannot practice real estate. Your license is on it and inactive status and you’re still not your own boss and you work another full-time job.
Comparison of Part-Time Income
So you want to get a part-time job in retail restaurants or another industry part-time. So at $10 an hour. You are making a thousand dollars roughly a month.
So that’s 12,000 a year minus taxes and your sacrifice but consider this you’re not gonna get those hundred hours of hard labor back and your time in addition to you being tired from your full-time job.
According to the National Association of Realtor’s study, the average person knows at least four people looking to buy sell or invest in real estate.
Each year so in my example below I’ll use the following numbers in my calculation:
3% Commission fee though this varies. A 30% referral fee is what I give as a referral real estate agent sends me deals.
A sales price of 285 that’s kind of the average price point in our area. But most it does depend on you know the zip code what the person is going to buy so whatever.
So in this example, a sales price of 285 at 3% Commission is a little over $8,500 at a 30% referral fee that’s 2565.
So you have essence before your referral brokerage fee and taxes you have the potential of earning $2,500 by just referring a name and if you do this four times that’s $10,000.
Who doesn’t want to do that by just referring four people again and in the Washington metro area a lot of price points a lot of average price areas is over 400,000. So you do the math.