FREQUENTLY ASKED QUESTIONS
Q 1. What types of properties can I refer?
Q 2. Can I be actively involved in the referral after assignment?
Q 3. Can I request the sales associate that I want to work with my customer?
Q 4. How much can I earn as an active member with Referral Network?
Q 5. Do my referrals always go to Coldwell Banker offices?
Q 6. Should I call an agent or broker and assign my own referral?
Q 7. Do I have to keep “office hours”?
Q 8. Can I aggressively farm a neighborhood or contact expired listings?
Q 9. How do I generate referrals?
Q 10. What do I say to a potential buyer or seller?
ANSWERS:
1. What types of properties can I refer?A: Any type of marketable real estate anywhere in the United States, Canada and Puerto Rico. Referral fees are rarely paid on rentals and fees paid on commercial and industrial transaction may vary and shall be set by CB Residential Referral Network Inc.
2. Can I be actively involved in the referral after assignment?
A: We encourage you to be very actively involved with any referral that we place. You will be given the assigned agent’s name and contact information on your referral confirmation. We also encourage you to follow up with your customer to make certain that they feel they are getting the service that they deserve.
3. Can I request the sales associate that I want to work with my customer?
A: We will make every attempt at honoring your request for a particular associate; however, the final broker placement is at the discretion of the Referral Network. We want to make certain that your customers get the best service and that the assigned broker agrees to pay our fee.
4. How much can I earn as an active member with Referral Network?
A: That depends on many factors that include how many referrals that you send, the sales price, and the referral fee that we are able to negotiate. (Please see examples of fee splits).
5. Do my referrals always go to Coldwell Banker offices?
A: We strive to place all referrals with a trained and qualified associate. If we have a Coldwell Banker office or another broker that is in our “network” of brokers, that will be our first choice.
6. Should I call an agent or broker and assign my own referral?
A: No. Contact CB Residential Referral Network Inc. and we will make the contact for you. This way we can avoid any miscommunication that could cause you to receive a lesser referral fee. We will protect your referral by obtaining a confirmation signature from the assigned broker.
7. Do I have to keep “office hours”?
A: Absolutely not. You will determine your own work schedule. You will get to mix business with pleasure by talking to relatives, friends and even acquaintances. You can work while you are on vacation, traveling or attending any social events. Have you business cards ready to hand out.
8. Can I aggressively farm a neighborhood or contact expired listings?
A: You must be careful when you are soliciting business that you do not imply that you are actively listing or selling homes. Remember that you must also adhere to the State and Federal “Do Not Call” laws, unsolicited fax and e-mail laws, and all consumer protection laws.
9. How do I generate referrals?
A: The most effective marketing tool is something with your name and contact information. We suggest business cards. Give them to all family members, friends and acquaintances with whom you socialize. Another effective activity is “networking”. Become active in community and professional groups that encourage professional interaction.
10. What do I say to a potential buyer or seller?
A: Once you find out they need real estate assistance, tell them that you are a “Referral Associate” and you are affiliated with a company that can assign a trained and experienced associate to assist them. All you need from them is their name, address, phone numbers and best time to call. Most importantly, however, is their permission to refer them.
REFERRAL FEE STRUCTURE
| $200,000 | Sales Price |
| x 3% | Commission Rate (referred side) |
| $6,000 | Total Commission on referred side, |
| $6,000 | Total Commission on referred side |
| x 35% | Referral Fee Percentage |
| $2,100 | Gross Referral Fee |
| $2,100 | Gross Referral Fee |
| x 6% | Broker Network Percentage |
| $126 | Broker Network Fee |
| $1,974 | Referral Fee Retained |
| x 50% | Associate Split |
| $987 | Associate Commission |