Home Buying in Omaha>Question Details

kc1996doming…, Home Buyer in Omaha, NE

How much is a referral fee when you change realtors?

Asked by kc1996dominguez, Omaha, NE Fri Jan 18, 2013

My current realtor just showed me 1 house about 6 months ago, then we met 1 additional time after that, and we have been in contact via email only and have emailed each other about 12-13 times, also, this realtor referred me to 2 different lenders that didn't help, i'm not satisfied with the realtor's services, if I change realtors..what would the referral amount be?(I dont think my current realtor did a lot)

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9
Paul Steffes’ answer
The other agents have prretty much said all the same answers. One of the facts that was left left out, is that it sounds to me that your agent isn't showing you any homes. And you aren't satisified with that because you think they should be showing you homes till you find one. In all reality he is probably doing what any other agents will or would do in this case. You said they referred you to 2 lenders and they didn't help. Which means to me, that you either have not gotten pre-qualified , either because your credit is below what it needs to be to get approved, or have not supplied all necessary documents to the lender.
Our job is to steer you in the right direction ,1st to either refer you to a lender to get pre-approved,Or have you call a lender that you are comfortable with, and then to show you homes in your price range and hopefully suitable for you, after the approval stage. . I am assuming you met them thru a phone call wanting to see a home. They set a time to show you, asked if you have been pre-approved, and you said NO.
They referred you to a couple lenders and because you have'nt gotten qualified, your blaming them, Or saying they aren't doing their job, because they aren't showing you any homes.
In all reality , since the approval isn't completed for whatever reason, If they were showing you homes for the last 6 months, they wouldn't have been doing their job correctly. Because they would have been wasting everyones time. Yours, Theirs, the home owners that had to leave to let you walk thru etc.
When I 1st got my license I quickly learned a hard lesson, alot of " buyers are liars".
For EX.
I worked with a few buyers, one was someone I even knew , I refererred him to a lender, He said he would have no problem getting qualified, I took his word for it. They even owned a home already so I was going to get the listing for his home, and the sale of a home to him. Over a period of 3 months I showed him close to 30 homes, and finally found one they loved. I said great lets write a contract and I would submit the preapproval letter with the contract. A standard practice.
They never went and got approved , they said they wanted to wait till they found a home. So then they went ot the lender, Guess what. The lender told them to clean up their credit make their payments on time and come back in a year. By trusting them and not waiting to show them homes till they were approved, wasted everyones time. Didn't receive one Dime. I for one, no longer do this.
Not trying to sugar coat anything here!!!, just being honest, So for now on, unless you have a paper in hand that shows you doing your part, of getting to a lender and getting a loan, especially these days when credit is tight. You won't find me ,or to many agents , if any at all that will run all over town and show you homes without getting approved 1st.
We only are paid if we complete a sale, whether it be the listing agent for the seller, or in your case the buyers agent . Not on how many homes that we show or hourly etc.
And we are not the ones that give all your documents to your lender this is your resposibility.
So if you would like to work with me after this feel free to email or call me at. 402-709-9768
I am happy to see if I could help you start the process, and have lenders I work with that could possibly help. Thanks Paul
1 vote Thank Flag Link Fri Jan 18, 2013
If you signed an exclusive buyers agent contract you would need to wait till it expires or mutually agree to terminate the contract with your current agent. If you signed nothing you are free to work with whomever you choose. Best of luck in your home search, if I can be of assistance with anything please don't hesitate to call!

Joe Westerhaus
NP Dodge
0 votes Thank Flag Link Fri Jan 18, 2013
Juli,
No referral fee is required. If your current agent set you up with a new one, any fee would be between them and not involve you. If you signed a buyer's agency agreement, chances are it has expired by now.
Before you select another agent, learn some lessons from this experience. Ask what you want from your next agent and search for someone who matches your criteria who is knowledgeable, experienced and has successfully represented other buyers. As agents, we are only paid when we succeed in helping our clients obtain their goal of buying or selling.
0 votes Thank Flag Link Fri Jan 18, 2013
Referral fees are typically paid between agents when they refer a client to another agent who typically works outside the first agents market area. For example, you move from Omaha to Denver, I would refer you to an agent in Denver, and that agent would pay me a referral fee from part of their sales commission.

However, if you signed an "Exclusive Buyers Agent" agreement you may be obligated to that agent until the agreement expires. This fee is not typically referred to as a "Referral Fee", but a Buyers agent fee/commission.

Any further questions please feel free to give me a call at 402-496-3700

Experience Isn't Expensive... It's Priceless.
Selling Homes For 37 Years

Don & Valerie Keeton
0 votes Thank Flag Link Fri Jan 18, 2013
Referral fee is no cost to you. Let them know that you feel the relationship is just not working out and you have decided to work on your own or you may look for someone that is more compatable with who you are.
Hope this helps.

Craig Timm
NP Dodge 402.598.7253
0 votes Thank Flag Link Fri Jan 18, 2013
Thank you all, your answers have helped, btw..I did not signed anything :)
0 votes Thank Flag Link Fri Jan 18, 2013
I would gladly assist you in getting pre-approved! If you are not ready now, I will show you the steps to get prepared. Amy Hayes Preucil, Mortgage Originator, First Mortgage Company, 402-431-4309, http://www.firstmortgageco.com/amyhayes
Flag Sat Jan 19, 2013
Good to hear. I would like to help you if you are looking for a new real estate agent. 402.214.3434
Flag Fri Jan 18, 2013
Did you sign any sort of agreement with the agent? If not you are free to go and use any agent you want to. If you did sign an agreement, and it is still in the time frame of being enforceable, then you have three options:

1. The agreement is with the agents company and not the agent themselves so you can ask the office broker to release you from the agreement.

2. Ask the broker to let you work with a different agent - in which case they will deal with any referrals or commission splits in the office.

3. Wait until the agreement expires and move on.
0 votes Thank Flag Link Fri Jan 18, 2013
Unless you signed an exclusive buyer agent agreement, and it has not yet expired, you are free to work with any agent of your choosing. The key to the process is to be with a realtor that meets your needs.
0 votes Thank Flag Link Fri Jan 18, 2013
Unless you signed an exclusive agency with that Realtor, there should be no fee.
0 votes Thank Flag Link Fri Jan 18, 2013
If you are unsure, feel free to contact me.
Flag Fri Jan 18, 2013
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