Real Estate Referral Form

What is the Real Estate Referral Form

The real estate referral form is a document used by real estate professionals to facilitate the referral of clients between agents or brokers. This form serves as a formal agreement that outlines the terms of the referral, including the commission structure and the responsibilities of each party involved. By using this form, agents can ensure that they receive proper compensation for their referrals while maintaining a clear record of the transaction.

How to use the Real Estate Referral Form

To effectively use the real estate referral form, agents should first ensure that all necessary information is accurately filled out. This includes details about the referring agent, the referred client, and the receiving agent. Once completed, the form should be signed by all parties to confirm the agreement. It is advisable to keep a copy for personal records and provide copies to all involved agents. This helps to maintain transparency and accountability throughout the referral process.

Key elements of the Real Estate Referral Form

Several key elements are essential for a comprehensive real estate referral form. These include:

• Referring Agent Information: Name, contact details, and license number of the agent making the referral.
• Receiving Agent Information: Name, contact details, and license number of the agent receiving the referral.
• Client Information: Name and contact details of the client being referred.
• Commission Structure: Clear terms outlining the commission percentage or flat fee to be paid to the referring agent.
• Signatures: Signatures of all parties involved, indicating their agreement to the terms.

Steps to complete the Real Estate Referral Form

Completing the real estate referral form involves several steps:

1. Gather Information: Collect all necessary details about the referring agent, receiving agent, and client.
2. Fill Out the Form: Enter the gathered information accurately into the form.
3. Review the Terms: Ensure that the commission structure and other terms are clearly stated.
4. Sign the Form: Have all parties sign the document to formalize the agreement.
5. Distribute Copies: Provide copies of the signed form to all parties involved for their records.

Legal use of the Real Estate Referral Form

The legal use of the real estate referral form is crucial for protecting the interests of all parties involved. To ensure that the form is legally binding, it must be signed by all parties and comply with local real estate laws. Additionally, the form should adhere to electronic signature laws, such as the ESIGN Act and UETA, if signed digitally. This compliance helps to validate the agreement and provides a legal framework for any disputes that may arise.

Examples of using the Real Estate Referral Form

Real estate referral forms can be used in various scenarios, such as:

• Agent to Agent Referrals: When one agent refers a client to another agent in a different market area.
• Broker to Broker Referrals: When brokers refer clients to each other, often involving larger transactions.
• Interstate Referrals: When agents in different states collaborate to assist clients relocating to a new area.