In today's fast growing real estate market, it's becoming increasingly important for real estate agents and brokers to join real estate agent and broker referral services so that they can increase their chances of connecting with buyers and sellers of properties. There are classes you can take, organizations you can join or websites where you can give and receive referrals.

No matter what you choose to do, soon you can expand your business by giving and receiving Realtor referrals. Here are some additional things to consider about making the most of real estate agent and broker referral services:

1. Learn what is provided for you as real estate agent at real estate referral services.

2. Use real estate referral companies to help you find buyers for listed properties.

3. Become a real estate referral agent and reap the benefits of matching real estate agents and clients together.

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Become a member of a real estate group to receive real estate referral services

Agents who are employed by real estate brokers or agencies already have many opportunities to give and receive Realtor referrals. There are also groups that offer referral opportunities to members as well so that you can expand your business and network with other Realtors and clients across the United States.

I recommend: Learn about how agents at Coldwell Banker can use real estate agent referrals to help clients relocate to another area. Become a member of at Realtors Land Institute, which offers its member referral opportunities for farms, ranches and other land properties. Read the information about expanding your business with referrals for brokers and agents at Commercial Investment Real Estate.

Learn about becoming a real estate referral agent and increasing your revenue

Real estate referral agents make money from commissions earned when they match up real estate buyers and sellers with agents. Most real estate referral agents make 15% to 30% commission from broker sales. There are courses you can take to learn how to be a real estate referral agent, and some sites offer commissions to members who give referrals.

I recommend: Take the real estate agent referral course offered by National Association of Realtors to get certified and learn how to put together real estate referrals. Read the information at Realty Times about building a referral business from clients.

Use an online or free real estate referral service to get real estate broker referrals

There are many online or free Realtor referral service providers that offer referrals to brokers, agents and clients. You can sign yourself up as an agent, and then look through databases and client listings to either use the information you find or add your own referrals as a great way of expanding your real estate business and increase sales.

I recommend: Learn about the free real estate referrals services, such as the ability to search through databases and comprehensive real estate and agent listings, provided by IQRealEstate.com. Check out CNN for more about real estate referral business websites bringing together agents, buyers and sellers.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  You can join more than one real estate referral service to expand your possibilities for receiving leads to possible sales.

In order to weather the ups and downs of the real estate market, every real estate agent and broker needs a steady source of leads. Even in the slowest markets, people buy and sell real estate. You can't afford to wait until your leads dry up to look for a real estate referral service.

Most real estate agents and brokers receive leads through a variety of referral services. The most obvious source of real estate agent referrals is past clients. However, you can actively generate referrals from other sources. Working with a real estate referral service has many benefits:

1. Low cost.
2. Effective in all real estate markets.
3. Reaches potential clients in other states and even other countries.
4. Generates income even when you aren't personally involved in the transaction.

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Real estate agent referral networks connect you with clients nationwide

If someone in another state is moving to your state and wants to buy a house, he'll be looking for an agent. He may ask the real estate agent who helped sell his current house for a referral. Participating in real estate referral services gives you access to this lead.

I recommend: For a small annual fee, The National Real Estate Referral Network connects top-producing agents and brokers around the country. Agents agree on a referral fee between them. If you refer someone to an agent in another city or state, you'll earn a fee when that agent closes a real estate deal with the client. Likewise, you'll pay a referral fee to agents who send business your way.

Hang your license with a franchise real estate office and rake in the referrals

Franchise real estate offices maintain real estate agent referral programs. The offices agree to a referral fee for their agents. Once again, you can earn referral fees by sending clients to other franchisees or benefit from receiving leads from within the franchise network.

I recommend: Work with RE/MAX and use their Mainstreet program to share referrals with other RE/MAX agents. Visit the Mainstreet page and take a tour of the real estate referral service. The Century 21 Global Referral Network offers worldwide referral sharing for Century 21 agents and brokers.

Utilize a lead generation service for referrals

Real estate buyers and sellers often search the Internet for information on property values and the real estate market. By partnering with a well-known website, you set yourself up for a continuous stream of real estate agent referrals.

I recommend: HouseValues.com provides free property value reports to home sellers. Their sister-site, JustListed.com, emails lists of homes for sale to buyers. Real estate agents can partner with these websites to receive referrals of the people using their services. New agents without a lot of contacts often benefit from this type of real estate referral business.

Get your name listed in all the right places to generate self-referrals

If you want to get the call when a buyer or seller is browsing directory listings for an agent in their area, then you need to be listed. Most services offer a basic listing for free, with expanded listings costing a small fee.

I recommend: RealtorFinder and Valuecom Real Estate offer real estate referral agent listings by state. Experienced agents should consider signing up with Number1Expert. You must meet their qualifications as a top agent in your area to use their real estate referral services.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Don't overlook the value of participating in local business networking events. You can often generate referrals from other business people in your community.
• •  Follow up on all real estate referrals in a timely manner. If you don't think you can help someone, refer them on to a real estate referral agent who can.
• •  A strong referral business means steady income from the referrals you've sent out and a steady source of leads from referrals you receive.

If you are considering creating a real estate referral service to match clients with agents, are looking to grow an existing real estate agent referral business, or are a real estate agent eager to tap into the network of a real estate referral agent, then today's technology may be ideal for you. Real estate referral services, websites and software are available to help you attract new clients, as well as manage and track real estate agent referrals efficiently.

To maximize any real estate agent referrals technology, it's important to have sufficient real estate agent and broker referral services education and training to properly utilize the tools available to you. Consider the following steps to learn what you need to learn to grow or tap into a real estate referral business:

1. Purchase online learning materials to teach you how to market your business to real estate agents.

2. Tap into the knowledge of others in the real estate agent referral business via online blogs and bulletin boards.

3. Get schooled in the Transnational Referral Certification program.

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Purchase online materials to teach you to market and grow a real estate agent referral business

Marketing is the key to any business, and the real estate referral services business is no exception. Online courses directed at teaching you to market yourself and/or your business will help you develop a targeted sales and marketing business plan to ideally give you the boost your business is looking for.

I recommend: The ABTrainingCenter offers an online home study course for $197 specifically targeting those struggling with marketing to realtors. The program is called "The Agent Magnet Realtor Referral Training Program." Creative Technology Ltd.'s ZENcast offers a downloadable four-part series entitled "Building A Referral Based Real Estate Business."

Tap into the knowledge of others in the real estate agent referral business via online blogs

Why recreate the wheel when others may have done so before and failed? Tapping into an online network of others in the real estate agent referral business can provide you with a first-hand education that you would not otherwise get without potentially costly trial and error.

I recommend: ActiveRain's real estate blog contains healthy group discussions about referral services. You can read or participate in discussions and read articles written by those across all areas of the real estate industry at the RealTown networking site for agents, buyers and sellers,.

Earn a Transnational Referral Certification to further market your real estate referral business

The Transnational Referral Certification Course is offered by several realty associations and realtor schools. The purpose of this course is to train real estate professionals to make and receive paid referrals.

I recommend: The National Association or Realtors and IFREC Real Estate Schools offer a Transnational Referral Certification Course. These programs offer additional certification and education programs across all areas of the real estate profession.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Consider signing up for membership with a free real estate referral service. These real estate networking sites connect agents with sellers and vice versa. Many promise no payments up front until a referral connection is made.

A real estate agent or broker referral service is a company that matches the seller or buyer with an agent or a team of agents who best know the type of real estate properties, either commercial or residential, that the client needs to buy or sell. The agents, brokers and clients involved in referral services should understand the terms pertaining to legal issues and agreements in order to ensure the protection of all parties in their dealings with each other.

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Fiduciary relationship

A fiduciary relationship as it pertains to real estate referrals is one in which the real estate broker or agent acts in the best interest of its clients at all times. Clients should be able to count on their fiduciary (the agent or broker) to advise them without pressure or influence.

I recommend: Compass Advisors provides a full explanation of a fiduciary relationship and how it relates legally to all parties involved in a real estate transaction.

Dual agency

Occasionally, in a real estate transaction, a broker or agent will act as a duel agency, meaning that the licensee is working with the buyer and seller. Dual agents must promise confidentiality and loyalty to both parties as well as full disclosure.

I recommend: RealEstateLawyers describes the aspects of a "dual agency." The site also explains when a relationship cannot be considered one of dual agency.

Real Estate Settlement Procedures Act (RESPA)

The Real Estate Settlement Procedures Act (RESPA) was passed by the U.S. government to provide legal protection of consumer interests in a real estate relationship with a broker or agent. RESPA also protects consumers against unnecessary broker and agent fees in the real estate settlement process.

I recommend: The U.S. Department of Housing and Urban Development (HUD) provides complete information on the Real Estate Settlement Procedures Act. All parties involved in real estate agent and broker referral services need to keep the regulations established in RESPA in mind during real estate transactions.

Noncompetition

When a referral agent and a broker or real estate agent part ways in any real estate transaction, the referral agent should agree to 'noncompetition' with the broker or real estate agent. The referral agent agrees in a noncompetition situation not to utilize any information provided a broker or agent for his or her own interests.

I recommend: Troy Allen Real Estate Referral Services provides a definition of "noncompetition" in its contractor agreement for referral agents.

Foreign real estate

Occasionally, when dealing with a real estate referral service, the concept of 'foreign real estate' could enter the discussion. Foreign real estate is merely real estate not situated in the state where the buyer lives.

I recommend: LawriterOhio explains how "foreign real estate" can pertain to property, dealer, salesperson or partnership.

Indemnification

Indemnification refers to agreements in which referral agents agree to hold brokers or real estate agents harmless in any claims, suits, judgments or other legal proceedings that result from violation of the agreements the two parties have. Insurance firms offer real estate professionals policies to protect them from professional negligence.

I recommend: ASHI Reporter discussed a real estate referral agency's protection from indemnification. The Steeves Agnew Underwriting Agency provides a list of industry-specific extensions covered in a professional indemnity policy.