Paying a referral fee

[Brian Midden]

I have been having people send me address for vacant houses in the area.

I was curious as how you all go about paying these people if you close on the property?

Do you just write them a check after you close? Is there any legal restrictions?

I’m located in Missouri if that helps at all.

Any information would be great!

[James Wise]

Originally posted by @Brian Midden:

I have been having people send me address for vacant houses in the area.

I was curious as how you all go about paying these people if you close on the property?

Do you just write them a check after you close? Is there any legal restrictions?

I’m located in Missouri if that helps at all.

Any information would be great!

 Most every state in the USA one needs to have a real estate license to receive a referral fee. Bird dogging as it's commonly referred to is illegal on a contingency basis. You could pay them hourly to complete tasks for you but paying a commission if you do a deal is a big NO NO.