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Updated over 10 years ago,
Attn: Wholesalers who compensate realtors for buyer referrals
Hi there,
Just wondering how wholesalers typically compensate realtors.
- Do you do a flat fee? i.e. $500 for every deal closed
- Do you do a regular realtor commission? i.e. if the property sells for $100,000, the realtor gets $3,000 (based on 3% commission).
- Do you do 50/50? Realtor gets half of what you make?
I've done various things based on how much "skin" is in the deal. I'm asking because I was approached by a realtor who has buyers that don't seem to fit her expertise, which is the retail market. I was thinking of doing 50/50, for a couple of reasons, but I'm just curious to see how some fellow wholesalers have structured the compensation with realtors, especially if the buyers that were referred to you by the realtor tend to close multiple deals.
Thanks so much-
Bev