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Can My Agent Offer Me a Discount, Meal, Valuable Service, Raffle, Donation in my Name, or Gift for Referring Them Business?

Updated: Jan 15



By quoting the below, I am not stating that I agree with the below (since I am not an attorney), but that the sources I'm quoting below are some of the most authoritative interpretation of the less specific but more authoritative legal code that I have seen as of the date of this publication regarding the definition of valuable consideration for referring business to real estate agents when not a real estate agent. This article is not endorsed by the Virginia Association of REALTORS® or any of the others I quote, though I quote a web page & podcast from VAR heavily.

  • This Article Should Not Be Construed as Legal Advice.

  • "...A real estate agent shall not pay or receive, directly or indirectly, any kickback, rebate, commission, thing of value, or other payment pursuant to a referral agreement..." except "between real estate licensees"

  • What About Cash Deals & Loans not Covered by RESPA?

  • Can my Agent Give me Extra Raffle Entries or Drinks If I Refer Them Business or Give Them a Review?

What are Some Examples & Details that the VAR Podcast Author(s) State Have Monetary Value & Couldn't be Done to Reward a Non-Licensed Referer, per RESPA – The Gift That Keeps on Giving – Legal Podcast, published by the Virginia REALTORS® Association on November 22, 2022?

  • Is There a Max Gift Threshold?

  • Can Agents Perform Valuable Services for or Take Former Clients Out to a Meal After a Referral?

  • Can my Agent Give me Extra Raffle Entries If I Refer Them Business?

  • What About Commission Discounts on Future Sale in Exchange for Referrals?

  • What About Gifts Not Dependent on Referrals?

  • What About a Donation in My Name?

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