Sell Real Estate Finders fee Agreement

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What percentage should a finder's fee be?

The terms of finder's fees can vary greatly, with some citing 5% to 35% of the total value of the deal being used as a benchmark. It's a staple of Fundera's business model. In many cases, the finder's fee may simply be a gift from one party to another, as no legal obligation to pay a commission exists.

What is a typical referral fee?

Referral fees vary based on a number of factors, but a typical fee is usually 25% of the closing agent's take-home commission. Again, this number can vary dramatically based on the client, the market, and the amount of work required from both the referring and the closing agent.

Who pays finder's fee?

In exchange for introducing the parties, the finder takes a commission from the brokered deal. In some situations, the finder's fee is paid by the buyer of the transaction, and in other cases, it is paid for by the seller. A finder's fee isn't legally binding, so it is often simply a gift from one party to another.

How are finders fees calculated?

Calculating the finder's fee For a customer-based introduction, I typically do 10-20% of the net revenue (revenue minus any direct costs) that the provider receives if I am not involved at all or just minimally with some upfront strategy.

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