Posted by John Corey on December 06, 2005 at 17:18:50:
Legally you can not get a referral fee. It is as simple as that.
Now, to earn money legally you would contract to buy the property and then sell your position to the next party. You make something in the middle.
You can use an option. You can use a earnest money agreement (also called a purchase and sale agreement) and then assign your position in that contract. Either will work.
The only people who can collect a fee for a successful RE deal they brokered are licensed brokers (or agents under a broker). It is a simple rule. It does get violated and people do get sued by the state when a licensed agent complains.
John Corey