Through the program, Compass listing agents will receive 10 percent referrals when they submit inquiries about their listings to other Compass agents through Compass.com, according to Inman.
Brokerage giant Compass is leaning into an agent-friendly “your listing, your lead” mentality with a new listing agent lead and referral program that gives listing agents a 10 percent referral fee when they send inquiries about their listings to other Compass agents, the company told Inman.
Compass says buyers’ inquiries about listings on Compass.com go directly to listing agents, giving buyers the first opportunity to work with buyers themselves. But with our new Leads program, even if Compass listing agents don’t want to handle buyer inquiries themselves, they can still benefit by referring inquiries to Compass buyer agents when the deal closes within 24 months.
After this period, agents will no longer be eligible for 10% referrals.
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“We believe listing agents should own and profit from the leads generated by their listings,” Robert Refkin, chairman and CEO of Compass International Holdings, said in a statement. “For too long, platforms that do not represent sellers’ best interests have removed listing agent information and sold buyer inquiries to the highest bidders. This program creates a better system: one that rewards real estate professionals who work hard to win listings and create buyer demand.”
This program is in contrast to popular referral programs on major portals like Zillow. The program sends homebuyers with questions about a property to a partner agent who pays a referral fee, rather than a listing agent.
Zillow is currently the subject of a lawsuit from homebuyers over “deceptive” tactics using what was formerly known as the “Flex” agent program (now the “Preferred” agent program), alleging that agent fees for enrolling in the program artificially inflate costs for homebuyers.
Typical agent-to-agent referral fees in the industry are around 25%.
Neda Navab | Compass
“Winning the listing is a reflection of years of building relationships, trust and hard work,” Compass President Neda Nevab said in a statement. “This program recognizes listing agents’ efforts by giving them the flexibility to respond to buyer inquiries while providing new opportunities to earn passive income.”
Compass has clarified that the Listed Agent Lead and Referral Program applies only to agents affiliated with Compass Securities, and not to agents affiliated with other brands currently under the Compass International Holdings umbrella.
The company said the idea for the new program came from Compass’ real estate experts and reflects the brokerage’s commitment to helping agents grow their businesses while providing a better experience for homebuyers and sellers.
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