2017 saw uptick in agent-to-agent referrals

Listings shortage could be pushing real estate professionals to expand their sphere of business

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Inman Connect San Francisco, Jul 17-20, 2018

Real estate agents earned a median number of nine referrals in 2017, up from six in 2016, according to the second annual study on the "agent-to-agent referral economy" conducted by 1000watt on behalf of ReferralExchange. Moreover, the research revealed 42 percent of agents earned $10,000 to $50,000 in referral fees over the course of the year. The uptick in referrals could be due to a variety of factors, including the inventory shortage driving real estate professionals to look for business outside of their sphere; certain markets experiencing heightened migration and heightened market activity; and brokerages increasing their focus on referral training, ReferralExchange vice president of marketing Lisa Fettner told Inman. An agent's sphere of influence -- responsible for 80 percent of the referrals agents receive -- remains the largest referral driver, said Fettner. “Referrals are like eating your vegetables -- you know that it's important to eat your vegetables and t...